Fintech
Tencent Cloud Ranks As The No. 1 Cloud Services Provider In Media Services Market, According To Frost & Sullivan
The cloud business of global technology company, Tencent, today announced that it has been recognised as the no. 1 services provider in the media services market, according to Frost & Sullivan’s 2022 Asia-Pacific (APAC) Media Service Market Report. The study, which gathers data insights across Singapore and eight other markets in the region[1], found that 33.4% of Media and Entertainment firms chose Tencent Cloud’s services to accelerate their digital transformation journey in order to meet their future media services needs ranging from content creation, processing, and transmission, to real-time communication, video-on-demand, live streaming, and more.
The Frost & Sullivan study mapped the competitive cloud media services landscape by evaluating cloud providers using three criteria — its application capability; which measures a provider’s industry coverage and experience; service capability, measuring a provider’s infrastructure quality; and ecological level, which measures a provider’s sourcing, integration, and distribution channels. Tencent Cloud was ranked as 1st across the application and services capabilities, and is in the first tier of the ecological level.
The report also revealed strong integration in Tencent Cloud’s end-to-end media services, such as the consolidation of network resources into the Tencent RT-ONE Network to improve customers’ operational cost efficiency, and out-of-box SDKs to improve usability and further lower the technical barrier for clients.
The APAC media services market size is projected to reach US$6,987 million in 2026, with a CAGR of 27% over the next four years. Additionally, the demand for audio and video solutions is expected to increase across a range of downstream industries, with the e-commerce sector showing the largest CAGR amongst other sectors including online gaming, media and entertainment, enterprise, and healthcare services.
Poshu Yeung, Senior Vice President, Tencent Cloud International, highlighted that media services have emerged quickly and are now becoming a cornerstone of the way we live and communicate today. “Leveraging Tencent’s two decades of experience in serving and connecting over a billion users around the world on its consumer-facing platforms, Tencent Cloud is in a strategically strong position to help enterprises achieve “Immersive Convergence”, a concept that combines technology and the innovative approach of integrating the digital economy and the real world for a seamless connection.”
Today, Tencent Cloud provides more than 400 technologies and connectivity solutions that support “Immersive Convergence” through its global infrastructure network, covering more than 26 geographic areas across five continents and 70 availability zones, with more than 2,800 acceleration nodes.
Driving the APAC Media Services Landscape with a Global Business Strategy
Yeung further shared that as Tencent Cloud is expanding its global footprint, the business will double down on its resources to focus on innovation. The cloud services provider is also looking to enhance its product capabilities and accelerate the international expansion of its core products for sustainable growth. Backed by a rapidly growing global partner ecosystem, Tencent Cloud collaborates with over 10,000 partners globally, and jointly serves two million customers in their digital transformation journey.
According to a report by IDC, Tencent Cloud has ranked 1st for the past five consecutive years in the Chinese market share as the top cloud provider of audio-video solutions. The company’s commitment to leveraging its leading position in the media services space is further highlighted in its recent launch of Tencent Cloud Media Services in December 2022. Its latest international audio and video brand seeks to help businesses enhance immersive audience experiences and create customised virtual worlds.
“The APAC region will remain our priority market for long-term business growth. While APAC observes a high demand from enterprises to SMEs seeking digital transformation solutions across industries, evidence shows that the APAC region is a promising market for media services, and is projected to grow nineteenfold from 2016 to 2026. It is also a region with the most video-on-demand subscribers,” Yeung added.
Carmen Zhu, Research Director at Frost & Sullivan, said, “Cloud service providers, like Tencent Cloud, are well-positioned to catch on with the growth opportunities in the media service market in APAC. Integrated technologies, one-stop service offerings, low-code platforms, and enterprises going global are all potential opportunities for media service providers. These solutions are essential for the region, where growth is expected due to favourable macro conditions, such as high internet and mobile penetration, and rapid GDP growth across APAC. The introduction of government policies has also helped in further developing the digital economy, expanding the market capacity of multiple segments.”
Tommy Li, Vice President, Tencent Cloud, shared, “With our wealth of practical experience and leading core technologies, we are looking to build on our strengths to further enrich our product offerings in “Immersive Convergence”, and support customers in conventional industries, as well as media & entertainment, gaming, Web3.0, and metaverse natives. From enhancing Cloud-native products, strengthening support for multi-Cloud and hybrid Cloud, to bringing mature, easy-to-use one-stop solutions overseas, our team will continue to develop more innovative products to complement existing cloud offerings, and meet today’s global demands.”
In media services, Tencent Cloud has made significant strides in supporting various regional and global enterprises to grow globally, including GE Healthcare, BeLive Technology, Mildom, MIXCHANNEL, Pokekara, and more.