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Having said that, one has to confess that the situation is no better on the IPTV front either, the numbers aren't big on IPTV, and the business case is weak. In a typical ADSL2+ network architecture, the pay-back period can be anywhere between 4-5 years. The number would considerably change with low deployments.
It is a me-too service and introduction of new functionalities will not only deteriorate the business case but also turn hygiene in a short period.

But it is the uniqueness in the convenience and on demand nature of service, which will drive the IPTV business. The topping would come from the bundled offer for voice, Internet and entertainment. Even though the subscriber will raise questions on single point of failure but a poor cable operator's image will overcome that suspicion. The add-on interactive services may just provide that extra topping, on the service to make a strong impact in the connected home.

The IPTV story definitely looks up keeping in view the larger picture of high loyalty, low churn, greater broadband acquisition rate and high-perceived innovative value in the minds of the subscriber - surely for the Indian subscriber. Profit is definitely not the sole motivation for IPTV service and goes beyond it towards increasing customer stickiness, increased customer loyalty, high-on brand perception / technology innovation Index.

For consumers, they are all set to migrate to a lean back experience for entertainment over the broadband network.

Concluded.

* Contributed by: -
Piyush Upadhyay,
Management Graduate from Symbiosis Institute of Telecom Management, Pune,
Currently working with Airtel Broadband & Telephone Services.