SOURCE: eMarketer

August 23, 2006 09:00 ET

IPTV to Reach 8.7 Million US Households by 2010

New eMarketer Report Says IPTV Can Help Reduce Cable Subscriber Churn

NEW YORK, NY -- (MARKET WIRE) -- August 23, 2006 -- IPTV (Internet Protocol TV) has the potential to disrupt cable and Internet business models in the US, as well as the preferences of the consumers who use them. While that disruption is in the future, major changes that will promote that evolution are occurring now, according to eMarketer's new report, Internet Protocol TV: Global Trends - 2006.

Thanks to the increasingly widespread adoption of broadband, eMarketer projects that in 2010 there will be 8.7 million IPTV households in the US alone, up from 300,000 in 2005.

The revenue potential for IPTV as a stand-alone product is limited at best, says Ben Macklin, senior analyst, eMarketer, who authored the report. "However, as part of a bundle of services, which includes broadband and fixed and mobile voice, the value of IPTV will be in its ability to reduce churn and to perhaps recoup some revenue lost to cable companies offering voice services," he says.

eMarketer's Internet Protocol TV: Global Trends - 2006 report answers these key questions:

--  What is the current status of and what are the prospects for IPTV in
    Western Europe, North America and the Asia-Pacific region?
--  What do business executives within the IPTV sector regard as the major
    barriers to IPTV adoption?
--  What do consumers think of IPTV?
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