The pattern is not yet determined! The video website industry may see a significant Matthew effect in 2015

In 2014, commercial video websites have basically achieved centralization, forming two super video websites, Youku Tudou and iQiyi PPS, three second-tier video websites, Sohu Video, Tencent Video, and LeTV, and many third-tier video websites such as PPTV, Baofeng Video, Xunlei Kankan, Ku6, and Phoenix.

Tencent Video, which is in the second tier, is backed by Tencent, and its advantages in capital, traffic, users, and products need to be further improved. If Tencent enhances the strategic position of video and increases its investment and focus, Tencent Video is very likely to surpass Youku Tudou and iQiyi PPS, forming a three-legged pattern of video websites, backed by the three Internet super companies BAT.

In addition to the new audio-visual media of traditional television media, the national online video broadcasting platform cannot accommodate more than a dozen video websites.

In the next two years, the trend of commercial video website concentration will be further intensified. The market share of the three video websites backed by BAT - Youku Tudou, iQiyi PPS, and Tencent Video - will further increase. The Matthew effect will be obvious. The development of the third-tier commercial video websites will become more difficult, and the possibility of being acquired by the top three video websites or TV media will be further increased, or they will continue to look for a powerful "daddy" to support them.

Xunlei Kankan may be acquired by Xiaomi. Xiaomi has box and TV terminal products, e-commerce, TV applications and other ecosystems. What it lacks most is platform and content, and it has already invested in Xunlei. Under the policy restrictions on video websites entering the TV terminal, Xiaomi invested in iQiyi to obtain content, platform and Galaxy's integrated broadcast control platform.

As policies are increasingly relaxed, it is imperative for Xiaomi to independently operate a multi-screen video website, and the acquisition of Xunlei Kankan is a natural progression. Ku6 was abandoned by Shanda in 2014, and may transform into online entertainment and game videos, or be acquired by TV media. Personally, I think merging with TV media may be the best way out.

In 2014, Storm Video still failed to go public and Feng Xin was unable to cash out. It can be predicted that Storm Video's dream of going public will continue to be difficult in 2015, and a merger with a TV media may be the best option.

After several upheavals among shareholders and management in 2014, PPTV’s decline has become increasingly apparent. It may be in dire straits by the end of 2015 and face mergers and acquisitions again.

Sohu Video, which is in the second tier, may move towards becoming a digital entertainment company that integrates content production and broadcasting after its American drama features are restricted by policies. The market share of its broadcasting platform will gradually shrink. If it fails to transform smoothly, Charles Zhang's Sohu will face new difficulties at the end of 2015.

LeTV's experience in 2014 was thrilling. It had all kinds of materials, including the powerful, the government, capital, the stock market, flight, and transformation, which could almost be used to make a TV series. Despite the fall of the powerful and the policy difficulties, LeTV surrendered completely, but it did not fall down. It played the mobile phone and car brands and survived tenaciously.

However, LeTV's TV vertical ecological strategy has been blocked by policies. In 2015, the only directions for video development are PC and mobile phones. TV screens are completely blocked, and hardware such as TV sets and boxes will also be difficult to sustain. In 2015, LeTV will combine upstream content production in video and compete with other commercial video websites on the same starting line, which is not optimistic.

In general, commercial video websites will become more centralized, scaled and intensive in 2015, with a noticeable Matthew effect. iQiyi and Youku will become two super powers, some commercial video websites in the third echelon will disappear, and video websites in the second echelon will also face huge competition and survival pressure.

By the end of 2015, iQiyi, Youku and Tencent Video, backed by BAT, may form a three-way market structure, with other market players gradually marginalized.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.