Corporate Acquisitions Transforming The IPTV Marketplace

A recent spate of corporate acquisitions is changing the burgeoning Internet protocol television (IPTV) market, recent research has suggested.

The number of independent IPTV providers is rapidly decreasing, which is creating a wide market gap, according to a report from New York-based ABI Research. Recently Swedish communications giant Ericsson acquired the broadband provider Redband Networks and Motorola announced in December that it was to acquire Tut Systems.

ABI Research principal analyst Michael Arden said: "Those first IP video equipment providers were small startups creating cutting-edge technologies that the larger vendors weren't nimble enough to do themselves. "Lately, as IPTV technology becomes more important - not only for telco TV but also for cable and satellite - the big companies need those technologies."

The larger corporations are now acquiring the smaller companies, which were the first on the market, Mr. Arden added. Recently it was found that the US is not among the top ten countries with the most IPTV subscriptions, reports Telephony Online. With 896,000 IPTV subscribers, France tops the list of countries with the most IPTV subscriptions, a new report from the marketing researcher Dittberner has found.

"There's a natural cycle of consolidation in every industry and the IPTV arena is no different", states Mark Weibel, EVP of Marketing for Broadband National, the industries leading comparative shopping website. "I wouldn't be surprised if this same thing doesn't happen in other high growth broadband products and services, VoIP being one of them"

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