12 August 2008

Video Server Market On Health Growth Path

The video server market is pacing well and is set to reach a revenue of $1.5 billion by 2013, according to a market forecast.

Of the three, the telco TV market is showing the strongest growth, with a compound annual growth rate of 28% over 2007-2013. Cable will experience a CAGR of about 13.5%, while broadcast markets show the slowest growth at 8%, according to market research company ABI Research which has issued the forecasts..
 
“Cable, broadcast and telco TV are all highly competitive markets for video servers,” explained ABI Research industry analyst Zippy Aima. “Cable and broadcast are the more traditional modes of entertainment for consumers, but cable providers and telcos have been quicker to adapt to market trends and to offer innovative consumer services. But to remain competitive, even the broadcast segment has tried its hand at hybrid deployments and similar initiatives.”

As the latecomer to the television distribution game, telco TV has the advantage of employing the most current technology and the least legacy infrastructure. This, in part, explains the stronger growth in this segment, ABI Research explained.