IP, cloud and data technologies to drive next phase of growth Euro pay-TV

IP, cloud and data technologies to drive next phase of growth Euro pay-TV

   Joseph O'Halloran
   | 19 July 2016





Research from the Pay-TV Innovation Forum has found that European pay-TV service providers’ investment priorities include strengthening content packages, OTT distribution and user experience.

nagraThe initial findings from the first stage of the new global research programme explore the next phases of growth for the pay-TV industry and were published by content protection and multiscreen television solutions provider NAGRA and research and strategy consultancy MTM. The first paper sets the scene for the programme and reviews the innovation landscape for pay-TV in Europe, one of the advanced of such markets in the world.

The report shows that 92% of service providers are now offering multiscreen services, 49% providing access to third-party over-the-top (OTT) services on their platforms, and 30% offering standalone, unbundled OTT services.

Yet it also showed that even though so many providers offer advanced core services such as multiscreen TV, only a tenth include next-generation innovations in their consumer propositions, with telcos leading the way. In addition, few were at present delivering next-generation innovations, such as 4K/Ultra HD video (10%) and voice control (3%) at this stage. The report did note that these areas are set to develop over the course of the next five years, as European service providers are planning to innovate faster and prioritize their investments in order to meet growing consumer demand.

“It’s fascinating to see that Forum participants mentioned a strong focus on making their pay-TV product offerings better in the years to come, mainly in terms of content, packaging and OTT distribution, while expressing less appetite for expanding into adjacent opportunities,” observed Simon Trudelle, senior product marketing director for NAGRA.

“This also means that as competition intensifies, pay-TV service providers will have to accelerate innovation and time-to-market to create more value for their customers, with partnerships with vendors and multi-company collaborations set to become more important. With this in mind, it’s imperative that service providers continue to invest in next generation solutions that improve the user experience across all screens if they are to differentiate themselves, attract new subscribers and keep delivering revenue growth and profitability.”