Driven by the need for new guide software, metadata and technologies related to DVR and VOD services, the traditional middleware TV market is undergoing a growth spurt.
A recent report by ABI Research found that the middleware market, which had been relatively flat between 2010 and 2011, grew 11 percent through last year to reach $1.13 billion. During the same time frame, advanced video software grew over 40 percent to reach $890 million.
ABI noted the recent successes of TiVo, Rovi and ActiveVideo Networks in regards to deploying guides.
“TiVo has been the most aggressive with multi-screen technology development while Rovi brings together the complex metadata challenge with guide experiences. ActiveVideo’s technology is very operational in nature, enabling operators to cost-effectively bring their technologies to legacy set-top boxes,” said Sam Rosen, practice director at ABI Research.
TiVo recently settled most of its pending litigation, including with Cisco, Motorola/Arris, and Time Warner Cable. All of these companies have managed both product licensing and patent portfolios to achieve their growth during this period, according to the report.
“Now that pricing of the IP portfolio is largely settled, and the market has digested the Arris-Motorola acquisition and pending Ericsson-Mediaroom acquisition, we expect these companies to be the next targets,” Rosen said.