DBS, Telcos Scarf Up Cable Video Churners

According to Infonetics Research, cable operators are steadily losing video subscribers to satellite and telco video services. The research house attributes much of the loss to difficult economic conditions, with cable subs churning to alternate providers' low introductory offers rather than reducing their cable service packages. Among Infonetics' other findings:

  • The global pay TV market (cable, satellite, and telco IPTV) totaled $137 billion in the first half of 2012 (1H12), a 9.4% increase over the same time last year.

  • By 2016, Infonetics expects satellite TV revenue to overtake cable TV revenue for the first time.

  • Global pay TV service revenue is forecast to grow at a 7% CAGR from 2011 to 2016, spurred by emerging markets Brazil, Argentina, Mexico, Russia, India, and China.

  • Latin America, the smallest but fastest-growing pay TV market, is on track to jump 23% this year to top $23 billion.

  • The number of global pay TV subscribers is expected to reach 719 million in 2012, up 6% from 2011.

  • While cable subscribers continue to make up the lion's share (60% in 1H12) of pay TV subscribers, growth is strongest in the telco IPTV segment, up 19% in 1H12 over 2H11.

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