What is Live Streaming and How it Works?

live streaming

The market share of live video streaming around the world is USD 1.49 billion in 2023, and it is expected to reach USD 3.21 billion by 2027 at 21.2% CAGR. In the past few years, real-time video streaming has gained huge popularity due to the increased online engagement factor. The following aspects play an important role in its popularity.

Currently, viewers’ time spent on live videos is 8 times more than on-demand videos (pre-recorded videos). It is plain as day for content creators and streaming businesses to use live video streaming as it enhances their connectivity with their audiences. Many content creators and streaming businesses can connect with viewers through feature-rich streaming software, enabling them to use live chat alongside their live video streams.

Professional live feeds can help a content creator or streaming business achieve more ROI. It is popular among many, as this measure results in indicating the overall performance of a live video streaming. Live streams enable businesses to drive 2X more engagement at a lower cost.

A big reason for the popularity of live streaming is its ability to enhance global reach. As per one of the surveys, the likelihood of capturing more viewers’ attention is higher in the case of live video streaming. It can help a business generate more leads and subscribers. A business can opt to broadcast live videos on social platforms due to easy sharing options available to engage its audience.

live streaming work

Any business or content creator can get started with it by fulfilling some primary hardware requirements, like a high-resolution camera and high-speed internet. Apart from this, there are some other crucial points to provide information about how live video streaming works.


Once a streaming business or content creator captures raw video(s) through the camera, the video is then compressed to remove the redundant visual information. In simple words, the unwanted elements from the video get removed automatically to manually undertake such instances to filter out these elements.

After capturing and compressing a video, a streaming business can save it in the desired format. The process commences automatically, but a business or content creator can always make choices. The following encoding standards are:

  • H.264
  • H.265
  • VP9
  • AV1
  • WMV
  • MP4

CDN broadcasts the content to numerous viewers in various regions without latency and in high quality for live streaming. A content delivery network is a secondary point for the origin server that utilizes a network of computers to deliver content in caches. This helps in providing a quicker performance to video viewers.

The segmented video data is received, decoded, and decompressed. The video then begins to play when the data has been translated into visual information by a media player on the viewer’s device, which may be an app or a video player built into the browser.

live class

In addition, a content creator or streaming business can choose a professional live-streaming platform like VideoCrypt. It is one of the best live online streaming platforms to provide an immersive experience to its viewers through zero buffering of SD & HD quality videos powered by Amazon IVS and protected through multi-DRM and password protection.

Today, any streaming business or content creator can broadcast their event to viewers through live streaming. Indeed, it is an excellent way to reach potential viewers and give more engagement. A business can use live videos to get better ROI and create an impact on its viewers.

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