Is IPTV legal?

A recent report, 09-22, by Markets and Markets, showed an alarming 17% growth for IPTV users, with an estimated US$115.2 billion, the market is expected to surpass Satellite and Cable networks.
I have seen ads promoting 60,000 movies and 15,000 TV channels. How do they get a copyright license for all this? This must mean a lot of footwork and paper funneling.

What are your thoughts? Is this even a legal business? WordPress ...