2026 Outlook: Accedo’s Martin Sebelius on the shift to modular streaming infrastructure

Video service providers are operating with technical infrastructure that has become a barrier to adaptation and growth, according to Martin Sebelius, CEO of Accedo Video Solutions.

He said the combination of rising costs, stagnant budgets and inflexible systems is forcing providers to reconsider how they build and maintain their platforms.

“Video companies are all too often operating a complicated tech stack made up of a patchwork of proprietary, outdated and sometimes overlapping components,” Sebelius said.

He said this type of infrastructure is difficult to operate and maintain, and because the systems are connected in ways that make changes difficult, providers cannot adapt quickly to market shifts or user expectations. This limits the time and budget available for activities that affect business performance, such as monetization strategies and content distribution.

Moving toward modular systems

Sebelius said he expects more video providers to adopt what he described as managed end-to-end solutions built on modular architecture. These systems differ from earlier end-to-end platforms, which typically required providers to commit to a single vendor or work within a fixed set of partnerships.

“We’ll see more managed end-to-end solutions built on modular and composable architecture, that give providers the opportunity to select, optimize and continually evolve each part of their platform,” he said.

He said reducing the operational burden of managing multiple vendors and complex systems would allow providers to focus resources on core business functions.

Sebelius said budgets are not expanding and video providers need to redirect spending to areas that produce measurable results. He said providers should prioritize long-term value over features that appear useful but do not contribute to business outcomes.

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“The reality is that money is tight, and it needs to be spent more wisely to get the most impact, for example to lower operational overhead, improve service quality, reduce churn or increase lifetime value,” he said.

Consolidation as a response to market conditions

Sebelius said consolidation in the streaming sector reflects the difficulty of sustaining growth in a crowded market. He said many video services are competing for the same audiences with similar offerings, and consolidation allows companies to increase scale and reach.

“Service providers have learnt over the past few years how tough it is to sustain growth in the current market,” he said.

He noted that several streaming services have announced mergers and acquisitions, and said these changes may create opportunities for new services to enter the market.

Sebelius said the practice of managing all aspects of a video service internally is becoming less common. He said the effort required to maintain in-house operations no longer provides the expected return, particularly when budgets are limited and alternatives exist in the form of modular systems.

He said video providers need to reconsider both their technical architecture and their approach to investment decisions. He said traditional methods for calculating total cost of ownership do not account for current market conditions, and systems that are difficult to modify slow iteration and increase maintenance costs.

“At the moment, there’s a disconnect between investment and business outcomes, and if this isn’t addressed, providers are going to struggle to stay competitive,” Sebelius said.