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IPTV eats into cable and satellite TV market share in Canada

Almost 10% of pay TV subscriptions in Canada are to an IPTV service, according to the latest figures.

In the third quarter of 2012, 9.6% of all pay TV subscriptions were to IPTV services, compared with 6.6% in the same period a year earlier and just 1.6% in 2007.

Analysts at research outfit HIS predict that IPTV will continue to take market share from cable and DTH, accounting for an estimated 18.1% by end-2017.

“Canadian telcos are adding IPTV subscribers at a rapid clip as Telus and Bell Canada engage in large-scale build-outs of their infrastructure in order to reach more potential customers,” said Erik Brannon, analyst for television research at IHS. “IPTV will continue to make strong gains in Canada in the coming years, eroding the dominant position now held by the cable and satellite services.”

IHS analysts noted that cable will suffer from the positive momentum in IPTV subs more than satellite, as has been the case in the US.

Telus is the largest Canadian IPTV provider with a 56% market share ahead of Bell Canada, which operates the Fibe TV service that has an 18% share. Aliant, SaskTel and Manitoba Telecom each have less than 10% of the IPTV market with their respective services.