iWorld
The global online video streaming industry is expected to reach $1.6 bn by 2027: Study
Mumbai: A new study has been added to ResearchAndMarkets.com’s collection titled “Online Video Platform Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027.” In 2021, the market for online video platforms reached a size of $792 million. Looking ahead, ResearchAndMarkets.com projects that the market will grow at a CAGR of 12.59 per cent from 2021 to 2027, reaching $1.6 billion.
The company stated that it is continuously tracking and evaluating the direct as well as indirect influence of the pandemic on various end use industries while keeping in mind the uncertainties of Covid-19. These observations are cited in the study as a significant market contributor.
An online video platform (OVP) enables a user to stream video content and upload self-produced material over the cloud or the internet. It is primarily used to achieve and manage the uninterrupted delivery of content to an audience around the world.
At present, a significant amount of OVP viewership is generated through devices such as smartphones and tablets that use a dynamic HTML player, allowing the viewers to access live or pre-uploaded material at any point of time. OVPs are also extensively being used by brands to create a market presence worldwide and provide information to their customers in an interactive manner.
The increase in internet penetration rate as well as the usage of smartphones, smart televisions (TVs), tablets and personal computers (PCs), along with the rising expenditure on online advertisements, are the key factors driving the market’s growth.
Furthermore, the inclination of the market leaders to utilise online videos as a medium for content marketing and stakeholder communication is also driving the demand for OVPs. The shift of consumer viewership from conventional video platforms such as cable television (TV) to OVPs has positively influenced the market growth.
Additionally, the ever-growing popularity and continuously increasing global viewership of market players such as YouTube, Dalet Digital Media Systems USA Inc, MediaMelon, and Limelight Networks are also contributing to the market’s growth.
iWorld
Snapchat parent Snap cuts 16 per cent of workforce in AI-driven restructuring
The Snapchat parent is axing around 1,000 jobs and closing 300 open roles to save $500m, as artificial intelligence makes smaller teams the new normal
CALIFORNIA: Snap is snapping. The Snapchat parent has confirmed plans to cut around 1,000 employees, roughly 16 per cent of its full-time workforce, as it bets that artificial intelligence can do what headcount once required. Shares jumped more than 10 per cent in premarket trading on the news, a brisk vote of confidence from a market that has watched the stock shed about 31 per cent this year.
The restructuring, which also closes more than 300 open roles, follows pressure from activist investor Irenic Capital Management, which holds an economic interest of about 2.5 per cent in the company and has been loudly pushing Snap to tighten its portfolio and lift performance. The firm got what it asked for, and then some.
Chief executive Evan Spiegel told employees the cuts would reduce annualised expenses by more than $500m by the second half of the year. The company expects to incur charges of between $95m and $130m related to the layoffs, mostly severance, with the bulk landing in the second quarter. Staff in Snap’s North America team were asked to work from home on the day of the announcement.
The financial backdrop is not without bright spots. Snap expects first-quarter revenue to rise around 12 per cent to approximately $1.53 billion, broadly in line with analyst estimates. Adjusted core profit for the January to March quarter is forecast at about $233m, comfortably ahead of Wall Street’s expectation of $186.8m.
The harder question surrounds Specs, Snap’s augmented reality smart glasses subsidiary, which Irenic has urged the company to spin off or shut down entirely. The unit has absorbed more than $3.5 billion in investment and burns through approximately $500m in cash annually. Snap is pressing ahead regardless, with a consumer product expected later this year, even as Meta leads the market in the segment.
Spiegel is betting that leaner teams, smarter machines and a consumer AR play can restore Snap’s credibility with investors who have run out of patience. The redundancy notices have gone out. The harder restructuring, the one that requires a hit product rather than a headcount reduction, is still very much pending.
