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Cable Technology Feature Article

July 31, 2013

BRIC Countries Keep Pay-TV Market Growing

By Raju Shanbhag, TMCnet Contributor

It's not easy to survive in a pay TV market. This is especially true in countries like India and China where most of the TV channels are free to air.

In its latest report, titled, "Pay TV Services and Subscribers," market research firm Infonetics Research (News - Alert) has focused on the pay TV market in BRIC countries. BRIC countries include Brazil, Russia, India, China. The report also provides worldwide and regional market share in the focused segment. 

The worldwide revenue from pay TV services is $287 billion. Companies all over the world are experiencing a huge customer churn and they include new services like home automation and multi-screen video. Although cable industry rules the roost in the pay TV segment, the report predicts that this is set to change. According to the report, satellite pay TV service will capture a market share of about 40% in pay TV market by 2017.

Other new technologies like Telco IPTV (News - Alert) services are also growing in popularity. This is important as the number of pay TV subscribers is steadily increasing and most of them are looking for new technologies to experience new innovations.

The pay TV market in India is still in its infancy. The market is flooded with free channels and the cable industry is hesitating to go the pay TV way because of the intention competition. But the introduction of high definition channels by satellite pay TV services and other interactive facilities like recording and Video on Demand may be the game changers in this country.

"Thanks to strong momentum mostly in the BRIC countries — Brazil, Russia, India, China — pay-TV revenue and subscribers continue to grow in the face of mounting cable subscriber losses in North America and Western Europe, where pay-TV providers are in danger of being relegated to the role of content aggregator,” cautions Jeff Heynen, principal analyst for broadband access and pay TV at Infonetics Research.

Recently, the company released another report where it stated that the tech sector is set for an impressive growth in the coming years.

Edited by Ryan Sartor

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