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The era of convergence has ushered in a new avatar, IPTV-a
technology that combines the power of the Internet with the traditional value of
cable and satellite TV.
According to reports, IPTV subscriptions are expected to reach
53 mn by 2009 with service revenues touching $38 bn. It is predicted that Asia
Pacific region will lead the IPTV revolution. Unlike CAS and DTH, IPTV brings in
two-way interaction in the realm of TV viewing. Video-on-demand is another
feature, which is limited in DTH and not available in CAS. Moreover, an IPTV
service gives complete control to viewers with the ability to rewind, fast
forward and store programs (PVR/DVR). For service providers whose ARPUs from
traditional voice services are dwindling, IPTV provides greater margins. It also
provides them an opportunity to be innovative and experiment with content, for
which the demand is insatiable.
On a Growth Trail
Thus, the hype around IPTV is not without a reason and its demand is
expected to grow significantly in the Asia Pacific region. According to Frost
and Sullivan, IPTV subscribers in the Asia Pacific region are expected to reach
27.4 mn by 2013 with China and India being the high growth markets.
| According
to reports, IPTV subscriptions are expected to reach 53 mn by 2009 with
service revenues touching $38 bn. It is predicted that Asia Pacific region
will lead the IPTV revolution |
AT&T and Verizon have launched it in the US, and a number of
service providers including BT and Swisscom have launched IPTV services across
Europe. In the Asia Pacific region, Hong Kong is already a mature market with
PCCW as the world's largest IPTV provider. IPTV is also deployed in China,
Malaysia, Singapore, South Korea, Taiwan and Thailand.
In India, MTNL was the first to launch its IPTV services under
the name of Triband in November 2006, in Delhi and Mumbai. It provides four
services: TV channels, Video-on-demand, Time shifted TV and video calling and
plans to add video conferencing and gaming.
It's a Challenge!
With the emergence of DTH and CAS as alternatives for IPTV, the road
ahead is not a cakewalk. After its trials in August 2006, BSNL plans to launch
IPTV in New Delhi, Mumbai, Kolkata, Chennai and Bengalooru. Private operators
such as Bharti Airtel and Reliance Communications are also charting out their
IPTV plans and are expected to launch soon.
|
Leading
IPTV Providers |
|
Service Provider |
Brand |
Countries |
|
PCCW |
now TV |
Hong Kong |
|
AT&T |
U-Verse TV |
US |
|
Verizon |
FiOS TV |
US |
|
SureWest |
IPTV Services |
US |
|
Deutsche Telekom |
T-Home service |
Germany |
|
Belgacom |
Belgacom TV |
Belgium |
|
France Telecom |
MaLigne TV (now Orange
TV) |
France, Poland and Spain |
|
British Telecom |
BT Vision |
UK |
|
MTNL |
Triband |
India |
|
Telefonica |
Imagenio |
Spain |
|
Swisscom |
Bluewin TV |
Switzerland |
|
Telecom Italia |
Alice Home TV |
Italy, France, Germany
and Netherlands |
|
Fastweb |
Fast web IPTV Services |
Italy |
One of the biggest challenges is to build a robust network
reaching the masses. The private players would face the challenge of having
access to homes, as MTNL and BSNL own 94% of the last mile access.
The other issue is the availability of content as the operators
would be completely dependent on content providers and need to work out
synergies with them. Pricing and quality of service would be deciding factors.
It is clear that IPTV has a great future. The driver will not be
plain vanilla cable services but the applications bundled with it. What remains
is the need to streamline the services and develop an ecosystem which will
benefit all the players. Appropriate price points and attractive packaging is
also the need of the hour. But, for now, keep watching the space for there is a
lot happening.
Sonia Sharma
sonias@cybermedia.co.in
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