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Global sales of IPTV set-top boxes will soar to 7.9 million units in 2007, a growth rate of 111 percent, according to a report Strategy Analytics titled "IPTV (News - Alert) Set-Tops: SD, HD and DVR - Global Market Forecast."
The report predicts that more than 3 million HD-enabled IPTV set-top boxes will be sold in Europe alone this year as operators make the switch to H.264 technology. The share of DVRs (Digital Video Recorders) is also growing rapidly, rising to 29 percent of the global market this year from 15 percent in 2006 as IPTV newcomers seek to compete with satellite and cable incumbents.
"In our view, any IPTV system that does not have, or is not planning for, HDTV upgrades will not be competitive in the long term," said Peter King, director, Connected Home Devices, in a statement. "DVR functionality is also becoming an increasingly important competitive tool in the battle for new customers."
Strategy Analytics predicts that annual worldwide sales of IPTV set-top boxes will reach 33.5 million by 2012, by which time the global installed base will be 112 million units.
Asia-Pacific will be the dominant market, accounting for 45% of the installed base, followed by Europe at 33% and the U.S. at 13%, the report said.
Spencer Chin is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
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