Curious why businesses care so much about speed? Here’s why.
It has become increasingly common for businesses to operate on video. Whether you’re running live streams, monitoring security cameras, collaborating remotely, or training employees… video solutions are hard at work behind the scenes.
Advancements in video infrastructure have reduced broadcast latency to where it once was considered a “nice-to-have” but is now a requirement.
Here’s the problem:
If your video operations aren’t running on fast, reliable infrastructure, your business is going to suffer. From lost revenue to frustrated customers and harmful delays… Slow video simply isn’t an option.
Latency can be nearly eliminated with the proper broadcast encoding/decoding setup.
What you’ll learn:
- Why Businesses Need Low-Latency Video Operations
- How Broadcast Encoding/Decoding Works
- Improving Latency For Live Broadcasting, Security, Remote Operations, and More
- Choosing the Right Video Solution for Your Business
Why Businesses Need Low-Latency Video Operations
Latency refers to the delay between when video is captured and when it is displayed. Lower latency means video arrives faster and feels more “real-time”.
And why do businesses care about real-time video? Simple.
There are entire departments within companies relying on real-time video feeds to do their jobs. Delays in video cause delays in business decisions. And delayed decisions cost money.
The video streaming market size exceeded $160 billion in 2025 and is expected to grow at a 18.5% CAGR through 2035. This growth is being fueled by businesses large and small who are demanding faster and more reliable video solutions.
That starts with low latency.
At the heart of every video infrastructure are encoders and decoders. Encoders compress video into a format that can be sent across a network. Decoders do the reverse. Companies like Thor Broadcast specialize in broadcast encoding/decoding hardware.
By optimizing that encoder and decoder, businesses can greatly improve latency.
How Broadcast Encoding/Decoding Works
Okay, so how do encoders and decoders affect latency?
Long story short: Low-latency encoding and decoding hardware increases the speed at which video can be compressed and decompressed.
Longer story: When video is captured by a camera, it must be compressed before it can be transported over a network. An encoder uses standards like H.264 or H.265 to compress that video signal. From there it travels through a network until it reaches its destination. A decoder takes that compressed signal and turns it back into viewable video.
Latency, picture quality, and stream reliability are directly affected by the encoder and decoder performing that process.
Slow or outdated equipment causes bottlenecks which leads to lag.
That is why quality encoder and decoder hardware is so important for business video operations. Low-latency encoding/decoding has become table stakes whether you’re running a live production studio, hospital, security operation, or retail business with cameras in every location.
Businesses simply cannot afford delays or downtime in their video feeds.
Hardware encoders lead to significantly lower latency when compared to software encoders. Software encoders tax CPUs and often drop frames when multiple video streams are being processed simultaneously.
Improving Latency For Live Broadcasting, Security, Remote Operations, and More
There are several verticals that benefit significantly from low-latency video operations.
Live Broadcasting and Live Events
Real-time isn’t really real-time if you’re watching a live stream and someone comments on something that happened 10 seconds ago.
Whether you’re broadcasting a live event, running a live production operation, streaming auctions, or any other use case where video is being distributed to viewers in real-time… Low latency matters.
In fact, live streaming accounted for 62% of the total video streaming market in 2025.
Obviously live audiences want to watch things in real time. But low latency also becomes critical when your viewers are interacting through chat, polls, or second screen applications.
Security & Surveillance
Security is another area where every second counts.
Latency introduces delays that could mean missing important details in security footage. Quite literally.
Latency can mean the difference between catching someone in the act versus catching them after they’ve done something.
Security professionals don’t have that kind of lag. Sub-second latency is required from cameras to control rooms.
Remote Operations & Collaboration
Remote monitoring and collaboration covers a wide variety of business use cases. Video conferencing is just the tip of the iceberg.
Remote operations centers monitor equipment remotely, hospitals use telemedicine to diagnose patients, employees can receive virtual training, and quality assurance inspectors can process video from factory floors in real time.
All these operations require low-latency video feeds. Delays cause distractions and will only hurt productivity.
Imagine watching a video conference where the person speaking takes 5 seconds to pop up onscreen. Chaos.
Content Distribution
Whether you’re a content creator or a media distribution company… Speed is critical to your success.
Not only do you have to distribute content as quickly as possible, but you have to do it reliably across multiple platforms. Low-latency encoding/decoding allows businesses to go from local storage all the way to consumer devices faster than ever before.
Choosing the Right Video Solution for Your Business
When it comes to choosing a video solution for your business there are a couple things you should keep in mind.
First, make sure you have a hardware encoder in your workflow. Hardware encoders have been proven to perform better than software encoders time and time again.
Next, make sure your encoder supports the latest codec standards. H.265/HEVC offers significantly better compression without loss of quality when compared to older codecs.
Then consider scalability and latency. Will your encoder work with your current setup? Can it handle the number of streams your operation requires? Do you know the total end-to-end latency your encoder adds?
These are all questions you should be able to answer before purchasing broadcast encoding/decoding hardware.
Businesses should always purchase professional grade equipment from trusted manufacturers. You get what you pay for with encoders and decoders.
Wrapping Things Up
Providing quality video solutions for your business operations is no longer a luxury. It’s a necessity.
Live event production companies, security firms, remote collaboration businesses, and content distributors all require low-latency video solutions to do their jobs.
If you want your business to succeed, make sure it’s equipped to handle video.
And that starts with low-latency encoding and decoding hardware.
To review:
- Businesses rely on real-time video feeds to get their jobs done
- The right encoder and decoder can reduce video latency to nearly 0
- Live broadcasting, security operations, remote businesses, and content distributors all benefit from low latency video
- Purchasing hardware-based encoding/decoding equipment from reliable vendors is key to a successful setup
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