Latin America. According to the most recent report by the firm Dataxis, in 2023, the commercial video business generated revenues in Latam of $33,800 million, a jump of 4.4% compared to the previous year. Video continues its expansion process and in 2023 it managed to exceed the pre-pandemic turnover volume.
While OTT services are driving growth, linear TV is still the largest source of revenue in the video world. Dataxis analyzes that by 2029 linear, pay and air TV will maintain their leadership.
OTTs contribute 31% of video business revenue
Revenue from OTT services accounted for 31% of the video business. The specific weight of streaming services has tripled since 2019. OTT has developed at a dizzying pace through the subscription model, which in 2023 contributed 90% of its revenues.
Competition in the segment has been concentrated in a handful of international players that, since the end of 2022, have gradually increased their prices. Paradoxically, this price increase has allowed the development of a lower-cost offer that includes advertising (Ad-Tiers) that will expand the user base.
In Latam, the OTT model based on advertising revenues has had a smaller-scale development and its contribution was expected to remain around 10% of the total.
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