Total revenues from OTT TV episodes and movies for 19 Latin American countries will reach $4.60 billion in 2022; up from the $1.87 billion recorded in 2016, according to a new study by `Digital TV Research. SVOD will remain the region’s largest OTT revenue source; contributing $2.86 billion by 2022 (62 percent of the total).
The Latin America OTT TV and Video Forecasts report forecasts that the region will have 32.54 million SVOD subscribers by 2022; nearly double from the 17.08 million recorded at end of 2016. Brazil will account for 34 percent of the region’s SVOD subs by 2022, with Mexico bringing in a further 28 percent.
Many of the services in LatAM are pan-regional, and the likes of Netflix, Amazon Prime Video, Claro Video, Blim, HBO, Crackle and Movistar Play are adding a competitive edge to the SVOD sector. The top seven regional platforms will account for 88 percent of the region’s paying SVOD subscribers by end-2022.
Netflix will remain the largest pan-regional SVOD platform by some distance, with half of the region’s total by 2022. However, as a percentage of market share, that will represent a decline from the 64 percent share the company enjoyed in in 2016.
Simon Murray, Principal Analyst at Digital TV Research, said: “Claro Video and Movistar Play will have a relatively modest number of paying subscribers. However, many more people will access these platforms for free as part of their mobile subscriptions. The same is true of HBO Go, where many homes can gain access to the online service for free as part of their pay TV subscription.”