Fundamental changes in media brought about by IT are unlikely to be over. Let’s look at four specific areas … [+]
In the information age, media has already undergone a fundamental transformation. User-generated content, intelligent content recommendation algorithms and, these days, AI are making the traditional media landscape almost unrecognizable, on both the supply and demand sides.
Most of these changes have been driven by innovative startups. However, the changes are probably not over. Let’s look at four specific areas within media that present promising opportunities for new, innovative startup projects.
1. Streaming Services for a Niche Audience
Streaming services have become a dominant force in the media industry. However, there is a growing demand for content tailored to niche audiences. Startups that focus on providing content to specific communities or interests can thrive.
As the streaming market becomes increasingly saturated with mainstream content, niche streaming services can fill the gaps by providing specialized, high-quality content. Consumers are increasingly looking for content that matches their specific interests, and startups that meet this demand have the potential for rapid growth.
A good example is FloSports, which caters to communities of passionate sports fans by streaming events such as wrestling and track cycling.
It’s worth mentioning that the father of modern live streaming, twitch.tv, itself focuses on a niche: gaming. This model could likely be replicated by on-demand streaming service startups. By limiting yourself to producing and publishing content aimed at an underserved but passionate niche community, you avoid directly competing with established players in the media market.
2. Interactive and immersive storytelling
Startups venturing into interactive storytelling using technologies like augmented reality (AR) and virtual reality (VR) are gaining traction. These innovations allow users to interact with content in unprecedented ways. Whether it’s interactive documentaries, VR historical reenactments, or augmented reality applications that enhance print media, startups are reshaping the way we experience stories.
With technological improvement in the field of AR and VR, the potential for immersive storytelling is also increasing. These technologies have the power to transport users to different worlds, offering unique and engaging narratives. As consumer interest in immersive experiences continues to grow, startups that tap into this trend can capture a loyal and growing audience.
3. Participatory journalism platforms
Thanks to user-generated content and improved content recommendation algorithms, the era of citizen journalism is upon us. Startups that enable ordinary individuals to report on events, share videos and contribute to media coverage are gaining ground.
Participatory journalism startups harness the power of citizen journalists who are often on site before traditional media outlets. They enable real-time reporting and offer a wide range of perspectives. With the rise of social media, the public is increasingly interested in events, making participatory journalism an area ripe for innovation. Startups in the field can change the way information is collected and disseminated, making it more decentralized and immediate.
In our experience, the real opportunities in this niche for new early-stage projects do not lie in creating new journalism platforms. The reason is the chicken and egg problem for UGC platforms: you need users to generate content, but users wouldn’t come if you don’t have good content. This problem makes the Economic model of the UGC platform a difficult problem for small startups to solve. Instead, services that make it easier for people to find and report on notable events while allowing people to post on established platforms like Twitter, Facebook and YouTube are likely to provide the richest ground for innovation and growth in this niche.
4. AI-powered video production
Creating video content can be resource- and time-intensive. Startups leveraging artificial intelligence (AI) for video production are streamlining this process. These AI-powered solutions open the door to efficient and cost-effective video production, making it easier for businesses and content creators to engage their audiences through video, thereby boosting user-generated content (one of the drivers of disruption of the media landscape).
Video content is in high demand on various platforms, from social media to marketing campaigns. AI-powered video production lowers the barriers to entry, allowing even small businesses and individuals to create professional-quality videos. As the demand for video continues to rise and more individuals aspire to become content creators, startups offering cheap but effective AI-based solutions are well-positioned to thrive.