January February Euromedia - Page 22

ca table_ca 25/02/2016 18:43 Page 1 OTT: A necessary evil? All broadcasters see it as a necessity to run catch-up and back-catalogue OTT VoD services, but they are a cost centre and show little sign of making money. Can OTT become a profit centre for any but the mega international providers? ome question the business model of OTT leviathans such as Netflix; can growth powered by the undercutting of pay-TV subscriptions and the provision of expensive content be sustained? But no one doubts the expense for broadcasters of OTT and the difficulty of recovering that cost. AdvancedTelevision gathered seven top OTT practitioners in London to debate the issues. “Broadcasters are certainly now looking to monetize catch-up. I think ‘traditional broadcasters’ are going to be going on the attack by adapting their offering and, with a hybrid approach, making it more of a blended service,” says Ian Trow, senior director of emerging technology, Harmonic. “Yes, I think there’s a lot of untapped resource; broadcasters have huge archives they can make available, so I think there is a ‘fight-back’,” agrees James Kirby, director of solutions architecture at Edgeware. “But Tier 2 or 3 content will never attract a premium,” declares Dr. Glodina Connan- S Lostanlen, V