| According to the report, with a market size of $11.7
billion, majority of revenue still comes from the basic cable TV service
segment.
Cable's dominance in part is attributed to increasingly positive
government support and, in some cases, intervention in individual
Asia-Pacific economies. The legalisation of private cable operation
in Taiwan has led to phenomenal growth in the country's cable TV
sector.
Telcos and broadband Internet providers gear up their infrastructures
for pay TV in Asia-Pacific. Cable TV service will account for 70.5
per cent of the total subscription revenue while satellite direct-to-home
(DTH) 27.3 per cent with other emerging services accounting for
2.2 per cent, said an official release quoting the report.
"Telecom carriers and broadband Internet providers are poised
to extend their presence in the Asia-Pacific pay-TV arena,"
says Yankee Group telecommunication strategies Asia-Pacific senior
analyst Agatha Poon. "By spending millions of dollars on infrastructure
and technology, telcos and broadband Internet providers have the
potential to upset the present balance of cable-satellite pay-TV
market. Content will be the key to drive demand for premium pay-TV
subscription beyond the basic package that constitutes the bulk
of the subscriber base today."
The report states that although much activity now revolves around
the delivery of digital cable TV services, traditional cable operators
will face increasing competitive pressure from DTH and broadband
providers in several Asia-Pacific economies including Hong Kong,
Korea, Japan, Taiwan and Australia. As innovative technologies and
service flexibility separate winners from losers at the operational
level, Asian governments should strengthen their role in pushing
market uptake through further deregulation and liberalisation, says
the report.
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