TV Everywhere is about to take off and "2012 will be a watershed year … as operators across the globe closely watch Comcast (Nasdaq: CMCSA), Cablevision (NYSE: CVC) and Time Warner Cable (NYSE: TWC) to see if adding these services will have a positive impact on subscriber churn and revenue," Jeff Heynen, directing analyst for broadband access and video at Infonetics Research said in a news release.
Heynen was citing information gleaned in two recent video reports from the research firm. "Video-on-demand (VoD) and Encoder Equipment and Video Subscribers" tracks equipment which is sold to MVPDs while "Set-Top Boxes and Subscribers" tracks IP, cable, satellite and hybrid set-top boxes and OTT media servers, the research firm said.
According to report highlights from Infonetics, the global video infrastructure market will grow 9 percent in 2012 and be worth over $875 million with five players--Huawei, Motorola, Cisco (Nasdaq: CSCO), ZTE Corp. (Shenzhen: 000063.SZ) and Concurrent (Nasdaq: CCUR)--holding more than two-thirds of the global VoD and streaming-content server market. Additionally, the research posited, much of the video infrastructure market growth will come from MPEG-4 HD encoders.
Set-top box forecast
Not surprisingly, considering the size of its potential audience, China is expected to outspend all regions on VoD and streaming content server gear, the research firm said. And, in a geographically related piece, the IPTV subscriber base will double from 2012 to 2016 "with the majority (of 168 million worldwide subscribers) in Asia and Europe."
"TV Everywhere and other multi-screen video initiatives are fundamentally changing the TV business model, which apps streaming live TV to iPads and telcos and cable companies offering home automation security and video conferencing to subscribers in an effort to make the TV the hub of the digital home," Heynen said. "Demand for digital, HD and premium video content and services will continue to drive revenue growth in the VoD and encoder market."
The set-top box market, he said, "won't far as well: despite increasing demand, overall STB revenue is expected to decline starting in 2013, due to falling ASPs."
- see the Infonetics release
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