GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media...

19
Copyright © 2016 Zinnov Management consulting This document has been licensed for exclusive use and distribution by L&T Infotech GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and Entertainment Vertical An Analyst Point of View for L&T Infotech August, 2016

Transcript of GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media...

Page 1: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

Copyright © 2016 Zinnov Management consulting

This document has been licensed for exclusive use and distribution by L&T Infotech

GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and Entertainment

Vertical

An Analyst Point of View for L&T Infotech August, 2016

Page 2: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

The total spend on IT and PES by Media and Entertainment companies stand at

USD 114 Billion (2015), expected to grow at a CAGR of 8% to reach USD 156

Billion by 2020

2

2015

2020E

Total PES and IT Spend by M&E companies

$156 Bn

$114 Bn

8%

CAGR

Spend split across media sub- segments ( in USD

Billion)

7

11

27

51

13

8

11

28

6

10

21

29

11

5

10

22 Broadcasting

Publishing

Education

Entertainment

New Media

Gaming

Information

Marketing & Advertising

• New Media,

Education,

Entertainment will be

the fastest growing

segments

• Growth in Broadcasting

and Information

Services will be

moderate, while

traditional publishing will

remain stagnant Source: Zinnov Research & Analysis Zinnov Proprietary Confidential

Page 3: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

The addressable PES and IT globalization and services opportunity stands at

USD 60 billion and will reach USD 92 billion by 2020

3*Opportunity Includes market for Product Engineering and IT Spend

Current Addressable PES Spend Current Addressable IT Spend

USD

60Billion

Addressable Market (2015)

Total Addressable

Opportunity*

USD

92 Billion

USD

22Billion

USD

38Billion

Addressable Market (2020 E)

Total Addressable

Opportunity*

Addressable PES Spend (2020 E) Addressable IT Spend (2020 E)

USD

37Billion

USD

55Billion

Source: Zinnov Research & Analysis Zinnov Proprietary Confidential

Page 4: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

The addressable market is expected to grow at a CAGR of ~8.7% till 2020

4

14.3

3.1

5.8

8.8

3.4

13.0

5.5

6.7

28.0

4.8

8.6

12.9

4.4

18.5

6.97.6

New Media Education Entertainment Gaming Marketing &

Advertising

Broadcasting Information

Services

Publishing

Total Addressable Market Segment Wise

(in USD Billion)

2015 2020e

14.4

%

9.20

%

8.40

%

7.80

%

5.30

%

7.40

%

4.80

%

2.60

%

% CAGR for the addressable market growth per segment for ( 2015-2020)

USD

60Billion

FY 2015

USD

92Billion

FY 2020(E)

~8.7%

Source: Zinnov Research & Analysis Zinnov Proprietary Confidential

Page 5: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

Broadcasting, Publishing and Information Services are the most mature and

competitive segments amongst service providers

5

Mature

Education

Publishing

Placid GrowthEmerging VerticalNascent Vertical

Industry Maturity

# P

layers

Broadcasting

Segment Maturity Levels of Service Providers

Size of Bubble Indicates Addressed Market Size

Entertainment

Gaming

Information Services

New Media

Marketing &

Advertising

Source: Zinnov Research & Analysis Zinnov Proprietary Confidential

Page 6: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

Three Key trends in

Media and

Entertainment

outsourcing

landscape

Source: Zinnov research & Analysis

The Drivers For Outsourcing Have Changed Tremendously Over The Last Years And

Newer Trends Have Emerged

6

1

2

3 Service Providers are building end to end capabilities across the media value chain by acquiring niche

digital companies or partnering with start-ups

Ability to reach end consumers directly, providing customized experiences are becoming key investment areas for

companies in the media and entertainment space

Global media companies are looking at APAC and emerging markets for driving future growth and working

with service providers to achieve faster time to market for their products

Zinnov Proprietary Confidential

Page 7: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

L&T Infotech (LTI) has been rated in the leadership zone in Broadcasting. LTI has a strong service portfolio spanning across digital

supply chain, content management and enterprise system transformation making LTI a strong partner for any organization in the

Media and Entertainment space

L&T Infotech has been investing significantly to establish itself as one of the most

preferred partners in the M&E space

7

LTI suite of solution accelerators, particularly across the OTT, Rights & Royalty Management and Content Workflow Management was

evaluated as highly mature in the GSPR analysis for the broadcasting space

LTI has a well established, wide suite of offerings specific to the customers’ needs in Digital Asset Management, Social Analytics and Enterprise

Media Management solutions

LTI has helped its clients create successful and adaptive businesses by combining digital strategy and customer centric design to achieve scale

rapidly

The primary differentiators that set LTI apart are :

Zinnov Proprietary Confidential

Page 8: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

Segment Key Expertise AreasPosition in

MarketAnalyst Commentary

Broadcasting Content Management and BI Leadership ZoneVery good capabilities in areas of digital distribution, analytics

and application development and maintenance across the

OTT space

Entertainment Digital Rights Execution Zone

LTI is one of the emerging players in the Entertainment

services space. Strong expertise across content operations

and testing services along with the ability to automate

processes makes them well suited for future growth

Publishing Web Content Management, ADM &

Enterprise Systems transformationExecution Zone

Strong capabilities in ADM, Enterprise Business systems

especially in re-platforming and migration and Web Content

Management

Education ERP systems Execution ZoneAn emerging player with a robust in-house cloud ERP

solution Campus NextTM

LTI GSPR Positions across different segments (1/2)

8Zinnov Proprietary Confidential

Page 9: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

Segment Key Expertise AreasPosition in

MarketAnalyst Commentary

New Media Product Development Execution Zone Sound capabilities in website development, Plugin

development and integration

Marketing & Advertising API Development & Integration Execution ZoneA strong mix of experience and domain heavy talent pool

with knowledge in marketing services and analytics

Information Services Product Management Execution ZoneLTI has shown good exposure in delivering engagements in

the BI & reporting space. Going forward these areas will be

crucial to companies in the information services space

LTI GSPR Positions across different segments (2/2)

9Zinnov Proprietary Confidential

Page 10: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

LTI holds a large suite of IPs, Platforms and Solutions which differentiate it from the other Service Providers

1010

AdWiser Slice Create & Search is a

platform to create video time slices and

associated metadata & transcript (cc) to

enable Ad Decision Systems make

contextual in-content decisions. It

enables Search, Tag, Retrieve &

Repurpose of digital assets.

Key Features:

• Efficient search engine offering

keyword, federated and multilingual

search

• Extracts raw data from audio, video

and image library for storage

• Ability to export granular slice

metadata for use in downstream AD

system

• Approval and release workflow for

digital video ingests and slices

Benefits:

• Metadata tagging at ‘timecode’ level

enables Ad Decision Systems

• Close caption search (transcripts)

makes spoken content searchable

• On demand creation and transcoding

of relevant clips

AdWiser SliceCreate & Search ScriptorSMC: Smart Media Controller

SMC: Smart Media Controller

server is a multi-screen solution for

video delivery using adaptive bit rate

(ABR) streaming.

Key Features:

• HLS based advanced adaptive bit rate

(ABR) streaming.

• Powered by custom-built media

recommendation engine

• Support for linear and overlay banner

ad-insertion

• Video bookmarking supported

• Bring Your Own Device(BYOD)

support using HTML5 Web UI.

• Integrated with VAST 3.0 complaint

ad-server for targeted advertisements.

Scriptor™ is a script review and

feedback sharing tool involving a

completely paperless and secured

workflow process.

Key Features:

• Tablet client module for annotations

and Desktop Admin console

• Screening and reviewing scripts for

episodes or features

• Content on-the-go, anytime, anywhere

• Document sharing based on user

groups and roles

• Authentication of users using LDAP

(for employees) and inline

• Offline support to review documents

and provide comments

• User specific Watermarking on scripts

DT Robo

DTRobo is an in-house automation

framework developed for multi-platform

Streaming app and TV app validation.

Key Features:

• Built in validation algorithm based on

Image comparison and OCR

• For video content report provides

frame by frame analysis

• Automated video playback capability

using IR and BT blaster

• Custom UI to define test cases and to

execution a test plan

• Easily scalable to any new platform /

OS

Benefits:

• Easy integration with multiple set top

boxes (STBs), resulting in reduction of

time-to-market

• Auto-calibration enables easy testing

of new customer-specific features and

future expansion

• Readily Available Test Coverage for 10

STB Features

Zinnov Proprietary Confidential

Page 11: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

LTI has been able to successfully leverage its investments in digital content distribution and

application development services to deliver key projects in the OTT space

Ensuring long and deep customer connects, LTI has been able to continuously innovate in areas of

Sales and Marketing Analytics and Reporting Application, Digital Rights Administration

Ability to tweak, enhance existing client platforms by including multiple features is one of the primary

differentiators of LTI

LTI has invested in developing IPs, solutions and accelerators specific to Entertainment space in areas

of workflow automation and analytics to meet the end customer requirements

Key

Opportunities

LTI solutions such as Scriptor™

position them to be an ideal partner

for companies looking to invest in

content workflow and delivery

solutions

LTI can leverage its expertise in

content support operations, testing

and analytics to cater to the emerging

needs of New Media and Online space

customers

Strong solutions portfolio, global presence are key drivers for LTI in the Media and

Entertainment space

11

Strengths

Zinnov Proprietary Confidential

Page 12: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

GSPR Broadcasting segment Ratings – 2015

12Source: Zinnov Research & Analysis

Nurture Zone Breakout Zone Execution Zone Leadership Zone

• Product development and R&D is a focus area

across this segment

Low

High

Scalability

Domain Practice

Maturity

Zinnov Zones – Leading Service Providers

Depth of Services

Innovation

Curr

ent

Scale

, Cust

omer

base

, #

of se

rvic

es,

Bre

adth

/Dep

th o

f se

rvic

es, a

bili

ty to

scale

• Niche capability in one type across the three

major areas (content supply chain, mobility,

analytics)

• Innovation, if at all, in process optimization

• Generic - MOUs with partners and alliances

• On the way into big league, delivering domain

services effectively, tear down , purpose fit labs

• Generic Capability across the segment and niche

capability in one area

• Innovation frameworks resulting in tangible

benefit to customers

• Specific industry alliances, partnerships and

membership in Global forums

• Capable of delivering complete end to end

engagements, strong product development

capabilities

• Niche capability spans across two areas and at

least generic capability level in one service type

• Reusable IP’s built, and benefits quantified

• Alliances with Customers who are Industry

Leaders and strong ecosystem linkages

• Capable of performing concept to Go-To-Market

for the segment –Significant investment in Lab

infrastructure

• Strong capability in content supply chain, mobility

solutions, analytics platforms

• Formal innovation culture, resulting in IP’s and

strategic innovations

• Leadership role in alliances, leverage startups,

Specific academic research, and co-creation with

customers

Eco-system

Connect

Zinnov Proprietary Confidential

L&T Infotech (LTI)

Page 13: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

GSPR Entertainment segment Ratings – 2015

13

Nurture Zone Breakout Zone Execution Zone Leadership Zone

Scalability

Zinnov Zones – Leading Service ProvidersCurr

ent

Scale

, Cust

omer

base

, #

of se

rvic

es,

Bre

adth

/Dep

th o

f se

rvic

es, a

bili

ty to

scale

• Product development and R&D is a focus area

across this segment

• Niche capability in one type across the three

major areas (content supply chain, mobility,

analytics)

• Innovation, if at all, in process optimization

• Generic - MOUs with partners and alliances

• On the way into big league, delivering domain

services effectively, tear down , purpose fit labs

• Generic Capability across the segment and niche

capability in one area

• Innovation frameworks resulting in tangible

benefit to customers

• Specific industry alliances, partnerships and

membership in Global forums

• Capable of delivering complete end to end

engagements, strong product development

capabilities

• Niche capability spans across two areas and at

least generic capability level in one service type

• Reusable IP’s built, and benefits quantified

• Alliances with Customers who are Industry

Leaders and strong ecosystem linkages

• Capable of performing concept to Go-To-Market

for the segment –Significant investment in Lab

infrastructure

• Strong capability in content supply chain, mobility

solutions, analytics platforms

• Formal innovation culture, resulting in IP’s and

strategic innovations

• Leadership role in alliances, leverage startups,

Specific academic research, and co-creation with

customers

Domain Practice

Maturity

Depth of Services

Innovation

Eco-system

Connect

Low

High

Source: Zinnov Research & Analysis Zinnov Proprietary Confidential

L&T Infotech (LTI)

Page 14: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

GSPR Publishing Services segment Ratings – 2015

14Source: Zinnov Research & Analysis

Nurture Zone Breakout Zone Execution Zone Leadership Zone

Scalability

Zinnov Zones – Leading Service ProvidersCurr

ent

Scale

, Cust

omer

base

, #

of se

rvic

es,

Bre

adth

/Dep

th o

f se

rvic

es, a

bili

ty to

scale

• Product development and R&D is a focus area

across this segment

• Niche capability in one type across the three

major areas (content supply chain, content

ecosystem, digital distribution and analytics)

• Innovation, if at all, in process optimization

• Generic - MOUs with partners and alliances

• On the way into big league, delivering domain

services effectively, tear down , purpose fit labs

• Generic Capability across the segment and niche

capability in one area

• Innovation frameworks resulting in tangible

benefit to customers

• Specific industry alliances, partnerships and

membership in Global forums

• Capable of delivering complete end to end

engagements, strong product development

capabilities

• Niche capability spans across two areas and at

least generic capability level in one service type

• Reusable IP’s built, and benefits quantified

• Alliances with Customers who are Industry

Leaders and strong ecosystem linkages

• Capable of performing concept to Go-To-Market

for the segment –Significant investment in Lab

infrastructure

• Strong capability in content supply chain, content

ecosystem, digital distribution and analytics

solutions

• Formal innovation culture, resulting in IP’s and

strategic innovations

• Leadership role in alliances, leverage startups,

Specific academic research, and co-creation with

customers

Domain Practice

Maturity

Depth of Services

Innovation

Eco-system

Connect

Low

High

Zinnov Proprietary Confidential

L&T Infotech (LTI)

Page 15: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

GSPR Education segment Ratings – 2015

15

Nurture Zone Breakout Zone Execution Zone Leadership Zone

Low

High

Scalability

Domain Practice

Maturity

Zinnov Zones – Leading Service Providers

Depth of Services

Innovation

Eco-system

Connect

L&T Infotech (LTI)

Curr

ent

Scale

, Cust

omer

base

, #

of se

rvic

es,

Bre

adth

/Dep

th o

f se

rvic

es, a

bili

ty to

scale

• Product development and R&D is a focus area

across this segment

• Niche capability in one type across the three

major areas (content management services,

mobility, analytics, LMS)

• Innovation, if at all, in process optimization

• Generic - MOUs with partners and alliances

• On the way into big league, delivering domain

services effectively, tear down , purpose fit labs

• Generic Capability across the segment and niche

capability in one area

• Innovation frameworks resulting in tangible

benefit to customers

• Specific industry alliances, partnerships and

membership in Global forums

• Capable of delivering complete end to end

engagements, strong product development

capabilities

• Niche capability spans across two areas and at

least generic capability level in one service type

• Reusable IP’s built, and benefits quantified

• Alliances with Customers who are Industry

Leaders and strong ecosystem linkages

• Capable of performing concept to Go-To-Market

for the segment –Significant investment in Lab

infrastructure

• Strong capability in content management services,

mobility, analytics, LMS solutions

• Formal innovation culture, resulting in IP’s and

strategic innovations

• Leadership role in alliances, leverage startups,

Specific academic research, and co-creation with

customers

Zinnov Proprietary Confidential

Page 16: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

GSPR New Media segment Ratings – 2015

16Source: Zinnov Research & Analysis

Nurture Zone Breakout Zone Execution Zone Leadership Zone

Low

High

Scalability

Domain Practice

Maturity

Zinnov Zones – Leading Service Providers

Depth of Services

Innovation

Eco-system

Connect

Curr

ent

Scale

, Cust

omer

base

, #

of se

rvic

es,

Bre

adth

/Dep

th o

f se

rvic

es, a

bili

ty to

scale

• Product development and R&D is a focus area

across this segment

• Niche capability in one type across the three

major areas (multi-channel distribution,

analytics media planning)

• Innovation, if at all, in process optimization

• Generic - MOUs with partners and alliances

• On the way into big league, delivering domain

services effectively, tear down , purpose fit labs

• Generic Capability across the segment and niche

capability in one area

• Innovation frameworks resulting in tangible

benefit to customers

• Specific industry alliances, partnerships and

membership in Global forums

• Capable of delivering complete end to end

engagements, strong product development

capabilities

• Niche capability spans across two areas and at

least generic capability level in one service type

• Reusable IP’s built, and benefits quantified

• Alliances with Customers who are Industry

Leaders and strong ecosystem linkages

• Capable of performing concept to Go-To-Market

for the segment –Significant investment in Lab

infrastructure

• Strong capability in multi-channel distribution,

analytics media planning solutions

• Formal innovation culture, resulting in IP’s and

strategic innovations

• Leadership role in alliances, leverage startups,

Specific academic research, and co-creation with

customers

Zinnov Proprietary Confidential

L&T Infotech (LTI)

Page 17: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

GSPR Marketing and Advertising segment Ratings – 2015

17Source: Zinnov Research & Analysis

Nurture Zone Breakout Zone Execution Zone Leadership Zone

Low

High

Scalability

Domain Practice

Maturity

Zinnov Zones – Leading Service Providers

Depth of Services

Innovation

Eco-system

Connect

Curr

ent

Scale

, Cust

omer

base

, #

of se

rvic

es,

Bre

adth

/Dep

th o

f se

rvic

es, a

bili

ty to

scale

• Product development and R&D is a focus area

across this segment

• Niche capability in one type across the three

major areas (ad Tech Engineering, ROI

measurement, marketing tools)

• Innovation, if at all, in process optimization

• Generic - MOUs with partners and alliances

• On the way into big league, delivering domain

services effectively, tear down , purpose fit labs

• Generic Capability across the segment and niche

capability in one area

• Innovation frameworks resulting in tangible

benefit to customers

• Specific industry alliances, partnerships and

membership in Global forums

• Capable of delivering complete end to end

engagements, strong product development

capabilities

• Niche capability spans across two areas and at

least generic capability level in one service type

• Reusable IP’s built, and benefits quantified

• Alliances with Customers who are Industry

Leaders and strong ecosystem linkages

• Capable of performing concept to Go-To-Market

for the segment –Significant investment in Lab

infrastructure

• Strong capability in ad Tech Engineering, ROI

measurement, marketing tools solutions

• Formal innovation culture, resulting in IP’s and

strategic innovations

• Leadership role in alliances, leverage startups,

Specific academic research, and co-creation with

customers

Zinnov Proprietary Confidential

L&T Infotech (LTI)

Page 18: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

GSPR Information Services segment Ratings – 2015

18Source: Zinnov Research & Analysis

Nurture Zone Breakout Zone Execution Zone Leadership Zone

Low

High

Scalability

Domain Practice

Maturity

Zinnov Zones – Leading Service Providers

Depth of Services

Innovation

Eco-system

Connect

Curr

ent

Scale

, Cust

omer

base

, #

of se

rvic

es,

Bre

adth

/Dep

th o

f se

rvic

es, a

bili

ty to

scale

• Product development and R&D is a focus area

across this segment

• Niche capability in one type across the three

major areas (workflow management, editorial,

digitization and analytics)

• Innovation, if at all, in process optimization

• Generic - MOUs with partners and alliances

• On the way into big league, delivering domain

services effectively, tear down , purpose fit labs

• Generic Capability across the segment and niche

capability in one area

• Innovation frameworks resulting in tangible

benefit to customers

• Specific industry alliances, partnerships and

membership in Global forums

• Capable of delivering complete end to end

engagements, strong product development

capabilities

• Niche capability spans across two areas and at

least generic capability level in one service type

• Reusable IP’s built, and benefits quantified

• Alliances with Customers who are Industry

Leaders and strong ecosystem linkages

• Capable of performing concept to Go-To-Market

for the segment –Significant investment in Lab

infrastructure

• Strong capability in workflow management,

editorial, digitization and analytics solutions

• Formal innovation culture, resulting in IP’s and

strategic innovations

• Leadership role in alliances, leverage startups,

Specific academic research, and co-creation with

customers

Zinnov Proprietary Confidential

L&T Infotech (LTI)

Page 19: GLOBAL SERVICE PROVIDER RATINGS, 2015 FOR Media and ... · The total spend on IT and PES by Media and Entertainment companies stand at USD 114 Billion (2015), ... *Opportunity Includes

THANK YOU

19