Multiviewer Market on the Rise, but Software Products will Disrupt Pricing Models in the Long Term

Multiviewer Market Analysis and Commentary

Multiviewers are moving through a growth curve. According to a new industry report from Futuresource Consulting, total market value increased annually by 3% worldwide in FY2018, with North America in the top slot, capturing 33% of market share.

“Multiviewers are an essential monitoring tool in both live production and video distribution,” says Chris Evans, Market Analyst at Futuresource Consulting, “and their recent success has been swept along in a rising tide of global video content creation, whether that be for media and entertainment or communication. The growth in the number of OTT video services has bolstered the core market of broadcasters, who in turn are now increasing the breadth of their live events coverage to satiate viewers’ ravenous appetites for live video.

“Combine this with the broadcast industry’s transition to IP and the growing number of IP-capable multiviewer configurations deployed are driving up overall market value, as new facilities come online and equipment upgrades begin to gather momentum. Yet the product category is also facing disruption, as the emergence of software solutions is altering the competitive landscape.”

“Although hardware products accounted for more than three-quarters of market value in 2018, we expect this to decline, as software-defined multiviewers make significant gains in the uncompressed market,” says Evans. “Feedback that we’ve received from the industry indicates that, although there is customer bias to expect to pay less for software, vendors need to tread carefully when pricing software-defined solutions. As hardware sales begin to dip, justifying the value of software will be imperative to ensure that profit margins remain sustainable.”

Software-defined and pure software multiviewers will be integral to the future fortunes of this market. To remain competitive in this evolving landscape, many vendors face the challenge of developing new products with the flexibility advantages of software that can still meet the technical demands of the broadcast industry. “Market volumes are on the rise in the short-term, but longer term, the overall addressable market will shrink due to increased utilisation rates of existing equipment,” says Evans. “This will be due to the rise in resource-efficient workflows enabled by IP networks and remote production. This will require vendors and component manufacturers alike to create new pricing strategies to ensure their longevity and success.”

The 46-page Futuresource multiviewers market report is based on direct feedback from vendors and component suppliers. It provides global market sizing; market forecasting with five-year market value forecasts by region; and a technology and competitive review, identifying interpreting key market developments and trends, including brand share, 4K and IP. For further information on this report, please contact Ben Thrussell via ben.thrussell@futuresource-hq.com

About the author

Chris Evans

Chris specialises in providing market insight and analysis across the professional video technology industry and video content supply chain. Chris draws on a background in video production to apply an end-to-end understanding of workflow, end-user needs, and product specific knowledge across a range of research methodologies and services.

His areas of expertise include: cloud technologies in live broadcast; virtual and remote production; user generated content and live streaming; the sustainable future of the video entertainment industry; large format and >4K video acquisition; vertical specific use cases for pro video products and services.

Chris joined Futuresource in 2017 as a member of the broadcast equipment team. As video technologies have proliferated into an everyday tool for a diversity of professional applications, Chris has taken leadership of Futuresource’s Professional Video services. Chris holds a Bachelor of Arts (BA) in Film and English from the University of Southampton.