IPTV Q4 growth decelerates in the US: Study

MUMBAI: The growth of the US Internet Protocol Television (IPTV) market continued to decelerate in the fourth quarter of 2012, due to the impact of Hurricane Sandy and the slowing expansion of Verizon‘s FiOS service.

The two major US IPTV players, Verizon and AT&T, reported a combined gain of 326,000 video subscribers in the fourth quarter, down by 19 per cent from the 402,000 acquired during the same period in 2011, according to the IHS Screen Digest.

This marked the second consecutive year of slowing subscriber growth in the fourth quarter, with the total for the last three months of 2011 down 7 percent from 430,000 in 2010, as presented in the figure below.

For the year 2012, net subscriber adds for the two US IPTV services amounted to 1.3 million, down 14 per cent from 1.5 million in 2011.

Through 2017, both the major US IPTV players will continue to see their subscriber gains moderate as the market becomes more mature. By 2017, IHS Screen Digest expects that IPTV in the United States will account for 13.4 million pay-TV households, or 10.8 per cent of all pay-TV subscribers.

IHS senior analyst for television research Erik Brannon said, "Verizon‘s Fios accounted for the majority of the slowdown, as the fiber-to-the-home (FTTH) service added only 134,000 subscribers in the fourth quarter of 2012, down from the 194,000 gained during same period in 2011.

"The disruption caused by hurricane Sandy may have slowed FiOS‘s progress. However, the major reason for the deceleration is that FiOS is largely finished expanding its footprint into new geographic areas of the United States. FiOS‘s penetration is significantly higher than that of U-verse, causing long-term growth to slow for Verizon‘s IPTV service."

Fios Slowing-but Still Growing: Fiox in 2012 increased its video subscriber base by 553,000 to reach 4.7 million, up 13.3 percent from 4.2 million in 2011. This represents a 21 percent reduction from the 701,000 increase in 2011.

Fios‘ video penetration now stands at 33.3 percent, compared to 31.5 per cent at the end of 2011. Still, the largest US IPTV provider grew its video subscriber base by 13.3 per cent this past year.

The Expanding U-verse: AT&T continues to maintain its growth in its U-verse video services, as 192,000 subscribers joined in the fourth quarter of 2012, only 8,000 less than during the same period in 2011.

U-verse video subscribers grew 19.6 percent for the year and now stand at 4.53 million, closing in on FiOS‘s total video subscribers. With a much broader rollout of U-verse, the fiber-to-the-node service passes 72 percent more eligible video homes than FiOS. Given a significantly larger reach and low video penetration of just 18.7 percent, AT&T is also able to maintain steady growth in gains for its IPTV services.

All told, U-verse added 745,000 subscribers in 2012, down just 7.3 percent from 2011‘s net gain of 804,000 subscribers.

IPTV for Everybody: IPTV growth continues in the US, although at a reduced pace. Plenty of room for expansion remains as Fios focusses on penetration levels and U-verse stresses marketing to its lightly penetrated footprint.

Latest Reads
India, China to propel APAC, beat CAS Europe market share

APAC is expected to overtake the market share of Europe in future due to an increasing demand for digital TV set-up boxes in countries such as China and India. North America and Europe dominated the global CAS market in 2015. APAC region is estimated to mark a growth rate of 12.0 per cent CAGR...

Technology Hardware Set-top Boxes
India lucrative market for 4K UHD STBs: Grand View Research

Here’s a view on the demand for 4K or ultra high definition (UHD) set-top boxes (STBs) in India.

Technology Hardware Set-top Boxes
Infor appoints Dass as south Asian subcontinent V-P

Infor, a leading provider of business applications specialized by industry and built for the cloud, has appointed Ashish Dass as the vice president and managing director for the south Asian subcontinent. Infor software helps eliminate the need for costly customization through embedded deep...

Technology Software Applications
Siti & DishTV opt for Conax conditional access

The Essel group has been using Conax’s tech for sometime now for its Siti Network (earlier known as Siti Cable). Now the group has extended that partnership for another product for both Siti Network and DTH operator Dish TV India. This time it is for the cardless set top boxes that the two are...

Technology Hardware Set-top Boxes
Imagine Communications extends functionality of Selenio One unified transcoding platform to OTT

MUMBAI: Imagine Communications, empowering the media and entertainment industry through transformative innovation, today introduced a high-density adaptive bitrate (ABR) transcoding product built on Selenio One™, the company’s software-defined linear transcoding platform. Selenio One is designed...

Technology Hardware Components
DJI Makes Your Smartphone Smarter with the New Osmo Mobile

DJI, the world leader in creative camera technology, Thursday launched the Osmo Mobile, an extension for smartphones that turns them into intelligent, precision camera systems.

Technology Hardware Components
Prime Focus Tech gets funding from PE firm Ambit Pragma

MUMBAI: Prime Focus Technologies (PFT) – the technology offshoot of media services company Prime Focus - informed the Bombay stock exchange today that it had received its first round of funding from growth capital private equity fund Ambit Pragma.

Technology Software Applications
Three new products developed by C-DOT launched on its Foundation Day

Communications Minister Manoj Sinha today expressed the hope that 100,000 Gram Panchayats (GPs) will be connected through Optical Fibre Cable (OFC) by March next to set up a network infrastructure to serve the rural masses.

Technology Hardware Distribution
Genpact and BITS partner to build talent in the field of analytics

Genpact (NYSE: G), a global leader in digitally-powered business process management and services, today announced a partnership with premier technical education university Birla Institute of Technology and Science (BITS) for offering training programs in the field of analytics.

Technology Software Middleware

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories