Advanced Television

Ericsson predicts major IP video growth

March 7, 2016

Ericsson has announced results showing net sales up 8 per centto SEK246.9 billion (€26.4bn) and operating income up to SEK 21.8 billion, (SEK16.8 billion). Alongside the financials the annual report predicted the online TV market will have a compound annual growth rate of 10-12 per cent between 2014 and 2018, driven by internet technology.

Ericsson says IP technology, networks and the vast amount of video-enabled connected devices are driving the transformation of the TV and media market: “Video traffic in mobile networks is expected by Ericsson to grow by around 55 per cent annually through 2021, and by 2021 around 70 per cent of all mobile traffic is expected to be video,” says the report. It also predicts that smartphone traffic is tipped to grow by around six times, and video traffic by around eight times, in the period of 2015–2020.

Ericsson estimates mobile traffic to increase by around six times in the period 2015–2020, while fixed internet traffic is estimated to double, but from a much larger base.

Ericsson said that it wants to be the “transformation partner of choice” for content owners, broadcasters and TV service providers as the TV and media industry undergoes a major change, caused by the emergence of the ‘Networked Society’.

Ericsson said that in 2015 net income was SEK 13.7 billion, up from SEK11.1 billion a year earlier.


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