Report: Web-TV Streaming Revenue to Reach $3B by 20134 May, 2009 By: Erik Gruenwedel
With the coveted 18- to 35-year-old consumer demographic well-versed in online video, the proliferation of Internet-connected televisions will result in $3 billion in streaming-related revenue by 2013, according to a new report.
Scottsdale, Ariz.-based In-Stat said 40% of young adult U.S. households now view Internet video on the TV at least once per month. Within five years, the number of domestic broadband households viewing Web-based entertainment will grow to 24 million.
Already, 29% of 25- to 34-year-olds with video game consoles use the devices to watch streaming video off the Internet.
In five years, there will be 7.4 million broadband households in the United State that use media center PCs for streaming Web-to-TV content.
TV networks and pay-per-view operators see Web-based television as additive to VOD, but that it would ultimately force a complete restructuring of current video services, including content type.
“Once Web-to-TV video becomes simple and convenient, mass consumer adoption will follow quite rapidly,” said Keith Nissen, In-Stat analyst. “Our primary research shows that users want a variety of their consumer devices to enable a web-to-TV video experience.”