IPTV Subscribers to Triple in 2007 to 14.5 million, says iSuppli

IPTV

Global subscribers to Internet Protocol Television (IPTV) services is expected to nearly triple in 2007, helping to drive a strong increase in sales of wired communications equipment and related semiconductors for the year, according to iSuppli. 

Global IPTV subscribers will soar to 14.5 million in 2007, up a stunning 192.4% from 4.9 million in 2006, according to iSuppli. By 2010, worldwide IPTV subscribers will hit 63 million.

As the number of IPTV subscribers grows, telecommunications companies will spend more on equipment that can increase network bandwidth and capacity, while semiconductor sales to the communications gear market will also get a boost. 

  • Driven by the surge in IPTV, global factory revenue for wired communications gear will rise to $101.4 billion in 2007, up 7.2% from $94.6 billion in 2006. This growth rate is nearly double the 3.7% expansion in 2006.
  • Semiconductor sales to the wired communications gear market also will benefit from IPTV’s ascendance. Global revenue for wired-communications-oriented semiconductors will expand to $19.4 billion in 2007, up 18.3% from $16.4 billion in 2006. By comparison, chip revenue to the wired gear market grew by only 10% in 2006.
  • Long-haul optical WAN equipment will be the top-performing sector of the global wired communications networking equipment market in 2007, with factory revenue rising to $2.7 billion in 2007, up 40% from $1.9 billion in 2006.

IPTV brings new capabilities to television entertainment, including interactivity, integration with voice and data communications, personalization and value-added services. With the arrival of more competitors in the market, the variety and pricing of IPTV services will improve for consumers, iSuppli predicts.

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