3 October 2006

In 2005 the TV market reached €7.4 billion. For 2006 we expect a 8.2% growth, thus reaching €8 billion. At the end of 2008 the TV market will be worthy more than €9 billion, recording an average growth by 7.4% yearly.

The main resource has been advertising, nearly €4 billion in 2005. Pay TV revenues, € 1 760 million, were higher than licence fee, € 1 480 million. For the coming years we expect pay TV revenues will increase faster than any other resource, thus exceeding € 2 850 million by 2008.

Actually, the pay TV market will be the most dynamic segment of the whole market. In this part of the market, satellite will still be the leading platform, but it will lose market share to the advantage of alternative networks, such as DTT, IPTV and mobile TV.

The new platforms for TV content, that is IPTV and mobile networks, will display the greatest growth rates, although their income will still be a marginal share of total market value. Mobile TV will get important results as for users, but it will also have to face their lower propensity to expense for TV content [average ARPU], compared with other platforms

The digital TV market is growing: at the end of 2005 it accounted for less than 30% of the whole market, that is €2 billion. By the end of 2006 it will represent 32% and by 2008 39% of total value, that is €3.5 billion.

Greatest dynamism linked to the digital developments and to the existence of several platforms will spur competitiveness and will lead to a reduction of the main players market shares.