In the recent year, pay TV market has gone through several changes. Pay TV video encoders market has witnessed a strong growth over the past few years due to the increase in uptake of cable, satellite and Internet Protocol Television (IPTV) video services. The pay TV video encoders market is bifurcated into three categories: cable, satellite and Internet Protocol Television (IPTV).
Cable represents the most dominant form of pay TV services in most countries. Cable operators are facing tough competition from satellite and IPTV services. Satellite services are usually known as DTH. In the U.S., DTH has gained huge popularity and it is in the emerging phase in the developing nations. IPTV service is new as compared to the cable and satellite services. IPTV offers applications such as Video On Demand (VOD), games and interactive advertisements.
North America is the largest market for pay TV video encoders. Europe is the second largest market for pay TV video encoders. Asia Pacific is expected to be fastest growing market for pay TV video encoders.
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Increase in the number of digital channels, HD programming and launch of VOD applications, increasing penetration of advanced encoding formats such as AVC in various parts of the world and rising adoption of HD content are some of the major driving force for pay TV video encoders market. High cost equipment and long sales cycle and reduction in product prices are some of the major factors which hampers the pay TV video encoders market.
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Some of the major companies operating in the pay TV video encoders market include Anystream, Cisco, Digital Rapids, Arris Group, Akamai Technologies, Ericsson, Huawei Technologies and Polycom.