The Global Market for Triple Play Services is Projected to Reach 499.7 Million Subscriptions by 2020
Increasing Demand
for Cost-Effective Home Entertainment Services Drives the Triple Play Services
Market, According to a New Report by Global Industry Analysts, Inc.
GIA announces the release of a comprehensive global report
on Triple Play Services. The
global market for Triple Play Services is projected to reach 499.7 million
subscriptions by 2020, driven by the growing popularity of low cost bundled
services.
Triple Play Services refer to the integration or bundling
of telephone, television, and Internet services, delivered by cable, Internet
or telecommunications operators through a single cable. With service providers
such as cable operators, telecom operators and satellite operators entering
each other’s turf to compete in the conventional services market, service
providers are resorting to bundled packages to retain customers and expand
revenues. Benefits to customers such as single access user subscription for
data, video, and voice services; transaction with a single operator; convenience
through use of a single cable; and cost-effectiveness are driving adoption of
triple play services worldwide. For operators, triple play service bundling
reduces customer churn and increases revenue per user. A key factor driving the
expansion of the subscriber base for triple play services is the wave of
telecom de-regulation, which allows for maximum utilization of existing
infrastructure to provide Video-on-Demand, Pay-Per-View and other interactive
entertainment services. Technological advancements are also playing significant
roles in spurring the adoption of triple play services. Advancements in DSL have
made the technology the backbone for providing Triple Play services, while
ADSL2+ and VDSL2 are enabling provision of high definition, high-quality video services,
telephone lines as well as high-speed Internet simultaneously through a single
copper loop with speeds of up to 26 mbps and 100mbps.
Despite the opportunities for growth, the market will face challenges
such as decreasing use of fixed telephony in developed markets and the
resulting cannibalizing demand for dual and single play services. Another
threat to the conventional triple play services market is the addition of
mobile services to deliver what is being termed as quadruple play services. Increasing
use of mobile telephony and declining use of fixed line telephony services is
driving this trend. Advances in GSM and CDMA standards with UMTS, 3G, and 4G
technologies are enabling incorporation of wireless communications, thereby
aiding the trend towards quad-play. On the other hand, commoditization of
broadband services and technological irrelevance of fixed lined telephony
services are encouraging triple play operators to combine other value added
services to standard triple play offerings such as home automation service to
improve revenues and help consumer retention.
As stated by the new market research report on Triple Play Services, Asia-Pacific represents
the largest market worldwide. The region is also the fastest-growing market
with a projected CAGR of 26.9% over the analysis period. Growth in the region
is particularly being driven by China, which is expected to witness a surge in telecom
subscriptions in the coming years.
Major players covered in the report include Access Media
3, Inc., AT&T, Inc., BT Group plc, Cablevision Systems Corporation, Comcast
Corporation, DISH Network Corporation, Rogers Communications, Inc., Telefónica
S.A., Time Warner Cable Inc. and Verizon Communications, Inc. among others.
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