Television Services Market Size, Share & Trends Analysis Report By Delivery Platform (Digital Terrestrial Broadcast, Satellite Broadcast, Cable Television Broadcasting Services, Internet Protocol Television (IPTV), Over-The-Top Television (OTT)), By Revenue Model (Subscription, Advertisement), By Broadcaster Type (Public, Commercial) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Market Overview

The Television Services Market size was valued at USD 396.91 billion in 2023. It is projected to reach USD 590.90 billion by 2032, growing at a CAGR of 5.10% during the forecast period (2024-2032). 

Television services include the ability to access music, videos, and news as well as other entertainment and informational content that TV service providers over a television set to broadcast. The broad-scale shift from traditional broadcasting to broadband broadcasting is currently occurring in the television industry. The television industry is moving away from broadcasting to the internet because viewers prefer on-demand video and audio content to traditional transmission. People are switching from cable and satellite television to over-the-top (OTT) and internet protocol television (IPTV) services, mainly due to the industry's rapid digitization. The COVID-19 pandemic epidemic also benefited the television services market, and there is a significant rise in the number of people watching television and listening to audio and video information.

Market Dynamics

Global Television Services Market Drivers

Technological Developments in the Broadcast Sector and Rising Interest in Smart TVs

The introduction of technology in the broadcasting sector and the spike in demand for connected and smart TVs are two key factors driving the expansion of the TV services market. The manner that TV viewers take in television content has also changed over time. For instance, more and more TV households want regular services, high-definition visual quality, and convenient and affordable access to TV services. A new trend in TV broadcasting services predicted to increase demand for television services is the pairing of satellite television and the internet.

Additionally, satellite broadcasting technology is growing increasingly in popularity in the modern period. Millions of individuals worldwide get access to knowledge with only one beam. High dynamic range (HDR) TV is another innovation that has dramatically sped up the market's expansion in the TV sector. It is a TV with integrated support for at least one HDR format. High-quality displays and services on HDT TV are dependent on these formats. It is quickly gaining popularity because it offers stronger highlights and a broader spectrum of color depth for a punchier image. Furthermore, as more people watch content on OTT platforms like Netflix and Amazon, the introduction of smart TVs fundamentally alters consumer preferences for TV content.

Global Television Services Market Restraint

Limited Digital Infrastructure and Digital Illiteracy

The expansion of the TV services market is anticipated to be constrained by the high percentage of digital illiteracy throughout the forecast period. This is explained by the fact that a lack of digital literacy restricts internet use and hinders the sale of linked or smart TVs, which has a detrimental effect on the expansion of the OTT TV services industry. According to government experts, 6.7 million people in France never used the internet due to a lack of digital literacy.

Another significant barrier to the IPTV market is the lack of digital infrastructure facilities for internet access. Additionally, the lack of access to computers and the internet, particularly in schools and colleges, causes a rise in digital illiteracy. For instance, only 21.3% of students have access to computers in the 596 government schools throughout 619 districts, according to the Annual Status of Education Report (ASER) 2018. As a result, it is projected that the sum of all these factors will be detrimental to market expansion.

Global Television Services Market Opportunities

Evolution of Television Technology

The rapid improvements in TV devices and related accessories, such as set-up boxes and TV displays, are expected to support the growth of the TV services market over the forecast period. The demand for TV services has been expanding as new TV technologies, including connected TVs, HDTVs, 4K TVs, and direct-to-home set-up boxes, have become more widely used. Such TV gadgets are anticipated to significantly contribute to the expansion of the global market thanks to technological advancements. As an illustration, 4K Ultra HD, commonly referred to as ultra-high definition or 4K, provides excellent video material and stunning resolution.

Regional Analysis

The global television services market is bifurcated into four regions, namely North America, Europe, Asia-Pacific, and LAMEA. 

North America Dominates the Global Market

North America is the most significant global television services market shareholder and is expected to grow at a CAGR of 4.50% during the forecast period. In 2021, North America dominated the television services market and is anticipated to continue during the forecast period. Factors driving the growth of the North American television market include the rise in popularity of ultrahigh-definition display TV, linked TVs, and dedicated TV programming available via subscription, such as Pay TV and OTT TV. IPTV and cable TV have significantly increased their market shares in the US. This is primarily due to the existence of large TV broadcasting companies, the accessibility of inexpensive high bandwidth connections, and the high percentage of digital literacy.

Asia-Pacific is expected to grow at a CAGR of 6.30% during the forecast period. The markets for television services in China, India, Japan, Australia, South Korea, and the rest of Asia-Pacific are all investigated in the market analysis. After North America, Asia-Pacific has had the second-largest market share for television services. Nearly half of the Asia-Pacific television services market comprises China and India. The rise greatly influences the expansion of the television service market in Asia-Pacific in TV households, the addition of smart features to home TVs, and technological advancements in TV displays. Due to the accessibility and affordability of internet services, people are increasingly adopting them for entertainment on TVs and cell phones.

Europe is expected to grow significantly over the forecast period. The expansion of the television services industry in Europe is anticipated to be boosted by an increase in the number of subscriptions for OTT TV platforms and pay TVs. The popularity of Netflix services is also increasing significantly in Germany, which contributes to the expansion of the European television services market. Due to the growing popularity of OTT services and the rising demand for IP TV services, Europe has been holding a sizable portion of the global market for television services and is predicted to keep doing so during the projection period. Most people still watch broadcast television, especially public service broadcasting, but its use is declining as people switch to online alternatives.

Latin America held a sizeable portion of the global market for television services in 2021 and is predicted to do so again over the forecast period. This is primarily attributable to a rise in pay TV subscriptions and the popularity of satellite dish TVs among customers. Furthermore, the expansion of the television services market in LAMEA has been significantly aided by the rise in internet penetration and demand for on-demand video content.

Segmental Analysis

The global television services market is segmented by delivery platform, revenue model, and broadcaster type.

The global market is divided into five categories: digital terrestrial broadcast, satellite broadcast, cable television broadcasting services, internet protocol television (IPTV), and over-the-top television (OTT). This classification is based on the delivery platform.

The cable television broadcasting services segment is the largest contributor to the market and is anticipated to expand at a compound annual growth rate (CAGR) of 3.80% during the forecast period. Cable television is the term used to describe the system that distributes television signals through coaxial or fiber-optic cable. Cable operators obtain these channels from a variety of satellites, while television network companies transmit their programs to cable operators through satellites. They produce a variety of channels by integrating this with programming obtained from other sources, such as local channels and broadband connections. They then distribute this content to households through a coaxial cable network that is either suspended over utility poles or buried beneath the ground.

Community broadcasting will be substantially affected by the transition to digital terrestrial. In addition to altering the manner in which broadcast signals are transmitted, digital broadcasting necessitates that audiences possess digital reception equipment. The demand for digital terrestrial broadcasting services has been substantially affected by the demand for connected and smart TVs. Furthermore, digital terrestrial broadcast enables the transmission of up to 10 digital services over a single frequency, thereby enhancing the channel capacity to 40 Mbit/s. Household TVs have been increasingly adopting it due to its ability to increase the capacity of broadcast transmission networks by improving spectrum efficiency and its ability to consume less energy in the transmission networks.

Satellite TV is gaining popularity among TV households due to its numerous benefits, such as its ease of use and the availability of additional channels. Furthermore, the installation process is simplified by the increasing sophistication and compactness of satellite TVs. They are more advantageous to implement in numerous isolated geographic regions where cable or terrestrial television services would be unavailable. Nevertheless, the location of the residence and the limitations on homeowners' capacity to install satellite dishes on their property are anticipated to impede the growth of satellite television services.

In an environment referred to as internet protocol television, broadband internet is employed to provide internet television services. Users have the ability to engage with service providers by requesting or demanding specific television content, such as online series and movies. IPTV has gained popularity in developing countries and has been embraced by TV households as a result of the increased demand for digital content, easy access to the internet infrastructure, and increased internet usage. One of the primary advantages of IPTV over conventional television formats is the ease of integration with other IP-based services.

The global market is divided into subscription and advertisement based on the revenue model.

The subscription segment is projected to experience a compound annual growth rate (CAGR) of 5.10% during the forecast period and currently holds the largest market share. The subscription or pay TV channel segment has been experiencing substantial growth during the forecast period due to a variety of benefits for both consumers and service providers, including the ability to bill and pay with flexibility, the conversion of fixed costs to variable costs, the ease of distribution, and the provision of a consistent and reliable revenue stream. Some examples of subscription-based business strategies include OTT platforms such as Netflix and Amazon Prime, which offer subscriptions.

Television commercials are the primary method by which organizations and corporations increase consumer awareness of their products. Due to their extensive geographic and demographic reach and affordable cost, television advertisements are frequently implemented. Furthermore, any commercial has the potential to reach every audience on a daily basis through a variety of channels and schedules, such as cartoons, celebrities, chat, sports, soap operas, news, movies, reality, and prime-time programming.

The global market is divided into public and commercial segments based on the type of broadcaster.

The commercial segment is the largest contributor to the market and is anticipated to expand at a compound annual growth rate (CAGR) of 5.60% throughout the forecast period. Due to the increasing demand for commercial commercials from businesses and corporations and the prevalence of digital advertising, the commercial TV services market is expanding. Furthermore, the market for commercial TV services has been significantly bolstered by the increase in the number of households and TV viewers, which has exacerbated the demand for advertising. Furthermore, the revenue of companies that provide commercial TV services has increased as a result of the increase in pay TV subscriptions. In exchange for a monthly or annual subscription fee, pay or subscription television (STY) can offer additional and specialized channels or programming.

Public broadcasting is gaining popularity among television viewers due to its ability to assist individuals in acquiring new knowledge, broadening their perspectives, and gaining a better understanding of the world and themselves. The primary objective of public broadcasting is to encourage the development and dissemination of nonprofit content and services, with a particular emphasis on the general public, diverse audiences, core public media communities, unserved and underserved groups, and children's needs and interests. The primary objective of public broadcasting is to disseminate government plans, policies, and agendas. Furthermore, students residing in rural areas have the ability to access e-classrooms via public television channels.

Recent Developments

• May 2022- Thomson Broadcast agreed to acquire GatesAir from a unit of the global investment firm The Gores Group.
• December 2022- Six local television stations in the New Orleans area joined forces to develop NEXTGEN TV, bringing viewers the broadcast television of the future.