ITV

Tag: Jake Saunders

  • Global pay TV subscriber base to surpass 1.1 billion in 2020

    Global pay TV subscriber base to surpass 1.1 billion in 2020

    MUMBAI: The worldwide pay TV market grew at a steady rate of four per cent in 2014 to reach 923.5 million subscribers according to a recent study by ABI Research.

     

    “Despite the growth in subscriber base, weak currency exchange rates resulted in a slower increase of pay TV market service revenue. Worldwide the pay TV market generated $257 billion in 2014 and is expected to surpass 1.1 billion subscribers in 2020 with a CAGR 2.7 per cent,” said Core Forecasting VP and practice director Jake Saunders.

     

    Cable and terrestrial TV markets had weaker growth rates in 2014 compared to satellite and IPTV platforms. However, high definition (HD) penetration is increasing across all pay TV platforms because of the increasing number of HD channels added by operators. In 2014, 44 per cent of the worldwide pay TV subscriber base were HD subscribers, with the highest HD penetration in Western Europe and North America. HD penetration is expected to reach 60 per cent of the total pay TV market in 2020.

     

    Pay TV operators are now moving towards 4K or Ultra HD service. In November, US satellite operator DirecTV launched its first 4K programming without any additional monthly charges to subscribers with its HD DVR, Genie and DirecTV 4K Ready television set, which is any of Samsung’s Smart 4K TV models. Online video streaming services such as Netflix and Amazon also started to offer 4K content in late 2014. When content availability and 4K TV set adoption increase, 4K services are likely to become a differentiator for pay TV service providers.

     

    In 4Q 2014, US cable operators lost roughly 100,000 subscribers while Comcast gained 7,000 subscribers. The country’s largest satellite TV provider, DirecTV gained 149,000 subscribers in 4Q 2014, which is the highest net addition since 2012.

     

    “As competition in the pay TV market increases, quality of content, innovations, and service pricing are among the important factors for pay TV operators to maintain customer base. ABI Research forecasts that the global pay TV market will generate $313 billion service revenues by 2020,” added industry analyst Khin Sandi Lynn.

  • IPTV to drive growth of global pay-TV market

    IPTV to drive growth of global pay-TV market

    MUMBAI: The worldwide pay-TV market is expected to have grown five per cent in 2014, surpassing 924.4 million subscribers. “IPTV is expected to grow a market leading 14 per cent in 2014, followed by satellite TV platform at seven per cent. The growth rates of cable and terrestrial TV platforms are expected to slow to around three per cent,” said ABI Research VP and practice director of core forecasting Jake Saunders.

     

    Global cable TV market growth is driven by the Asian-Pacific and Latin American markets. A combination of the two regions is likely to add over 13 million subscribers in 2014 while the cable TV market in North America is expected to decline approximately one per cent in 2014. In 3Q 2014, major cable TV operators in North America lost over 400,000 TV customers, although cable companies are doing well in broadband.

     

    Video streaming services such as Netflix and TiVo, which cost less than $10 in monthly fees are attractive alternatives for pay-TV customers. Traditional pay-TV operators are now trying to compete with these services by developing their own video-streaming products or by integrating these services in their existing services. Online video service Netflix has agreed to deals with some of the pay-TV operators in Europe to offer its streaming service to European broadband customers. Canadian companies such as Cogeco, Rogers Communications, and Shaw Communications also recently announced deals to offer Netflix’s video streaming service to their own broadband customers.

     

    Bundled packages help pay-TV operators try to reduce churn. In addition, HD channels, advanced PVR services and premium content such as sport content contribute to increased ARPU. “The worldwide HD subscriber base is growing on all pay-TV platforms. Approximately 57 per cent of total pay-TV subscribers will be HD subscribers by 2019. ABI Research forecasts the global pay-TV market will generate $324 billion in service revenues by 2019,” added industry analyst Khin Sandi Lynn.

  • China to have over 32 million mobile video users in 2008

    China to have over 32 million mobile video users in 2008

    MUMBAI: The mobile video market in China will take off in 2008, driven by interest in the Beijing Olympics.

    A new study from ABI Research published out of Singapore forecasts total mobile video users at more than 32 million in 2008. About 27 per cent of these consumers will use broadcasting technology, and 73 per cent will use unicast streaming technology, while a number of viewers are likely to use both.

    In 2006, SARFT, the Chinese State Administration of Radio, Film, and Television, announced two handset-related standards. DAB is likely to be the first phase of mobile multimedia broadcasting standards development in China. DAB paves the way for upgrading to China’s proposed mobile multimedia broadcasting standard, T-DMB, a terrestrial implementation of SK Telecom’s mobile video format.

    Because both standards are voluntary, there are questions surrounding their effect in the market. “It is likely that local media groups and TV stations will deploy DAB initially, and implement T-DMB at a later date,” 3g.co.uk quotes ABI research director Jake Saunders as saying. “The Chinese government will give preference to a standard that will be used in the 2008 Olympics, and DAB has been listed as one of the broadcast services that will be available at the Beijing Games.”

    “Although lack of content is still deemed to be a bottleneck for mobile video in mainland China, the problem will be solved in the next two years,” adds Saunders. “The current content shortage is caused by the limited number of handset TV SP licenses. When more companies obtain licenses, competition will become the lubricant to drive up the market.”

    Meanwhile in Hong Kong, mobile operators are active in mobile video streaming. Their international operations backgrounds allow them to provide diversified content to users.

    PCCW’s experience in operating its IPTV business will boost its performance in the 3G market. ABI Research forecasts approximately 715,000 mobile video users in Hong Kong in 2008, of which 99 per cent will be streaming users. In Taiwan, ABI Research forecasts that there will be over 1.5 million mobile video users in 2008, with 97 per cent receiving content via streaming.

    “Mobile Video in China” analyzes the mobile video market in mainland China, Hong Kong, and Taiwan. It lists the streaming mobile services offered by mobile operators in the three areas, discusses the regulatory environment in mainland China, and charts the directions that will be taken by mobile video development based on different technologies.