Skip to main content

U.S. iTV Market Growth Forecast

When more than half of U.S. TV households have digital set top boxes -- projected to occur in 2009 -- cable operators can expect a boom in revenue from interactive TV (iTV), electronic transactions, and high-speed voice and data services, according to Kagan Research. Total consumer revenues from all gaming, television commerce, and interactive advertising will hit $2.4 billion by 2009, with cable operators pulling in $780 million.

Kagan Research explains -- as other analysts have said -- that growing competition for video customers has pushed cable operators, satellite distributors, and Telco companies to search for other revenue sources apart from traditional monthly subscription TV fees.

The report says current U.S. interactive TV activity lags behind interactive TV business in Europe. But rapidly expanding technologies could bridge the gap between U.S. and European interactive TV businesses soon.

Popular posts from this blog

How Online Video Exceeded Pay-TV Revenue

The global streaming industry has spent the better part of a decade chasing subscriber counts as the primary metric of success. That era is now formally over. New market data from Omdia confirms that the industry has crossed a decisive threshold; one that shifts the competitive playing field from growth-at-all-costs to monetization discipline. For senior executives navigating media, advertising, and technology strategy, the implications extend well beyond entertainment. A Historic Revenue Crossover Online video revenue increased 13.5 percent to $176 billion in 2025, while pay-TV revenue declined 4 percent to $170 billion; marking the first time in the industry's history that streaming has surpassed legacy pay-TV in revenue terms. This is not a rounding error or a statistical artifact; it represents the culmination of more than a decade of structural disruption to the traditional broadcast and cable TV model. Global subscriptions to online video services reached 2.24 billion by the ...