National TV Digitization Drives 100% IPTV Growth in Asia

SINGAPORE — IPTV subscriptions worldwide will grow at 70% from 2012 to 2017 with 100% growth in the Asia-Pacific off a large base of 28.5 million subscribers. Global pay-TV subscribers will reach 853.5 million at the end of 2012, with 116 million IPTV subscribers.

Worldwide, cable operators are investing heavily in the digitization of their networks to compete with satellite and IPTV platforms. “Satellite and IPTV networks have been able to deliver better channel selection and higher quality signals than analog TV platforms. When faced with technology changes – including digital terrestrial (DTT) transitions and cable digitization requiring a set-top box, customers are likely to consider satellite and IPTV alternatives,” notes Sam Rosen, practice director, TV & video.

Asia-Pacific is the region with the highest potential of growth due to its market size and growing economy. The region will account for more than 60% of total net additions in 2012. The growth will depend mainly on China, India, and other countries with low pay-TV penetration such as Indonesia, Thailand, and Vietnam. Currently, less than 15% of pay-TV subscribers in the region subscribe to high-definition (HD) services.

HD service adoption is highest in North America, followed by Western Europe and the Asia-Pacific. “Key markets of the Asia-Pacific region, such as China and India, are carrying out nationwide cable TV digitization. Digitization is expected to increase HD services and adoption in the years to come,” says Khin Sandi Lynn, research analyst, core forecasting. More than 18% of total pay-TV subscribers in the Asia-Pacific will subscriber to HD services in 2012.

ABI Research’s new market data, “Pay TV Subscriber Market Data, Global” and “Pay TV Subscriber Market Data, Asia-Pacific,” are updated quarterly and profile global and Asia-Pacific pay-TV subscription information, respectively. Detailed market trends and market forecast information for key regions and countries around the world are provided where available.

The study is a part of ABI Research’s TV and Video Research Service.