Pay TV Middleware is emerging from largely closed systems with long product cycles to more modular and open architectures with large operators adopting a best-in-class approach. New technologies including advanced advertising, multiscreen guides, TV personalization via search, recommendation and discovery, and automatic content recognition are all receiving investment.
Conditional Access Systems (CAS) and Digital Rights Management (DRM) technologies provide content protection (copy prevention) and revenue protection (blocking access to unauthorized users) for video content. The CAS market is changing slowly based on downloadable and renewable CAS technologies and DVB standardization, notably simulcrypt. The DRM market is maturing and moving from a PC and traditional telco IPTV focus to look at content delivery to connected TVs and multiscreen devices (tablets, smartphones).
Tier-1 vendors are consolidating and transitioning from product-oriented offerings to more holistic systems integration and service offerings. A second tier of vendors is focusing on more turnkey solutions. Innovation continues to happen through small, nimble start-ups on multiple continents.