IBC2018: Senior execs from companies such as Avid, AWS, NEP and ITV debate the state of the industry at IABM Business Breakfast.
Investment in multi-platform content delivery technology is a top priority for IABM members, said CEO Peter White in his annual review of the industry at IBC.
Speaking at the IABM Business Breakfast, White said: “We interviewed a vast number of media companies to find what their drivers are, and in front overwhelmingly is the big investment in multiple content delivery.”
His comments come amid reports that Netflix is spending $13 billion this year on content, and that streaming subscriptions in the UK have overtaken pay TV subs.
Another key factor for IABM members is the transition from CAPEX to OPEX business models, which has seen buyers move away from investing up front in expensive kit to paying for software-based services on a regular basis over a long period of time.
“The new model of pay as you go has been quite a tough transition for suppliers, who had to move from large chunks of capital expenditure to a drip feed,” said White. “It takes a while to build up a revenue stream to compensate, but once it is there it is predictable.”
Speaking at the panel session that followed White’s presentation, Jeff Rosica, CEO and President of Avid, said: “Subscription is the fastest growing part of our business. It is how people are getting into making content in a more more affordable way.
“Most transitions come one at a time, like digital and HD. They were big but more orderly, and now we are suddenly having to do it all – cloud, 4K, HDR, IMF, IP, OTT,” Rosica added.
Mike Werteen, President of NEP Broadcast, said collaboration is key for success in today’s environment: “It is about partnerships with our clients which have evolved into much more than we thought they would.”
Peter Russell, Technology Director at ITV Studios, said: “We are looking for flexible systems and we are talking to suppliers we have never worked with before.”
Ben Masek, Global Business Development Lead with AWS, pointed to consumer pressure for better access to content and personalised experiences: “This is putting a lot of strain on the entire industry,” he said.
Perrine Bichet, Head of Platform Management at Proximus, said: “It is all about metadata and asset management.”