Operators should tap the increasing mobile video consumption, says Huawei

Video dominates the mobile network traffic such that the population of mobile video users will double to more than 2 billion by 2021 with 36% penetration, says a white paper released by Huawei. In the paper “Mobile Video Report –a Key Driver of Mobile Market Value”, Huawei delineates various factors that boost the adoption of mobile video.

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According to Huawei, there are several forms by which the video comes forth as a mainstream entertainment such as social video, live streaming, and immersive 360 degree or VR/AR services. Commenting on the evolution of mobile videos, Nitesh Patel, Director of Wireless Media Strategies, Strategy Analytics said, “We keep seeing innovative video services coming up. For example, after Facebook started video autoplay in 2013, mobile video adoption underwent a steep change, and soon all the social networks around the world would follow suit.”

“More recently we see live video streaming as another trend that has kept gaining momentum and competition have intensified. These new services, in addition to opening new monetization channels, are important elements in the social networks’ ecosystem. Mobile video is one of the most effective tools to increase user engagement and extend their stay inside the social networks,” he added.

There are several factors that drive this mobile video usage. Behavior patterns, quality of experience, and affordability, the surge in the video-optimized devices and networks, etc. are a few among them. The content providers and app developers adopt to this change in mobile video consumption pattern, leading the TMT service provider ecosystems to re-align the platform for mobile video in all its forms.

“The mobile video market space is huge, and it is expected to be the next ’voice’ business for operators in terms of profit contribution,” said Mr. Qiu Heng, President of Huawei’s Wireless Marketing Operation Department.

“We see the world’s leading operators actively exploring video services. They are enhancing user experience through network technology innovation, increasing revenue by exploring new business models, and targeting the future by obtaining the content source. Huawei will continue its efforts to support operators to succeed in seizing huge video opportunities,” Heng added.

According to Huawei, the operators should tap into this trend of increasing mobile video consumption at the appropriate moment. Markets with low mobile broadband coverage may not be able to push the data pricing to fuel this video boom at this moment. However, they can re-align themselves to tap this opportunity.

The white paper released by Huawei plots a Mobile Video Maturity Scorecard model for the operators to use in the regional markets. It also introduces various experiences used across the globe to improve user experience, business model exploration and obtaining content sources, and supports operators to succeed in seizing huge video opportunities.

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