Digital TV now in majority of TV households

Joseph O'Halloran | 05-10-2012

Research by IDATE is suggesting that thepenetration of digital television in TV households has now passed the 50% mark and will climb to more than three-quarters of homes by 2016.

In the twenty-fifth edition of the “World Television Market” report, IDATE predicts that the number of TV homes worldwide will reach 1.502 billion in 2016, a near 10% rise over the previous five years driven mainly by governments’ability to steer the digital switchover of national terrestrial broadcasting networks, the popularity of IPTV and satellite pay-TV services within TV households and cable companies’ investments in upgrading their infrastructure.

Indeed, cable is set to maintain its position as chief access channel but will gradually lose ground to satellite and IPTV which will account for 30.0% and 7.3% of TV households, respectively, at the end of 2016. Moreover, despite the development of hybrid TV solutions, terrestrial TV will continue its decline and drop down to number three spot by 2016, with a roughly 26% share of the global market. IDATE also believes that development of hybrid solutions that combine live programming on broadcast networks (terrestrial and DTH) and over the top (OTT) video services over the open Web is a key variable in the future development of the various TV access modes.

Such growth in platforms look likely to drive pay-TV revenue by 12.1% between 2012 and 2016, with ad revenue will enjoy even stronger growth of 21.2% over the same time period. IDATE also predicts public financing/licensing fees continue to increase significantly (7%) over the 5 year period.

Commented Florence Le Borgne-Bachschmidt Director of IDATE’s TV & Digital content Business unit: "It is particularly important to put into context the transformational movements in television, which have never been greater than they are today, in order to measure the revolution taking place”.