The number of IPTV households is forecast to grow from 5.8 million homes globally in 2006 to over 80 million in 2011, according to a new report from Strategy Analytics.
The technology research firm says that penetration of pay TV subscribers within this larger group of connected IPTV households will reach 51% by the end of 2011, producing a total paying subscriber base of 41 million homes.
Martin Olausson, senior analyst from the Strategy Analytics Digital Consumer Practice, said: “”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.
“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.”
David Mercer, VP and principal analyst at Strategy Analytics, said: “”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.”
A recent survey from Accenture and the Economist Intelligence Unit revealed that 60% of respondents believe that IPTV will generate significant revenues within three years (see IPTV Could Generate Significant Revenue Within 3 Years).
Meanwhile, a forecast from ABI Research said that IPTV take-up in mainland China will exceed 23 Million subscribers by 2012 (see Chinese IPTV Subscribers To Reach 23 Million).
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