Cable industry growing and ambitious to deliver

Cable industry growing and ambitious to deliver
28/06/2016 Muriel Hirschfeld

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Revenues increase by 7.1%  and the sector shows strong potential for the future with DigitalTV and broadband.

(Warsaw, 28 June 2016)  The cable industry is growing, with total revenues up 7.1% year on year based on IHS statistics released today by the industry’s trade association, Cable Europe, at the annual Cable Congress in Warsaw. Growth is considerable across all cable services: Internet via broadband (10%), TV (5.5%) and telephony (7%). Television continues to be the main source of profit for the industry, accounting for 50% of the €22.9 billion of revenue. Internet represents 31% of the industry’s income, up eleven percentage points compared to a decade ago.

The revenue growth for TV services is driven by a strong appetite for digital subscriptions and video on demand (VOD). 61.2% of TV subscribers are now digital, and generate 77% of TV revenue. With 21 million homes still analogue, the sector has clear potential to continue growing in the future.

More than 4.2 million Revenue Generating Units (RGUs), the industry metric for the total sum of TV, internet and telephony subscriptions, were added in 2015, now totalling 117.4 million. Internet and telephony are increasingly relevant, contributing to 51.9% of total RGUs.

Manuel Kohnstamm, President of Cable Europe, commented: “The figures show cable is performing strongly despite – and possibly thanks to – the challenging competition with traditional and over-the-top players. Our industry is best in class when it comes to combining variety of offer, quality of content and user interface. Investment in our networks and our dedication to great consumer experience have been the foundations of this success. And in the future,  Europe will continue to be a vibrant market so cable must continue to facilitate development in related industries. It’s no longer just about being the hero of our own story. Now, it’s about the opportunity to become the hero of everyone else’s story too.”

Cable Europe Executive Chairman Matthias Kurth added: “There is huge potential for our industry in the future, and we will continue to step up to the challenge. The increasing appetite for connectivity is a great opportunity for us. Our networks are clearly on track to be the backbone of the gigasphere society. We are best placed to enable this transformation because  of heavy investment in our networks and our focus on innovation. The cable industry has the ambition and the ability to drive future technology growth.”

Cable Congress 2015 is taking place in Warsaw until Thursday 30 June. Please visit www.cablecongress.com for the latest updates, talk to us on Twitter via @CableEurope, and follow the conversation live using #cablecongress.

The IHS statistics are available here.

For more information, please contact:

Virginia Lee
Cable Europe
Director of Communications
T: +32 2 556 21-02
E: virginia.lee@cable-europe.eu

About Cable Europe

Cable Europe is the trade association that connects leading broadband cable TV operators and their national trade associations throughout the European Union. The regulatory and public policy activities of Cable Europe aim to promote and defend the industry’s policies and business interests at European and international level. The European cable industry provides high speed broadband internet, TV services, and telephony into the home of 64.5 million customers the European Union.