Last year brought on an exponential increase in global video streaming traffic with over 162 million new Video on Demand (SVoD) users versus 2019 and revenue growth of over $1.5 billion (USD). With this growth comes rising expectations for a consistent, quality viewing experience. Streaming providers are tasked to focus on their network design to improve content delivery and enhance resiliency.
These aren’t new challenges, however, 2020 has underscored the importance of having reliable, flexible and high-bandwidth connectivity readily available to meet peaks and valleys in demand.
The world is streaming like never before
There is no doubt the pandemic drove demand for streaming platforms. Providers like Netflix, Amazon and YouTube were called upon to help reduce network strain in regions around the world by suspending HD broadcasting brought on by surges in home broadband traffic driven by millions of people working and learning from home.
The seismic shift in usage seen at the start of the pandemic has only minimally declined, indicating the demand for digital media - including streaming services - will continue into 2021 and beyond. In fact, worldwide SVoD revenues are expected to see a compound annual growth rate (CAGR) of 12.9% through to 2025 , with the U.S. accounting for 42.7% of revenues in 2020.
With 8K gaining traction as a complement to the already bandwidth-intensive ultra HD 4K, demand for optimized content delivery will be even greater. Investing in the right network solutions is necessary for streaming providers to capture market share.
Optimizing the viewer experience
To achieve the high-bandwidth, low-latency connectivity that can help support a high-quality viewing experience, some may take on a significant capital burden to build a network from scratch as we touched on in a previous blog. Others may collaborate with a network provider to utilize a purpose-built, out-of-the-box solution - allowing more budget to be earmarked for their core business. Finding a technology partner with a ready-made, robust network can help streaming providers deliver content with the quality and performance that their consumers expect.
Resiliency is another important consideration - downtime is an unthinkable scenario for many enterprises, including the streaming and content industry. The challenge is even more significant now as billions of devices require a network connection, from lights to tablets to cars, generating zettabytes of data. Ensuring uptime for consumers should one part of the network fail will remain a critical concern for streaming providers.
Deep-seated media expertise makes for an ideal partnership
Powered over Canada’s largest network which spans over 165,000 miles nationwide, and extends into the U.S. on both coasts as well as north into Alaska, our high-bandwidth solutions offer speeds of up to 100 Gbps – to help you deliver content to viewers from coast-to-coast-to-coast. Our broadband fiber network, consisting of fiber-to-the-premise (FTTP) and fiber-to-the-node (FTTN) locations, covers approximately 9.9 million homes and businesses in Ontario, Québec, the Atlantic provinces and Manitoba.
Our network also demonstrated reliability throughout the pandemic as usage volumes increased exponentially. Internet traffic increased up to 60% during the day and 20% at night at the peak of the crisis, Wireless Home Internet (WHI) usage grew 40%, voice calling up to 200% at peak calling times, and business conference calling as much as 250% as stay at home measures took effect across the country.
Advancing how we connect to each other and the world is a goal we take seriously and is demonstrated, in part, by our industry-leading capital expenditures over the last decade of approximately $4 billion annually, along with plans to rapidly expand our broadband fiber and wireless networks with a $1 billion acceleration in capital expenditures over the next two years.
We also understand the unique needs and requirements of the media industry. Our parent company, Bell Canada, is Canada’s #1 multimedia company with the top TV, radio, digital and advertising brands in the country, leading-edge digital platforms like Crave, and TV services including Bell Fibe TV, Alt TV, Virgin TV and Satellite TV.
In a market saturated with choice, choosing the right network solutions can help to create a competitive edge. Contact us today to help accelerate your business potential.
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1 Statista, Video Streaming (SVoD) - worldwide. (n.d.)., December 2020
2 Statista, Video Streaming (SVoD) - worldwide. (n.d.)., December 2020
3 Statista, Digital Media Report 2020., December 2020
4 State of the Edge, 2020