MEDIA RELEASE PR36508
VoD Will Be Key to Pay-TV Revenue Success in Emerging Markets
CAMBRIDGE, Mass., Oct. 10 /PRNewswire-AsiaNet/ --
By 2014, 84 percent of all pay-TV net additions will come from emerging markets, however a successful pay-TV
VoD service in these markets will depend on a variety of factors, according to a new report by Pyramid Research
Pay-TV Video on Demand in Emerging Markets: Service Provider Strategies, Business Models and Five-year
Adoption Forecasts strives to answer whether there is a business case for pay-TV VoD in emerging markets. This
98-page report provides explicit explanations, examples, and case studies from a range of markets, including
Brazil, Chile, China, Hong Kong, India, Mexico, Poland, Russia, and the U.S. These cases highlight best practices
that can be emulated to build incremental revenue streams with pay-per-view, NVoD, push VoD, a-la-carte, movies
on demand, DVR and time-shifted TV, subscription VoD, free VoD, true VoD, and interactive VoD. The report also
includes an update on the status of pay-TV adoption and revenue across emerging markets, setting the stage for
an analysis of whether VoD can serve as a viable differentiator to help drive pay-TV demand or whether
investments in the service are doomed to fail. It concludes with VoD and DVR adoption and revenue forecasts
covering the world's largest emerging markets measured by pay-TV revenue and adoption - Brazil, China, India,
Mexico, and Russia - as well as forecasts for the U.S., the largest pay-TV market in the world. Download an
"By 2014, emerging markets will account for 69 percent of the global subscription total, with 84 percent of all
pay-TV net additions coming from these markets," says Dan Locke, Senior Analyst at Pyramid Research and
author of the report. "Almost half of the world's pay-TV subscriptions come from Asia/Pacific, mostly from China
and India. The next-largest emerging pay-TV nations are Russia, Egypt, Turkey, and Poland," he adds.
Even though most pay-TV subscriptions are found in emerging economies, the revenue opportunity in these
markets is considerably smaller than in developed ones, due to significantly lower pay-TV ARPS. "Low incomes
make high prices for pay-TV unaffordable for most in developing markets, and free or inexpensive alternatives such
as pirated content deters adoption even further," Locke says. "As a result, only 20 percent of pay-TV revenue
worldwide comes from emerging markets."
"A successful pay-TV VoD service in an emerging market will depend on a variety of factors, including the
network technology and architecture, content availability, consumer demand, and the competitive landscape,"
explains Locke. "Despite lower attach rates in emerging markets than in the U.S., Pyramid believes sizeable
revenue opportunities for VoD and DVR services still await due to the sizeable and largely untapped markets," he
adds. The report offers specific recommendations to operators, content providers, vendors, and investors.
Pay-TV Video on Demand in Emerging Markets: Service Provider Strategies, Business Models and Five-year
Adoption Forecasts is part of Pyramid's research report series and is priced at $2490. It can be purchased online
Vega via email at avega@pyr.com or telephone at +1 809 330 4520.
For more information about Pyramid Research's products and services, please visit www.pyr.com or contact us
at info@pyr.com.
About Pyramid Research
Pyramid Research (www.pyr.com) offers practical solutions to the complex demands our clients face in the
telecommunications, media and technology industries. Our analysis is uniquely positioned at the intersection of
emerging markets, emerging technologies and emerging business models, powered by the bottom-up methodology
of our market forecasts for over 100 countries - a distinction that has remained unmatched for more than 25 years.
As the telecom research arm of the Light Reading Communications Network, Pyramid Research works with Heavy
Reading, providing the communications industry's most comprehensive market data, trusted research and insightful
technology analysis.
About Light Reading
Founded in 2000, Light Reading (www.lightreading.com) is the leading online media, research, and focused
event company serving the $3 trillion worldwide communications market. Lightreading.com is the ultimate source
for technology and financial analysis of the communications industry, leading the media sector in terms of traffic,
content, and reputation. Light Reading's research arms, Heavy Reading and Pyramid Research, provide the most
comprehensive communications research, market data, and technology analysis in close to 100 markets around
the world. Light Reading produces nearly 20 targeted communications events including TelcoTV, Ethernet Expo
New York and Ethernet Expo London, The Tower Summit @ CTIA, and Optical Expo, as well as focused one-day
events tailored for cable, mobile, and wireline executives. Light Reading was acquired by United Business Media in
August 2005 and operates as a unit of TechWeb.
About TechWeb
business focused on serving the needs of technology decision-makers and marketers worldwide. TechWeb
produces the most respected and consumed media brands in the business technology market. Today, more than
13.3 million* business technology professionals actively engage in our communities created around our global face-
to-face events, Interop, Web 2.0, Black Hat, and VoiceCon; online resources such as the TechWeb Network, Light
Reading, Intelligent Enterprise, InformationWeek.com, bMighty.com, and The Financial Technology Network; and
the market leading, award-winning InformationWeek, TechNet Magazine, MSDN Magazine, and Wall Street &
Technology magazines. TechWeb also provides end-to-end services including next-generation performance
marketing, integrated media, research, and analyst services. TechWeb is a division of United Business Media, a
global provider of news distribution and specialist information services with a market capitalization of more than
$2.5 billion.
*13.3 million business decision-makers: based on number of monthly connections
About United Business Media Limited
UBM (UBM.L) focuses on two principal activities: worldwide information distribution, targeting and monitoring;
and, the development and monetization of B2B communities and markets. UBM's businesses inform markets and
serve professional commercial communities - from doctors to game developers, from journalists to jewelry traders,
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and sellers together, helping them to do business and their markets to work effectively and efficiently. For more
Press contact:
Jennifer Baker
+1 617 871-1910
jbaker@pyr.com
SOURCE Pyramid Research
CONTACT: Jennifer Baker,
+1-617-871-1910,
jbaker@pyr.com
(UBM.L)