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PwC: 27 percent of Aussies will buy IPTV by 2016

IPTV ≠ freetarding, may = Foxtel delivered in new ways

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Showing the kind of optimism that only large analyst firms can muster, PriceWaterhouseCoopers has boldly predicted that 27 percent of Australians will have an IPTV service by 2016.

Right now, IPTV is very much in its infancy in Australia, with a number of ISPs and carriers offering services but, in terms of the country’s eight million or so households, only moderate adoption.

Even so, the PwC entertainment and media outlook study says over the next four years, total penetration will rise to 27 percent – depending, of course, on the extent to which providers are able to overcome content rights-holders’ strenuous resistance to the upstart technology.

It’s difficult, however, to see where PwC’s optimism comes from. Australian households have shown fairly scant enthusiasm for Pay TV, with current penetration estimated at around 28 percent (according to a CCZ Statton Equities report earlier this year).

Part of it, presumably, would be a “might as well” response, since consumers increasingly receive IPTV capability as a built-in feature of TVs, games consoles and set-top-boxes. The analyst outfit believes as many as half of Australian households already own an IPTV-enabled device of some kind.

To El Reg, the bullish projection also seems at odds with the reasons consumers give for expressing an intention to pay for an IPTV service. While more than 80 percent cited “increased programming choice” as a key decision driver, followed by 40 percent citing quality of content, fewer than 20 percent of respondents said the service is worth the money.

Of course, Foxtel's enthusiasm for turning itself into an IPTV operation, added to its stranglehold on content, would allow the IPTV market to reach PwC's projections - with no net benefit or even growth in the rest of the Australian market. &reg

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Latest Comments

Foxtel?

In a nutshell - "PAY - IS - SHIT".

It's FUCKED.

It has MORE adds for CRAP, MORE OFTEN, than free to air, and it has MORE adds MORE OFTEN about their own fucking upcoming content on all their own channels.....

And they demand a premium price for ALL of this fucking shit.

And it's like 10 minutes of crap bullshit advertisement for every 5 minutes of movie.

It's not like the morons that sell this shit, run a whole documentary from end to end and then give a 10 minute break for adds - so everyone can go piss and make another cup of tea or whatever....

It's this dumb fucking corporate moron bullshit of demanding a HIGH PRICE for add saturated and almost non existent content.....

The very fact that your PAYING for content on a "private network", ought to mean that you get to see it the content, minus all the adds that comes with the free to air channels.

But Noooo there are so many fucking adds in an add break, and the add breaks are happening so often, it's like my bullshit meter went into overload in the first 10 minutes and I never ever entertained these idiots that sell this crap or the dumb shits that pay to sit there and watch it either....

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Content is king

Agreed, I download iView content to my PC and stream it to my TV, also the SBS catch-up service. Unfortunately Foxtel is wedded to the broadcast model and until they allow me choose to watch what I want, when I want, no Foxtel for me regardless of how it is delivered.

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depends on the offering

Well, the current ISP provided options (usually fetch tv) still require long contracts and physical hardware. 50% of people I know, (older family included) have a media player and or pc of some kind attached to their tv.

Looking at stats which show abc iview is viewed on PCs, I think that misses the point, many (most?) of these 'pc's are really media source for a proper full size TV.

IP TV will see its day if someone can drop the contracts, make it a monthly service, and one that can be watched via a web browser on a pc. All of sudden you'll be able to have pay services and abc iview side by side on the one device, and you'll be able to sign up to trial it lightly instead of being scared of the contract.

At this point, it will take off. If that happens before 2016, then I think there will be no trouble hitting that target. The customers are ready but the industry needs to adapt a bit more to close the gap.

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