Informa Telecoms & Media reports that with advertising, subscriptions and transactions, online video will be a $37 billion market by 2017.
As a portion of total TV and video revenue, online video will account for 8% by 2017 and over 10% by 2020. The US dominance of the global market will decrease from about 75% today to approximately half of all revenues in 2017. Advertising will remain the largest revenue stream.
Giles Cottle, principal analyst and author of OTT Video Revenue Forecasts at Informa Telecoms & Media said, "It's clear that online video, today, is worth much more than the digital cents and dimes of yore, and is attracting real, and growing, revenues. But this value is concentrated around a select few players. We estimate that Apple, Google, Netflix and the global broadcasters (including Hulu), combined, account for about 70% of all online video revenue today so if you aren''t one of these players, then the chances are you aren't making a great deal of money from online delivery today."