DTH poised to overtake cable in rocketing pay-TV market

Editor | 03-07-2013

The global pay-TV market has continued its bullish growth over the last twelve months with revenues reaching $184 billion in 2012, an increase of 28.5% since 2008 according to a new market study by Digital TV Research.

The research found that number of analogue and digital pay-TV households grew to 772 million at the end of 2012, up from 585 million in 2008. Digital TV penetration of TV households climbed from 28.6% at end-2008 to 54.7% by end-2012.
Asia Pacific led the growth with two-thirds of the total global additions, 126 million households, during this period to bring its total to 433 million. China now accounts for 232.8 million households and India 116.7 million. North America (112 million) was the second largest region, although it only added 4 million. The US accounted for 100.2 million of these households.
In terms of penetration, the Netherlands boasted 100% pay-TV household penetration followed by Denmark on 97%; Belgium, 96%; Hong Kong, 96%; both Norway and South Korea with 95%.
In terms of platforms, cable of both digital and analogue varieties generated the highest revenues by platform, with $87 billion in 2012. However, the survey also showed that cable revenues are flattening and DTH satellite will overtake cable soon. IPTV revenues reached $12.0 billion in 2012, up from $2.8 billion in 2008. North America generates about half the world’s total pay-TV revenues.
Digital cable was present in 273 million homes, up by 43 million at the end of 2011, followed by 178 million pay digital DTH (up by 20 million) and 118 million free-to-air digital DTH by end-2012. Pay IPTV brought in another 69 million households (up by 18 million). Meanwhile, primary free-to-air DTT homes reached 138 million (up by 26 million), with pay DTT accounting for a further 9 million.