[opendtv] IPTV to soar-but few will pay for TV
- From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
- To: <opendtv@xxxxxxxxxxxxx>
- Date: Fri, 2 Feb 2007 16:21:46 -0500
http://www.dtg.org.uk/news/news.php?class=countries&subclass=0&id=2220
IPTV to soar-but few will pay for TV
The number of homes around the world watching internet protocol
television (IPTV) services will rise to more than 80m in 2011-but only
half will be paying for TV. That's the forecast from Boston research
house Strategy Analytics. Its report, Global IPTV Forecast: Homes, Users
and Subscribers, says just under 6m households were watching digital TV
delivered by an IPTV operator in 2006.
However, of those 6m homes, just 3.3m were directly paying for TV
programming, as telcos and internet service providers use the offer of
free TV bundled with broadband and telephony to lure new customers and
retain existing subscribers. Strategy Analytics expects that 3.3m to
rise to 40.9m in 2011.
"An intensely competitive consumer communications market is making
deployment of new services, like IPTV, a critical objective for many
service providers. But service structure and payment models used to
deliver IPTV vary widely by region and service provider," said Strategy
Analytics' senior analyst Martin Olausson.
"The traditional pay-TV definition breaks down in an environment in
which multiple IP services (broadband, VoIP and IPTV) are paid for by a
single fee, and in which a growing share of TV programming will not be
paid for via subscriptions." Olausson's colleague, David Mercer, added:
"The jury is still out on how much consumers are willing to pay telcos
for IPTV. Most telcos will likely offer customers a mix of free,
subscription and pay-as-you-go programming models."
Lovelace Consulting 02.02.2007
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