TheViewPoint’s CTV Glossary: Terms and Definitions
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CTV In Human Terms: Devices, Content, Inventory, and Formats

The exponential growth of digital television has fundamentally changed traditional content consumption. Users are no longer stuck on their couches and can watch videos, TV shows, and sports games whenever and wherever they want. Yet, it’s difficult not to get lost in the world of CTV terminology.

How to stop getting confused and understand the meaning of widely used terms and acronyms?

Let’s get to grips with the key terms and definitions in our new series, where we will explain the most popular CTV concepts in simple words.

Connected TV Devices

First and foremost, it’s crucial to figure out what CTV stands for. This is an acronym for Internet-connected television. Unlike traditional TV,  the CTV concept includes smart TVs, game consoles, and streaming media devices. As to streaming media devices, it’s compact hardware (usually in the form of sticks or boxes) that connects a TV with the Internet. So basically it’s a link between the web and TV, just like how a modem/ WiFi  works for computers.

The rapid development of modern technologies enables people to shift from their stationary TV-sets to smartphones, tablets, and desktops to access their favorite content any time. With the proliferation of CTV apps, they can consume their preferred content from the comfort of their homes or any public place.

Internet protocol television or IPTV is another format of content delivery over IP networks. It differs from classic cable, terrestrial or satellite distribution. IPTV transmits videos, live TV and other media content applying to both private local areas and a wider catchment of networks as well as public Internet. It’s vital to understand that IPTV may include VOD, interactive TV and live TV. However, IPTV shouldn’t be confused with OTT. They have different content providers, transmission networks and receivers.

Inventory

Video on Demand also known as VOD differs completely  from traditional TV. Viewers can forget about adjusting their plans to TV programs. The key idea of this technology is to let viewers choose  what video to watch on their own, evading content imposed  by providers. Whenever there’s an opportunity, viewers get access to the desired content that is available on OTT devices or streaming services after the official release date or original air date. In fact, VOD enables users to control what and when to watch. They don’t have to worry about missing new episodes as they are streamed or downloaded after airing. This kind of content consuming experience attracts larger audiences as they get more freedom of choice, unlike linear TV.

The full-episode player appears on any device across web and app browsers. It provides viewers with FEP videos of TV shows, news,etc. This content is professionally produced and lasts for about  30-60 minutes. The length of FEP videos, along with commercial breaks between video materials, significantly resembles linear TV watching.

With over-the-top capabilities, more and more users and publishers choose this technology. OTT aggregators reinforce the leading position of this content distribution channel. They provide unlimited, diverse content from several sources and transmit it across multiple screens. OTT aggregators are a one-stop-shop for entertainment video fans. So, viewers get everything in one place instead of searching for it from several providers. OTT aggregators rely on their inventory and avoid multi-system operators, which control cable TV systems.

How can you bypass intermediaries when delivering videos and programs? The Direct to Consumer (DTC) model is a perfect way out. The content delivery technology means that content is provided directly to consumers without involving third-party players such as satellite and cable networks. Netflix is the most vivid example of DTC since it streams content directly to viewers.

A virtual multichannel video programming distributor (vMVPD) is relatively cheaper than other cable and satellite services. It gives access to different channels via the Internet. Yet, this technology doesn’t support data transport infrastructures such as fiber or satellite technologies. Unlike traditional satellite or cable subscriptions, the service offers fewer channels, but partners with satellite and cable networks to distribute short-form content across live channels. vMVPDs include PlayStation, DirecTV Now, Sling TV and Hulu with Live TV. Yet, Hulu and YouTube aren’t shortlisted  as they provide original programming and user video.

Free network apps allow watching content using mobile devices without extra fees.

Formats

Live streaming enables users to watch desired content that is broadcast in real-time, still, they can pause it and resume anytime without missing anything. Users access content on smart TVs, mobile devices, desktops, or internet-enabled TVs.

Living Room Quality Connected TV is the way to consume content preferred by the vast majority of viewers who watch TV sitting on the couch in front of their TV sets. Yet, they can also access CTV with apps on their mobile devices.

Free ad-supported streaming services (FASTS) is another free of charge format that includes a mix of video content from VOD and linear TV services. Pluto TV, Xumo, and Tubi are the most popular FASTS.

Free network apps (FNAS) besides transmitting free streaming TV content from broadcast and cable networks, it also offers users ad-supported clips of popular shows.

The hybrid model includes several streaming services put into the same category. They may differ in the number of active users like Pluto TV and Xumo but offer bulk video-on-demand programming.

To wrap up, the above-presented list of frequently used CTV terminology isn’t the reason to stop discovering more about the digital environment. Find out other terms and acronyms in the upcoming blog posts.

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