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IPTV Equipment Sales Hit $424M in 1Q07: Report

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June 28, 2007

IPTV Equipment Sales Hit $424M in 1Q07: Report

By Spencer D. Chin, TMCnet Web Editor

According to a new report from Infonetics Research, worldwide IPTV equipment revenue hit $423.9 million in the first quarter of 2007.

 
The report, "IPTV (News - Alert) Equipment, Services, Subscribers, and Capex," shows worldwide IPTV equipment manufacturer revenue jumped 153% in 2006, easily passing the $1 billion mark.
 
While the IPTV equipment market is expected to grow at a more moderate pace in coming years, most categories are forecast to at least double or triple between 2006 and 2010.
 
"There are a number of architecture options besides pure IPTV now available to players who want to jump into the IPTV market. The hybrid over-the-air (DTT)/IPTV architecture is gaining in popularity throughout Europe and Asia Pacific, where many subscribers still receive their broadcast programming over the air (40% in EMEA vs. less than 15% in the US)," said Jeff Heynen, directing analyst at Infonetics Research.
 
Heyman noted that issues that have traditionally hindered IPTV deployment -- access network bandwidth, QoE, and middleware scalability issues – remain and will take time to overcome before IPTV becomes mainstream. “The manufacturers and systems integrators have all been working hard to overcome obstacles, like the lack of formal standardization," Heynen continued.
 
According to the study, global revenue from pure IP set-top boxes (STBs) rose 15% in 1Q07. Service providers worldwide saw pure IPTV service revenue jump 178% and hybrid IPTV/over-the-air service revenue 268% in 2006. The number of pure IPTV subscribers hit 7.3 million worldwide, and hybrid IPTV/over-the-air subscribers hit 1.6 million in 2006
 
Motorola (News - Alert) maintains its worldwide lead in the IP STB market in 1Q07. Of total IPTV equipment sales, 56% originated in Asia Pacific, 32% from EMEA, 11% from North America, and 1% from CALA.
 
Infonetics' IPTV report provides top player analysis, current and forecasted market size, and select market share for IPTV equipment, services, service revenue, subscribers, and content and transport infrastructure capex. IPTV equipment includes integrated digital headend platforms, video on demand (VoD) servers, IP video encoders, IPTV middleware/content delivery platforms (CDPs), and IP STBs. IP STBs, IPTV services, subscribers, and service revenue are split by pure IPTV vs. hybrid/over-the-air.
 
The report can be downloaded at www.info.infonetics.com.
 
Spencer Chin is a contributing editor for TMCnet. To see more of his articles, please visit his columnist page.
 
Don't forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP Communications industry. y. The library offers white papers, case studies and other documents which are free to registered users.
 

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