YouTube, Netflix Dominate Online Video In North America

YouTube, Netflix Dominate Online Video In North America
NFLX Photo by Matt Perreault

Google Inc (NASDAQ:GOOG) through its YouTube service and Netflix, Inc. (NASDAQ:NFLX) dominate almost 50% of internet traffic in North America, according to the latest global internet phenomena report from Sandvine, provider of intelligent broadband network solutions for fixed and mobile operators.

Play Quizzes 4

Netflix is leading downstream application

The report found that Netflix, Inc. (NASDAQ:NFLX) is leading downstream application in North America followed by YouTube with 31.6% and 18.6% market share in terms of downstream traffic on fixed networks.

How Value Investors Can Win With Tech And “Fallen” Growth Stocks

Valuation Present ValueMany value investors have given up on their strategy over the last 15 years amid concerns that value investing no longer worked. However, some made small adjustments to their strategy but remained value investors to the core. Now all of the value investors who held fast to their investment philosophy are being rewarded as value Read More

Other companies such as, Inc. (NASDAQ:AMZN) only accounts 1.6% and Hulu represents only 1.29% of the total downstream traffic in September. Based on the report, Amazon and Hulu lost market share compared with the downstream traffic recorded in the same month a year earlier at 1.75% and 1.38%, respectively.

In a statement, Dave Caputo, chief executive officer of Sandvince said, “For the first time ever, peer-to-peer files sharing has fallen below 10% of total traffic in North America, which is a stark difference from the 60% share it consumed 11 years ago. Since 2009, on-demand entertainment has consumed more bandwidth than experience later applications like peer-to-peer file sharing and we had projected it would inevitably dip below 10% of total traffic by 2015. It’s happened much faster.”

“This phenomena, combined with the related rise in video applications like Netflix, Inc. (NASDAQ:NFLX) and YouTube, underscores a big reason why Sandvine’s business has grown beyond traffic management to new service creation,” added Caputo.

Netflix’s dominance took years in US

Sandvine’s report also found that Netflix, Inc. (NASDAQ:NFLX) took almost four years to capture 20% of data traffic in the United States. In Europe, the online video streaming company accounts for more than 20% of downstream traffic on certain fixed networks in certain British territories since its launching in the region less than two years ago.

In addition, Instagram and Dropbox emerged as the leading applications in many regions worldwide. Instagram is one of the leading mobile networks in Latin America after Facebook Inc (NASDAQ:FB) integrated video on the app. Currently, Instagram is the 7th downstream application in the region and it is a primary candidate to be included in the tiered data plans in Latin America.

Sandvine also found that P2P file sharing in North America is declining from 31% five years ago to less than 10% of total daily traffic in North America.

Updated on

Marie received her Bachelors Degree in Mass Communication from New Era University. She is a former news writer and program producer for Nation Broadcasting Corporation (NBC-DZAR 1026), a nationwide AM radio station. She was also involved in events management. Marie was also a former Young Ambassador of Goodwill during the 26th Ship for Southeast Asian Youth Program (SSEAYP). She loves to read, travel and take photographs. She considers gardening a therapy.
Previous article Possible Shooter at University of Minnesota [REPORT]
Next article Junk Leading The Market Rally [CHART]

No posts to display