IPTV and OTT both deliver TV using internet technology. The difference is the network. Traditional IPTV runs over a provider's own managed network to its own set-top boxes, while OTT (“over the top”) runs over the public internet to apps on any device. “Online TV” is an everyday term for watching TV through the internet, which in practice usually means OTT.
Managed IPTV
- Delivered by an internet provider over its own network, usually to a set-top box it supplies.
- Often uses multicast: one copy of each channel flows through the network and many homes tune in, like broadcast TV.
- The provider can reserve bandwidth for TV, so quality is predictable.
- Sometimes needs special router settings; see IPTV/VLAN router settings.
OTT
- Delivered over the public internet by a service that isn't your internet provider.
- Uses unicast: each viewer gets their own stream, usually via adaptive formats such as HLS.
- Works on any internet connection and in apps on TVs, phones and computers.
- Quality depends on your connection and home network.
Where does an internet IPTV subscription fit?
Internet IPTV subscriptions typically deliver live channels in IPTV-style formats, such as playlists or Xtream Codes logins, but over the public internet, so technically the delivery is OTT. In everyday use, “IPTV” has come to mean exactly this: live TV channels in a player app, delivered online. Read more in What is IPTV?. Supported formats differ between services, so check before you subscribe; for IPTV Hive's subscription process, see How it works.
Live channels vs. on-demand
A separate distinction: on-demand services let you start a show whenever you like, while live (linear) TV follows a broadcast schedule. Both IPTV and OTT can deliver either; IPTV subscriptions focus on live channels.