IPTV To Reach 25.9 Million By 2010

Internet Protocol Television (IPTV) is predicted to reach 25.9 million subscribers globally by the end of 2010, up from just 2.7 million at the end of 2005, according to new research from Informa Telecoms & Media.

The report, IPTV: A Global Analysis, claims that China will be the leading IPTV market, with 4.9 million subscribers by the end of 2010. The US is forecast to be in second place, with 3.4 million, while Hong Kong, the leading country in 2004 with 475,000 subscribers, will drop to eighth position by 2010, having been overtaken by the UK with 1.5 million.

Commenting on the predictions, Adam Thomas, the report’s author said: “IPTV is entering a crucial stage in its development. It is moving away from a technology under trial, into full commercial deployment.”

Thomas points out however that the market place is very competitive and IPTV providers will have to fight hard in order to attract subscribers away from other platforms.

“There are several ways it can do this,” claims Thomas, “including initiatives such as low price points, the licensing of unique content, or through technical innovations.”

IPTV provides pictures as good as television from digital, terrestrial, cable or satellite providers, but allows viewers to select what they want to watch from libraries of millions of movies and videos, making today’s multi-channel choice seem archaic.

Earlier estimates from Informa claimed that the strong growth in IPTV will be aided by rapid advances in digital subscriber line (DSL) penetration, with high profile launches within the area expected in the second half of 2005 and 2006.

Earlier this year, Microsoft completed a series of deals with telecoms operators in Western Europe and the US meaning 75% of fixed phone lines will use Microsoft software to access television services via broadband.