IPTV seems like an awesome technology, most notably its ability to link content programming with interactivity - call up sports stats as you watch a game, choose your American Idol favorite as you watch the show, ask and receive information at the click of a button. That combination opens up opportunities for programmers and advertisers to truly impact the user experience. So why is it not being quickly embraced. Obvious issues include digital rights, security, and acceptance. Some programmers are reluctant to license their content through this pipeline till they can legally figure out their own legal rights to the content they feature.
The article contends that the growth in Europe is dependent on consumer acceptance. AT&T is working with an IPTV model here in the US. I think that the issue is not to sell the technology, but to sell the solution. As an example, Apple took the mp3 player and made it ergonomic and attractive and valuable to the consumer with their iPod. For IP, make the content easy to navigate and interact with, an interface that consumers clamor for, say a remote resembling the Apple iPhone, and make the functionality intuitively easy to use.