IPTV vs Satellite TV

IPTV vs Satellite TV
Let us take the example of France:

On one side ISPs and telcos, such as Trance Telecom, Free, Neuf Cegetel, have launched IPTV services starting from end 2004 and respectively gained up to now some 180k, 159k, and 50k IPTV subscribers. Main advantages of ISPs and Telcos are offering triple play bundled services (voice, data and video), one bill and low prices (€30-€50/ per month). Video content is coming from TV Networks (including Canal+ or TPS). For example, Free and Canal+ are opening VOD services with an impressive movies catalog of about 700 movies by the end of the year and many more thousands films next year.

On the other side, Satellite Pay-TV, such as Canal+ and TPS that respectively have 3,4m and 1,4m subscribers. They provide video-only services and rent the set-top box.

The most important difference between IPTV and Satellite TV is market dynamics. While Telcos and ISPs are experimenting 300% customer growth rate (on low numbers however), TPS will add only 5k new subscribers in 2005, far short of its targeted 80k. So the take-up of IPTV in France is now starting to hit satellite TV companies, and should led in coming weeks to market concentration (Canal+ and TPS are in merger talks). If the trend is correct, telcos could become an increasingly important distribution channel for TV content.