Rising competition from over-the-top (OTT) media providers is encouraging pay TV operators to rethink their business models and devise more efficient profit-generating strategies. Furthermore, newcomers like MOBITV provide personalised, cost-effective, and adaptable alternatives to their consumers based on their needs, ensuring customer happiness. This is expected to encourage new and established firms to diversify their service offerings and maintain healthy market competition.
According to a recent analysis from MRS Research, the worldwide pay TV market is expected to reach USD 267.44 billion by 2028, with a CAGR of 1.7 percent during the projected period.
Because of the introduction of 5G technology, the IPTV category is likely to develop significantly over the projection period. Increased bandwidth and the ability to establish virtual end-to-end networks for specialised purposes are two important factors propelling the sector forward. Furthermore, the rapid spread of the 5G service model in emerging nations is expected to provide consumers with a 4K viewing experience. Furthermore, the integration of 5G with IPTV services is projected to boost the hospitality industry’s service offerings. The system is expected to make data gathering, analysis, and optimization more efficient, as well as provide guests with a more tailored TV viewing experience.
Snapshots from Around the World
In 2020, North America dominated the worldwide pay TV market, and the market is expected to grow in the next years. However, due to the spread of OTT platforms and internet-based entertainment in the region, demand for pay television is declining. On the other hand, increased interest among pay TV service providers in adopting the Integrated Broadband-Broadcast (IBB) system is expected to support the market’s growth in the forecast term.
During the predicted period, Asia Pacific is expected to increase at a spectacular rate. The primary reason for rapid digitalization and the development of Internet Protocol Television (IPTV) in nations like China, India, and Indonesia.
Highlights of the Report
- In 2020, the satellite TV segment dominated the global pay TV market, with a significant revenue share. The segment’s growth is being boosted by a growing trend among satellite TV service providers to broaden their service offerings.
- Residential had the largest revenue share in the global Pay TV market in 2020, owing to an increase in pay TV popularity in developing countries.
Perspectives on Technology
In 2020, the satellite TV segment had the biggest revenue share, with 50.00 percent. The growing need for newer networks, bonus features, and more sophisticated channels is encouraging service providers to expand their service offerings. The present trend of watching live broadcasts of programming such as news and sporting events is continuing to drive satellite TV usage. Furthermore, rising customer demand for high-quality viewing experiences such as 4K and Ultra HD (UHD) picture quality, as well as satellite TV service providers’ ability to offer these services without bandwidth limits, are boosting the segment’s growth.
Due to increased customer desire for access to and experience unbundled packages, the cable TV category also grabbed a large revenue share in 2020. Despite gaining a sizable market share, the future of cable TV providers does not appear bright. A growing number of cord-cutters have decided to forego paying for television entirely. The issue is that, instead of traditional cable TV subscriptions, an increasing percentage of families are now obtaining access to movies through other platforms. Furthermore, major cable TV providers such as AT&T, Inc., Comcast Corporation, and DirecTV have seen a significant drop in subscriber numbers as people migrate to other media streaming services.
Insights into Key Companies and Market Share
Some of the major companies in the pay TV business include DIRECTV, DISH Network Corporation, Carter Communications, Foxtel, and Comcast Corporation. Service providers have begun to offer many channels and to cover telecasts of a greater number of live events, such as sporting events, in order to gain a larger market share. Furthermore, service providers have begun to offer consumer-specific social media programmes, which allow users in the same geographic region to mingle and watch live sporting events together. For example, DIRECTV has released a mobile app for Android and iOS phones that allows sports fans in a certain area to interact and engage with one another, meet at pre-determined locations, and watch live events together. The following are some of the major players in the worldwide pay TV market: