“(IPTV) usage will initially be concentrated in countries with established high-speed Internet technologies, such as France, the Netherlands, South Korea, and Hong Kong,” Serene Fong, an industry analyst at ABI Research, said in a statement. “But as technology progresses and matures, developing countries such as China will rapidly catch up in subscription numbers.”

Earlier this week, Microsoft announced that its Mediaroom IPTV software is being used by a Chinese TV provider called Guangzhou Digital Media Group. The deal marks two firsts for the company–its first IPTV deal in China as well as the first time its software has been used to power TV over a traditional cable network.

Phone companies around the world are using IP technology to provide TV services that compete with satellite and cable operators. Here in the U.S., AT&T is the largest phone company to use the technology to offer TV services. Verizon Communications uses a combination of IPTV technology and traditional cable and broadcast technology to deliver its Fios TV service.

[Via Cnet]