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More Latin Americans are Adopting OTT Video in 2015

Over the Top (OTT) television and video entertainment revenues in Latin America -- across thirteen countries in the region -- are forecast to reach $2.91 billion by 2020, that's up from the $1.13 billion expected in 2015.

From the $2.13 billion in revenues to be added between 2014 and 2020, it's estimated that Brazil will contribute $938 million and Mexico $437 million, according to the latest market study by Digital TV Research.

"Subscription video on demand (SVOD) will remain the region’s largest OTT revenue source," said Simon Murray, principal analyst at Digital TV Research.

This emerging SVOD market is forecast to contribute $1.75 billion by 2020 -- Murray says that's up from next to nothing in 2010.


Pan-regional video services -- such as Netflix, Clarovideo and Movistar -- are now reported to be making an impact and are adding a competitive edge to the SVOD sector in Latin America.

According to their latest assessment, Digital TV Research estimates that there will be 24.05 million SVOD homes subscribed by 2020 -- that's up from 10,000 in 2010 and an expected 9.84 million by the end of 2015.

From the 17.38 million SVOD home additions between 2014 and 2020, Brazil will supply 7.24 million and Mexico 3.32 million OTT video entertainment subscriptions.

Colombia will overtake Argentina to take third place in 2016. By 2020, 15.9 percent of the region's TV households will subscribe to a SVOD package -- that's up from only 4.8 percent at the end of 2014.

That said, overall, Puerto Rico (22.5 percent) and Chile (20 percent) will have the highest penetration of OTT video entertainment services in Latin America by 2020.

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