On-demand TV revenues to climb by 54%

August 15, 2012 – On-demand TV revenues from movies and TV programs (and excluding revenues from other sources such as sports and adult and also excluding SVOD packages and the internet) will reach US$6.0 billion in 2017, up from US$3.9 billion in 2011 and US$2.3 billion in 2007, according to a new report from Digital TV Research.

The On-demand TV Revenue Forecasts report estimates that the US will contribute US$1.8 billion to the total in 2017 – or 30% of the global total. The US provided 46% of the 2007 total. Italy will be second placed by 2017; doubling its revenues from its 2007 total. China (US$550 million) will be third by 2017; having risen from only $30 million in 2007.

From the US$3.7 billion extra on-demand revenues to be added between 2007 and 2017, US$1.2 billion will come from the Asia Pacific region and US$1.0 billion from Western Europe. The USA alone will add US$750 million, followed by China (US$520 million) and Italy (US$327 million).

Digital cable will generate US$2.74 billion in 2017 (or 46% of the total), up from US$1.61 billion recorded in 2011. The USA will provide US$944 million in 2017, with China second with US$418 million.

DTH/DBS will remain the second largest contributor, with US$1.7 billion in 2017. The US (US$610 million) will again remain the leader. The UK will take second place, with US$193 million.

IPTV on-demand revenues will overtake DTT in 2012 to become the third largest on-demand revenues platform. IPTV on-demand revenues will reach US$946 million by 2017. ‘DTT on-demand revenues are mainly confined to Western Europe, especially Italy (US$572 million by 2017).

By region, North America and Western Europe will still supply two-thirds of global on-demand TV revenues by 2017, although this proportion is down from three-quarters in 2011. However, on-demand TV revenues will increase by 145% in the Asia Pacific region over the same period to reach US$1.38 billion in 2017. China will provide a lot of this growth.

Read more: http://www.digitaltvresearch.com/ugc/press/41.pdf