Eleven million viewers to switch on to IPTV

Analyst firm predicts rapid growth for the sector, but some raise questions over consumer take-up

The IPTV market will grow to 11 million subscribers in western Europe by 2010, according to analyst firm Strategy Analytics.

IPTV will play a significant role in Europe as the TV market continues the move from analogue to digital. However, IPTV will face competition from other platforms, such as cable, satellite and digital TV. By 2010, IPTV will be established as the fourth TV platform, but it will remain the smallest of the four, the analyst said.

Martin Olausson, senior analyst at Strategy Analytics, told CRN: “BT will launch IPTV in the UK later this year, as will Wanadoo [France Telecom]. BT’s main target is the 15 million homes that don’t already take a pay-TV service from either Sky or NTL/Telewest. Also, Sky will launch IPTV next year via its newly acquired broadband network Easynet.

“By the end of the decade, millions of households in the UK should use some kind of IPTV.”

Distributor Imago entered the IPTV market a couple of years ago.

It distributes set-top boxes from Amino, and encoders from Niagra and Optibase.

Ian Vickerage, managing director of Imago, said: “IPTV has already been a big growth area for us. A lot of hospitals use it to stream TV to patients. However, most consumers already have access to TV in their homes with a standard TV, so I can’t see it taking off in the consumer market unless there are specialist channels made available, such as an ex-pat TV channels for people living abroad.”

Colin Farquhar, chief executive of IPTV vendor Exterity, said: “We’ve been successful in the corporate, education and hospital markets, but the consumer side will accelerate. IPTV will target homes that don’t have satellite or cable television.”

[email protected]