Friday, October 3, 2008

IPTV miss the Olympic opportunity to show that chaotic market

     iSuppli's view, China Central Television (CCTV) in Beijing can not afford prior to the Olympic Games in Beijing to deploy IPTV (IPTV), that the IPTV market in a state of chaos, this is impeding the development of technology in China.

     At that time, even though there are indications that the CCTV in Beijing on the eve of the Olympic Games in Beijing to launch IPTV service, but that failed. As a major IPTV license holder and operator, CCTV is China's most influential television company. As early as 2006, CCTV plans to carry out IPTV business.

     CCTV is not only in the deployment of IPTV encountered problems. China Netcom is China's second largest fixed-line operator China and the North's main carrier, completed in 2007 to support 50,000 users of IPTV equipment to invite tenders. ZTE and Alcatel - Lucent successful. However, after two years of preparation and on-site tests, IPTV finally failed in a timely manner prior to the launch of the Olympic Games, many of the observers is expected to come to nothing.

     IPTV in Beijing, the slow progress in the IPTV reflect the general situation of China. IPTV broadcast media company and the telecommunications operators among the core of the conflict of interest has not yet been resolved.

     In addition, some digital television (DTV) the strong competition faced by IPTV is an obstacle. For example, in Heilongjiang Province is China's first deployment of IPTV services in the region, attract new users are experiencing difficulty. IPTV users in the province in August remained at 120,000. However, should also be noted that deployment of IPTV in Heilongjiang in the first year, only 10,000 IPTV customers.

     In contrast, IPTV in the healthy development of China Southern. China Telecom and Shanghai Media Group (SMG) of the strategic center of the Shanghai market, in August a total of 560,000 users. Jiangsu Province this year, the official deployment of IPTV services, only 8 months has attracted 150,000 subscribers.

     iSuppli expects that as China Telecom and SMG in the past two years between the formation of a mature partnership model, IPTV subscribers will continue to grow steadily. In addition, China Telecom in August just completed 50,000 IPTV set-top boxes and related network equipment joint procurement tender. This should allow market participants to believe, IPTV will be in China's telecommunications provider of integrated information to the goal to play an important role.

     In addition, the carriers between the joint procurement process will help reduce the IPTV set-top boxes and networking equipment, the overall price. At the same time, China Telecom is working to improve the OEM network equipment and IPTV set-top box interoperability between. iSuppli predicts that in 2008 China IPTV subscribers will reach 223,000.

     However, the Chinese IPTV industry as a whole has lagged behind its main rivals - digital television. iSuppli estimates that in 2008 seven months before the Chinese digital TV users increased by about 9,000,000 in July reached 37,000,000. iSuppli Corporation predicts that by the end of this year the total number of Chinese digital TV users will reach 43,000,000.

     In contrast, look at the situation from the users, IPTV is still at a very early stage.

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