Internet protocol television (IPTV) has revolutionized how we watch our favorite shows, movies, and live TV channels. It replaces cable and satellite TV by streaming television channels over your internet connection instead. It’s similar to streaming services like Vimeo Streaming, Apple TV, and Hulu, but there are subtle differences.
This fundamental change in how we consume content has also led to several changes in the television industry. To break into this new market, you’ll need to know what makes internet protocol television unique, how it compares to OTT options, and how to leverage it to expand your digital content offerings.
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What is IPTV?
What’s IPTV? Definition and use cases
IPTV streams content to viewers’ devices over high-speed internet rather than a satellite, antenna, or cable TV connection. Anyone with enough bandwidth and the proper devices can use it — they only need a capable router and a Smart TV or set-top box.
Broadcasting your content over an IPTV channel unlocks a lot of possibilities for your network but has potential downsides as well. You need a web server, new encoding and decoding protocols, and a developer to make the interface viewers will use to navigate your content. However, it’s well worth the effort in the following use cases:
- Traditional TV networks can expand into the IPTV market to grow their audience.
- New TV networks can reach a niche audience through partnerships with existing platforms.
- Streaming services can host an IPTV channel to expand their content offering.
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IPTV vs. OTT: 3 key differences
IPTV and OTT are very similar in that they both offer video content over an internet connection. However, there are some key differences in how viewers interact with their content.
1. Live TV and VOD
While an OTT streaming platform like Netflix has a vast content library to choose from, an IPTV provider like Sling TV offers live TV channels and videos on demand. When you open an IPTV app on your Smart TV or set-top box, you connect to its online network, which hosts live channels and a selection of on-demand videos.
Because of this difference, IPTV providers usually have fewer videos available at any given time. Usually, the videos are limited to those owned by TV networks, which you might not find on OTT services. For example, Hulu + Live TV offers several channels like the Discovery Channel, Animal Planet, and VH1, where new shows air that you may or may not find on a streaming platform like Netflix or Amazon Prime.
2. Network infrastructure
OTT services can use any public internet connection to send video files to viewers’ devices, but IPTV providers make several live TV channels available at once. To accomplish this, they use a managed network involving multiple offices that cast individual signals to set-top boxes and Smart TVs. This necessitates a significant investment in infrastructure due to the bandwidth required, and viewers must have a high-speed internet connection.
3. Internet protocols
When you stream live video content, your device must download and decode snippets of the video as they’re made available. That works great for live content, but it won’t work for complete video files that people might want to skip around in.
To stream entire video files, OTT services use the MPEG-DASH protocol, which downloads and buffers files over an HTTP connection. IPTV instead uses the real-time streaming protocol (RTSP) to package, deliver, and decode live content as it’s generated. Any device that connects to the internet can use HTTP, but they aren’t all compatible with RTSP.
Internet protocol TV formats: Understanding the different types
If you browse an IPTV app thoroughly, you’ll find it offers several different video content formats. Some are transmitted live while others are available to play on demand. There are five different formats IPTV content generally takes:
- Live television: A real-time broadcast captured and transmitted live.
- TV on demand (TVoD): Recordings of shows that previously aired on a TV channel.
- Time-shifted TV: Live channels transmitted out of sync with their real-time broadcast so viewers can pause and rewind.
- Near Video on Demand (NVoD): Live broadcasts of the same video at staggered intervals so viewers are more likely to catch the start.
- Video on Demand (VOD): Stored videos that play when a viewer selects them, often used for a pay-per-view model.
How internet protocol television works: Understanding the tech
IPTV services run all their channels on central servers and broadcast them individually to viewers. This technology is called unicasting, which requires significantly less signal bandwidth than the multicasting of traditional television broadcasting.
To run all their channels simultaneously, IPTV services aggregate content from two primary sources: live broadcasts and content storage. They schedule content on their channels according to what’s available at any given time. For example, a sports channel might play a live basketball game broadcast followed by other recent game recordings. The live game broadcasts in real-time, and the recordings come from their content storage.
To reach a global audience, the central server for an IPTV service transmits its channels to several regional offices worldwide. That way, when a viewer in Japan selects an IPTV channel originating in the United States, they don’t have to wait for the request to go halfway around the world and back. Instead, a server in Japan can transmit that signal directly to their device.
Internet protocol television services: Platforms and their operations
If you have a Smart TV, you’ve probably noticed several IPTV services popping up, like Sling TV, Tubi, or SMARTSGI. Most of these services are subsidiaries of cable and satellite companies you’d recognize, such as DIRECTV or Dish Network. These companies already had the infrastructure to capture and broadcast live television, so IPTV was a logical step as more of their audience went online for entertainment.
Here are a few examples of IPTV apps offered by veteran service providers:
- DIRECTV: DIRECTV Stream
- Dish Network: Sling TV
- AT&T: DIRECTV Stream
- Verizon: Verizon Stream TV
By leveraging what they already had and investing heavily in data storage and app development, these companies adapted well. Their IPTV apps greatly improve the viewer experience with useful features like watch lists, ratings, and user profiles.
However, one way they haven’t changed is in their confusing subscription packages. Like the satellite and cable TV packages of old, IPTV subscriptions offer access to a combination of channels. The selection usually has a consistent theme, such as sports, documentaries, or classic movies. You might have to sign up for several packages to access all the channels you want.
Frequently asked questions
When should you choose IPTV and when should you choose OTT?
IPTV services are used to stream several channels at once, each offering a curated experience for viewers that mixes live and stored content. However, it requires a complex server infrastructure to work.
OTT is by far the more common solution for hosting video content online because it's much simpler to set up. It only requires storing content and creating a user interface to navigate to get started. To add live content to an OTT platform, you can host it on a streaming service like Vimeo Streaming and embed it into your platform.
Is IPTV the future of TV?
IPTV is a new horizon in TV, but the future is unpredictable. As bandwidth and internet speeds continue to improve worldwide, OTT streaming services like Netflix have largely replaced broadcast television. However, that market is shrinking: In 2015, 76% of American households paid for cable or satellite TV, but by 2021, that number was down to 56%, according to Pew.
Are IPTV services available in all countries?
Almost. Most countries already had the technology needed for IPTV in place, so when television companies started using IPTV, it spread rapidly.
What’s an IPTV box?
Smart TVs can connect to an IPTV service through your internet connection, and so can most smartphones and tablets. However, only the newest televisions have integrated WiFi cards: If you have a traditional TV, you’ll need a set-top box that connects to the internet and decodes IPTV signals so they play on your TV.
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An IPTV service is a capable platform for broadcasting live TV channels to people’s homes. They’re fast, reliable, and recognizable for most viewers. Whether you’re exploring that route or building an OTT platform instead, Vimeo can help.
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