The use of traditional television, such as cable and satellite, has been decreasing for several years now. The reasons for this are the availability of the Internet, the spread of mobile devices, and the rise of technologies such as 5G.
Today, people access varied content whenever they want due to IPTV (Internet Protocol Television). IPTV is what brings a superior quality of experience to viewers due to the convenience it provides.
Thanks to the demand for IPTV among users, content providers enter this market nearly every day. An IPTV business for ISP, government, and content creators becomes beneficial.
According to statistics, the IPTV market is projected to reach $146,2 billion by 2031, growing at a CAGR of 9,5% during the forecasted period of 2022-2031. It is quite popular in France, Canada, and the USA. And its usage is increasing in many other countries.
Let’s take a closer look at IPTV: what it is, how it works, and its positives and negatives.
What is IPTV?
IPTV stands for Internet Protocol Television. It is the technology that delivers video content over the Internet instead of cable or satellite. In comparison with OTT, which utilizes public networks, IPTV transmits content via a private network. It provides more control over the video traffic and quality of service to operators.
Leveraging IPTV allows companies to deliver VOD content, live broadcasts, and TV programs.
How Does IPTV Work?
To illustrate the IPTV way of operation better, let’s remember how traditional delivery methods work. Traditional TV transmits analog signals via cable and broadcasts content in real-time. Viewers can catch a particular program at a fixed time on a TV set.
IPTV sends signals over a private network. Also, IPTV services can store content on their servers, which means that viewers are able to access these videos anytime. It provides convenience and flexibility.
Sometimes IPTV platform can require a user to obtain a set-top box if a TV set isn’t compatible with IPTV networks. It is a device that converts signals sent via the Internet into a format that a user’s TV can read.
Pros and Cons of IPTV
Let’s list the advantages of Internet Protocol Television first:
- IPTV can deliver both live and on-demand videos.
- VOD content format allows viewers to watch videos at any time they want.
- IPTV can also provide time shifts and catch-ups.
- It doesn’t require cable or satellite to operate.
- IPTV allows the delivery of content to all internet-compatible devices, including TVs and laptops.
- IPTV services are usually less expensive than traditional television, which makes them more accessible to viewers.
- IPTV can deliver pictures of high quality.
Generally, IPTV provides more flexibility and convenience to viewers. They can watch any content format or catch up on programs they miss. Moreover, it is possible to access their favorite content on any device connected to the Internet.
What are the disadvantages of IPTV? Let’s see:
- Too many viewers on your service might cause a server overload, which leads to technical issues.
- IPTV requires a stable and high-speed internet connection, which can be unavailable in certain parts of the world. Moreover, IPTV can be more susceptible to outages than traditional television.
IPTV vs. OTT
IPTV competes with more popular OTT. They both use the Internet to deliver video content. However, unlike IPTV, which operates in a private network, OTT relies on an open Internet. For this reason, OTT is more exposed to connection breaks than IPTV. As a result, IPTV can deliver higher-quality content than OTT. Compared to IPTV, OTT has better accessibility.
The IPTV market is growing and is projected to keep growing. It is a perfect alternative to traditional television and a great opportunity for companies and organizations to launch their IPTV service and deliver content directly to viewers.