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What is IPTV?

IPTV or Internet Protocol Television delivers digital television service to subscribers via the Internet Protocol over a broadband connection. IPTV was introduced in 1995, is gaining favor for Video on Demand, and is most recently in telco news promoted by Microsoft as the future of streaming media. IPTV services are often offered in conjunction with Video on Demand (VoD) services as well as Internet data services like Web access and Internet Telephony, or VoIP. The “Triple Play over broadband” packages VoIP phone, IPTV and internet data in one solution and is typically supplied by a broadband operator using the same infrastructure
The crux of the IPTV service is its interactivity. Therefore, unlike most legacy cable television architectures, IPTV services necessitate a two-way stream of communication between service provider/system hub and the end user. Broadband access is the delivery method that enables this streaming media interactivity. Broadband technology uses DSL (Digital Subscriber Line) over the local loop. Bell Labs arguably made IPTV possible with the invention of DSL technology in 1988. An engineer at BL discovered a way to send digital data utilizing then-unused spectrum. The local loop combined with DSL forms a star network design, as opposed to legacy cable's ring network topology.

WHAT IS INTERNET TV?

Internet TV refers to the delivery of television content (video and audio) over the internet broadband connection. This content can be shows that you already receive over your satellite or cable connection. The TV Networks, (CBS, ABC, NBC), are already making their prime time shows (Lost, Desperate Housewives, The Daily Show) available over the internet.
This television content can also be non-professional videos or videos from niche content producers who can't break through the broadcast networks control over the airwaves. Google has already indexed and hosts thousands of home made videos. Custom programming is springing up all over the web. Television news broadcasts from around the world can be found redistributed over the net.

How does IPTV work?

IPTV uses a two-way digital broadcast signal (sent through a switched telephone or cable network by way of a broadband conection and a set-top box programmed with software (much like a cable or DSS box) that can handle viewer requests to access to many available media sources.
The Set Top Box
The viewer's TV connects to a Set Top Box (STB) that decodes the IP video and converts it into standard television signals. The STB is the gateway to an IP video switching system. The Switched Video Service (SVS) system allows viewers to access broadcast network channels, subscription services, and movies on demand. The consumer can access different media by using the television remote to send control commands to the SVS. The unit processes the request and displays the requested media type. Though there are many possible media sources, only one video channel is utilized in the process.
IPTV is an emerging technology and will evolve into a completely interactive experience in the future.