Tipping point in Digital switchover helps drive European revenues to €20.6bn YE2012 as cable now counts 27mn high speed broadband users, 30.5mn Digital TV subscribers
(London, 5 March) Meeting today at Cable Congress 2013 in London, Cable Europe, the association bringing together Europe’s leading cable companies, is announcing fresh data from IHS Screen Digest that shows 5.5% top-line revenue growth across Europe, representing nearly €1bn in new revenues for 2012. The upward trend is explained by a shift towards digital for customers increasingly relying on the high speed fibre-rich broadband connections for which cable is known as well as the trend of increasingly accessing video content over cable’s high performance telecom networks.
“What we’re seeing this year is continued growth on the revenue side which gives us almost a billion reasons to be encouraged, but the really interesting story is why,” commented Cable Europe President, Manuel Kohnstamm. “In a market where you hear a lot about the over-the-top threat, the data shows that cable is embracing the power of the platform to deliver content how and when people want it. Stay close to the consumer, look at investment as a means to innovate and grow – this thinking is helping us find our stride as a viable competitor to connect Europe. The 8.4% growth in broadband subscribers also tells us a lot about Europe’s bright, connected future.”
Key YE2012 figures from new IHS Screen Digest analysis include:
Revenues for cable’s grew 5.5% to €20.6bn, nearly a €1bn increase in total cable revenues
- Triple-play growth across different categories of services:
Digital TV +12% revenue growth
Internet +6.5% revenue growth
Cable telephony +5.3% revenue growth
- Video on Demand revenue jumped by 24%
- European broadband subscribers jumped from 25 mn in 2011 to over 27 mn in 2012 – that is 8.4% growth towards what EU leaders call the Digital Agenda
Digital TV subscribers rose 9.2% to 30.5mn (28mn in 2011)
“Cable’s fast broadband combined with more sophisticated in-home networks and whole-home entertainment device strategies are reaching mass market as the TV landscape is evolving,” said Cable Europe’s Executive Chairman, Matthias Kurth. “The growth we’re seeing is based on knowing consumer habits and investing a step ahead of their needs. Providing a high quality service, recognizing shifts in their viewing habits and continually upgrading our networks – this is how cable is helping to future-proof Europe. Cable’s digital success is explained by the link between investment and innovation, our very own Digital Agenda.”
“Telecom services,” or the combination of fast internet and in-home WiFi networks, are becoming a core business as customers shift away from traditional TV viewing. More and more consumers are getting their content over cable’s high performance networks via digital means. In terms of Next Generation TV, cable is already well positioned and this trend is being chased by many in the highly competitive European market.