Network bandwidth and server capacity are gradually becoming overloaded due to high demand and rapid evolution of high quality multimedia services over the Internet. Internet Protocol Television (IPTV) is among the multimedia services that demand more of network and server resources, especially with the emergence of Mobile IPTV. It is imperative for service providers to maintain good quality management services in order to satisfy their clients. To improve the required Quality of Service (QoS) and Quality of Experience (QoE), a Content Distribution Network (CDN) approach is being adopted and used by service providers, where contents are replicated over multiple distributed servers with the best server selected to serve an incoming request. In this paper, we propose an Adaptive CDN-Based Bandwidth Conserving Algorithm for Mobile IPTV that adapts to different server bandwidth capacity in order to improve the QoS, which in turn will provide the required QoE. Results from the simulation tests show that the proposed algorithm performed well in adapting to different server bandwidth level to switch between using the server or client to serve an incoming service requests. It also confirmed that the proposed algorithm outperformed the normal CDN-based IPTV system in server load reduction, high throughput and low end-to-end delay.