Interesting survey from net that I thought I'd share regarding Triple Play expenditures. They said, application and content service providers are really starting to ramp up their spending. These providers around the globe see triple play services not merely as a means of increasing top-line revenue, but as a means of self-preservation. Network operators are redefining and realigning themselves to be the one-stop shop for all things digital for residential and enterprise subscribers, and they believe triple play services will give them the competitive edge they need to succeed.
From the review, majority of service providers in the study plan to further increase capex spending in the next 12 months on IPTV equipment, broadband CPE, broadband aggregation equipment, and voice over broadband equipment, and they expect revenue growth in all areas of triple play services in the next 12 months. And a big chunk of revenue it is: The average percent of total company revenue from triple play services ranges from around 40% to 50% in 2006 to 2007. Again, they said - with nearly 40% of their capex budgets going to triple play service infrastructure, service providers are sending a clear message that the combination of voice, data, and video services is a long-term differentiator for them, and carriers are demanding complete interoperability, full standards compliance, and an open and flexible architecture from their suppliers to ensure the content and services they provide will work right out of the box and far into the future.
IP voice is a big draw for triple play providers, but it's video that's really the newest, most exciting, and most technically challenging part of triple play services, and IPTV is where all the action is. In fact, most of Asian service provider already offer IPTV, and that one offers it by 2007-2008 (I believed).
My review from findings in this industry (ref.Asia):
- Key drivers for most of service providers deploying triple play services are
1) increased broadband revenue per user
2) new revenue streams
- And most of them rate vendor interoperability a key technical challenge when rolling out triple play services
- The most pressing business challenge triple play service providers face is securing broadcast and on-demand video content; acquiring content is also a challenge
- iTV (interactive TV) is the fastest growing video service offered by service providers, bringing Internet capabilities directly to the TV screen, including instant messaging, shop at home, click to call and click to purchase capabilities, and, most significantly, online gaming services.
Next question: How much it will cost for us?
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