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In-Stat: Telco TV Poised for Robust Growth

Telecom providers globally are rapidly gearing up for a massive rollout of telephony-based TV services, according to industry analyst In-Stat. By the end of 2004 there were about 1.6 million telco TV subs, the high-tech market research firm said, and it forecasts the number will grow to 32 million by the end of 2009. (More than half the total will come from Asia.)

"Many telcos start their deployment offering broadcast TV and VOD," said In-Stat's Michelle Abraham in a company statement accompanying the analyst's report. "Advanced services like DVR, HDTV, and additional communications applications are layered on later."

The In-Stat survey concludes that while telcos Verizon and SBC are readying their commercial launches of TV service in North America, local franchise regulations, or the lack, thereof, will determine the pace. It also forecasts that broadcast TV content processing, on-demand content processing, content security, and middleware revenues for telco TV will surpass $600 million in 2009 in North America.