Report: IPTV ecosystem continued strong growth in 2010

A new report from MRG Research says the IPTV ecosystem is adding about 10 new operators every quarter, some 50 percent of which are in North America. MRG said 22 new operators have launched IPTV service since 2Q2010, with vendors releasing a variety of new cloud-based IP video solutions, focusing on delivering OTT and managed IPTV entertainment mixed with linear TV and VOD. That trend, the company says, shows IPTV operators are hoping to better compete against incumbent pay-TV operators through a variety of new IP-based services, leveraging OTT delivery and and other forms of online entertainment options.

"Some smaller Telcos are looking at unmanaged OTT or hybrid OTT (including Digital Satellite or Digital Terrestrial plus OTT) to provide video services," said Jose Alvear, MRG IPTV Analyst. "It is yet to be determined how widespread the move to OTT really is, and how much it impacts new operator trials and strategies."

MRG recorded 20 vendor acquisitions in 2010, the total value of the 10 reported financial transactions was $1.95 billion. While the market forged ahead apace, No. 1 IPTV market leaders in six IPTV product segments held their place, MRG said. That wasn't the case, however, in Asia, where there was rapid subscriber growth in China and South Korea.

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