We are currently seeing an explosive growth in the distribution and delivery of digital video content across both fixed and mobile networks. Four years ago 100 million videos were watched on YouTube every day. It is two billion today. The BBC’s iPlayer launched in December 2007. It now delivers over 120 million requests every day which adds up to 7 petabytes of data a month.

As a result of this, the volume of data carried by mobile operators has risen twentyfold over the last two years (thanks iPhone), and is forecast to grow almost as much again in the next two years. The figures for fixed operators are less dramatic but still very significant.