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Australia - Snapshot Digital, Pay, Mobile TV mid 2010
Paul Budde Communication Pty Ltd, Aug 2010, Pages: 7
Telecom Investment Research Note
The digital TV transition is proceeding at a good pace and as a result most Australians will have switched over before the critical date of 2013. After years of hesitation the Free-to-Air (FtA) broadcasters have finally put their weight behind it, and an increased number of services are now available. They clearly have changed their focus from Internet-based services to digital TV and it looks as though this will remain the case for the next decade.
Towards the end of that period high-speed broadband penetration will have increased to such a level that this infrastructure will be able to carry HD video services also.
The pay TV operators are caught somewhere in the middle. Their main problem is the high prices charged for these services and people will increasingly have to make a judgement as to whether, with FtA and the Internet, they want to retain their pay TV subscription. So far, growth, while modest, is holding up but this will become more difficult to sustain.
With the apps available on smartphones the mobile TV market will also see dramatic growth; but here it will be not the traditional media companies that will dominate the market, but the digital media companies. Usage patterns will be very different between these three media and quite distinct markets will be developed around them. So it will not be a matter of ‘either/or’ – success will depend on developing relevant business models around each of them.
This report is a mid-year snapshot. For more detailed information on any of these markets see our separate reports.
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