Technology | Media | Telecommunications

Tuesday, March 23, 2010

Connected TVs Advancing OTT Video Use

A recent market study by Knowledge Networks (KN) provides evidence that television and the Internet are becoming increasingly interchangeable -- when it comes to viewing network TV programs.

Among U.S. Internet users in the 13-to-54 and 18-to-34 age groups, viewing of complete TV show episodes via streaming or downloaded video has essentially tripled in the past three years -- growing from 8 to 22 percent of those ages 13 to 54 with Internet access, and from 12 to 30 percent of 18-to-34 online users.

Knowledge Networks' market study findings include:

- 7 percent in the 13-to-54 age group, and 11 percent of those 18 to 34, have used a TV set to watch streamed or downloaded online over-the-top video.

- 6 percent of those 13 to 54, and 9 percent of 18-to-34 consumers, told KN they have reduced or canceled their pay-TV service in the past year due to their online viewing of network TV programming, or expect to do so in the next year.

"The small but notable level of people watching TV programs via the Internet on regular TV sets suggests that the convergence of the two screens for mainstream audiences may finally be on the horizon," said David Tice, Vice President and Group Account Director at Knowledge Networks.

Growing numbers of connected TVs -- those that access the Internet directly -- are making this option increasingly user-friendly. The fact that over one-third of TV homes now have a bundled TV/Internet service package is no doubt accelerating this blurring of boundaries.