Partnering with Smart TV Platforms: The Content Providers’ Dilemma

ABSTRACT In a world of increasing digitalization platforms, business models are booming in many sectors. This trend is also growing in the entertainment industry and can be observed in regard to smart TVs and the operating systems that serve as content platforms. Of key interest are the factors that drive decision-making when content providers have to choose which specific smart TV platform to partner. Akin to betting their brand on an uncertain technological foundation, what criteria do providers/aggregators most value? To help answer this question, a number of interviews with industry experts were conducted. The results showed that choosing the “right” smart TV platform is indeed important to content providers – and becoming increasingly so as markets further shift toward connected devices and internet-of-things. Factors like reach of the platform and its long-term commercial viability are pivotal. Providers want a solid foundation for growth/expansion and partner(s) whose own success can draw them along. Surprisingly, factors related to individual consumer choice seem to play a relatively minor role. Pushing into the third decade of the 21st century it remains to be seen how the dynamic environment of smart TV platforms will develop – and how the choices of content aggregators and providers will ultimately help shape it. However, some indicators are already here.