Cable / Telecom News

Headend companies loving the telco TV boom


WITH MORE AND MORE of the world’s telcos adding subscribers and services, the companies making the headends which deliver the video signals are enjoying a boom, says research firm In-Stat.

"As more headends are built, the market for broadcast TV content-processing equipment will turn from newly built headends to headend upgrades," said Michelle Abraham, In-Stat analyst, in a release. "Many of these upgrades will be the addition or replacement of encoding equipment as more channels are added and encoding technology improves. The launch of new HD channels will be a driving factor for additional encoding equipment."

The research also found:

* The worldwide telco TV headend market will reach US$732 million in 2011.
* Broadcast content processing equipment revenue will stagnate, while middleware, content protection, and on-demand content will continue to rise.
* A video-on-demand (VOD) service has become a requirement for many telcos when they deploy telco TV, which has improved the market for on-demand equipment vendors.

www.in-stat.com