If you had any remaining doubts about the role of video entertainment, and video entertainment as a revenue and value driver for access providers--mobile and fixed--consider that T-Mobile US is making its own move into the managed over the top video service arena.
T-Mobile US says it will launch a new video entertainment service in 2018, building on a managed video service already created by Layer3 TV, a managed service provider that already offers a managed video service, using internet connections, not a physical access network.
The larger issue is that the “access provider” business (telco, cable, ISP) has a monetization problem: revenue-generating applications that historically have driven most of the income now can be provided by unaffiliated third parties.
That can be seen in over the top impact on service provider services (voice, messaging and not linear video).
So, beyond the dumb pipe “internet access” service, all other revenue streams must be built on some application that runs over the access network. That can include internet OTT or managed services.
Video entertainment is a prime example of a managed service.
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