Report: IPTV starting to grow in emerging markets
IPTV is starting to emerge from its chrysalis and spread its wings in several emerging markets, but it still has a long way to go, according to research from Informa Telecoms & Media.
Global IPTV subscriptions reached 29.7 million at the end of last year, which was up from 19.4 million a year prior.
The number of quarterly net new subscriptions for broadband-based TV services from telecoms operators and ISPs reached a record high of 3.2 million in the last three months of last year. But the flip side was that four countries accounted for nearly two-thirds of all IPTV subscriptions: France, the US, China and South Korea.
“The technology had only 5 percent of the multichannel-TV market and less than 2 percent penetration of the world’s households, despite services being available in over 50 countries,” said Rob Gallagher, Principal Analyst at Informa Telecoms & Media. “In many markets, services have simply struggled to make progress against cable, satellite and terrestrial TV competition,”
“But the potential for delivering broadband-based services to the TV should not be underestimated. Despite the low number of success stories for conventional IPTV, the underlying technology is increasingly being embraced by cable, satellite and terrestrial TV providers as well as Internet firms, media groups and consumer electronics manufacturers.”
IPTV has gained ground in markets where one or more competing forms of multichannel TV are absent or weak including: Iceland, 81 percent; Qatar, 80 percent; Cyprus, 67 percent; Slovenia, 35 percent; and Croatia, 25 percent. IPTV services also began to take the majority of net additions in some more competitive mid-sized markets in 2009, including Switzerland, Belgium, Singapore and Portugal, according to Informa.