Asia/Pacific region holds great potential for IPTV, says In-Stat

The Asia/Pacific region is at the forefront of service innovation for online video development, and the region holds huge market potential, according to research firm In-Stat.

Online video revenue in the region will reach $2.87 billion in 2011, said In-Stat. The Asia/Pacific online video market is dynamic, and represents a wealth of opportunities for aggregators, ISPs, IPTV operators and traditional media giants. As a nascent market, however, business models within this area are diverse. Ultimately, each model must generate profit to survive in the future — a high volume of traffic alone won't suffice, the research firm said.

A recent report, "In-Sights: Asia/Pacific Online Video Market: Hot Market, Fuzzy Business" found:

  • The source of content will remain the key issue for online video service providers, and getting legal, cheap and exclusive content will be the greatest challenge for all providers.
  • Profitability will depend on developing more interactive and differentiated innovations, which will be necessary to attract and retain consumers.
  • Alliances with ISPs, IPTV service providers and media groups will become a feasible strategy for aggregators to survive and enlarge their business scope.

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