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Internet TV Faces Uphill Struggle

Posted: 11th Apr, 2006 By: MarkJ
Gartner predicts that competition, concerns over high pricing and content quality will make it a difficult market for new IPTV providers to enter:

The analyst firm projected that subscribers for television services over the internet hit 1.7m last year and expects them to grow at a 58.8 per cent aggregate rate until 2010, when the service is expected to attract 16.7 subscribers.

But despite the robust growth, IPTV providers will be forced to undercut the prices of entrenched providers to give consumers an incentive to switch.

Richardson noted that the UK currently has the smallest number of IPTV subscribers of Western Europe with only 75,000 projected for 2006. She expects this to increase drastically when BT introduces its BT Vision offering this autumn, but expects the region to remain a weak prospect for internet television because of the dominance of Sky TV.

No surprises there then, although we’d just be happy with a service that allows you to download your favourite shows without all the other junk and advertising to accompany it. More @ VNUNet.
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