Huawei and Ovum predicted that the proportion of 4G data traffic generated by mobile video usage will increase from 15 per cent in 2016 to around 75 per cent by 2020.
In a joint report titled The evolution of big video -- examining telco transformation video opportunities, the companies said key drivers of the growth in mobile video include social media video, virtual and augmented reality (VR and AR) applications, and the rollout of 4K UHD video technology.
Around 50 per cent of 11,784 3G and 4G users quizzed by Ovum ranked the ability to view movies as an essential service within the broader mobile video umbrella. TV shows was the next highest ranked ‘essential’ service, followed by watching sports.
Ovum forecast that the total VR installed base will grow from 71 million devices today to 337 million in 2020, and noted that mobile VR will account for the majority (65 per cent) of device sales at that time.
Huawei and Ovum said mobile video is also playing a growing role in the broader enterprise videoconferencing sector. The three main use cases for mobile video in enterprise are for meetings with customers, contact centre and mass customer service, and telemedicine. In contrast, video applications covering internal meetings, employee training, and collaboration with partners are tipped to remain the domain of desktop PC-based or room-based videoconferencing services.
For mobile operators, the rise of mobile video services presents challenges, the companies stated, pointing to the need for infrastructure that is capable of handling the growing traffic and delivering video on demand (VoD) and live streaming.
The pressure on operators will increase as social networks and over-the-top providers increasingly deploy video services. Huawei and Ovum said carriers must invest in their infrastructure to ensure they can match the growing consumer demand for mobile video, and in turn reduce churn caused by a poor user experience.
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