16th September, 2013 4 Min read
Book a Demo
The disruptive impact of internet distribution on the video and telecom sectors has been one of the key elements in the immense growth of the internet as a media platform. A platform that consumes huge amounts of bandwidth. Supplying it, is the challenge that reach media providers need to face. And it seems that the customers are showing very little patience for content delivery issues.
According to a recently published article in the guardian, content delivery issues account for nearly 70% of viewers’ frustration with online video. In the month of February this year, Thirty-six million UK internet users watched video online according to comScore‘s April 2013 report. A rapidly growing library of online video offered by the BBC iPlayer and other broadcasters along with companies like Netflix, LOVEFiLM, blinkbox and the newly launched Wuaki.tv, is helping drive adoption.
Reduce your AWS costs by over 50%
Discover your Cloud Saving Potential – Answer just 5 simple questions. AppsFlyer, Playtika, Lufthansa, IBM, top leading companies are already using our FinOps services.
Although the trend is growing rapidly, it needs to deal with the fact that network connections are a shared resource, and more users simply add more congestion, which leads to slower page loads, delayed video starts, stream interruptions and video degradation, creating a poor quality of experience (QoE) for the end-user. A consumer survey done by Diametric Analysis consultancy, found nearly one-fourth of respondents rated initial buffering delays as the most frustrating aspect of internet video viewing, and another one-third selected interruptions (for re-buffering). Pixelisation (video degradation) accounted for another 13%. Essentially content delivery issues alone accounted for nearly 70% of viewers’ frustration with online video.
Other market research found that an initial buffering delay between two-three seconds is a key threshold. At this point the number of viewers clicking away from the video sharply increases. “This translates into significant losses for online video distributors (OVD)”, writes the guardian. “Since mid-roll advertising never gets viewed. And obviously, consistently poor experiences will also affect subscription businesses”.
This is a problem for media outlets in the net. Though internet video revenue is growing rapidly – According to the IAB, UK video advertising revenue grew 46% to £160m in 2012 – They are nowhere near TV revenues. Taking into account the fact that in reality less than one in four live video streams in the UK is delivered with optimal QoE, and the industry can expect loses of hundreds of millions over the next few years.
How than online video distributors can avoid QoE deterioration and maximise revenue? As the guardian mention, mainly by using a multiple content delivery networks (CDNs): “CDNs like Akamai, Limelight, Edgecast and BT’s Content Connect all cache copies of content closer to the consumer, avoiding upstream congestion on the internet. They also offer intelligent routing and various other delivery improvement options. It’s best an OVD uses multiple CDNs to mitigate the risk of congestion or failure at critical nodes”
Although CDN’s are the main effective solution, there is much more to be done:
Create a detailed device registry: Adobe found that mobile video views grew 300% in 2012, accounting for 10.4% of video starts – compared with 3% in 2011. Tablets, in particular, drove this growth. Any competitive service must therefore be able to support multiple devices including tablets, smartphones, gaming consoles and Smart TVs. Each device has its own display resolution, processing power, screen size etc. OVDs must also navigate a complex set of operating systems, client applications/players and other device capabilities to optimize their services.
Optimize the stream for the device: Video should be delivered at the lowest bit-rate without compromising quality, but in addition device processing power, screen size, display resolutions etc. also need to be considered when selecting the right bit-rate. OVDs should also look out for HEVC, an emerging video compression format that offers 50% more efficiency but also requires more processing power.
Use Adaptive Bit Rate (ABR) streaming: ABR protocols dynamically adapt video bit rates to network congestion, improving end-user QoE. Apple, Microsoft and Adobe all offer ABR options, and variants of a new industry standard (MPEG-DASH) will most likely gain support in coming years. This area also requires careful navigation as different devices/OS platforms are more easily compatible with different ABR protocols.
Monitor QoE: QoE monitoring solutions provide a detailed view into the quality of the service, allowing OVDs to calibrate their service delivery before they start losing users.
While not specific solutions for QoE, Online Video Publishing Platforms (OVPP) such as thePlatform and Brightcove have content management systems and toolkits that can help an OVD navigate the variety of video transcoding formats and device requirements described above. Most major CDNs will also offer video preparation, content protection support and other video management tools for customers.
The key to revenue for an OVD is audience engagement, and that in turn is dependent on high QoE. While internet delivery will always be a best-effort exercise, OVDs can mitigate their risk by making good choices regarding key elements of the online video delivery ecosystem. Understanding the various pros and cons of bewildering array of technology options available for each function will not be easy, but it is essential”.
GlobalDots envisions a Multi-CDN portfolio of Streaming Services, tailored around the very needs of any single Business based on Video Delivery.
As a Partner, GlobalDots has – and offers – access to most world-renowned best-of-breed CDNs, just as well as to younger, next-gen’s Global and Local players which are revolutionizing the way You see the world today from behind the scenes. Yet, as an independent Services Provider, GlobalDots offers unequaled insight into how comparatively each CDN operates and integrates with Video Technologies.
GlobalDots is by its own nature best suited for independently consulting Your Video Business needs and offering its Multi-CDN expertise by designing and implementing a Technical Solution based on Your very targets to achieve.
EX.CO is a video technology platform that enables publishers to monetize video content on websites.
Justt is a chargeback mitigation startup based in Tel Aviv. Chargebacks, as defined, are demands by a credit card provider for a retailer to reimburse losses on fraudulent or disputed transactions. Justt’s objective is to assist merchants worldwide in combating false chargebacks using its proprietary artificial intelligence technology.
The cloud used to be viewed as a place of significant cost savings: rather than purchasing and maintaining dozens of server stacks, organizations could outsource this and purchase compute power on an as-needed basis. In the ensuing rush to cloud architecture, however, many companies simply lifted-and-shifted their old financial bad habits. The sheer speed of […]
Cloud computing has transformed more than individual app architectures: it’s granted both start-ups and market leaders an equal platform for innovation. New products are no longer dependent upon complex revenue-draining in-house server stacks. Instead, cloud-native disruptors such as Uber and Airbnb have been able to harness the once-unthinkable degrees of agility, scalability, and cost-efficiency that […]
Schedule a call with our experts. Discover new technology and get recommendations to improve your performance.