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How to Start an IPTV Business – Do Rewards Outweigh Risks?

How to Start an IPTV Business

This guide covers the steps necessary on how to start an IPTV Business.  There are literally thousands of services now available for purchase on the Internet and this article explains how these lucrative operations are created.

IPTV stands for Internet Protocol Television.  It’s simply the delivery of live TV channels through the Internet.

Cable and Satellite companies are losing millions each year due to customers switching to IPTV.  The average cable/satellite package in the United States now costs $217.42 per month.  Those households moving to unverified IPTV services will save $200 or more per month!  That’s right…these off-brand options cost only $10-$20 and offer thousands of live TV channels, along with on-demand movies and TV shows.  Most offer Pay-Per-View sporting events within their packages.  This alone can cost a consumer anywhere from $50-$120 per event.

Due to the Internet, there is no longer a need for the cable/satellite delivery mechanism and they are dying a slow death.  They’re still alive due to the long-term contracts with their media partners and monopolistic business practices.  Ten years from now they won’t exist or they will merge into some sort of Internet operator which specializes in serving media.

IPTV Business Structures

Unverified IPTV businesses are the most popular structures found on the Internet due to their low cost and availability.

Unverified means that there is no certainty that the services carry the proper licensing for the media that they deliver.  Some people call these illegal operations, but the truth is, it’s difficult for consumers to differentiate due to professional looking Websites and marketing tactics.  The legal burden lies with the business owners as they are truly the only ones who know whether or not they have secured the proper licensing.  It’s impossible for the consumer to know if they are using a legal service.  Yes, common sense would say that paying $15 per month for 20,000 channels can’t be legit but the general public thinks this is the advancement in technology.  Actually, they are right as cable/satellite prices should be going down instead of up each year!

Legal Disclaimer: TROYPOINT does not develop, operate, host, distribute, or administer any streaming application, add-on, website, or service. Furthermore, we cannot determine the legality of any streaming platform reviewed on this website. TROYPOINT specializes in educational tech reviews, tutorials, and news which is protected by the First Amendment of the United States Constitution. The end-user is solely responsible for media accessed and TROYPOINT assumes that all visitors are abiding by copyright laws set forth within their jurisdiction. Users should only stream works not protected by copyright when using unverified streaming solutions.


Unverified IPTV Business
Unverified IPTV Business

Heck, the city council in Mapleton, Utah approved the re-selling of a popular unverified service to their residents and businesses.  This is a prime example of ‘Joe Citizen’ not knowing the difference.  Their city council attorney even gave this idea the green light for crying out loud.

The other type of IPTV Business structures are the legal/verified options such as YouTube TV, FuboTV, Hulu, Philo, etc.  These are difficult to form as they require licensing agreements and lots of time to construct the proper relationships.  People are now leaving these services in droves due to the fact that their prices are increasing at an alarming rate.  For many, they are now paying more for their combined streaming services than what their old cable/satellite plan costs.

YouTube TV - Verified IPTV Business
YouTube TV – Verified IPTV Business

This article focuses on how to start an unverified IPTV business since this is what most are looking for due to the limitations of verified structures mentioned above.

Legal Ramifications

Before we go any further, it’s extremely important to talk about the possible legal risks of starting an IPTV business.

First, in no way is TROYPOINT suggesting that you start an IPTV business, actually quite the opposite.  This resource was put together so you can see why there are so many services available and how easy it is to create them.

We’ve seen numerous cases where those running IPTV businesses are convicted of copyright crimes and sentenced to prison and/or fined substantially.  In one example, YouTuber ‘Touchtone’ served as a reseller of the popular service called Nitro TV and was sued by ACE, a coalition of entertainment companies headed up by Universal, Paramount, Columbia, Disney and Amazon.

According to the ACE members, Nitro TV logins were primarily sold through the website TekkHosting.com and acquired in one of two ways – either via a direct purchase or from a Nitro TV reseller. With Nitro apparently having obtained a significant part of the market, the lawsuit demanded huge damages – $150,000 per infringed work and an injunction.

In another case, the operators of Flawless IPTV were sentenced to a total of 30 years in prison.  The masterminds behind this service were convicted of copyright infringement, money laundering, and organized crime.

Finally, the most popular IPTV business copyright case in the United States was once-popular ‘Omi in a Hellcat’, Bill Omar Carrasquillo, who operated the Gears TV platform.  Carrasquillo was sentenced to 5.5 years in prison and had to forfeit more than $30 million in assets.

Many IPTV operators receive a cease and desist order prior to any legal action and this is why many will take the risk associated with a business like this.  It’s less expensive for these copyright alliances to threaten people with lawsuits than actually take them to court, especially for the smaller services.

It’s amazing to see the different legal consequences for individuals who operate in this space.  Back in 2020, one of the most popular providers was hit with a lawsuit that was in the hundreds of thousands.  Some claim that this service had more subscribers than Gears TV.  We were lucky to receive the text messages sent between this individual’s attorney and the organization that was suing him.  They ended up settling out of court for approximately $30,000 as long as he agreed to never operate an illegal streaming service again.  We’ve made a backup of those text messages along with timestamps and associated names for possible use in the future if needed.

Some see millions of dollars in fines and prison time whereas others are warned or treated to a relatively modest settlement in comparison.

Still want to start an IPTV business?


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How to Start an IPTV Business as a Reseller

The most popular method to start an IPTV business is by becoming a reseller.  What this means is that you are re-selling a service that already exists.

You can think of this type of structure somewhat like a pyramid scheme.  Credits are purchased in bulk at a discount through the main provider and can then be re-sold for profit.  In some cases, resellers can activate sub-resellers underneath them.

Most IPTV subscribers are unaware that 95% of services are resellers which means they are duplicates of what is already available.  In fact, there are probably only a dozen primary IPTV businesses currently available.

Resellers are lured into these businesses by flashy promotions that promise thousands of dollars in income per month.  However, they never spell out the possible legal consequences of managing one of these businesses.

Flash Ads

When someone becomes a reseller, they’re provided with an online panel that allows them to manage their customers.  These panels are extremely powerful as you will see in my video below.

Reseller Panel Video

In the following video I show how an IPTV business is created through a reseller panel.

Please take note of the security precautions that I employ in this video to protect my identity.

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Primary IPTV Business Startup

Those who don’t want to become a reseller may opt to create a primary business where they’re capturing the channels themselves.  This type of IPTV business requires large amounts of funds to build servers and capturing technology to acquire the media.

live tv channel decoder

As mentioned earlier, there aren’t many businesses that go this route due to the initial cost and large availability of reseller plans.  This type of operation also requires lots of technical know-how that most individuals would never have.

IPTV Business Payment Processing

You would think that most of these IPTV businesses are on auto-pilot when it comes to payment processing but that’s not necessarily the case.



Many services add their customers manually to a panel (see my video above) once an order has been placed through their website.  This is why it can sometimes take 24 hours to process an order.  However, the better services have integrated billing into their reseller panel so everything is done automatically.

The three most popular payment methods for someone who wants to start an IPTV business are credit cards, crypto (bitcoin), and PayPal.

Cedit Card Processing

If a business is lucky enough to be approved to use credit card payments, this will be their main source of funding.  Many times, these services are not approved due to the questionable legal nature of an IPTV business. Many services pretend to be website hosting operations to avoid the scrutiny by credit card processing companies.

There are literally hundreds if not thousands of credit card processing sites available for online merchants.  Stripe stands out as one of the most popular choices on the Internet today due to their strong security.

Cryptocurrency

Another popular form of payment for those who want to start an IPTV business is cryptocurrency.

Some IPTV businesses won’t accept anything other than this due to the fact that they can’t get approved for credit card processing.  Some only use this form of payment to fly under the radar and hide payments even though it can be traced by IT forensic experts.


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PayPal

PayPal has also been used by many businesses as well however they are also clamping down on unverified IPTV providers. If someone is fortunate to be approved for a PayPal business account in this space, eventually they will probably be terminated.  This is due to complaints from customers when things go south and then PayPal launches an investigation.

Website & Marketing

When starting an IPTV business one of the first things needed is a Website.  Some think that this is an expensive endeavor but it’s not.

First, a web host is needed to serve the website.  This is extremely inexpensive and a plan with Hostinger costs as low as $2.99/month.  When someone purchases a hosting plan, they will also usually get a domain name and email capability as well.  It’s all bundled together.

Hostinger website host

Most use the free software, WordPress to power their websites due to the available plugins that allow for any feature one could think of.  WordPress is easy to use and there are thousands of tutorials available on the Internet.  As of this article, WordPress accounts for 810 million websites on the Internet today!  This represents approximately 43% of all sites.  Wordpress can be quickly installed through the Hostinger platform for free.

Many IPTV businesses also advertise on Google for the term ‘best iptv’.  It’s incredible that ACE and other copyright enforcement agencies allows Google to take ad revenue for these unverified services.

IPTV Google Sponsored Listings

Some businesses don’t want the attention brought to them by flashy websites and advertisements.  They rely on word of mouth advertising which keeps them out of the legal crosshairs so to speak.  These people operate in the dark on websites such as Telegram and Discord.

Total Cost of Starting an IPTV Business

The initial cost to start an IPTV business is extremely low which entices people to enter this space.

  • $180 Reseller Panel Subscription (see video above)
  • $36/year Website Hosting

Total = $216

How Much Money Can I Make?

The first question most ask themselves is, “How much money can I make running an IPTV business?”

Well, let’s do a simple breakdown based on the reseller plan that I purchased in the video above.

I paid $180 for 60 IPTV credits.  This equals $3.00 per credit.

Most services charge anywhere from $10 to $20 per credit.  So, my initial $180 reseller purchase could yield $600-$1200.  Now, take that amount times thousands of customers.

Net Profit = $420- $1,020 – Expenses indicated above

Keep in mind that my initial IPTV credit purchase was extremely low and only included 60 credits but you can see the large markup available in this space.

Avoiding Legal Trouble

We’ve seen numerous IPTV operators avoid legal trouble for a number of years and one notorious business is BestBuyIPTV.  This outfit has been on the Motion Picture Association’s notorious markets list for quite sometime but have eluded law enforcement.

Here’s how many IPTV Businesses evade legal problems.

When it comes to starting an IPTV business, many people are willing to take the gamble.  Some think that they will never have legal problems because they cater to a small audience.  You may say, “I’m just going to sell to my friends, neighbors, and family members.”  The problem is, what happens when the main supplier gets shut down and your name is all over the reseller plan?

Summary

As you can see, starting an IPTV business can be very lucrative but it comes with legal risks.  This article was created to inform TROYPOINT fans how these businesses are operated and why there are so many currently available.

The copyright enforcement groups will continue shutting down these unverified services but when one goes down, ten more will pop up.  We’ve always said, once there’s an affordable model that mimics the Spotify success, people will be willing to pay for what they consume.  But as long as the cable/satellite lobbyists are hard at work, we will continue with what we have and unverified services will flourish.

There are literally thousands of unverified IPTV businesses available on the Internet today yet there are only a few primary ones that the others resell from.

 

What are your thoughts?  Do  you think the rewards outweigh the risks?  Tell us in the comments section below.

This page includes affiliate links where TROYPOINT may receive a commission at no extra cost to you. Many times, visitors will receive a discount due to the special arrangements made for our fans. Learn more on my Affiliate Disclaimer page.

Notable Replies

  1. Thanks for posting this video. As far as risk reward is concerned… my risk level is rather low. I am happy being a small fry.

  2. Avatar for teehar teehar says:

    Fascinating stuff there,really cool to see how it looks on the other side.

    Now for the million dollar question…How much ya charge per month? lol

    Please note sarcasm :wink:

  3. Kind of reminds of a few of my friends, back in the day, who started out with the goal of selling just enough reefer to fund their own use, and then ended up in the cops’ cross hairs.

  4. Very interesting video. I always wondered if my iptv service knew what I was watching…

    Sorry to nitpick, but you paid $180 for 60 credits, not $160. So that’s $3 / credit. :slightly_smiling_face:

  5. Thanks for pointing that out. When I first looked at this plan they were selling it for $160 and I guess I never forgot that number! Article has been updated.

  6. Just so I’m understanding this correctly, my IPTV provider can see what I’m looking at, but if I’m connected to a VPN they, or anyone else, can’t actually see where Im located?

  7. One time purchase. In the example in the video I chose the 12 month option in the reseller panel with 2 connections which amounted to 14 credits.

  8. It’s not a one time charge.

    The length of service for the money depends on the provider.

  9. He’s asking if it’s per month and that is what my answer was referencing. Your credits are based on the amount of months and connections. Obviously, once those are up you need to purchase more credits. It’s not a lifetime subscription.

  10. Explain how the company’s capture the content and rebroadcast it. I find this fascinating

Continue the discussion at troypointinsider.com

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