The report, published by market analyst Key Note, says that due to the pressure from audiences being fragmented as non-terrestrial TV takes off, broadcasters must look for new sources of revenue.
Commercial TV 2001, which defines the commercial television market as any terrestrially broadcast, free-to-home television services deriving a major part of its revenue from advertising sales, found that revenues for the sector had increased by 27.2% between 1996 and 2000. The sector is now valued at £2.8bn.
It says that non-terrestrial television has increased the number of hours it broadcast, while terrestrial television continues to broadcast the same number of hours as it did in 1992.
The report predicts that in the next few years, the sector will show real growth of around 2.6%, but that the figures for 2001 will, in fact, show a decline, falling to £2.7bn.
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