Emerging trends for Pay TV globally

 

The Pay TV market has become more competitive than ever before. We now have a large range of devices, and means to access PayTV that ranges from set-top boxes, SmartTVs, dongles, smart phones, tablets, gaming consoles to PCs.

With the explosion of ways to access TV and video content, traditional PayTV broadcasters will no longer be able to control the viewing habits of consumers.

Growing broadband penetrations – both fixed and mobile – are likely to drive up IPTV consumption significantly, as high quality broadband becomes accessible in more locations across APAC & Australia. This may make a dent in the revenues for regular PayTV subscriptions.

Trends indicate that the future of digital media, including TV, revolves around video based services. Video streaming already makes up more than half of the download bandwidth in North America. APAC regions including Australia are expected to see video streaming growth as well, in parallel with increasing broadband availability. Providing high quality video content at fair prices via IPTV, may considerably reduce illegal downloads.

The 2014 FIFA World Cup has been a major driver for PayTV in 2014. With many new consumers signing up for the duration of the World Cup, it definitely improved 2014 PayTV revenues. Also Sony, FIFA and Globosat broadcasting some of the matches in the 4k Ultra-HD format has gotten the ball rolling for HD subscribers. ABI Research estimates that high definition subscribers will contribute to almost 45% of the overall PayTV subscription base.

As of now, SmartTV may not show much adoption. But Amazon’s Fire, Google Chromecast – both already available in Australia earlier this year – show much promise for easy IPTV streaming, and may provide tough competition to Apple TV. We’re also looking forward to Google’s Android TV, which like most things Google, may eventually change the playing field completely.

Do you agree? What are the most disruptive trends you’re looking forward to seeing in 2014?