What Exactly Is CTV (and How Is It Different from OTT?)

If you’ve tried to make sense of all the streaming terms floating around, you’re not alone. CTV and OTT are two of the most common, yet most misunderstood, acronyms in the world of streaming and advertising. They’re often used interchangeably, but they actually describe different parts of how modern television works.

Understanding these terms is important because they define how viewers watch content and how advertisers reach them. Let’s take a closer look at each one.

Connected TV, or CTV, refers to any television that connects to the internet and can stream content through apps. A CTV can be a Smart TV with built-in streaming capabilities, or a regular television paired with a device like Roku, Amazon Fire TV, Apple TV, or a gaming console.

If you can open Netflix, Hulu, or YouTube directly from your television, you’re using a CTV device. It’s the physical hardware that connects you to streaming content.

The shift toward connected TVs has changed how people consume entertainment. Viewers no longer rely on cable or satellite subscriptions to access their favorite shows. Instead, they stream on demand, often without traditional commercial breaks or fixed schedules.

For advertisers, this shift has opened up the most valuable screen in the home to the precision of digital advertising. CTV allows campaigns to target households more accurately, measure engagement more effectively, and reach viewers where their attention is highest.

Over-The-Top, or OTT, refers to the method of delivering video content over the internet instead of through a traditional cable or satellite provider. The term “over the top” describes how this content bypasses the traditional distribution systems that once controlled what we watched and when we watched it.

OTT isn’t about the device you’re using, but about how the content gets to you. You can stream OTT content on a television, a laptop, a tablet, or a phone.

When you watch Netflix, Hulu, Disney+, Peacock, or Tubi, you’re consuming OTT content. All of these services distribute video directly to viewers through the internet without relying on a cable box or broadcast signal.

OTT has made television viewing flexible and personal. Viewers can choose exactly what they want to watch, and advertisers can reach them across a wide range of screens.

The easiest way to think about it is that CTV is the screen and OTT is the stream.

When you open the Hulu app on your Roku TV, Hulu is the OTT service providing the content, and Roku is the CTV device displaying it. The two work together to deliver the full streaming experience.

Most OTT content today is viewed on connected TVs, which is why people often blur the distinction between the two. But they aren’t identical. CTV describes the hardware that connects to the internet, while OTT describes the content delivery that flows through it.

For advertisers, this distinction determines how an ad is classified. An ad that plays while someone watches Hulu on their phone counts as an OTT impression. An ad that plays while someone watches Hulu on a Roku or Smart TV counts as a CTV impression. Both use the internet, but they reach viewers in very different ways.

For advertisers, understanding the difference between CTV and OTT is critical for planning, targeting, and measuring campaigns.

CTV advertising refers to ads that appear on connected TV screens. These ads are typically shown within streaming apps and reach viewers in a “lean-back” environment, where attention tends to be higher and distractions fewer. The viewing experience feels similar to traditional television but is powered by digital precision.

OTT advertising is a broader term that covers all streaming video ads delivered over the internet, whether they appear on a TV, a phone, or a computer. OTT extends reach beyond the living room, allowing advertisers to connect with audiences across devices throughout the day.

In most modern campaigns, advertisers use a combination of both. CTV delivers premium big-screen engagement, while OTT ensures broad cross-device coverage. Together, they form the backbone of modern streaming advertising.

The growth of CTV and OTT has transformed television. Traditional cable viewership continues to decline as more households choose streaming-first options. This shift has reshaped advertising budgets, pulling billions of dollars from linear TV into digital video.

CTV brings the precision of digital targeting to the scale and emotional impact of television. Advertisers can now target by geography, household behavior, or audience segments and then measure how those ads influence conversions. OTT, meanwhile, has expanded viewing options for consumers, creating new opportunities for ad-supported streaming services and free channels that reach massive audiences.

Together, they have redefined what television means. Viewers now expect control, flexibility, and personalization. Advertisers expect transparency and measurable results. The CTV and OTT ecosystem delivers both.

CTV is the connected television or device that delivers streaming content.

OTT is the method of delivering that content over the internet.

Most OTT content is watched through CTV devices, but not all CTV ads are the same as OTT ads. Understanding the difference helps advertisers plan more effective media strategies, track performance accurately, and align creative for the right screen.

OTT delivers the content. CTV delivers the experience. Together, they represent the future of how people watch and how brands connect with them.