Revenue expected to swell to $86 billion
HONG KONG — Payboxes and broadband markets in Asia are on track to grow in the coming years, according to a study released today (Wednesday, April 18) by consultancy Media Partners Asia.“In 2006, Asia’s pay-TV and broadband industries generated turnover in excess of US$44 billion, which represented 0.4% of real GDP,” said Vivek Couto, MPA director of Content and Research. “This has the potential to grow exponentially.” In the next five years, regional payboxes and broadband revenue is expected to grow 11% to US$86 billion. By 2015, those industries are expected to hit US$102 billion. Digitization, ARPU growth and notable advertising growth will be the thrust of the growth, in addition to expected penetration levels of 50% after 2010. Advertising alone contributed 74% to the channel revenue stream in Asia, excluding Japan and Australia. This is expected to drop to 60% by 2015 as sub figures climb to 40%. Digital is making its mark. Last year, a record 12.5 million new digital set-top boxes were installed in homes across Asia. By 2015, half of pay-TV homes will have these boxes, according to the research. The 2008 Beijing Olympics is a huge motivator for China. The country had more than 12 million digital installations as of last year. Production of quality content with value-added services, such as HDTV and video on demand will also help drive China’s digital growth. The Olympics will be preceded by the debut of English Premiere League soccer matches, which will be shown on digital pay-TV in SD and HD formats starting this year. India, Korea, Japan and Australasia will also contribute new digital subs, which could hit a total of 30 million by 2010. Broadband growth will continue with impressive figures in Korea, Singapore, Japan, Taiwan, Hong Kong and Australia with a peak of 80-90% penetration by 2015. China comes in at 40%, Malaysia at 50% and India at 11%. While India’s broadband penetration is relatively low, its pay-TV penetration should grow from 61% of homes in 2006 to 84% in 2011, then a whopping 90% by 2015, according to findings. Pay-TV turnover in India is expected to hit US$10 billion in the next five years and US$16 billion by 2015. The study included 16 territories in the Asia-Pacific region.
Want Entertainment News First? Sign up for Variety Alerts and Newsletters!