Legacy resolutions continue to dominate DTH markets
Tuesday, September 11th, 2012
SD Channels Remain Vital to Global DTH Subscription Revenues Reaching $123 Billion in 2021
CAMBRIDGE, MA — Northern Sky Research (NSR)’s Global Direct-to-Home (DTH) Markets, 5th Edition finds the global DTH industry is still living in an SD world. With two SD channels entering the market for every HD channel, as well as SD subscribers outnumbering HD and DVR subscribers combined, the market remains dominated by the legacy resolutions; except for the measure that really matters: revenues.
“It’s easy to forget the larger picture when everyone talks about HD, 3D, OTT, and UltraHD being just around the corner,” stated Brad Grady, author of Global Direct-to-Home (DTH) Markets, 5th Edition and NSR Analyst. “Although DVR subscribers will generate the most in subscription revenues over the next ten years – driven by North America and Western Europe – over 64% of subscription revenues for the rest of the world will come from SD subscribers. As South Asia overtakes North America in total DTH subscribers in the next year, these growing markets will be a continued focus for the DTH industry. However, looking in the next five to ten years, a steady shift towards HD content and HD or DVR subscription tiers is occurring across the globe.”
From the satellite operator’s perspective, the gains from HD and SD channel leasing will be almost equal over the next ten years. As expansions into lower-income households become a common theme throughout the world, DTH platforms continue to increase their focus on retaining and expanding higher value subscribers. By 2021 global subscription revenues will be $123 billion, up from $79 billion in 2012. This growth is driven by the steady push into more markets for SD subscribers, and more value-added services for North America and Europe.
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