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Friday, December 09, 2005

The Reality of IPTV

Interest in delivering television over IP networks has hit a fever pitch. In the past week there were more than a dozen announcements about partnerships, trials, or new technologies relating to IPTV.

In the United States, BellSouth will test IPTV in the Southeast, and there were also announcements in India (Microsoft), England (BT), and Australia (Yahoo).

IPTV should make the cable companies nervous (buh-bye local monopolies) as well as TiVo (pause, rewind, repeat). The net-net is that bandwidth is bandwidth, so before long we'll all have one fat pipe into our house, so the monikers "cable company," "telecom" and "ISP" will disappear. These industries should all stop trying to get regulatory protection and start focusing on delivering the best cross-section of services, because like Desperate Housewives, everyone is going to be in everyone else's business.

It's amazing that Microsoft through its many fiefdoms (MSN/WebTV/MSNBC) hasn't made interactive IP-based TV a reality by now. The door is wide open for Yahoo, Rupert Murdoch, or even Google to get healthy slices of the pie. But the advantages of video on demand, interactive shopping, and the ability to link to other content are too powerful to prevent someone from doing this right. According to IMS Research worldwide IPTV market will grow to more than 27 million households by 2010. It shold happen here first, not after Europe and Asia.

By John Gartner at 08:18 PM | Comments (0)

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