A recent report for the Department for Culture, Media and Sport (DCMS) examines the ongoing transition from digital terrestrial television (DTT) to internet protocol television (IPTV) in the UK. While a natural shift towards IPTV is anticipated, the report, titled "Revealing Reality," highlights that a substantial number of households still depend solely on DTT. The report's findings suggest that without government intervention, certain demographics might face difficulties adopting IPTV.
The study explores the future of TV distribution, focusing on the hurdles, incentives, and preferences of TV viewers. It was commissioned by DCMS to investigate why some UK households haven't switched from DTT to IPTV. The report indicates that an increasing number of UK homes are incorporating IPTV into their viewing routines, often alongside traditional platforms like DTT, cable, or satellite. It projects that over the next decade, the number of IPTV-only and hybrid households will surge, eventually becoming the majority.
However, maintaining the DTT network presents escalating costs and sustainability challenges. The fixed infrastructure costs mean that as DTT viewership shrinks, the cost per remaining viewer increases. "Revealing Reality" discovered that many DTT-only users are content with their existing setup and haven't considered switching. Some lack awareness of IPTV alternatives, while others have misconceptions about IPTV. These include believing IPTV necessitates expensive pay-TV subscriptions, eliminates access to live TV, or is complicated to set up.
The report also identified broadband-related concerns. While most DTT-only users possess broadband, some encounter reliability issues, leading them to believe IPTV wouldn't function reliably in their homes. A small percentage lack home broadband, due to financial constraints or personal choice, relying instead on mobile data. Improved internet access has prompted some to switch to IPTV, while external factors like relocating often create opportunities to reassess TV setups, particularly when purchasing new appliances.
When asked about the potential shutdown of DTT, many participants expressed indifference, believing they could adapt. This was particularly true for hybrid users already using IPTV alongside DTT. Many had considered switching but hadn't prioritized it. A few cited the unaffordability of IPTV, encompassing broadband subscriptions and new equipment, while others expressed apprehension about internet outages.