As streaming continues to battle post-pandemic churn and rising costs, we see three developments taking center stage in 2023:
Efficiency at Scalewill become paramount - Providers need workflow solutions that are less complex and more cost-effective. Workflow orchestrators that ensure that the different pieces work together are akin to central mind/nervous systems that control all parts of the body. With churn and rising content costs pressing them from both sides, providers will continue to shift toward systems that efficiently ensure delivery and video quality from ingest to playout.
Technology differentiators will rise to the top - The avalanche of pandemic streaming has ceased and providers are in pitched battles for the attention of ever-more-discriminating consumers. Having a great series may help you attract subscribers in the short term, but what keeps them in the fold? Providers are leaning into technology investments that will drive better content recommendations and discovery, richer apps and UXs, and especially video quality of experience. Providers that commit to those differentiators in 2023 will be able to improve retention and monetization of viewers, including through merchandising and delivery of one-of-a-kind experiences.
Delivery will need to step up for 4K success – It’s high time we make progress and move the needle on video quality being delivered. The increased emphasis on creating high-value 4K and HDR content simply is often not being matched by the viewer experience. As people return to theaters, they are seeing how streaming quality often pales in comparison with cinematic viewing experience. High-quality streaming delivery involves three variables; the video delivery chain; the viewer’s internet connection; and the end viewing device. Viewers can control the latter two, but providers need to implement automated video quality systems that can ensure that nothing is done to impair quality in the delivery of content from ingest to data centers to doorsteps.