Tuesday, 30 August 2016 02:23

4G mobile video user to boom by 2020: Huawei and Ovum ogle gargantuan growth

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A new whitepaper sees "huge growth in 4G mobile video use by 2020", with the paper highlighting three key focuses for "enabling telco big video business transformation".

According to the new joint whitepaper from Huawei and Ovum, by 2020, "mobile video usage will have increased to about 75% of total 4G traffic, up from just 15% in 2016".

The detailed, 22-page whitepaper is entitled, "The Evolution of Big Video – Examining telco transformation video opportunities", and unlike most research, which is usually available to relevant parties at relevant prices, this research is available for anyone to download free of charge. 

Ovum and Huawei say that it "highlights the current situation for telcos who provide video services for the entertainment and communications markets, as well as for vertical industry segments".

Now you might be thinking it's all just going to be an ad for Huawei's technologies, but the word Huawei only appears once in the main text of the complete document, and that's in relation to China Telecom's launch of 4K UHD STB service in 2013 on page 6, which it did with Huawei's help. 

It's a genuine document that really analyses big video in 22 pages of very readable detail – especially if you're interested in online video, mobile video, IPTV, UHD, VR, AR, video calling and plenty more.

Naturally, Huawei hopes you'll ask its advice about any big video telco opportunity you might be looking at if you're a relevant current or potential Huawei customer, but ultimately, that's something that's up to you.

Giving customers information to consider in their decision-making processes is one thing ,with this new whitepaper "focused on the usage and penetration of video among the individual, family, and enterprise customer sectors", and which additionally "unveils the latest trends for the evolution of big video and provides suggestions and insights in supporting telcos journeying through ICT and Big Video transformation".

The paper also offers "a comprehensive analysis on the current status of the video business, as well as insights on the industry’s future business outlook, possible business models, subscribers’ consumption trends and the latest technology-driven forces".

Specifically, we are told that the white paper points out:

  • By 2020, mobile video usage would have increased to about 75% of total 4G traffic, from 15% in 2016, with 4K UHD video, social media video, mobile video, VR/AR applications, 5G/FTTx network penetration and latest IT technology trends (cloud computing, bid data, Telco OS etc.) being the driving forces boosting video usage.
  • Enterprise video is also becoming a major factor of this growing video trend. On top of existing video services such as training, meetings with clients and remote medical services, a series of new video conferencing tools are being broadly deployed in various industries.
  • Video conferencing is quickly shaping the strategic infrastructure business of telcos. Major players are exploring new ways to implement successful strategies for enterprise video, striving to be the leaders in the field amidst the video business transformation opportunities that are available.
  • And, since big video has already been identified as a strategic imperative, the paper also "points out that IPTV, SVOD and the broad application of video services will influence how telcos build their big video business strategies".

We’re told that ‘three important steps to success are':

  • First, telcos will need to fully capitalise on the opportunities offered by targeted bundled services: identify individual, family and enterprise groups as the three major markets into which telcos should provide target-oriented and innovative bundled services, such as aggregated online or mobile video services and TV entertainment offerings.
  • Second, telcos should strive to ensure customer loyalty and retention by exploring new video business monetisation models from simply paying for services to paying for a differentiated, high-quality video user experience.
  • Third, yet as important, telcos should attempt to drive integration across the entire video industry ecosystem to maximise the market opportunities for all participants in the video distribution value chain.

Huawei and Ovum also advise that, given the explosive growth of video usage, "in order to be successful, telcos will need to be proactive and strategically plan their video business development blueprint".

Thus, "they will need to transform their networks from simple data conduits to video-centric networks, and drive the growth of the industry through innovative business models and collaboration in the industry ecosystem".

Huawei and Ovum state the paper jointly presents their insights into "best practices in the field of big video, and is supported by comprehensive research from leading telcos around the world".

Naturally, Huawei has stated that it would continue its commitment to explore the big video market, with the view to support the evolution of big video and support telcos’ success in this area, as it seeks to grow its successful business with global telcos even larger.

‘The Evolution of Big Video – Examining telco transformation video opportunities’ whitepaper can be downloaded free here, it’s a direct PDF link.

Huawei Ovum big video


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Alex Zaharov-Reutt

One of Australia’s best-known technology journalists and consumer tech experts, Alex has appeared in his capacity as technology expert on all of Australia’s free-to-air and pay TV networks on all the major news and current affairs programs, on commercial and public radio, and technology, lifestyle and reality TV shows. Visit Alex at Twitter here.

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