04.09.2007 04:35 PM
IPTV success to spur triple-play battle, says iSuppli

As the IPTV market ramps up worldwide, the competitive battle over the delivery of bundled voice, Internet and entertainment services — known collectively as triple-play services — is heating up, according to research firm iSuppli.

The technology value chain researcher forecasts the number of IPTV subscribers worldwide will grow from 3.9 million in 2006 to 103 million in 2011 — a compounded annual growth rate (CAGR) of 92.5 percent.

From the point of view of revenue, global IPTV revenue will exceed $39 billion in 2011, compared to $960.5 million in total revenue last year, iSuppli forecasts.

In North America, the IPTV battle lines have been drawn between the cable television companies and the telecommunications providers. The cable companies offer a significant installed base of pay television subscribers and fast data rates using their cable-modem technology as they expand their services into data and voice communications. For their part, the telecommunications providers view the cable companies’ incursion into the voice realm as an act of war, according to iSuppli.

The telcos have little choice but to respond. So, Verizon and AT&T are rolling out IPTV services using advanced broadband networks that feature higher data transfer rates. However, the cable companies are firing back by offering their triple-play solutions in order to retain their current subscribers and to attract voice and broadband subscribers away from the telcos, says iSuppli.

To learn more, read IPTV Update's interview with iSuppli principal analyst Frank Dickson: "Triple play battle will be 'bloody,' says iSuppli analyst."

For more information, visit: www.isuppli.com.

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