Satellite TV in the Asia-Pacific region is eroding cable’s share of the pay-TV sector, with new estimates from Informa Telcoms and Media predicting satellite to take a 7.9% of the market by 2011, up from 4.2% in 2005.
The number of digital homes in the region is also expected to rise, increasing to more than 200 million by 2011, up from 21.1 million at the end of 2005.
Commenting on the predictions, Adam Thomas, author of the report, said: “The Asia-Pacific broadcast sector made more good progress in 2005, although mixed messages from China are still holding the region back from the exponential growth it is capable of achieving.
“Satellite is now giving cable a real run for its money, and the launch of a service in China later this year will see satellite’s share of the market grow even more quickly over the next five years.”
Internet protocol TV (IPTV) is also projected to enjoy a strong performance over the coming years, with Thomas claiming the technology is well positioned to become a firm rival to both satellite and cable formats.
According to In-Stat, IPTV services in Asia Pacific are forecast to increase by nearly 80% annually through 2010, with the market’s revenues predicted to reach $4.2 billion by 2010 (see Asia Pacific To See IP Reach $4.2 Billion By 2010).
The conversion to digital is also making progress, with the number of digital homes in the region forecast to rise to more than 200 million by 2011, up from 21.1 million at the end of 2005.
Thomas added: “Although digital TV will make major inroads over the next five years, by 2011 there will still be 40% of homes taking analogue signals. This shows that subscription and digital systems will still have plenty of room for growth well into the next decade.”
Earlier estimates from eMarketer echo this prediction, saying that among the leading countries in the area, there will be around 30 million households accessing digital television via cable, or terrestrial signals at the end of 2005, rising to 170 million by 2010 (see Asia Pacific Leads TV Market).
Asia Pacific: Share of pay TV market (%) | ||||
2000 | 2005 | 2011 | 2000/2011 change | |
Cable | 97.2 | 95.5 | 87.3 | -9.9 |
Satellite | 2.7 | 4.2 | 7.9 | 5.2 |
IPTV | 0.1 | 0.3 | 4.8 | 4.7 |
Source: Informa Telecoms & Media, April 2006 |