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What Does OTT Means?
OTT is nothing but a Over-the-top media service which offers its users to watch movies as per their convenience. Besides movies, you can also watch new Web Series, Short Movies, Originals, Live TV and Shows.
Digital streaming platforms have gained huge popularity over the years. In fact, the recent lockdown period due to the Corona Outbreak has proved once again that these digital streaming platforms (OTT's) which have played an important role to keep all the filmy geeks out there entertained.

As per the latest statistic reports, Netflix, Amazon Prime Video and Disney+ Hotstar, are leading in the industry. The gap in this industry and in regional films based country like India lead to the birth of many new OTT platforms like SUN NXT, Aha Video, Jio Cinema and many other ATT's.

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Types of OTT Contracts with Movie Makers
In India, OTT platforms enters into 2 kind of contracts with the filmmakers.
Outright purchaseRevenue sharing basisIn the outright purchases purely based on the movie expectations and the star cast, If the movie is from a bankable star in the market or the main lead actor who has a good number of fan following, then filmmakers will get a chance to demand the Outright purchase.In the revenue sharing basis, the revenue will be shared by OTT platforms and the producers based on the Viewership or OTT TRP, usually low-budget movies or movies with new star cast will agree with such terms and conditions.

How OTT Platforms Generate Money?
The process of money generation through OTT platforms is straightforward. After buying the digital streaming rights of a movie, The producer gets a sum for the rights.
Now the deal is OTT has to get the whole sum invested on the movie and they have to make some good profit to sustain in the industry.
Once the movie is released on the OTT platform there are various ways to generate the money for video streaming sites using different revenue models. Each OTT platform owns different revenue models based on their content.
Transactional Video on Demand (TVOD): TVOD is one of the revenue model of OTT that entails a transaction for every piece of content downloaded by a user.
Subscription Video on Demand (SVOD): In this revenue model, OTT's doesn't air movies for free. Here people has to subscribe to become a premium member and to watch movies. Most of the OTT platforms in the world follows the subscription model to generate revenue.
Example: Netflix, Amazon Prime Video, Hotstar, Hulu and many more
Advertisement-supported Video on Demand (AVOD): This is the free platform where anyone can upload their video content, but the platform slips between Ads at strategic intervals along the film. Based on the revenue generated through Ads, it will distribute share to the video owner.
In India, the usage of OTT App's has predominantly increased in the last 5 years. Theater Shutdown in India is one of the major factor for the growth of OTT platform's. As per the latest report upcoming Amazon Prime Video, Netflix, Disney+ Hotstar are leading in the industry.