IPTV is growing. How do you react?

Sun Streaming SystemAccording to a new report from Infonetics Research, worldwide IPTV equipment revenue hit $423.9 million in the first quarter of 2007 – after an incredible year 2006 where the worldwide IPTV equipment manufacturer revenue jumped 153%. As Infonetics states service providers around the world increased pure IPTV service revenue 178%. And 2007 seems to strengthen this growth. As comScore found out, nearly 75 percent of U.S. Internet users watched an average of 158 minutes of online video per user during the month. Google Sites topped the monthly rankings with both the most unique video streamers and most videos streamed.

According to comScore more than 8.3 billion video streams had been sawn online in US in May, and Google Sites once again ranked as the top U.S. streaming video property with 1.8 billion videos streamed (21.5 percent share of streams), 1.7 billion of which occurred at YouTube.com. Fox Interactive Media ranked second with 680 million streams (8.1 percent), followed by Yahoo! Sites with 387 million (4.6 percent) and Viacom Digital with 237 million (2.8 percent). But the average stream duration was only 2.5 minutes.

So is this competition to the traditional TV stations?
Yes and no. Yes: The new experience distracts from classical TV so it is competition. No – as there will be still a need for highclass movies with high quality. So traditional TV operators have to have an eye on the new competition.

The answer for them is Personalized Television: Give the consumer what they want – short snippets, long movies, high quality and everything customized. Sun just lowered the cost of high-capacity video streaming over IP to less than $50 per stream, roughly half the traditional cost. The new Sun Streaming System brings game changing economics while providing you integrated video caching, streaming, and optical transport – all in one high-density, integrated streaming system over IP. Have a look on this. And come, visit us at IBC this year. We’ll be there – keen talking with you.

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