• Subscribe
  • Advertise
    • Media Info
    • Terms & Conditions for Advertisers
    • Mechanical Data

Broadband TV News

Independent. Since 2003

  • Home
  • News Line
    • Central & East Europe
    • People
  • TV
    • On Demand/VOD
    • IPTV
    • Cable
    • Satellite
    • Terrestrial
    • Distribution
  • Business
  • Tech
  • Columns
    • Chris Dziadul
    • Julian Clover
    • Robert Briel
  • Events
    • Events Diary
    • BTN Events
    • Events Coverage
    • Submit the details of your event
  • Features
  • Resources
    • White Papers

Global market for e-sports video is booming

May 9, 2017 19.18 Europe/London By Broadband TV News Correspondent

The market for e-sports video continues its rapid growth worldwide. Total hours viewed in the genre exceeded 6 billion globally in 2016, up 19% from 2015, according to a new report entitled Esports and The Future of TV from IHS Markit.

Online viewing is driving the esports video market, accounting for more than 85% of time spent watching esports. China is by far the largest market for esports video, accounting for 57% of all viewing last year. The number of video streams delivered in China totaled 11.1 billion in 2016, compared with North America, the second-largest market, with 2.7 billion video streams.

“The rapid growth of esports audiences has attracted some the industries’ largest media and technology companies to the genre, with the likes of Amazon and MTG acquiring key assets,” said Ted Hall, research director for IHS Markit and the report’s lead author.

“Some of these acquisitions are initiating shifts in esports business dynamics, with players such as China’s Tencent seeking to control assets across the value chain, and publishers moving into league operation.

“Investment in esports will pay off for its big-name backers, as the genre expands both within its target demographic and outside it, with increasing exposure on linear TV set to bring in casual and new fans,” Hall said.

Esports’ prospects for generating advertising revenue are expected to mirror the genre’s audience growth trend, IHS Markit says. Esports advertising totaled about $280 million globally in 2016, with the category expected to become a $1 billion advertising industry by 2021. This growth will be primarily driven by video, influencer marketing and sponsorship.

According to Dan Cryan, senior director, IHS Markit, and another of the report’s authors, e-sports video provides a view, in microcosm, of changes that are happening across the TV business.

“The rise of esports provides some valuable lessons for channels and programmers more broadly,” Cryan said. “In particular, it demonstrates the value of aggregating audiences globally, rather than the more country-specific approach that defined much of the traditional TV business.

“E-sports video is a perfect example of the increasingly complicated competitive landscape in TV. In the ‘old world,’ broadcasters would compete with broadcasters and pay TV operators would compete with pay TV operators,” Cryan said.

“Today, an emerging class of new entrants competes for audiences driven by objectives and business models that are orthogonal to traditional TV. This is not just online channels taking a traditional business model and moving it online, this is something new. Publishers, for example, deliver esports video because it helps their other commercial interests rather than having content monetization as their primary focus. This sort of competitive diversification is set to become more common and spread to other genres with time.”

  • Click to share on Facebook (Opens in new window)
  • Click to share on Twitter (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)
  • Click to share on WhatsApp (Opens in new window)

Related

Filed Under: Editor's Choice, Newsline, Research Tagged With: e-sports, IHS Markit Edited: 11 May 2017 09:04

Latest News

  • Giga Europe prepares for the busy hour
  • England Hockey launches dedicated streaming service
  • Simply.TV provides YouSee with an improved UI and UX experience
  • New Total TV advertising measurement to be launched in Finland
  • Virgin remains top of Ofcom complaints league

Free Ebook

Whitepaper: Why Wi-Fi 6 is Key for ISP Success

Wi-Fi 6 and Wi-Fi 6E client devices are entering the home in an unprecedented way, surpassing 50% market share since their introduction in 2019 (compared to four years for Wi-Fi 5). … [Download the eBook...]

Q & A

Q&A with Przemyslaw Frasunek, Redge Technologies

Broadband TV News speaks with Przemyslaw Frasunek, the CEO of Redge Technologies, about the CEE region OTT landscape and the most effective video security solutions.

Broadband TV News

  • Subscribe
  • About us
  • Contacts
  • Logos & Pictures
  • Privacy Policy
  • Terms and Conditions

Advertising

  • Media Info
  • Terms & Conditions
  • Mechanical Data
  • Video Services

News

  • Latest
  • Central & East Europe
  • TV
  • Tech
  • Streaming
  • Cable
  • Satellite
  • Terrestrial
  • IPTV
  • Business
  • People

Events

  • Events Diary
  • BTN Events
  • Submit the details of your event
  • Media Meet & Greet

Broadband TV News

PO Box 499
Cambridge
United Kingdom
CB1 0AH
news@broadbandtvnews.com

Connect with Us

 

Copyright © 2023 Broadband TV News LLP · Log in

 

Loading Comments...