In-Stat: SDV to Give Cable Big HD Boost

Switched Digital Video (SDV) technologies are helping cable operators keep up the pace with expanding HD and super high-speed data services, according to In-Stat, the high-tech research firm. SDV can distribute video more efficiently over cable TV coaxial lines, enabling cable operators to better compete with DBS and telco TV rivals.

“Initial deployments will create a strong market for upgrades, which will become dominant in 2012,” said In-Stat analyst Gerry Kaufhold. “The strategic key to success for vendors will be winning early deployments, because follow-on upgrades will be lucrative. World-class professional services, staff training, and the ability to remotely monitor and repair SDV installations will be the winning formula.”

Recent research by In-Stat has found the market for SDV equipment, software, and services is expected to grow from about $165 million this year—to more than $1 billion by 2012. North America will be the biggest market, with Asia coming on strong later. Large cable TV systems will drive early growth for SDV. Medium cable TV systems will become an important segment as early as 2009. Even small cable TV systems will turn to SDV in large numbers after 2010.