Global pay TV market poised to reach $260 billion by 2027, report
The global pay TV market size is anticipated to reach $260 billion by 2027, exhibiting a CAGR of 1.7 per cent over the forecast period according to a report by Research and Markets.
Rising competition from OTT media providers is prompting pay TV operators to disrupt existing business models and strategize more efficient profit generation methodologies.
Additionally, emerging players, such as MOBITV, offer customized, cost-effective, and flexible options to their customers according to their demand, thus ensure customer satisfaction. This is expected to prompt new and existing players to diversify their existing service offerings and ensure healthy competition in the market for pay TV.
The IPTV segment is expected to witness significant growth over the forecast period due to the advent of 5G technology.
Increased bandwidth and enhanced ability to build virtual end-to-end networks for specific applications is a major driving factor for the industry. Additionally, the rapid proliferation of the 5G delivery model in emerging economies is expected to provide consumers with a high-definition 4K viewing experience.
Moreover, the adoption of 5G integrated with IPTV services is expected to enable the hospitality industry to improve its service offerings. The technology is expected to facilitate more efficient data collection, analysis, and optimization to offer more personalized television viewing experience to the hospitality industry.
Furthermore, Multi-access Edge Computing (MEC) technology is expected to bring content and applications closer to the network edge, thus reducing latency and enable service optimization. MEC facilitates users to access content with minimum delay and increase IPTV network capacity via Software-Defined Networks (SDN), which improves the user's quality of experience, thus offering encouraging growth prospects to the market.
Additionally, MEC is also expected to offer enhanced security to the network system by safeguarding viewers' information and television viewing trends, which is expected to drive the market for pay TV over the forecast period.
Rising demand amongst customers to access television from anywhere in the world on various devices such as mobile phones and tabs is promoting service providers to adopt cloud computing methodologies.
Cloud computing offers a flexible and unified platform to holistically manage content monetization and security, thus enabling service providers to simplify business practices. Furthermore, the adoption of cloud technology also enables service providers to leverage the as-a-service' business model, thereby helping to generate new and sustained revenue streams.