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World Television Market

04/10/2012
The penetration of digital television in TV households passes the 50% mark
World Television Market


Publication of the twenty-fifth edition of the “World Television Market” report, is an opportunity for IDATE’s Media team to put into perspective the fundamental changes in the audiovisual industry, in France, in Europe and worldwide. For Florence Le Borgne-Bachschmidt, "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”. This report, founded on a very detailed database, provides key information (terrestrial TV, satellite, cable, IPTV, pay-TV etc.), for nearly 40 countries and 5 geographical areas.

TV access modes
According to IDATE, the number of TV households worldwide will reach 1.502 billion in 2016 (+9.4% in 5 years).

• Cable will the remain the 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.


• 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.


• The development of hybrid solutions that combine live programming on broadcast networks (terrestrial and DTH) and OTT video services over the open Web is a key variable in the future development of the various TV access modes.

Digital inroads
According to IDATE, the penetration of digital TV households worldwide will come to 77.6% of TV households in 2016. Three factors in particular will shape the development of digital TV:

• Governments’ ability to steer the digital switchover of national terrestrial broadcasting networks


• Cable companies’ investments in upgrading their infrastructure


• How popular IPTV and satellite pay-TV services are with TV households.

TV revenue
According to IDATE, the global TV industry’s revenue will come to €340.1 billion in 2012:

• Pay-TV revenue will grow by 12.1% between 2012 and 2016, or by an average 2.9% annually.


• Ad revenue will enjoy even stronger growth of 21.2% between 2012 and 2016.


• Public financing/licensing fees will continue to increase significantly (+7% in 5 years).

Pay-TV providers going international

• Pay-TV is nearing saturation in the world’s more developed TV markets. The emergence of new OTT video services on televisions and other connected devices increases the threat of cord-cutting.


• For a great many pay-TV providers in the West, emerging markets therefore represent vital sources of future growth.

Florence LE BORGNE-BACHSCHMIDT
Head of the TV & Digital content Practice
f.leborgne@idate.org

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