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IPTV market growth intensifies

Posted: 11 Jan 2007     Print Version  Bookmark and Share

Keywords:Frost & Sullivan  IPTV 

The Asia Pacific IPTV market is up for a rosy future, according to Frost & Sullivan, as the IPTV subscriber base in the region is projected to reach 2.74 crore by 2013. Spurring this growth is the explosion of broadband service in high-growth markets across the region.

China and India are eyed as high growth markets for IPTV by 2009. With 4.78 crore subscribers, China has the largest broadband subscriber base in Asia Pacific in 2006, of which nearly 70 per cent are residential subscribers. China, combined with the already mature IPTV market in Hong Kong, is expected to contribute nearly 60 per cent of the total Asia Pacific IPTV revenues in 2013.

In Australia, IPTV is expected to enter growth in three years, as service providers are early in their adoption of IPTV services and are aggressive in their pricing strategies.

Frost & Sullivan highlighted that poor broadband infrastructure in key growth markets such as China, India and the Philippines plus the lack of quality content have restrained the growth of IPTV in the region. Moreover, access to quality content has been a common challenge for service providers.

While partnerships with content providers and broadcasting companies go a long way in securing access rights, the cable TV providers or the IPTV market leaders already have exclusive access to this content, Frost & Sullivan pointed out. This arrangement makes it difficult for other service providers to scale their service to meet the users' requirements.

Presently, IPTV is deployed in China, Hong Kong, Malaysia, Singapore, South Korea, Taiwan, and Thailand. The service will be introduced in India and in the Philippines in 2007.

Frost & Sullivan noted that as the service providers take the first few tentative steps, the response from IPTV users has been positive in most markets. Service providers need to look beyond immediate revenue opportunities to understand the long-term importance of IPTV as a carrier distribution platform, over which many consumer communication and entertainment services can be offered simultaneously.

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