Growth also due to broadcasters and cable/IPTV operators’ shift to all-digital networks
The world video server market rapidly, primarily due increasing demand for high definition (HD) and video on demand (VOD) content and services, according to new report available from companiesandmarkets.com.
The migration of broadcasters and cable/Internet protocol television (IPTV) operators to all-digital networks has also contributed to this growth.
Broadcasters are shifting from analogue to digital operations, and are also reallocating resources to accommodate growing consumer demand for HD content, the report said.
The US, Europe, Asia, and many other regions have embraced HD and are actively driving its adoption and promoting the benefits. Local cable operators are increasingly upgrading their facilities to enable HD programming.
The US switchover was completed in 2009, the majority of Western Europe followed closely afterwards, while Latin America, Asia and the rest of Europe will complete the process by 2016.
Increasing consumer demand for digital content has encouraged growth in the world video server market, which is seeing a return to growth post-recession.
Digital switchover will force broadcasting companies to adopt new infrastructure systems and technologies – including video servers – to meet the requirements of HD and digital television.
The drop in the prices of HDTVs have increased the popularity of HD content and programming.
Cable broadcasters are providing additional services, which include pay-per-view TV, VOD and high quality programming.
The report said M&A and collaboration activity is likely to become commonplace as smaller players will find it difficult to compete long term because of the resource requirements to launch, operate and market such services.