by Video PaaS (Platform as a Service) refers to a cloud-based platform that supports developers in creating and managing video applications. Video PaaS solutions enable businesses to integrate video capabilities such as capturing, encoding, storing, managing, distributing, and playing videos across applications and devices in a cost-effective manner. Major providers of video PaaS include Akamai, Brightcove, Frame.io, and Kaltura. The integration of video streaming services allows businesses to improve employee communication and training, enhance customer experience through personalization and context, as well as reach wider audiences.
The global Video PaaS Market is estimated to be valued at US$ 392.71 Bn in 2024 and is expected to exhibit a CAGR of 8.2% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics
The growing adoption of online video streaming services is driving the growth of the video PaaS market. According to a report by Cisco, online video traffic will account for over 82% of all consumer internet traffic by 2022. Major factors fueling this growth include increasing availability of high-speed internet, proliferation of smartphones and tablets, surge in OTT media services like Netflix and YouTube. This rising consumption of online videos has encouraged businesses to leverage video capabilities to engage customers through personalized experiences.
Another key driver is the increasing need to optimize video storage and delivery. With growing complexity of video workflows and sizes, organizations require scalable and cost-effective solutions to efficiently store, manage and deliver high-quality videos. Video PaaS addresses this need by providing cloud infrastructure that can dynamically scale according to business requirements. This helps companies reduce capital expenditure while ensuring seamless video experiences.
Segment Analysis
The global video PaaS market is dominated by the enterprise segment. Over 60% of the video PaaS solutions are adopted by large enterprises majorly for training purposes, eLearning, internal communications and conferences. The enterprise segment is dominating as video solutions help in improving collaboration between distributed workforces and enhance productivity. The SMB segment is the fastest growing segment and is expected to witness a CAGR of over 9% during the forecast period. Affordability of video PaaS and easy to use solutions are driving the adoption of video PaaS by SMBs.
PEST Analysis
Political: Video PaaS adoption is positively impacted by the governments initiatives towards digitalization of education and workplaces. Many governments are focusing on digital skills to citizens.
Economic: The global economic slowdown impacted the spending on communication and collaboration technologies in 2020. However, cost benefits of video PaaS over on-premise solutions and work from anywhere trend will drive its demand.
Social: Changing work culture and availability of high speed internet is positively impacting the demand. Distance learning and remote working has become new normal which is accelerating video PaaS adoption.
Technological: Maturity of web-based video technologies and availability of high-speed internet is supporting enterprises to leverage video communication solutions. Advances in video communication, analytics and integration capabilities are further driving the video PaaS adoption.
Key Takeaways
The global Video Paas Market Size is expected to witness high growth over the forecast period driven by increasing demand from SMBs and availability of affordable and integrated solutions. The global Video PaaS Market is estimated to be valued at US$ 392.71 Bn in 2024 and is expected to exhibit a CAGR of 8.2% over the forecast period 2024 to 2031.
North America dominates the market with over 35% share majorly due to high internet penetration and presence of global video PaaS players in the region. The APAC region is expected witness the fastest growth during the forecast period. The APAC region is expected to grow at a CAGR of around 10% during the forecast period. Significant investments by governments in digital infrastructure and rising number of internet users are driving the demand. Countries like India, China, and Japan are major markets in the region.
Key players operating in the video PaaS market are Google, Twilio, Avaya, Vidyo, Enghouse Systems, Sinch, and Sightcall. Google Cloud Platform leads the market due to its strong worldwide presence and integrated capabilities. Twilio offers customized and feature-rich video solutions for enterprises.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
