A battle for the living room is playing out, with several players working to build smart TV operating systems that aim to enhance the user experience while presenting new business and revenue opportunities through data and advertising.
But while established players, including Roku and Vizio, tech giants Google and Amazon, and electronics makers Samsung and LG, as well as newer entrants like Xumo, Xperiโs TiVo, and VIDAA, are building software systems to cater to both viewer and advertiser needs โ the question arises, do consumers care?
Platform executives weighed in on the topic this week during a supersession at the StreamTV Show in Denver, hosted by TVREV analyst and co-founder Alan Wolk.
Before getting to consumer awareness, itโs worth noting there are clear reasons for companies pursuing TVOS ambitions and competing for market share. In contrast, Wolk noted itโs not a winner-takes-all game.
Teeing up the session, Wolk called out the benefits of owning the OS, including controlling data on viewing and user interface and experiences that play into ad revenue like FAST services, the home screen, and ad formats or shoppable integrations.
But the critical factor cited by the analyst is that around 40% of smart TVs globally (mainly outside the U.S.) donโt have a dedicated TVOS like those being developed, meaning thereโs a significant share still up for grabs. And Wolk noted thereโs room for more than one winner in a competition for market share where small gains can be lucrative and โevery half percentage point can be worth millions and millions of dollars.โ
Even leading players like Roku, which continues to offer streaming sticks, have moved into building branded smart TVs, as did Amazon Fire TV, seeking to drive more than hardware sales.
Earlier this year, Roku CEO Anthony Wood cited improved home screen monetization (including through advertising) as one of…