Piracy is Expected to Cause $12.5 Billion in Losses by 2024, This Tech Company is Addressing It


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With the growth of OTT services across the country and increased competition has come a rise in piracy, leading to loss of revenue for content rights owners. Piracy led to industry losses of $9.1 billion in 2019.

A recent white paper from Jscrambler, focusing on the security of both company and consumer information, shows that those losses could be as high as $12.5 billion within the next four years.

For OTT providers, sustainability in the coming decade will surely be defined by decisive action for piracy prevention and customer retention,” Jscrambler says in the report.

To fight piracy, OTT providers have been implementing new technology like Digital Rights Management (DRM). A DRM system locks down who can access content and how content can be accessed. The system includes a series of permission and security checks before getting encrypted content, putting barriers in place between content and those who want to distribute it without permission.

Unfortunately, one layer of protection isn’t always enough. Attackers will often find ways around security checks and encryption. Then, watermarking comes into play to track down the source of the leaked content.

Watermarking adds a unique code to each video. When OTT content is shared illegally, that code can be read and the source of the leak can be pinpointed by user ID, device ID, and IP. This allows the content provider to shut down the source. However, as modern watermarking techniques rely on JavaScript code that is exposed on the client-side, attackers can bypass this measure. Jscrambler protects this JavaScript code with several layers of protection, helping watermarking providers keep their watermark and underlying content secure.

While the continued growth of streaming services and an increase in piracy go hand in hand, companies like Jscrambler are continually coming up with new solutions to keep content secure. Combined with recent crackdowns on illegal steaming services, this could reduce the industry losses caused by piracy significantly.

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