Worldwide Pay-TV Subscribers to Grow 5%, Despite Growing Shift to Internet TV Services in the US, Says ABI Research
Singapore – 19 Sep 2012 – The global pay-TV market continues to grow despite a decline in the North America pay-TV market in 2012. ABI Research forecast that global pay TV subscribers will reach 858.1 million at the end of 2012, a 5% year-on-year increment from 2011. The key growth will be driven by the Asian-Pacific market which is expected to add more than 27 million subscribers in 2012.
Cable TV operators in United States have been facing a continuous decline in pay-TV subscribers. In the first two quarters of 2012, Cable TV operators lost nearly 0.8 million subscribers, although their broadband subscriber base has continued to grow. IPTV, which has less penetration than cable or satellite in the US market, gained around 0.6 million subscribers during the same period.
“As broadband adoption grows, it is likely that pay-TV subscribers are switching to Internet TV services. Internet TV services are cheaper than traditional pay-TV services or even free of charge. Services such as Netflix, Hulu, YouTube, etc. are cheaper alternatives for pay-TV subscribers especially in these uncertain economic times,” said Sam Rosen, practice director of TV & video. ABI Research expects that the overall pay-TV subscriber base in North America at the end of 2012 will decline 0.2% from 2011.
Read more at ABI Research