Passive TV is passé. Viewers today are taking control of their experiences, watching what they want, when and where they choose. Such changes create opportunities and challenges as the rules of production, distribution and consumption evolve rapidly. In this dynamic environment, many operators are poised to take leading roles. Embracing such changes, Ericsson is well positioned to be a prime mover and integrator, helping customers and partners secure their new roles.
More than 120 commercial mobile TV services have already been launched. More than 100 of these use cellular networks, over half of which were built by Ericsson. By getting the most out of existing infrastructure and spectrum allocations, these operators realize cost advantages over other would-be suppliers of mobile TV services. Since these are two-way networks, they make interactivity easy to achieve. Time-to-market is also reduced and wide coverage, both indoor and outdoor, becomes available quickly.
Internet Protocol TV (IPTV) demand will provide challenges for operators. Quality assurance and simple provisioning are essential for ensuring viewer enjoyment and satisfaction. Operators also need standards-based tools for creating and introducing new revenue-generating services, and to assure future flexibility as services evolve. IPTV is a key driver leading an architectural shift from legacy "best-effort" broadband networks optimized for internet surfing to high-performance broadband networks.
IPTV is still in its infancy, but analysts anticipate it will become a mass-market service within the next few years. From a base of 6.4 million in 2006, subscriptions are expected to reach more than double that in 2007, reaching 48 million households worldwide by 2010, the Gartner research agency predicts.
IP Multimedia Subsystem (IMS) - an open-standard architecture supported by all major telecom operators - offers a common control framework for fixed and mobile networks and devices. As such, IMS can help operators provide converged "quadruple-play" (combined telephony, internet, TV and mobile) services. It can uncouple such services from a device, linking them to the user's profile instead. IMS will therefore take the TV experience to a new level, combining communication and media services - fixed or mobile.
Ericsson leads the IMS market today with 36 IMS system contracts for commercial launch and 70 additional trials around the world.