Over-the-top media service

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An over-the-top media service (also known as over-the-top television, or simply OTT) is a digital distribution service offered directly to viewers via the public Internet, rather than through an over-the-air, cable, or satellite provider. [1] [2] The term is synonymous with "streaming platform", such as Netflix and Amazon Prime Video [3] [4] [5] which provide access to subscription-based film and television content (SVoD). [2] [6] OTT television, commonly called streaming television, has become the most popular OTT content. [a]

Contents

OTT bypasses cable, broadcast, and satellite television platforms—the media through which companies have traditionally acted as controllers or distributors of such content. This content may include shows and movies for which the OTT acquired licensed rights from the content owner. Programming may also include original content produced by the service or specifically for it. [7] [8] [9] OTT services also include a range of "skinny" television offerings by streaming platforms, such as Sling TV and Hulu with Live TV, that provide live streams of specialty channels. [10] [11] [12]

OTT content is delivered via the public Internet instead of a closed, private network system that uses exclusive equipment like set-top boxes, [13] or through IPTV services (such as U-verse TV).[ citation needed ]

OTT services are typically accessed via television sets with integrated Smart TV platforms, [14] streaming devices such as Amazon Fire TV and Roku, video game consoles, websites on personal computers, and apps on smartphones and tablets. [3] [1]

Definitions

In 2011, the Canadian Radio-television and Telecommunications Commission (CRTC), Canada's telecommunications regulator, stated that it "considers that Internet access to programming independent of a facility or network dedicated to its delivery (via, for example, cable or satellite) is the defining feature of what has been termed 'over-the-top' services". [15]

In contrast to video on demand systems offered by cable and IPTV, which operate over managed networks where channels can be changed instantly and thus content available instantaneously, some OTT services such as iTunes require that the video be downloaded first and then played. [16] Relatedly, some OTT services require movie download but can start playing the content before the download completes (streaming). [17]

The United States Federal Communications Commission (FCC) categorizes OTT services into two groups: multichannel video programming distributors (MVPDs) and online video distributors (OVDs). [18] [19]

Virtual MVPDs include such services such as DirecTV Stream, FuboTV, Sling TV, Hulu + Live TV and YouTube TV.

The FCC defined an OVD as: [18]

any entity that provides video programming by means of the Internet or other Internet Protocol (IP)-based transmission path where the transmission path is provided by a person other than the OVD. An OVD does not include an MVPD inside its MVPD footprint or an MVPD to the extent it is offering online video programming as a component of an MVPD subscription to customers whose homes are inside its MVPD footprint.

Background

In broadcasting, over-the-top (OTT) content is the audio, video, and other media content delivered over the Internet, without the involvement of a multiple-system operator (MSO) in the control or distribution of the content. The Internet provider may be aware of the contents of the Internet Protocol (IP) packets and may be able to block or restrict their transit to end users (unless that internet provider operates within a jurisdiction that requires "net neutrality"). However, the ISP is not responsible for the viewing abilities, copyrights, and/or other redistribution of the content from the OTT provider. This model contrasts with the purchasing or rental of video or audio content from an Internet service provider, such as pay television, video on demand and internet protocol television (IPTV). [20] OTT refers to content from a third party that is delivered to an end-user, with the ISP simply transporting IP packets. [21] [22] [23] [24]

OTT television signals are received over the Internet or through a cell phone network, as opposed to receiving television signals from terrestrial broadcasters, cable networks, or via satellite transmission. The video distributor controls access through an app, a separate OTT dongle, or a box connected to a phone, PC, or smart television set. By mid-2017, 58 percent of US households would access one in a given month, and advertising revenues from OTT channels exceeded revenue from videos playing in web browsers on desktops and laptops. [25]

In 2019, the record of simultaneous users watching an OTT event was set at 18.6 million in India by Disney Entertainment's video streaming platform Hotstar. [26] The record was broken again in 2023 with 59 million concurrent viewers during the ICC Cricket World Cup final on Disney+ Hotstar. [27]

In 2023, the viewing of TV content on streaming platforms represented 38% of global television consumption with 1.8 billion subscriptions to OTT platforms. [28]

Modes of access

Consumers can access OTT content through Internet-connected devices such as smart TVs, [29] digital media players, gaming consoles, set-top boxes, desktop and laptop computers, tablets, and smartphones. [30]

The results of a 2018 in-house data analysis of their subscribers by Uscreen (a membership platform for video creators and entrepreneurs) reported that 45% used iOS and Android mobile devices to access their OTT content, while 39% used web browsers for streaming. [31]

Streaming platforms

Examples of OTT platforms with 1–100mm+ subscribers include:

Mobile communication

The term "OTT" has also been used to describe no-carrier cellphones, for which all communications are charged as data, [32] avoiding monopolistic competition, or apps for phones that transmit data in this manner, including both those that replace other call methods [33] [34] and those that update software. [34] [35] [9] [36]

OTT messaging is defined as instant messaging services or online chat provided by third parties, as an alternative to text messaging services provided by a mobile network operator. [37] [38] An example is the Meta Platforms-owned mobile application WhatsApp, that serves to replace text messaging on Internet connected smartphones. [39] [40] Other providers of OTT messaging include Viber, WeChat, iMessage, Skype, Telegram and the now defunct Google Allo. [41]

OTT voice calling, usually called VoIP, capabilities, for instance, a softphone or as provided by FaceTime, Skype, Viber, WhatsApp, WeChat, and Zoom use open internet communication protocols to replace and sometimes enhance existing operator controlled services offered by mobile phone operators. [40]

See also

Notes

  1. "What started as [sic] niche corner in the media landscape in the early 2000s has grown to the dominant form of TV viewing in the U.S." [3]

Related Research Articles

Video on demand (VOD) is a media distribution system that allows users to access videos, television shows and films digitally on request. These multimedia are accessed without a traditional video playback device and a typical static broadcasting schedule, which was popular under traditional broadcast programming, instead involving newer modes of content consumption that have risen as Internet and IPTV technologies have become prominent, and culminated in the arrival of VOD and over-the-top (OTT) media services on televisions and personal computers.

Streaming television is the digital distribution of television content, such as and films and television series, streamed over the Internet. Standing in contrast to dedicated terrestrial television delivered by over-the-air aerial systems, cable television, and/or satellite television systems, streaming television is provided as over-the-top media (OTT), or as Internet Protocol television (IPTV). In the United States, streaming television has become "the dominant form of TV viewing."

<span class="mw-page-title-main">Internet Protocol television</span> Television transmitted over a computer network

Internet Protocol television (IPTV), also called TV over broadband, is the service delivery of television over Internet Protocol (IP) networks. Usually sold and run by a telecom provider, it consists of broadcast live television that is streamed over the Internet (multicast) — in contrast to delivery through traditional terrestrial, satellite, and cable transmission formats — as well as video on demand services for watching or replaying content (unicast).

<span class="mw-page-title-main">Sky Angel</span> American Christian media company

Sky Angel was a U.S. operator of Christian television networks; it operated three channels, Angel One, Angel Two, and KTV, all of which were exclusive to Dish Network. The company's corporate headquarters were located in Naples, Florida. The company also operated a Chattanooga, Tennessee location where programming, engineering and network operations resided.

U-verse TV is an internet protocol television (IPTV) service operated by DirecTV. Launched on June 26, 2006, U-verse was originally a triple play package that included broadband Internet, IP telephone, and IPTV services in 22 states.

ESPN3 is an online streaming service owned by ESPN Inc., a joint venture between the Walt Disney Company and Hearst Communications, that provides live streams and replays of global sports events to sports fans in the United States.

Multichannel television in the United States has been available since at least 1948. The United States is served by multichannel television through cable television systems, direct-broadcast satellite providers, and various other wireline video providers; among the largest television providers in the U.S. are YouTube TV, DirecTV, Altice USA, Charter Communications, Comcast, Dish Network, Verizon Communications, and Cox Communications. The Telecommunications Act of 1996 defines a multichannel video programming distributor (MVPD) as "a person such as, but not limited to, a cable operator, a multichannel multipoint distribution service, a direct broadcast satellite service, or a television receive-only satellite program distributor, who makes available for purchase, by subscribers or customers, multiple channels of video programming", where a channel is defined as a "signaling path provided by a cable television system."

<span class="mw-page-title-main">Hybrid Broadcast Broadband TV</span> Industry standard for hybrid digital television

Hybrid Broadcast Broadband TV (HbbTV) is both an industry standard and promotional initiative for hybrid digital television to harmonise the broadcast, Internet Protocol Television (IPTV), and broadband delivery of entertainment to the end consumer through connected TVs and set-top boxes. The HbbTV Association, comprising digital broadcasting and Internet industry companies, has established a standard for the delivery of broadcast TV and broadband TV to the home, through a single user interface, creating an open platform as an alternative to proprietary technologies. Products and services using the HbbTV standard can operate over different broadcasting technologies, such as satellite, cable, or terrestrial networks.

VMedia Inc. is a Canadian telecommunications company and broadcast distribution provider.

<span class="mw-page-title-main">TV Everywhere</span> Authentication for streaming video

TV Everywhere refers to a type of American subscription business model wherein access to streaming video content from a television channel requires users to "authenticate" themselves as current subscribers to the channel, via an account provided by their participating pay television provider, in order to access the content.

AllVid was a proposal to develop technology enabling smart broadband-connected video devices to access the content on the managed networks of cable operators, telcos, and satellite-TV operators. It was initially proposed in the U.S. Federal Communications Commission's (FCC) National Broadband Plan in 2010. The AllVid hardware would act as a universal adapter for all types of pay TV content such as video-on-demand and pay-per-view, as well as interactive programming guides, delivered through a wide variety of means, including cable TV, satellite TV, VDSL, IPTV, and Internet TV.

<span class="mw-page-title-main">Smart TV</span> TV set with integrated Internet features

A smart TV, also known as a connected TV (CTV), is a traditional television set with integrated Internet and interactive Web 2.0 features that allow users to stream music and videos, browse the internet, and view photos. Smart TVs are a technological convergence of computers, televisions, and digital media players. Besides the traditional functions of television sets provided through traditional broadcasting media, these devices can provide access to over-the-top media services such as streaming television and internet radio, along with home networking access.

WatchESPN was a branding of the Internet television website and mobile application operated by ESPN Inc., a joint venture between The Walt Disney Company and Hearst Corporation.

Acetrax was a video on demand company which was founded in the UK and Switzerland and incorporated as a Swiss company in Zürich in 2006. The company was later acquired by Sky, a British telecommunications company. The company provided over-the-top (OTT) content in Europe, for connected TVs. As of 2011, the company claimed to have their contents on TVs in 282 million households, in 48 countries.

A multichannel television service, also known as simply a television provider, is a type of service provider who distributes television programming to its customers for a subscription fee. Subscription television providers distribute television channels that offer different types of programming, typically including local television stations within their market, specialty channels that are distributed solely through multichannel television providers, and pay television services that offer premium content such as feature films and other original programming.

In broadcast television, cord-cutting refers to the pattern of viewers, referred to as cord-cutters, cancelling their subscriptions to multichannel television services available over cable or satellite, dropping pay television channels or reducing the number of hours of subscription TV viewed in response to competition from rival media available over the Internet. This content is either free or significantly cheaper than the same content provided via cable.

<span class="mw-page-title-main">Sling TV</span> American streaming television service

Sling TV LLC is an American streaming television service and a wholly owned subsidiary of EchoStar’s Dish Network. Unveiled on January 5, 2015, at the Consumer Electronics Show, the virtual multichannel video programming distributor aims to complement subscription video on demand services for cord cutters, offering a selection of major cable channels and OTT-originated services that can be streamed through smart TVs, digital media players and apps. The service is available in the United States and Puerto Rico as of 2015.

A Media Aggregation Platform or Media Aggregation Portal (MAP) is an over the top service for distributing web-based streaming media content from multiple sources to a large audience. MAPs consist of networks of sources who host their own content which viewers can choose and access directly from a larger variety of content to choose from than a single source can offer. The service is used by content providers, looking to extend the reach of their content.

<span class="mw-page-title-main">Local Now</span> American subscription television network

Local Now is an American over-the-top internet television service owned by The Weather Group, LLC, a subsidiary of Entertainment Studios. A spinoff of The Weather Channel, Local Now primarily provides a cyclic playlist of weather, news, sports, entertainment and lifestyle segments, incorporating localized content through feeds geared to a user-specified area.

There are currently about 57 providers of over-the-top media services (OTT) in India, which distribute streaming media or video on demand over the Internet.

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Further reading