Why Google / Microsoft Following Facebook Investment in Telco Data Carriers ?

Facebook the Social Network company also owns the most popular messaging app for SmartPhones in India WhatsApp. Facebook, unfortunately has been running the Indian division under deep loss and wasn’t able to Monetize the WhatsApp Platform. iBankers bridged the synergies WhatsApp shared with Jio Platforms and Zuckerber readily agreed to invest a whopping $10 Billion in the newly formed company by Reliance Group – Jio Platforms Ltd This intensified the war of Silicon Valley Big companies relying on 4G/5G Data Networks.

Google has ramped up its digital advertising business geared towards programmatic and video advertising, Google is focused on building a subscription business in

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Google sets New Trend: Voice Control, Mobile Virtual Reality

google-virtual-realityGoogle launched new products overnight, notably two flagship smartphones under new brand Pixel, a mobile VR called Daydream View, and a voice controlled smart speaker Google Home (although the product was introduced back in May, and details weren’t available till now). Keys to note: We remain conservative on “Pixel” actual sell-through; the phone seems to be aimed at competing with iPhone (same price as iPhone7), but the iPhone was launched a month earlier.

We note that Google is abandoning “Nexus” brand and no longer co-branding with OEMs; the value-add for OEMs further decreases (HTC is the OEM for “Pixel”). The launch of Google’s mobile VR could accelerate the trend of supporting

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YouTube Revenues to Touch $10Bn in 2016

YouTube Revenues Cross 10BnAs Per Cisco, Internet video views doubled from 2015 to 2016, and video will account for 80% of all mobile Internet traffic by 2019. Google indicated growth in watch time on YouTube has accelerated and is up at least 50% year over year for three straight years. We believe video advertising will follow usage, and global online video advertising spending is expected to increase $19bn from 2015 to 2018 (per Magna Global) to reach $35bn, creating a big opportunity for video content platforms (FB, Snapchat, etc).

Google does not disclose revenues, but indicated in 2015 that partner revenue was up 50% over last 3 years. Based on Online video ad market growth

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How OTT Videos NetFlix / YouTube Red Disrupting Pay TV Market ?

OTT Videos Disrupting PayTVNetflix is one of the pioneers in stimulating on-line subscription video on demand (SVoD) consumption in the United States. The recent launch of Netflix services across 130 new countries (including Singapore, Hong Kong, and Taiwan) has generated interest amongst investors on the potential impact of Netflix on traditional video ecosystem.

Broadband infrastructure is critical for delivery of quality OTT services online. Netflix states that a minimum speed of 3 Mbps is needed to watch SD quality videos, 5 Mbps is needed for HD quality and 25 Mbps for ultra HD services. Overall broadband infrastructure

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Why Xiamoi Buying Stake in iQiyi and Youku ?

Android device maker Xiaomi is considering taking a stake both in Baidu’s online video subsidiary iQiyi and in Alibaba-invested online video site operator Youku Tudou. Earlier this month on its official Weibo account, Xiaomi announced that it plans to invest US$1bn in online video content to support its smart television ecosystem. We expect Xiaomi to invest about US$300m in iQiyi to become the second largest shareholder and an US$ 8-digit figure in Youku Tudou in the secondary market.

A partnership with iQiyi and Youku Tudou will

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Time Spend on Mobile / Tablets Increase, Apps the Catalyst

Mobile Time Spend Share IncreasingTime spent consuming digital media on mobile is gaining traction at the expense of time spent on the traditional desktop. This trend is not new, but when looking at the numbers, it is clear that this shift has been swift and unrelenting. In their 2Q earnings reports, GOOGL, FB, LNKD, YELP, GRUB, Z, EVDY and others, highlighted the robust growth of the mobile channel and the strategic importance of their respective apps.

Since August 2013, mobile has continued to gain widespread use as the platform for digital media consumption. Although mobile now accounts for 60% of time spent consuming digital media, consumers have adopted mobile as the forum for

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Chinese Video Sites Collaborate with Koreans Promote Dramas

China Online Video Partners KoreaSohu yesterday announced that it has established a strategic partnership with Korean entertainment company KeyEast, and will invest approximately USD15m to take a 6.4% stake in the company. Through the partnership, Sohu will become KeyEast’s sole online partner in China and the two companies intend to introduce more Korean celebrities and entertainment programs to the Chinese audience. KeyEast was founded by famous Korean actor Bae Yongjoon, who also enjoys great popularity in China. The company signed up actor actor Kim Soo-hyun has attracted a considerable Chinese following through the hit TV drama – “My Love from the star“. The total video views of the drama on iQiyi (the first online video platform to broadcast the drama in China) had reached approximately 2.6bn as of 8 August, with

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Top 10 Video Online Sites in China

While China’s online video market has consolidated further at the expense of smaller competitors, competition for Youku remains intense with key rivals, such as Tencent, iQiyi, and Sohu, which enjoy financial strength and synergies with their core business. Youku and Tudou combined for ~31% of online video sales market share in China, followed by Sohu … Read more

YouKu-Tudou – Huge Potential in Mobile Videos

Youku attracts 30%+ of its traffic from mobile devices, yet it has not effectively monetized this traffic. According to Analysys, Youku ranks in the top two in both iOS and Android for cumulative downloads among online video mobile applications in China. In addition, while the company continues to secure premium video content (e.g., exclusive partnership … Read more

Mobile Internet – Emerging trend but lacks demand, holds growth of 3G

Majority of Indian urban subscribers access Internet at their homes / offices using a wireline connection. Mobile Internet (2G/3G) is the second most preferred option, ahead of cyber cafes. 33% of the respondents use mobile phones to access the Internet when their first preference is not available. The most popular applications are the less data heavy email, web browsing and social networking.

3G uptake has been lackluster in the urban areas and has little/no subscriber awareness beyond the urban areas. Lack of opinion about quality of 3G/data services of various operators among a large fraction of urban subs also points to the current disinterest for data.

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