Rise in mobile bandwidth to raise OTT video demands by three folds in next three years

Peak period mobile bandwidth consumption per user is expected to increase five fold over the next three years according to a recent “Mobile Broadband Bandwidth Demand”study, conducted by ACG Research and sponsored by #ciena. Service provider backhaul networks are plagued with growing bottlenecks due to increasing device penetration and an abundance of new entertainment services and applications, like video streaming, social networking and multi-player gaming. Average bandwidth consumption per mobile user is expected to increase 52 percent CAGR through 2018. Smartphone penetration will rise from 55 percent to 67 percent, and the resulting usage of over-the-top (OTT) entertainment applications on smartphones will account for 59 percent of this; largely due to video – with high-bandwidth requirements, long session times and continuous streaming. This study is sure to encourage OTT white label  vod providers to invest heavily and expand in the next couple of years.