U.S. dominates pay-HDTV market, SNL Kagan says

Pay-TV operators increasingly are using HDTV service to distinguish themselves in competitive markets, according to a new study from SNL Kagan.

The study, "Global High Definition Television Trends," finds that HD programming is shaping multichannel economics around the world, delivering competitive advantages and new revenue streams.

The United States dominates the pay-HDTV market with 6 million homes accessing HDTV via cable, satellite or IPTV subscriptions by year-end 2007, the study says. When free HDTV programming is included, Japan has the largest HDTV base with 9.2 million households by the end of this year. But Japan's market lead will be short-lived; SNL Kagan forecasts that the United States will take the top slot by year-end 2008 with 6 million additional homes adopting HD.

Canada and France lead the world in HDTV penetration of pay-TV households, according to the SNL Kagan analysis. Both countries will hold this penetration advantage for the foreseeable future.

SNL Kagan estimates that the top 10 HDTV markets will generate aggregate HDTV video service revenues exceeding $1 billion in 2007, $11 billion by 2014 and $12 billion by 2016.

For more information, visit www.snlkagan.com.