NAB: IPTV rising?

But there are still challenges in the IPTV equation. Integration of multiple piece parts is still a major issue for companies that don't want to go with a closed system. "A lot of companies like the piecemeal approach because everyone wants their own set-top box, their own middleware, their own headend equipment," said Marc Savoie, vice president of product management of Mariner. "The service overlay is where the bugs need to get ironed out."

Industry-wide standards for IPTV are still in flux, Burke said, and are likely to be so for some time because there are still too many moving parts and too much innovation taking place. "You can't pin down a standard while innovating like crazy," he said.

That flux makes IPTV ecosystems such as those from Microsoft, Cisco and Ericsson more appealing, said Mariner's Laird. Microsoft, which initially launched its Mediaroom middleware with the world's largest operators, is now creating solutions for smaller players, said Shari Barnett, director, media services for Connected TV at Microsoft.

That's not to say that there isn't still a cautionary tale to be told. But as Dan Tucker, Telus's program manager, told a NAB audience Tuesday, his company's problems stem primarily from the great success of its IPTV service.