Quad play and the idea of service bundling have existed for a few years now. There have been a number of companies trying to initiate the concept, such as the likes of Virgin Media and France Telecom. But how successfully have these original pioneers been in promoting quad play to consumers? Do these companies still place as much focus on the concept as they did when they first launched them in terms of marketing and promotion? Or have these companies neglected their quad play ambitions to focus on other goals? This report will tell you.  

Nevertheless, quad play is still a relatively new concept for many service providers around the world. Consequently a variety of new quad play and triple play services are emerging, whilst others weigh up the pros and cons of entering this market. What will be the most appropriate and successful regions to offer bundled services?

Service providers must take careful consideration when deciding whether or not to expand their service portfolio. With the appropriate setup, price structures and marketing in place, bundling services can prove to be successful in a number of ways. However during a period of economic difficulty in many regions around the world, which service providers can even consider establishing new services? How will the credit crunch affect triple play and quad play uptake around the world?

Subscribers can benefit from the added convenience bundled services provide as they no longer need to purchase services from multiple operators. Providers are also able to benefit from new market opportunities as an outcome of offering multi play services. The bundle market is set to expand in the future with companies looking to increase its service portfolio as operators increasingly look to provide customers fully converged solutions. Taking the appropriate action at an early stage will ensure you are part of the new and developing markets.

Reading this report will provide you with the following information:

• What challenges does adding wireless to the bundle present?
• What are the market drivers? Is any of it demand-driven?
• What are the barriers?
• Who offers quadruple play worldwide?
• What is the pricing, user uptake, impact on ARPU and churn reduction and other KPIs?
• How does bundling differ by region?
• What benefits does/can quadruple play bring to the triple play offering?
• What benefits does quadruple play bring to consumers?
• What should a successful quadruple play strategy entail?
• How successful has quad play and other bundled services been thus far?
• How can providers work successfully during difficult economic conditions?
• What is the public opinion towards quad play?
• What mistakes have been made by providers in offering quad play and what improvements can be made in the future?

Table of Contents

1.    Executive Summary

1.1.      Evolution of the telecoms and entertainment markets

1.2.      Market Opportunities

1.3.      Major market Trends

            1.3.1.      Significant growth in mobile subscribers

            1.3.2.      Falling operator revenues

            1.3.3.      Outsourcing grows in popularity

1.4.      Future of the Wi-Fi market

1.5.      Evolution of household entertainment media

            1.5.1.      Importance of broadband access

                        1.5.1.1.    IPTV prospects

1.6.      Evolution of bundled service packages

1.7.      Business models

1.8.      Conclusions

2.    Introduction

2.1.      Overview

2.2.      Bundle Definition

            2.2.1.      Triple Play Definition

            2.2.2.      Quad Play definition

2.3.      Cable vs. Telcos approach to bundling

2.4.      Typical Price Structures

2.5.      Convergence

            2.5.1.      Quad Play to Any Play

2.6.      IMS

2.7.      Report Methodology

            2.7.1.      Organisation of the Report

            2.7.2.      Aims and Focus of this Report

3.    Issues to Consider

3.1.      New Technologies

            Chart 3.1: Global Hybrid Cellular/WLAN Handset

3.2.      World Economy

            3.2.1.      Responses to Falling Revenues

3.3.      Must Have and Nice to Have Services

3.4.      Value of Triple/Quadruple Play to Service Providers

3.5.      Revenue Generating Options

            3.5.1.      Fixed Telephony

            3.5.2.      Broadband

            3.5.3.      IPTV

            3.5.4.      Wi-Fi Telephony

            3.5.5.      Consumer VoIP Telephony

            3.5.6.      Mobile Services

            3.5.7.      Mobile and VoIP

4.    Global Market Analysis and Forecasts

4.1.      Market Overview

4.2.      IPTV is the key to effective bundling

4.3.      IPTV is the way forward as long as the applications are right

4.4.      The Mechanism Behind IPTV

            Table 4.1: Vendors providing IPTV technologies, 2008

4.5.      IPTV Market Drivers

            4.5.1.      Broadband penetration on the rise

                        Chart 4.1: World Internet Distribution, Q2 2008

                        Chart 4.2: World Broadband Distribution, Q2 2008

                        Chart 4.3: Broadband Technology Distribution, Q2 2008

            4.5.2.      Competition between cable operators and telcos boost to IPTV market

            4.5.3.      Choice of Content is Expanding

            4.5.4.      Fibre to the home boost IPTV distribution

            4.5.5.      High definition broadcasting is creating a demand for IPTV services

            4.5.6.      Higher expectations among users make them look around for better services

4.6.      IPTV market challenges

            4.6.1.      Technical challenges

            4.6.2.      Content challenges

4.7.      Commercial challenges

4.8.      IPTV Market Restraints

            4.8.1.      Regulatory Issues

            4.8.2.      Lack of bandwidth

            4.8.3.      DSL coverage

            4.8.4.      Proprietary technologies

            4.8.5.      Consumers education

4.9.      Market trends

            4.9.1.      Set-top boxes

            4.9.2.      Fibre and DSL deployment

            4.9.3.      IPTV services market forces

4.10.    Target market

4.11.    Is there consumer interest in Quad Play?

            Chart 4.4: Factors That Would Influence US Internet Users To Purchase Mobile Phone Services From Their Fixed Line Communications Provider, April 2008

4.12.    Interest in Convergence

4.13.    Demographic and core data

            Table 4.2: Global cable/satellite TV, Internet and broadband households, 2008-2013

            Table 4.3: Worldwide mobile subscribers and revenues, 2008-2013

            Table 4.4: Mobile subscribers % by region, 2008-2013

            Table 4.5: Mobile revenues % by region, 2008-2013

            Table 4.6: Countries with 100%+ mobile penetration as of Q4 2008

            Table 4.7: Cellular mobile services competition (%), 2008

            Table 4.8: Top 10 mobile operators by proportionate subscribers, 2008

            Table 4.9: Broadband penetration by economies worldwide, 2008

            Table 4.10: Worldwide IPTV subscribers and revenues, 2008-2013

            Table 4.11: IPTV subscriber by region, 2008-2013

            Table 4.12: IPTV revenues by region, 2008-2013

5.    North American Market Analysis and Forecasts

5.1.      North Americas

            5.1.1.      Market Overview

            5.1.2.      Demographic and core data

                        Table 5.1: North American internet, broadband and cable/satellite TV households, 2008-2013

                        Table 5.2: North American mobile subscriber and revenues, 2008-2013

                        Table 5.3: North American mobile subscriber and revenues, 2008-2013

            5.1.3.      Services Demand

            5.1.4.      Fixed-line displacement

                        Table 5.4: North American households subscribing to bundled packages (by service type), 2008-2013

            5.1.5.      Services revenues provision of bundle services will increase in line with the rise in subscribers

                        Table 5.5: North American market revenue growth from bundled services, 2008-2013

            5.1.6.      Challenges

5.1.6.1.    Lower margins and revenue from promotional offers aimed at attracting   customers

                        5.1.6.2.    Changes associated with OSS/BSS provisioning of a single bill to customers

                        5.1.6.3.    Costs of implementing a bundling strategy

                        5.1.6.4.    Developing and managing new relationships needed to offer a wide range of services

                        5.1.6.5.    Increased competition by new entrants from the IP sector

            5.1.7.      Market Drivers

                        5.1.7.1.    Reduced churn and potential for additional revenue

                        5.1.7.2.    Improved customer experience

                        5.1.7.3.    Promotional discounts and offers on bundles

                        5.1.7.4.    Bundle pricing

                        5.1.7.5.    Single point of contact for all subscribed services

                        5.1.7.6.    Competition between telcos, cable companies, and new entrants

            5.1.8.      Market Restraints

                        5.1.8.1.    Badly deployed OSS/BSS systems

                        5.1.8.2.    Regulatory hurdles that affect deployment of services

                        5.1.8.3.    High marketing costs associated with customer acquisition

            5.1.9.      Market Trends

                        5.1.9.1.    Merger and Acquisition

                        5.1.9.2.    Strategic alliances and partnerships

                        5.1.9.3.    Customer demands

                        5.1.9.4.    Network and service convergence

                        5.1.9.5.    Technology

                                    5.1.9.5.1.  ADSL

                                    5.1.9.5.2.  VCC

                                                5.1.9.5.2.1.  Tango Networks

                                                5.1.9.5.2.2.  Symbian And Cicero

            5.1.10.     Bundle Offering

                        5.1.10.1.   Bundle solutions

5.2.      Quadruple play readiness

            5.2.1.      US Market

                        5.2.1.1.    AT&T

                        5.2.1.2.    Qwest

                                    Table: 5.6 Qwest Individual Services and Prices when bought individually

                                    Table: 5.7 Qwest Discount Bundle Packages

                        5.2.1.3.    Cablevision

            5.2.1.4.    Brighthouse Networks

                        5.2.1.5.    Comcast

                        5.2.1.6.    Cox Communications

                                    5.2.1.6.1.  Quad Play Progression

                                    5.2.1.6.2.  Threat From Cable Company

                        5.2.1.7.    Time Warner Cable

                                    Table 5.8: Time Warner Bundle Packages

                        5.2.1.8.    Pivot

                                    5.2.1.8.1.  Why Did It Fail?

                        5.2.1.9.    Verizon

                                    Table 5.9: Verizon Bundle Packages

            5.2.2.      Canadian Market

                        5.2.2.1.    Rogers

                                    Table 5.10: Rogers Company Statistics

                        5.2.2.2.    Videotron

                                    Table 5.11: Videotron Bundle Prices

5.3.      North America Overview

6.    Latin Market Analysis and Forecasts

6.1.      Market Overview

6.2.      Demographic and core data

            Table 6.1: Latin American internet, broadband and cable/satellite TV households, 2008-2013

            Table 6.2: Latin America mobile subscribers and revenues, 2008-2013

            Table 6.3:  Latin America mobile subscribers and revenues, 2008-2013

6.3.      Quadruple play readiness

            Table 6.4: Bundle service providers in Latin America

            6.3.1.      Argentina

                        6.3.1.1.    Canal 5 Video Comunicaión

            6.3.2.      Brazil

                        6.3.2.1.    Telemar

                        6.3.2.2.    Telefonica

                        6.3.2.3.    Brasil Telecom

                        6.3.2.4.    Net Servicios

                        6.3.2.5.    Brazil ’s Regulatory Approach

            6.3.3.      Mexico

                        6.3.3.1.    Telmex

                        6.3.3.2.    Televisa

            6.3.4.      Bolivia

            6.3.5.      Chile

            6.3.6.      Colombia

            6.3.7.      Ecuador

            6.3.8.      Peru

            6.3.9.      Nicaragua

            6.3.10.     Venezuela

7.    European Market Analysis and Forecasts

7.1.      Market Overview

7.2.      European triple play players

            Table 7.1   European bundle players, Q2 2008

7.3.      Demographic and core data

            Table 7.2: European internet, broadband and cable/satellite TV households, 2008-2013

7.4.      Services demand

            Table 7.3: European households subscribing to bundled services (by service type), 2008-2013

            Table 7.4: European mobile subscribers and revenues, 2008-2013

            Table 7.5: European IPTV subscribers and revenues, 2008-2013

7.5.      European market trends

7.6.      Merger and Acquisitions

            7.6.1.      Economic Restrictions

7.7.      Quadruple play readiness

7.8.      European Market

            7.8.1.      Virgin Media

                        Table 7.6: Virgin Media Bundle Packages

                        Table 7.7: TV Package Details

                        Table 7.8: Broadband Package Details

                        Table 7.9: Telephone Package Details

                        Table 7.10: Mobile Package Details

                        Chart 7.1: Virgin Media Subscribers

                        Table 7.11: Virgin Media Revenue

                        7.8.1.1.    Virgin Media Vs Sky

                        7.8.1.2.    Success in Deals

                        7.8.1.3.    Virgin Media Overview – Meeting its Quad Play Objectives?

            7.8.2.      Sky

                        Table 7.12: Sky Subscribers

                        Table 7.13: Typical Sky Service Bundles

            7.8.3.      Sky Mobile

            7.8.4.      BT

                        7.8.4.1.    BT Total Broadband

7.8.4.2.    BT Vision

                                    Table 7.14: BT Vision Package Prices

                                    Table 7.15: BT On-Demand Prices

            7.8.5.      Telefonica Europe

                        7.8.5.1.    UK

                        Table 7.16: O2 Broadband Prices

            7.8.6.      Carphone Warehouse

            7.8.7.      Vodafone

            7.8.8.      Orange UK

                        Table 7.17: Orange Bundle Packages

            7.8.9.      Tiscali UK

                        Table 7.18: Tiscali Bundle Packages

            7.8.10.     UK Market Overview

                        Table 7.19: Examples of UK Bundle Packages

7.9.      Belgium

            Table 7.20: Telenet Company Statistics, Q2 2008

7.10.    Baltic and Nordic

            7.10.1.     Telenor

                        Table 7.21: Countries served by Telenor

            7.10.2.     Tele2

            7.10.3.     TeliaSonera

7.11.    Switzerland

            7.11.1.     Cablecom

                        Table 7.22: Cablecom Statistics, Q3 2008

            7.11.2.     Swisscom

                        Table 7.21: Swiss Bundle Packages

7.12.    Germany

            7.12.1.     Deutsche Telecom

            7.12.2.     Kabel Deutschland

7.13.    Italy

            7.13.1.     Telecom Italia

            7.13.2.     Tiscali

            7.13.3.     Fastweb

7.14.    France

            7.14.1.     France Telecom

            7.14.2.     SFR

            7.14.3.     Bouygues Telecom

7.15.    Spain

            Table 7.22: Telefonica Statistics

7.16.    Portugal

            Table 7.23: Meo Base Offer Details

            Table 7.24: Portugal Telecom Wireless Services Information

            7.16.1.     UZO

            7.16.2.     TMN

7.17.    UPC

            Table 7.25: UPC Statistics 2007-2008

            Table 7.25: Countries served by UPC

7.18.    Bulgaria

            7.18.1.     Max Telecom

7.19.    Georgia

7.20.    Poland

            7.20.1.     Aster

                        Table 7.26: Aster Service Statistics, Q2 2008

7.21.    Romania

            7.21.1.     Orange

            7.21.2.     RCS & RDS

7.22.    European Summary

8.    Asia-Pacific Market

8.1.      Market Overview

8.2.      Demographic and core data

            Table 8.1 Asia-Pacific data (million), 2008-2013

8.3.      Service demand

            Table 8.2 Asia-Pacific bundles subscription pattern, households (million) 2008-2013

            Table 8.3 Asia-Pacific Mobile subscribers, 2008-2013

8.4.      IPTV in Asia-Pacific

            Table 8.4 Asia-Pacific IPTV subscribers (000) 2008-2013

8.5.      Quadruple play readiness

            Table 8.6: Asia-Pacific bundle service providers

8.6.      New Zealand

8.7.      Japan

            8.7.1.      NTT DoCoMo

            8.7.2.      Softbank

            8.7.3.      KDDI

                        Table 8.7: KDDI ARPU, Q2 2008

8.8.      Hong Kong

8.9.      South Korea

            8.9.1.      SK Telecom

            8.9.2.      KTF

8.10.    Australia

            8.10.1.     Telstra

                        Table 8.8: Telstra Statistical Data, Q2 2008

            8.10.2.     Primus

8.11.    India

            8.11.1.     BSNL

            8.11.2.     MTNL

            8.11.3.     Bharti Airtel

                        Table 8.9: Bharti Airtel Broadband Availablity

            8.11.4.     India Overview

8.12.    China

8.13.    Asia-Pacific Summary

9.    MEA Market Analysis and Forecasts

9.1.      Market Overview

9.2.      Demographic and core data

            Table 9.1 MEA data (million), 2008-2013

9.3.      Services demand

            Table 9.2 MEA bundles subscription pattern, households (million) 2008-2013

9.4.      Mobile service

            Table 9.3 MEA Mobile subscribers, 2008-2013                       

            Table 9.4 MEA IPTV subscribers (000') 2008-2013

9.5.      Quadruple play readiness

            Table 9.5 MEA bundle providers, 2008

            9.5.1.      Algeria

            9.5.2.      Africa

            9.5.3.      Bahrain

                        9.5.3.1.    Nuetel Commuincation

            9.5.4.      MTN

10.   Recommendations and Strategies for Success

10.1.    Restrictions to Quad Play Growth

10.2.    How Far has Quad Play Progressed?

10.3.    Overview

10.4.    Strategy for service providers

            10.4.1.     Customers expectations

10.5.    Strategies based on marketing approach

            10.5.1.     Improved services

            10.5.2.     Segmentation

            10.5.3.     Develop Core Customer Base

10.6.    Promoting basic IPTV services

10.7.    Fixed-line operator strategies

            10.7.1.     Strategies based on outsourcing

            10.7.2.     Flexing financial might

            10.7.3.     Merging and Re-merging

10.8.    Benefitting From Bundles

            Table 10.1: Factors That Push Companies into Triple/Quad Play

10.9.    Strategy for mobile only operators

            10.9.1.     Partnerships

            10.9.2.     Strategy based on technology

                        10.9.2.1.   Vendors

                        10.9.2.2.   Import proven technologies

10.10. Strategy for ISPs

            10.10.1.    More play options

10.11.  Strategies based on strategic alliances

            10.11.1.    Alliances and Acquisitions

                        10.11.1.1.  Benefitting >From A Revised Business Model

            10.11.2.    Adding value

10.12. Strategies based on pricing

10.13. Target Markets

10.14.  Global Overview

Companies & Organistations listed in report

3

Advance/Newhouse

Alcatel-Lucent

Alestra

Algerie Telecom

America Movil

Andinatel

ANEW Broadband

AOL

Aster

AT&T

Atlas Interactive

Axtel

BBC

Bharti Airtel

Bouygues Telecom

B-RAS

Brasil Telecom

BSNL

BT

Cable Pacifico

Cablecentro

Cablecom

Cablevision

Canal 5 Video Comunicacion

Carphone Warehouse

China Netcom

China Telecom

Cingular Wireless

Cisco

Comcast

Cox

Deutsche Telecom

E Plus

Easynet Group

eBay

Embratel

Entel

Entel Movil

Ericsson

Ertach

Etisalat

Fastweb

Fortune 500

France Telecom

GCI

Google

Grupo Clarín

Hungarian Telephone and Cable Corp

Iliad

Inter

INTRACOM

Iplan

ITV

Kabel Deutschland

KDDI

KTF

Kyocera

Liberty Global Inc

Max Telecom

Maxcom

Microsoft

Mobistar

Motorola

MTN

MTNL

Net Serviços

Net4India

Neuf Cegetel

NewNet

News International

Nokia

Noos-Numericable

NTT DoCoMo

Nuetel Communication

O2

Ono

Orange

Pacifictel

PCCW

Pipex

Pivot

Portugal Telecom

Primus Telecommunications

Qwest

RabbitPoint

RCS & RDS

Redback Networks

Rogers

Samsung

Satelcaribe

Setanta

SFR

Siemens

Siemens-Nokia

SK Telecom

Sky

Skype

Softbank

Sonaecom

Sprint

Swisscom

Talkmore

Tele2

Telebras

Telecom Argentina

Telecom Italia

Telecom New Zealand

Telefónica

Teléfonos de Mexico

Telemar

Telenet

Telenor

Televisa

TeliaSonera

Telkonet

Telmex Argentina

Telstra

TerraSip

Time Warner Cable

Tiscali

TMN

T-mobile

UPC

UTStarcom

UZO

Verizon

Videotron

Virgin Media

Vivendi

Vodafone

Vontel

VTR GlobalCom

Wamanchi

Ya.com

Yahoo

YellowPages.com

ZTE