Satellite video and IPTV expected to challenge cable TV by 2015

01 December 2011 |

Infonetics Research has forecast that the satellite video share of pay TV is set to increase, almost matching the cable TV share of paid video revenue by 2015.

This will be partly due to a decline in cable revenues. IPTV services are also expected to grow to 15% of the market.

The global pay TV market, which includes telco IPTV, cable and satellite video services, totalled $125 billion in the first half of 2011. The market is expected to grow to $353 billion by 2015. North America is currently the highest value pay TV market, despite second-place Asia-Pacific having nearly four times its subscriber base.

"In 2008, cable video made up 59% of the global pay TV market and satellite video brought in 38%. Now cable operators are being challenged by attractive pricing and services from IPTV and satellite operators, and by OTT video services like Netflix and Amazon On-Demand," said Jeff Heynen, Infonetics Research analyst.