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IPTV: Finally, a Profitable Video Service?

This analysis explores the burgeoning field of IPTV services across Europe, with significant deployments by major telecommunications operators since 2004. As traditional fixed-line revenues decline and broadband becomes a commodity, the market is ripe for growth. Key operators are launching or expanding their services, with the projected subscriber count reaching 10 million by 2009 and potential revenues exceeding $2.5 billion. The success of IPTV hinges on effective network transformation, marketing strategies, and customer support. Discover the opportunities and challenges ahead in the IPTV landscape.

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IPTV: Finally, a Profitable Video Service?

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  1. Jan Hein Bakkers Research Manager European Broadband Markets and Technologies IPTV: Finally, a Profitable Video Service?

  2. IPTV is Hot! PTTs across Europe are deploying IPTV France Telecom – launched 2004 Telefonica – launched 2004 Belgacom – launched 2005 TDC – launched 2005 Telecom Italia – launched 2005 TeliaSonera – launched 2005 British Telecom – to be launched 2006 Deutsche Telekom – to be launched 2006 KPN – to be launched 2006 Swisscom – to be launched 2006 Telekom Austria – to be launched 2006

  3. IPTV - Why Now? • Traditional fixed line revenues under pressure • Broadband access is becoming commodity • Competitive pressure • Technology is ready • Content industry is starting to open up for digital distribution

  4. IPTV – Market Opportunity • 2006 is key year: major operators are expanding or launching service • Market environment is very different from country to country • 10 Million subscribers in Western Europe by 2009 • Subscriptions will be main source of revenue • Differentiation is key • Western European opportunity for IPTV subscriptions is almost $2.5B by 2009

  5. Successfully Deploying IPTV – Issues • Network transformation • Marketing strategy • Organization/human resources • Scale • Customer support • Partnerships

  6. Questions? Please email me at jbakkers@idc.com

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