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Internet Protocol Television (IPTV) in China will experience only moderate adoption before it takes off in 2008, according to research firm In-Stat.
With the emergence of salient applications and a maturing technology, the market is expected to get a boost from the 2008 Olympics hosted by Beijing, In-Stat said. This is expected to result in 4.5 million subscribers and U.S. $231.3 million in set-top box revenue in 2008.
"Although many similar video services exist like analog TV, broadband Value Added Services, DVD and cable TV, IPTV promises some excellent interactive performance and ease-of-use," said Anty Zheng, In-Stat analyst. "In China, 360 million TV users and over 20 million broadband users give IPTV a huge potential subscriber base."
A recent report by In-Stat found the following:
More than 20 vendors such as UTStarcom and ZTE are providing IP STBs for carriers in China.
Nearly 90 percent of the total volume of set-top boxes will be sold to end users through bundling with carriers' service, with the remaining 10 percent being provided through traditional channels.
Media groups like SMEG and EastTV have set up agreements with telecom carriers to develop specific IPTV content.
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