Clusterstock  Oct 2  Comment 
The working world can be stressful.  Dina Kaplan, who cofounded online video startup in 2005, knows that better than almost anyone.  "All I did was think about work. I was super-confident, functional ... but then I started having...
TechCrunch  Sep 30  Comment 
 Viddsee, a video content platform that specializes in independent cinema and short films from across Asia, has closed new funding as it bids to grab a slice of Asia’s growing appetite for online video and plot a global expansion. Read More  Sep 21  Comment 
Could online video or a business blog help to grow your brand? Join our live Q&A on Thursday 24 September from 12.30-2.00pm to talk to our expert panel What is content marketing and how can it help your company grow? Definitions vary but, to put...
Forbes  Sep 17  Comment 
Baldwin: "There was something special going on here, and it was crystal clear to us: this was the future of entertainment. And we had to be a part of it."
New York Times  Sep 9  Comment 
After sharing cosmetic tips in an online video, Reshma Bano Quereshi, 18, talks about her far more striking facial features.
TechCrunch  Sep 4  Comment 
 Cinemacraft, the Japan-U.S. company that provides interactive online video technologies, has launched a series of news tools aimed at giving broadcasters and brands new ways to boost engagement on their clips, beyond just relying on repositories...
TechCrunch  Sep 3  Comment 
 Advances in technology over the past few years has made access to video (both creation and consumption) as simple as pulling your smartphone out of your pocket. And with those advances come a whole crop of video sharing apps, not least of which...
Telecom Ramblings  Aug 31  Comment 
This article was authored by John Tanner, and was originally posted on ITEM: Internet users in China watch an awful lot of online video – but they’re more likely to be watching on PCs and laptops than smartphones. At least...
Forbes  Aug 21  Comment 
It appears, according to Vice's tech section Motherboard, that Ashley Madison's parent company - Avid Life Media - is downloading the data that was stolen from it via Bittorrent.
Financial Times  Aug 21  Comment 
Influx of investment marks diversification away from traditional broadcast TV


The explosive growth of Google's YouTube and video-sharing services such as BitTorrent has led to a dramatic increase in the amount of data traversing the internet -- Google CEO Eric Schmidt has pointed out that internet traffic generated by YouTube in 2006 was larger than all internet traffic combined in the year 2000.

There is room for further growth -- even with YouTube's success, less than 1% of video is delivered over the internet, as existing broadcast systems such as television dominate. But that could change.

It's unclear how online video will impact the telecommunications carriers (such as AT&T (T) and Verizon Communications (VZ)) that own the pipes that deliver video to the end user, or the content providers (such as CBS (CBS), Time Warner (TWX), and Viacom (VIA)) that create the video in the first place. Because of the breadth of video located all overy the web, Video search will be very important to users as well as for those working on Video advertising models.

One thing is clear, however -- online video requires massive amounts of bandwidth. A single 30-minute sitcom requires as much bandwidth as over two years of email messages for an average user.[1]

The bandwidth required for online video will require telecom companies to spend massive amounts of money on network upgrades to keep pace with the additional traffic.

Who are clear winners from the growth of online video?

Equipment Manufacturers

  • Cisco Systems (CSCO) and Juniper Networks (JNPR) together manufacture most of the routers that form the backbone of the internet. Their machines act as traffic cops on the digital highway, making sure that packets of data get to their appointed destinations. As internet traffic increases, carriers must buy more routers to handle the load.

Cacheing Companies for Quality of Service

  • Akamai Technologies (AKAM) and Level 3 Communications (LVLT) improve the reliability and speed of downloads by storing copies of files close to the user -- a process known as cacheing. High reliability and quality of service is particularly important for streaming video, as frequent interruptions create a bad user experience. Google's YouTube and other video sites make extensive use of Cacheing technology, and the demand for Akamai and Level 3 Communications' services is likely to increase if online video grows.

Who are clear losers from the growth of online video?

Companies who operate along the supply chain getting DVDs to viewers are clear losers from the rise of online video, as online video donwloads could cut them out as middlemen.

  • Blockbuster (BBI) stands to lose if online video goes mainsteam. If viewers can connect their TVs to the internet, who would rent a DVD if they can pay to stream it over the internet?
  • Netflix (NFLX)'s current business model is threatened if viewers can download movies over the internet. Who needs to wait two business days for a DVD when you can get it instantly? However, Netflix is moving aggressively into downloadable movies, and as such may be able to capture some of this new market.
  • Coinstar (CSTR) operates a network of DVD kiosks. They currently have a majority position in Redbox, as well as full ownership of DVDXpress. If online video grows, physical DVD rental sales will drop and the need for these kiosks will diminish.


  1. Assumes 30-minute sitcom requires 240MB, average person sends 15 emails a day with an average size of 18 KB
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki