Video Streaming Business - Research Paper

Introduction

Video streaming business refers to a business where a video is permitted to be viewed on the computer or a device of the host, done online without the video being downloaded. It is a media streaming type from where the data entailed in a video file, repeatedly is received through the internet directly to a remote user. Video streaming business works in the manner that: video file data is compressed where sending to the requesting device then follows. This video file data is transmitted in small portions.

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Factors such as the correct size of the file, network latency, and the bandwidth speed are what the size of each data stream highly relies on. Nevertheless, the user after that accesses the already compressed streamed data and hence displays it, making it possible for the user to start watching that particular file even before the reception of the entire record. In our day-to-day life, videos are highly on demand; hence many companies have looked forward into entering the video streaming business.

The streaming video business has a list of its major players, who have taken up to this business and shown success in video streaming. Amazon.com, Inc. is one of this business' major player. The Amazon is known to engage in the sale of almost everything there is on earth. It has come up with music player stream of its own. In this many people all over the globe have subscribed to the Amazon prime relating to the use of Amazon prime music.

Another major player is Netflix Inc. Netflix Inc, though facing stiff competition from other players, yet another time posted its deep roots in the subscription. Netflix finalized its fourth quarter having 110.6 million streaming subscribers who are paid all over the world placing on top of it the 8.3 million streaming users in total, bringing up the comparison with the 6.3 million projected network adds.

Netflix has looked forward ensuring that its subscribers remain attended to as it has made the release of new original content a priority. It has also looked into acquiring more and more revenue which would assist in payment of the arising investments in movie and Tv programming. The company nevertheless have gained foreign subscribers who in turn amount to 6.4 million happening in the fourth quarter adding to the 2million subscribers in the United States (Herbert, Lotz, & Marshall, 2018). Netflix is set to spend 7.5 billion to 8 billion this year on its content outdoing the

There are several trends arising in the video streaming business. They include; OTT adoption, internal business collaboration, IoT and video surveillance, social media and even mobile(Rayna and Striukova 76). These trends are equally significant in the video streaming business hence of great importance to raise a discussion on them.

OTT Adoption

Over-The-Top application is a trend which offers a product online and hence sidesteps the distribution which follows a traditional route. They are most of the time cheaper as compared to those delivered traditionally. , they are perceived as disrupting the models portrayed traditionally. This trend has been responsible for a number of conflicts that have arisen among companies working or offering the same services. For instance the dispute between Netflix and the cable company.

Social Media

Social Media equally is an essential trend in the video streaming business. Such platforms are significant in that video streaming is possibly done in these platforms. It is social media that also

nevertheless has made it possible for one to access videos easily. Indeed, videos have gained a high rank or position in social media.

Mobile

The video streaming media is broadly and quickly becoming part of the customer's expectations in their mobile devices. In return, electronics' companies are working restlessly to be at a position to deliver wider traveling devices' variety which carries with them the ability to play a digital video (Ma, Wang, Zhang, Chen & Zhu, 2017). Developments from digital connections to wired accessories in mobile video streaming somewhat went on quickly.

Strengths

Video streaming business relatively has several advantages it carries with it; Firstly, this business has changed the way to which people watch video online. In this, one necessarily does not have to wait for a particular video to finish downloading. Secondly, years back, a link had to be posted by the webmaster to his website to ensure a video was added. Those visiting the website then had to ensure they download it entirely before playing the video. This had been a significant strength in the video streaming business.

Weaknesses

Sufficient bandwidth is necessary for video streaming; Netflix requires high internet speed for 3D streaming; those having slower connections are disadvantage (Salama, Dunne, Galvin Jr & O'Sullivan, 2017). Competition in this business is another weakness. There exists stiff competition in this business even from companies working in the same industry. Every business looks forward in ensuring that it emerges being better as compared to those it's, competing with. A company may face the risk of getting extinguished.

References

Herbert, D., Lotz, A. D., & Marshall, L. (2018). Approaching media industries comparatively: A case study of streaming. International Journal of Cultural Studies, 1367877918813245.

Ma, G., Wang, Z., Zhang, M., Ye, J., Chen, M., & Zhu, W. (2017). Understanding performance of edge content caching for mobile video streaming. IEEE Journal on Selected Areas in Communications, 35(5), 1076-1089.

Rayna, T., & Striukova, L. (2016). 360 Business Model Innovation: Toward an Integrated View of Business Model Innovation: An integrated, value-based view of a business model can provide insight into potential areas for business model innovation. Research-Technology Management, 59(3), 21-28.

Salama, H. A. A. A., Dunne, J., Galvin Jr, J. P., & O'Sullivan, P. J. (2017). U.S. Patent No. 9,584,764. Washington, DC: U.S. Patent and Trademark Office.