Telco/IPTV subscribers to total almost 40 million in 2009

Telco/IPTV subscribers to total almost 40 million households worldwide in 2009, with significant implications to digital home development; Video services most compelling when bundled with converged applications, home networking, and unique value-added features

The number of subscribers worldwide to telco/IPTV services will approach 40 million by year-end 2009, according to international research firm Parks Associates. The strong growth in telco/IPTV services is due partly to aggressive provider deployments, according to the firm’s new white paper IPTV and the Digital Home, but the most successful rollouts will incorporate multiple services, such as home networking, convergence in entertainment and communications features, and unique interactive services such as quality on-demand programming.

“Telco/IPTV services are a core part of successful digital home strategies, but the appeal of these services is strongest when they are part of a complete service package,” said Kurt Scherf, vice president, principal analyst, Parks Associates. “To edge out incumbent pay-TV providers, telecom operators must move beyond the ‘killer app’ mentality and be holistic in their approach.”

Parks Associates reports the number of telco/IPTV households worldwide grew by nearly 80% in 2008 to exceed 20 million. The growth rate will exceed 50% in 2009.

“Beyond multichannel lineups, telecom operators can differentiate, generate new revenue opportunities, and pull subscribers away from competitors through service offerings that include interactive services, unique search and discovery elements, home networking, and enhancements to customer support,” Scherf said.

IPTV and the Digital Home provides analysis on key drivers that prompt consumers to switch television services and insight into core digital home areas. It includes data from surveys of North American and Western European consumers.