IPTV Global Hospitality (In-Room and In-Flight Entertainment) Markets

IPTV Global Hospitality (In-Room and In-Flight Entertainment) Markets published by Multimedia Research Group, Inc. in February, 2010. This report consists of 73 Pages and the price starts from US $ 1995.

Introduction

Abstract

San Jose, CA: February 15, 2010 - Over 11 million hotel rooms and 1 million airline seats are potential IPTV applications, according to a new report from MRG, Inc. Hotels and Airlines alone account for a US$1.9 billion global market in 2012, indicating that for most hospitality applications, analog video is dead.

The new report from MRG shows that both In-Room Entertainment and In-Flight Entertainment (IRE and IFE) markets show a sharp shift in user expectations. "While respondents indicated that IPTV may be too expensive for the low-end market, the study finds that there is a substantial and growing need for IPTV to serve the mid- and high-end of the hospitality market. This has gone from a nice-to-have to a must-have situation," says Mike Galli, IPTV Analyst for MRG, Inc.

"This report pinpoints growth opportunities in this industry throughout the product and services value chain," states Mr. Galli. "While many in the IPTV industry consider hospitality to be unimportant, we found that it is very important, with some IPTV suppliers reporting that it represents 25% of their total revenue. There are specific opportunities in a variety of hospitality segments including hotels, dormitories, hospitals and aircraft, and this report helps to clearly identify where they are in each segment."

One key benefit of IPTV is superior remote operation and diagnosis, meaning double- or triple-play systems can be monitored from off-site, resulting in huge OpEx savings for the Hospitality Operator. For example, one hospital' s IPTV system frees nurses from explaining to patients how to use the system. Other examples show how hotels using both VOD systems and e-com are able to generate far more revenue from e-com and advertising than from Payper- View.

"Simplicity also is key to improving user enjoyment," states Mr. Galli. "Since guests are there for only a short period, they don' t have time to learn a complex system, but want to get interactive services like those at home. As consumers receive improved video services at home, Hospitality Operators are finding there is a need to upgrade hospitality systems, much of it resulting from HD and VOD improvements in 2008-2009."

"This report is the only one available that measures the global IPTV Hospitality Market," says Gary Schultz, MRG President. "It also shows how IPTV meets today' s needs far better than older analog or digital video solutions."

Table of Contents

1 Executive Summary - Hospitality IPTV Markets

• 1.1 Historical Background
• 1.2 Key Findings

2 Introduction

• 2.1 Background
• 2.2 Pure IP Systems
• 2.3 IP/QAM Systems
• 2.4 Definition of Market for On-demand and Broadcast Services
  • 2.4.1 Hospitality In-Room Entertainment (IRE) Market Segment
  • 2.4.2 In-Flight Entertainment (IFE) Market Segment
• 2.5 Define Cost/Functional Advantages of IP in IRE and IFE
• 2.6 Recap Basic Dynamics of IP Hospitality Market
  • 2.6.1 Market Drivers
  • 2.6.2 Market Barriers
  • 2.6.3 Market Opportunities
• 2.7 Recap Basic Dynamics of IFE (In-Flight Entertainment) Market
  • 2.7.1 Market Drivers
  • 2.7.2 Market Barriers
  • 2.7.3 Market Opportunities

3 Market Size and Related Market Data

• 3.1 Global Hotel Market - Summary (2008-2012)
• 3.2 Hotel Market Size By Region - Summary (2008-2012)
  • 3.2.1 Asia
  • 3.2.2 Europe/Middle East
  • 3.2.3 North America
• 3.3 IFE Market Size By Region - Summary (2008-2012)
  • 3.3.1 Global Market
  • 3.3.2 IFE Market By Region
• 3.4 IFE Market Breakdown By Type of Video

4 Technology Definitions

• 4.1 System Configurations
  • 4.1.1 Pure IP
  • 4.1.2 Hybrid IP / Coax
• 4.2 Broadcast
  • 4.2.1 Ingest
  • 4.2.2 Distribution
• 4.3 On-demand
  • 4.3.1 Ingest
  • 4.3.2 Distribution
• 4.4 Converged Systems (Triple-Play)

5 Review of Key Issues

• 5.1 Advertising
• 5.2 Use of Fiber vs. Coax vs. UTP vs. Wi-Fi
• 5.3 System Costs
  • 5.3.1 ROI: Arriving at Break-even
• 5.4 How to Reduce Costs
• 5.5 How to Make a Profit When the Host Doesn' t Pay
• 5.6 Business Models That Make a Profit (Basic and Converged Services)
• 5.7 Use of Widgets and Other Interactive Services
• 5.8 Case Study of New IP System Replacing Old
  • 5.8.1 IPTV System Replacing Tape-Based Video System
• 5.9 Future Trends
  • 5.9.1 Hotels
  • 5.9.2 Airlines
  • 5.9.3 Other Segments

6 Vendor Profiles

• 6.1 Hospitality Vendor Profiles
  • 6.1.1 ADB (Advanced Digital Broadcast)
  • 6.1.2 Amino
  • 6.1.3 Anevia
  • 6.1.4 CoreTrust
  • 6.1.5 Drake
  • 6.1.6 Espial (Kasenna)
  • 6.1.7 LG Electronics
  • 6.1.8 MICROS (Fidelio, PMS System)
  • 6.1.9 Motorola
  • 6.1.10 Move Networks (Inuk Networks)
  • 6.1.11 Nighthawk Systems (Eagle Broadband)
  • 6.1.12 Pace
  • 6.1.13 Philips
  • 6.1.14 Samsung
  • 6.1.15 SecureMedia (Recently Acquired by Motorola)
  • 6.1.16 Verimatrix
• 6.2 IFE Vendor Profiles
  • 6.2.1 ExtendMedia
  • 6.2.2 LiveTV
  • 6.2.3 Row 44
  • 6.2.4 Spafax
  • 6.2.5 Thomson

7 Turnkey/System Integrator Profiles

• 7.1 Hospitality
  • 7.1.1 Acentic GmbH
  • 7.1.2 All Day Cinema
  • 7.1.3 BNS (Broadband Network Systems) Ltd.
  • 7.1.4 Bulk TV & Internet
  • 7.1.5 DIRECTV
  • 7.1.6 DOCOMO interTouch
  • 7.1.7 EchoStar
  • 7.1.8 Filmbank
  • 7.1.9 Guest-Tek Interactive Entertainment Ltd.
  • 7.1.10 Hospitality Network, A Product of Cox Business
  • 7.1.11 iBAHN
  • 7.1.12 KoolConnect Technologies
  • 7.1.13 LodgeNet (On Command) and LodgeNet Healthcare
  • 7.1.14 NxSystems LLC (NXTV)
  • 7.1.15 PureHD
  • 7.1.16 Skylight Healthcare Systems
  • 7.1.17 Smart Hospitality
  • 7.1.18 SuiteLinq
  • 7.1.19 Quadriga
• 7.2 In-Flight Entertainment (Turnkey/System Integration)
  • 7.2.1 Lumexis
  • 7.2.2 Panasonic Aviation
  • 7.2.3 Rockwell Collins
  • 7.2.4 Thales

8 Conclusions

• 8.1 Winning Services
• 8.2 What IP Brings That Competition Can' t
• 8.3 Risks
• 8.4 Opportunities

9 Addendum #1: Glossary of Terms

10 Index of Companies

Table of Figures

• Figure 2-1: The "guestLINK" Product
• Figure 2-2: Types of Devices Guests Bring to Hotels
• Figure 3-1: IRE Total Hotel Rooms and Video-enabled Rooms Worldwide
• Figure 3-2: Global Market for Hotel Video ($US, Million), CapEx and Revenue Combined
• Figure 3-3: Asia Hotel Market for Video ($US, Million)
• Figure 3-4: EMEA Hotel Market for Video ($US, Million)
• Figure 3-5: North America Hotel Market for Video ($US, Million)
• Figure 3-6: North America Hotel Market By Technology Type (Rooms [000])
• Figure 3-7: North America Hotel Entertianment Revenue Per Room, Per Month
• Figure 3-8: Global Revenue for New IFE Systems ($US, Millions)
• Figure 3-9: IFE IPTV Systems Revenue Breakdown By Region ($US) - 2009-2010
• Figure 3-10: Video System Breakdown By Selected Airline
• Figure 3-11: Total (Selected Airline) Breakdown of Video Systems By Seat
• Figure 3-12: Total (estimated) Breakdown of Operational Airline Seats and Video-enabled Seats
• Figure 4-1: Typical IP Video System Architecture
• Figure 4-2: Motorola' s High-speed (In-Room) Ethernet System
• Figure 4-3: Drake' s QAM-Based System for Video Distribution
• Figure 6-1: ADB' s Set Back Box, Model 4820C
• Figure 6-2: Amino' s AmiNet110H STB Hospitality Model (Overall View)
• Figure 6-3: Amino' s AmiNet110H STB Hospitality Model (Rear Connections)
• Figure 6-4: Row 44' s GUI with Space for Advertising Inserts
• Figure 7-1: Skylight Systems' Interactive TV System
• Figure 7-2: Virgin America' s Red IFE Interface

Table of Tables

• Table 2-1: Equipment Cost Sharing (U.S.)
• Table 5-1: Break-even/ROI Scenarios for In-Room Entertainment Systems ($USD)

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