Russia's OTT VoD Industry to Grow by 70% in 2014
The projected growth creates new opportunities for Hollywood producers to cash in
As Russia's OTT VoD industry is forecasted to more than double in 2014, boosted by the wide spread of mobile devices and stricter copyright protection of online video, there are more opportunities for Hollywood to generate revenues from online video services in Russia.
According to a study by Ericsson Consumer Lab and TMT Consulting, the Russian OTT VoD industry is to grow by 70% to $72.9 million (2.8 billion rubles) in 2014.
Higher penetration rates of Smart TV and mobile devices were named among the main reasons for the growth.
Alexei Krasnoselsky, marketing director of ivi.ru, one of Russia's largest online video services, was quoted by the technology new web site ComNews as saying that more and more customers in Russia choose Smart TV and mobile devices, which are better protected from piracy, as platforms for watching movies online. He added that shorter periods between a movie's theatrical and online releases, which has been practiced lately, have also helped to attract more viewers to online video services.
A year ago, stricter regulations aimed at curbing online piracy were introduced in Russia, which have also boosted the legitimate online video segment.