OFweek smart home network news The rapid development of smart TV, opened up a new space for home Internet and living room economy. For the television industry, the hardware technology of vendors is becoming more standardized, and the importance and differentiation of content are increasingly prominent. Experts said that with the collective efforts of smart TV hardware and content vendors, 2017 will be the first year of commercialization of Chinese OTT (Internet applications).
PPTV release content open sharing strategy
Recently, PPTV Smart Hardware released an open-content sharing strategy in Shanghai, which will open up the PPOS operating system and content worth over RMB 10 billion to partners. At the same time, Konka, Philips, and Sharp also released new TVs jointly created with PPTV, marking that the PPTV content open sharing strategy has entered a period of rapid progress.
In recent years, PPTV has won all-media exclusive copyrights for popular sporting events such as La Liga, Premier League, China Super League and AFC Champions League, worth more than 10 billion. In addition, PPTV also includes a large number of copyrights of the head movies and TV dramas.
Gu Wei, vice president of Suning Yunshang Group, stated that PPTV will “layeredly open up†these contents: On the one hand, PPTV will jointly launch cooperative brand open custom terminals with deep cooperation vendors, and open it to partner manufacturers through hardware embedded PPOS. All contents; On the other hand, PPTV will cooperate with partners through pre-installed Android installation packages and share the basic content of PPTV.
In Gu Wei’s view, differentiated content will be particularly important to TV manufacturers and channel distributors. What kind of exclusive content to attract users is a problem that TV manufacturers need to think about. He predicted that in the next one to two years, content will become an important choice for consumers to purchase smart TVs.
"When the major TV manufacturers' product quality is on the same starting line, who has better content and interactive experience, it will be easier for them to seize the opportunities." Yin Yuan, vice president of PPTV's intelligent hardware company, said that as an Internet The company, PPTV is willing to stand behind traditional manufacturers and share its content with traditional manufacturers.
While launching the content open sharing strategy, PPTV also announced policies such as “parts of content cooperationâ€. In the eyes of people in the industry, Suning's opening up and sharing of IP content worth over 10 billion yuan will help break the closed competition in the smart TV industry.
OTT becomes smart TV new "Blue Ocean"
At present, the competition in the domestic smart TV market has become fierce. According to data from Zhong Yikang, in the first quarter of this year, the online market share of some internet brands has declined, and the retail volume of the market has also seen a year-on-year decline. Zhong Yikang believes that there will be no significant changes in the market in the latter part of this year. It is estimated that the annual retail volume will be 50.49 million units, down 3.0% year-on-year; retail sales will be 153.3 billion yuan, a slight decrease of 0.4% year-on-year.
For the smart TV industry, OTT advertising revenue is expected to become the new “Blue Ocean†despite the pressure of hardware sales growth. According to Yin Yu'an, the total domestic OTT advertising output in 2016 was approximately RMB 250 million, and is expected to increase from RMB 900 million to RMB 1 billion this year. PPTV currently has business cooperation with some customers to jointly share the benefits of OTT advertising.
In addition to PPTV, other smart TV manufacturers are also actively expanding OTT business opportunities. Earlier this year, Blue Cursor reached a comprehensive cooperation agreement with Hisense, Skyworth, Konka, TCL, Changhong, LeTV and Xiaomi to jointly explore the value of smart TV big screen marketing and the Nugget living room economy.
The "Alibaba OTT Media Value Study" recently released shows that by the end of 2016, OTT TV users are rapidly increasing at an annual rate of 9%. By 2018, the number of OTT TVs in China is expected to increase to 280 million units, and China's OTT large-screen eco-market with smart TV as its core will usher in close to 96% market share in 2018.
Yin Yu'an stated that at present, OTT has crossed the user's threshold. As its advertising value is recognized by advertisers, OTT will generate large-scale advertising revenue. In addition, after the first two years of shuffling, the OTT market has formed a systematic service.
2017 or the first year of commercialization into OTT
With the maturity of smart TV technology, the scale and liveliness of users continue to increase, and smart TVs with features such as large screens and sharing increasingly meet the entertainment needs of modern homes, and the OTT services they carry will have a huge imagination.
According to the 2016 China Internet Audiovisual Development Research Report, as of June last year, the number of online video users in China reached 514 million, accounting for 72.4% of the total number of Internet users. From the use of network video user terminal equipment, the utilization rate of smart TV ranked the third, accounting for more than doubled compared to 2015.
“From mobile to big screen, viewers have higher requirements for viewing quality; at the same time, with the gradual development of pay-per-view habits, smart TVs have the potential to directly charge viewers. It will in turn affect the production of content, resulting in a number of special content tailored for smart TV production.†said Wang Jianping, chief editor of CIBN Internet TV.
According to the arrangements of the State Administration of Press, Publication, Radio, Film and Television, by 2020, the HD channel will become the mainstream broadcast mode of TV, and the exploration and establishment of a 4K ultra-high definition television program production and broadcasting system will be encouraged. By 2018, an ultra high-definition TV OTT platform will be established to build a high-definition, ultra-high-definition hybrid broadcast system; by 2020, the Ultra HD test channel will be broadcast.
Wang Jianping pointed out that the rise of the Internet allows content providers to provide more granular services to niche people so as to achieve the convergence of audience and market.
Ovid Consulting believes that the current commercial closed-loop of China's OTT market has basically taken shape. In 2017, it will become the first year of commercialization of OTT. At present, the scale of the OTT market has been upgraded. Who can successfully find his position in the last window period, who will enjoy the final OTT development dividend.
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