Blu-ray players, game consoles and TV sets are connecting to the Internet, and everything on the Internet is becoming accessible on smart phones and other connected devices. Internet video is the new “must have” service. Hybrid Web-to-TV Set Top Boxes will bring a new set of Internet services to TV sets, by integrating Internet capability into cable, satellite, telcoTV (IPTV) and digital terrestrial set top boxes. Work is being done to create “hybrid” services that bring “apps” and “widgets” to TV programming, according to In-Stat. The value of Hybrid Set Top Boxes that are immediately put into use will reach US$ 1.3 Billion worldwide by 2014.

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Report: Worldwide Hybrid Web-to-TV Set Top Box Market Will Reach US$ 1.3 Billion by 2014

Many CE suppliers are deploying strategies that will result in quick proliferation of 3D devices into consumers’ homes. IMS Research estimates that 5.99 million 3D TV sets will ship worldwide in 2010 and forecasts that over 218 million 3D TV sets will ship cumulatively from 2010 to 2015.

In a recently published study entitled 3D Video & Gaming in the Home, IMS Research identifies popularity of 3D theatrical releases and intense competition in the home entertainment space as some of the key drivers behind the deployment and aggressive pricing of 3D TV sets. Anna Hunt, report author and principal analyst at IMS Research, states, “Within five years, the majority of high-end large-screen TV sets and Blu-ray Disc players are likely to offer 3D capability. The price premium of 3D models in these markets over similar 2D products is expected to diminish quickly. Without a significant price premium, consumers are likely to future proof their purchases by opting for devices with 3D.” IMS Research forecasts that by the end of 2015, over 241 million homes will have a 3D Blu-ray Disc player and over 280 million TV households will have an HD set-top box.

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Penetration of 3D-capable CE Expected to Grow Quickly

Multimedia Research Group announced that its new report on global growth of IPTV will reach 102 million subscribers in 2014, a 25% CAGR. By 2014, Europe will have 45% of the global market, Asia 31%, North America 19% and ROW about 5%. IPTV Operators are using “discreet upgrades” to match and surpass Cable competition. However the expected fast-growth in China IPTV growth has not materialized, due largely to regulatory barriers that favor the large Cable competitors.

The Eastern European IPTV market is moving quickly to early maturity, while ROW markets show faster gains than other regions. “As late as 2007, Eastern Europe had only a few IPTV trials or startups. Now, there are 16 fully operating IPTV Operators and another 3-6 in trial,” says Jose Alvear, IPTV Analyst with MRG. “These Operators continue to grow their service base, because they have much greater technical and creative control over their service than their Cable competition.”

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MRG Reports Global IPTV Service Revenue Growing to US $46 Billion by 2014

IPTV network operators face a complex array of issues and challenges as they scale their networks to deliver more robust services to a wider group of customers, and those challenges aren’t limited solely to subscriber headcount, according to the latest report from Heavy Reading Insider, a paid research service of TechWeb’s Heavy Reading.

IPTV Scaling Presents a Multidimensional Challenge examines how IPTV systems are changing in response to growing demands from customers and service providers. It examines how systems deal with increasing reach and numbers of subscribers, and with growth in the amount of content and data volumes for managed and unmanaged delivery. It assesses how systems are evolving to deliver video content to multiple devices, and how IPTV platforms are supporting the development of innovative applications. Eleven leading IPTV system vendors are profiled and analyzed, with a focus on those with end-to-end or near end-to-end capabilities.

Report: Telcos Face Complex Challenges in Scaling IP Services

Market research firm Infonetics Research published 3 video-related market research reports in June: 2 first quarter of 2010 (1Q10) market share and forecast reports, Set-Top Boxes and Subscribers and Video Infrastructure and Subscribers, and its new IPTV Services Deployment Strategies: Global Service Provider Survey.

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Report: Pay-TV Operators Pause Investments as Subscribers Slow, Competition Accelerates