The Internet Value Chain

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GSMA_The-internet-Value-Chain_WEB

THE INTERNET VALUE CHAIN

Category Subcategory Methodology and description

E-travel (Not applicable) • Includes all sales generated by online bookings and through online travel agencies.

Includes mobile websites and app-based sales. Sales are considered to be online as

long as the booking is made online, regardless of where actual payment takes place.

Bookings initiated online and finalised on the phone are also included.

• Online ride-sharing services such as Uber and Lyft are included.

• Revenues are based on total transaction values less the direct cost of the service sold.

Video SVOD (OTT) • Subscription video services provided through OTT channels, bypassing traditional

broadcast TV. Includes players such as Netflix and Hulu.

• Includes both on-demand and live streaming services.

• Includes stand-alone online services from pay TV operators (for example, Sky’s

Now TV); excludes pay TV operators’ multiscreen packages (such as Sky’s Go or

Comcast’s Xfinity).

• Excludes any revenue generated by pirate services.

SVOD (multiscreen)

• Digital home video through online video-on-demand and pay-per-view services

provided by a pay TV operator as part of a subscription package

• Includes proportional revenue from operator ‘TV Everywhere’ packages (such as Sky’s

Go or Comcast’s Xfinity) that bundle OTT with conventional pay TV services; excludes

revenues from stand-alone OTT services (for instance, Sky’s Now TV).

Open video-ondemand

ecosystems

• Open online video ecosystems such as YouTube, which in general follow an

advertising model

• Revenues are calculated based on AVOD market size.

Video sales or rental

(digital)

• Purchases or downloads of digital filmed entertainment products. Includes websites

providing online rental transactions of physical filmed entertainment products

(although this share is considered negligible).

• Includes only the revenue share/gross margin of the online service provider.

• Excludes any revenue generated by pirate services.

AVOD: advertising video on demand; OTT: over the top; SVOD: subscription video on demand

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