Worldwide Pay TV Hits $221B In 2013

The worldwide pay TV market continues to enjoy significant revenue, but future gains will be harder to come by. The global market of pay TV providers -- cable and satellite TV, and telco IPTV -- grew 5% in 2013 to $221 billion, according to the Campbell, Calif.-based market research Infonetics Research.

But the company says that as a result of lower priced over-the-top programming platforms and service providers, traditional pay TV revenue will be “constrained.” For example, Infonetics reduced its 2017 pay TV revenue estimate by 35% worldwide to just under $260 billion. Previously, its estimate was $400 billion.

Infonetics says the 2013 growth came from pay-TV providers in mature markets increasing average revenue per user especially among slow-growing/declining subscriber bases. Gains were also seen from pay TV operators in emerging markets.

It notes that worldwide pay TV subscribers grew 5% in the second half of 2013 to 756 million subscribers, with the strongest segment of growth coming from the telco IPTV pay-TV operators.

A recent survey from PwC showed that subscription revenues from pay TV providers will reach $212 billion by 2017, up from $172 billion in 2012 -- a compounded annual growth rate of 4.3%. This will be driven by rapid growth in the Asia-Pacific and Latin American markets.

Tags: iptv, media, tv
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