Broadcasters are under increasing pressure to deliver content across a multitude of platforms while maintaining operational efficiency and managing costs effectively. Hub Entertainment Research’s “Decoding the Default” study reveals a significant shift: 46% of viewers prioritize subscription video-on-demand (SVOD) services, exceeding the 38% who prefer live TV – a first in five years.
This change, fueled by evolving viewer habits and technological advancements, presents both challenges and opportunities for broadcasters as they engage audiences across traditional broadcast, streaming platforms, social media, and emerging digital channels. “To stay competitive, broadcasters must be willing to rethink and innovate their distribution strategies, moving beyond outdated, one-size-fits-all approaches,” says Sam Peterson, COO at Bitcentral. “This requires embracing new technologies and workflows that allow for faster, more responsive content delivery.”
Streaming consumption now surpasses traditional cable viewing, underscoring the urgent need for broadcasters to adapt. This has spurred the adoption of cloud technologies and automated workflows for efficient multi-platform content delivery. The transition to IP-based delivery offers greater flexibility and potential cost savings compared to traditional satellite distribution.
“Content distribution classically relied on satellite delivery to achieve wide-scale coverage. The media competitive landscape has transformed in recent years. Geostationary satellite costs now seem like a big financial burden and inflexible,” notes David Edwards, product manager at Net Insight. “To overcome this, modern distribution systems are transitioning to IP delivery which provides the broadcaster with the ability to customize and flex their content provision.”
The rise of FAST (free ad-supported streaming TV) channels presents a significant development, offering new revenue streams and audience reach. Horowitz Research’s “State of Media, Entertainment, and Tech: Viewing Behaviors 2024” report indicates that two-thirds of viewers use FAST services monthly. “The rise of FAST channels in recent years shows how broadcasters are finding different ways of distributing content and monetizing existing content in new ways. This is a good example of finding most cost effective routes to market than existed previously,” explains Craig Wilson, product evangelist for broadcast and media at Avid.
Cloud technology is now crucial for multi-platform distribution strategies, enabling scalability and adaptability to meet evolving viewer demands. “Broadcasters must meet changing viewer expectations for watching content where they want, when they want, and how they want. It’s a demand that has driven many content owners to develop their own OTT direct-to-consumer offerings, expand their content monetization strategies through launching offerings like FAST, and diversify their distribution channels,” says Ian McPherson, global strategy leader for media and entertainment at Amazon Web Services.
This technological shift also introduces new financial considerations, moving from traditional capital expenditure to more variable operational costs. Peterson adds, “Many media companies have traditionally operated in a fixed-cost environment, which provided predictability in their budgeting. However, with the shift to more dynamic, variable-cost models — particularly in cloud-based and multi-platform distribution — this landscape has become more complex. This makes it crucial for media companies to have a clear cost structure and plan for scaling their distribution that balances efficiency and financial sustainability.”
The complexity of serving multiple platforms necessitates sophisticated content preparation and delivery systems. “Each distribution platform has their own specifications for content packages, including media formats, audio placement and metadata. Starting from a single content master, orchestration solutions can create the derivative packages that are needed to meet the distribution specifications,” says Geoff Stedman, chief marketing officer at SDVI.
Live content delivery, especially for sports and news, presents unique challenges in a multi-platform environment. Edwards points out, “For years that meant almost exclusively satellite delivery. Now with near ubiquitous, high-quality global internet availability broadcasters can revolutionize their distribution solutions to leverage greater flexibility and a radically lower OPEX cost base.”
The industry is heading towards an OTT-dominated future, impacting even traditional broadcasters. “There is an inevitable transition in broadcasting from traditional linear delivery to OTT-based consumption. Even the most conservative public service broadcasters have a plan of being almost totally OTT-based in delivery within the next 10 years,” states Andy Rayner, CTO at Appear. “Eventually, even what is considered ‘linear’ channels will be realized at the consumer end by the playout of a broadcaster-curated asset playback combined with occasional OTT-delivered live streams.”
Success requires close monitoring of viewer preferences and consumption patterns across platforms. Wilson emphasizes, “Being adaptable to future platforms is key, and which of these platforms are most attractive to audiences cannot be ignored. Delivering to different platforms, potentially with different standards, has to be factored into any future looking plan. As audience behavior changes, playout has to adapt to it, otherwise it risks losing audience share.”
The transformation impacts business operations and partnerships. “Partner-based content distribution has become a critical trend, as media companies increasingly rely on third-party platforms to expand their reach and audience. Consolidation creates new opportunities but also requires broadcasters to be constantly on the lookout for emerging trends and innovations,” notes Peterson.
The era of single-path content distribution is waning. Peterson concludes, “Staying ahead means having the flexibility to pivot quickly, adapt to new distribution models and proactively prepare for ‘what’s next’ in the industry.” Broadcasters now act as content producers, platform operators, and distribution partners, requiring agile distribution frameworks capable of adapting to changing market conditions. A single digital transformation roadmap is insufficient; agility is key to serving both traditional and emerging platforms while managing costs and maintaining quality.