Over-the-top (OTT) pay-TV revenue is forecast to grow from $5.8 billion in 2014 to just over $10 billion in 2018. The global pay-TV market totaled $117 billion in the first half of 2014 (1H14), that’s an increase of 3.9% from the first half of 2013 (1H13). Pay-TV subscribers reached 837 million in 1H14, growing 10% over 2013, with the strongest growth again coming from the telco pay-TV segment.
What happened to the legacy video entertainment market in America, and why has HBO announced that they will — for the first time — choose to bypass the traditional pay-TV distribution channel to reach new customers?
American telcos AT&T and Verizon added nearly a third of a million television subscribers in the third quarter of 2014. Between them they have 11.58 million video customers, up by 1.16 million over twelve months. However, the gains of the two telcos appear to come at the expense of other pay-TV service providers.
“The growing number of high-definition (HD) subscribers as well as major sporting events such as the World Cup 2014 have contributed to improving ARPU,” said Jake Saunders, VP and practice director of core forecasting at ABI Research. As a result, the total pay-TV service provider market is expected to generate over $269 billion by the end of 2014.
Tablet computers have replaced the TV in the bedroom as the must-have gadget for British children, with over one-third of those aged from five to 15 owning their own tablet in the UK, says Ofcom. The number of 5-15-year-olds using a media tablet to go online has doubled to 42% in the past year.
via The Guardian
Globally, pay television set-top box (STB) revenue — including IP, cable, satellite, and DTT STBs and OTT media servers — is up 4 percent in 2Q14 from 1Q14, to $4.8 billion. STB unit shipments grew 7 percent sequentially in 2Q14, but are down 3 percent from the year-ago 2nd quarter (2Q13). Cable television STB revenue increased by 3 percent sequentially in 2Q14, and unit shipments grew 4 percent during this same period.