IPTV operators face substantial challenges adapting their networks to accommodate over-the-top video, according to IMS Research.
IMS Research’s Global Bandwidth Utilization Model estimates that in 2010 peak bandwidth utilization was 44% of capacity and that the bandwidth usage per household is forecast to increase by more than 50% between 2010 and 2015.
IMS Research also forecasts that pay OTT subscription services will generate a cumulative US$32 billion (23 million) in revenues globally over the next five years, and will account for a larger part of the market than pay-per-view services that enable users to rent or purchase videos on an ad-hoc basis.
ÂWhat we have now is a situation where the telcos are actively seeking solutions to optimize bandwidth,Â said IMS Research analyst John Kendall. ÂOTT is here to stay, and the telcos have accepted that.Â