The number of North American SVOD subscribers will reach 66.85 million in 2020, up from 50.62 million in 2014 and 16.68 million in 2010, according to the latest edition of the Digital TV North America report from Digital TV Research.
Overall, SVOD revenues will reach $6.91 billion in 2020, up by $2 billion on 2014. The number of North American homes paying for IPTV will climb by 23% between 2014 and 2020 to reach 18.05 million.
Meanwhile, the number of traditional pay-TV subs will remain flat at 110 million. However, pay-TV penetration will drop from 86.7% in 2010 to 82.6% by 2020 as the number of TV households climbs. The number of homes not paying for TV services will increase from 18.9 million in 2010 to 26.3 million in 2020.
OTT will paint a much brighter picture. Digital TV Research forecasts that OTT revenues will reach $10.39 billion in 2020, up from $6.85 billion in 2014 and $2.02 billion in 2010. (These figures do not include advertising revenues for the OTT players.)
“We do not see the OTT revenues coming solely at the expense of traditional pay TV,” comments Simon Murray, Principal Analyst at Digital TV Research. Most of the revenues will come from existing pay TV subscribers.”
This year’s TV Connect (28th – 30th April 2015 ExCel, London) sees Xavier Amatrain, Research and Engineering Director, Netflix, delivering a special keynote, while BT’s Jerome Tassel will be asking ‘Who Can Push Netflix into Check?’ Click here to download the brochure.