Competition to boost pay-TV in ME and North Africa

sofien72tu

Super VIP
Messages
25,214
Competition to boost pay-TV in ME and North Africa
By Broadband TV News Correspondent
March 16, 2012 11.50 Europe/London

The social and political turmoil that has rocked the Middle East and North Africa region has resulted in liberalisation measures that will open up the pay-TV sector. Digital TV penetration for the 16 countries covered in the Digital TV Middle East & North Africa report is already approaching 70% of television households.

Report author Simon Murray said: “Digital TV Research forecasts that digital penetration will reach 85% of TV households by 2017. Ten countries will achieve 100% penetration [and Israel will be the first to reach it – this year] by 2017. Penetration in Egypt, the largest Arab-speaking market, will be low at 58%. However, Egypt will boast 11.98 million digital TV homes by 2017, putting it into second-place behind Turkey [18.89 million].”

More than 56% of TV households watch free-to-air DTH signals. There are more than 500 FTA channels serving the Arab world, many of which do not operate in a true commercial environment as they are funded by their local government or by a wealthy patron. FTA DTH penetration will continue to vary considerably among the 16 countries, being highest in Algeria (88%), Jordan (86%), Lebanon (83%) and Morocco (83%) by 2017.

Only 12.6% of TV households legitimately paid for TV signals (analogue and digital) by end-2011. This proportion will climb gradually to 17.1% by 2017. Israel will record 78% pay-TV penetration by 2017, with two more countries above 50%. However, pay-TV penetration will be below 10% of TV households in seven countries. Even so, the number of pay-TV homes will double between 2007 and 2017 to 12.3 million, with Turkey accounting for more than half the total.

Legitimate pay-TV revenues for the 16 countries will grow by more than 20% between 2012 and 2017 to $3.67 billion. DTH will continue to dominate, though IPTV will grow fast and cable will lose share. Turkey and Israel are expected to contribute S$2.4 billion of the 2017 total, leaving only $1.3 billion for the remaining 14 countries (or an average of $91 million each).
 
Top