IPTV industry displaying resilience to global turmoil
May 14, 2008 - The IPTV industry is showing resilience to global turmoil in the credit, oil and housing sectors, according to a new report from Multimedia Research Group (MRG), and increased revenues for telcos and IPTV operators remain in positive financial territory.
MRG’s latest biannual IPTV report forecasts that the number of IPTV subscribers will increase from 24.4mn to 92.8mn between 2008 and 2012, while service revenue will increase to US$ 37.1bn by 2012 and capex will rise to US$ 5.5bn. Europe's subscriber base is likely to remain “dominant” up to 2012, however Asia’s subscriber numbers are expected to nearly equal Europe’s by the end of the period, followed by North America.
The report also considers mergers and acquisition activity. “While the IPTV industry will continue on its M&A path toward consolidation in certain sub-sectors, such as DRM and middleware,” states MRG President, Gary Schultz, “there is no question that the IPTV industry will see unique new mergers and partnerships in the next 3 years.”
Steve Hawley, Senior IPTV Analyst for MRG, added, “We believe strongly that IPTV as a technology and as a business is already having major impact on the entire telecoms world, and will continue beyond 2012. The telecoms sector is thriving partially because of distressed sectors like transportation, housing and fuel, while investment continues in advanced communications technologies.”
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