This blog post examines the different components of the video technology ecosystem. We will illustrate what the categories of innovation are and which categories have the most companies. We will also compare the categories in terms of their funding and maturity.
Video Advertising Platforms and Social Video Platforms Are The Largest Video Technology Categories
Let’s start off by looking at the Sector Map. We have classified 857 video technology startups into 11 categories. They have raised $41B from 1633 investors. The Sector Map highlights the number of companies in each category. It also shows a random sampling of companies in each category.
We see that Video Advertising Platforms and Social Video Platforms are the largest categories with 154 companies each. The Video Advertising Platforms category is comprised of ad networks that aggregate the supply of publisher inventory, ad servers that facilitate the delivery of ads, and marketplaces that connect ad buyers and sellers. Some example companies in this category include Brightline, Videology, VideoAmp, and Connatix.
The Social Video Platforms category, on the other hand, is comprised of social networks built around video and television content, as well as applications used by the end-users alongside TV programs to offer enhanced viewing experiences. Some example companies in this category include YouNow, Kuaishou, LiveMe, and Dubsmash.
Let’s now look at our Innovation Quadrant to find out the funding and maturity of these categories in relation to one another.
The Established and Pioneers Quadrants Have the Most Video Technology Categories
Our Innovation Quadrant divides the video technology categories into four different quadrants.
We see that the Established and the Pioneers quadrants both have the most number of video technology categories at 4, each accounting for 36% of all video technology categories. The Video Licensing category has both the highest average age and the highest average funding. On the other hand, the Video Discovery and Video Analytics categories are low on both average funding and age.
For this quarter’s funding analysis, let’s examine how average funding in the video technology sector is evolving. The graphic below shows the video technology average funding across all deals over time by quarter.
As the graphic demonstrates, video technology average funding event size in Q1 2019 was at $41M, which decreased by 35% from the $63M last quarter. The average funding size has been on a general upward trend, with the average funding size last quarter about twice as large as it was 5 years ago. The top three funding events in Q1 2019 include a $153M round into Hotstar, a $140M round into CuriosityStream, and a $80M round into Zuiyou.
Our sector maps are snapshots of emerging technology sectors. They show what the different categories in a sector are and how many startups are within each category. They also present a small sampling of the current startups that are innovating in each category.
We will share our most up-to-date sector maps in a two-part series. Below you will find sector maps for the Blockchain Technology, Energy Technology, Financial Technology, Health Technology, Insurance Technology, Video Technology, and 3D Printing sectors.
3D Printing: 9 categories, 383 companies, $2B in funding
Stay tuned as we will release the remaining 8 updated sector maps for Artificial Intelligence, Internet of Things, Marketing Technology, Real Estate Technology, Retail Technology, Security Technology, Transportation Technology, and Virtual Reality.