Skip to main content

Online Video Growth Exceeds Prior Estimate

In case you haven't noticed, online video is totally pervasive. The worldwide online video market is experiencing truly dramatic growth, according to In-Stat's latest market study it's beyond most prior estimates.

Worldwide online video revenue is now expected to eclipse $4.5 billion by 2012, up from $1.2 billion in 2008, the high-tech market research firm says.

Purchased or rented videos are expected to offer the most robust growth for online video in the near term, in large part due to an increase in subscription services such as Netflix, which charges a flat monthly fee to deliver an optimal combination of packaged goods and online content that can be viewed on home TV sets.

Ad-supported professional video from major TV networks will become a strong revenue contributor by 2012.

"What is now seen as a predominantly younger pastime will spread to encompass a wider group of people, in part due to the aging of current online video viewers, but also as a result of word of mouth, spread of services, growth of in-home networks, and new network-connected consumer electronic devices," says Gerry Kaufhold, In-Stat analyst.

"The survey data in a recent In-Stat report indicates that over half of consumers actually still prefer packaged goods, which potentially bodes well for Blu-ray discs. Surprisingly, younger people who regularly watch online were the group that expressed the highest interest in owning a package goods bundle that includes artwork and extra content."

The In-Stat research covers the worldwide market for online video, including video rental/purchase, ad-supported TV programs, and ad-supported User Generated Video. The report presents an in-depth discussion of the market dynamics, as well as analysis of the various online video business models, and concludes that flat-rate pricing for a combination of packaged goods and online convenience is becoming the winning approach.

It provides forecasts for broadband penetration, growth in online video viewers, and online video revenue for three categories through 2012. It also includes analysis of a recent In-Stat U.S. consumer survey on online video.

In-Stat's market study found the following:

- By 2012, 39 percent of adults in the U.S. are expected to have purchased or rented online video.

- 54 percent of respondents to an In-Stat survey of U.S. consumers still favor physical discs when purchasing movies or TV shows.

- By 2012, In-Stat forecasts that 90 percent of U.S. households will have access to broadband, with 94 percent of these individuals watching online video.

Popular posts from this blog

How Cloud Fuels Digital Business Transformation

Across the globe, many CEOs invested in initiatives to expand their digital offerings. User experience enhancements that are enabled by business technology were a priority in many industries. Worldwide end-user spending on public cloud services is forecast to grow 21.7 percent to a total of $597.3 billion in 2023 -- that's up from $491 billion in 2022, according to the latest market study by Gartner. Cloud computing is driving the next phase of digital transformation, as organizations pursue disruption through technologies like generative Artificial Intelligence (AI), Web3, and enterprise Metaverse. Public Cloud Computing Market Development "Hyperscale cloud providers are driving the cloud agenda," said Sid Nag, vice president at Gartner . Organizations view cloud computing as a highly strategic platform for digital transformation initiatives, which requires providers to offer new capabilities as the competition for digital business escalates. "For example, generativ

Digital Talent Demand Exceeds Supply in Asia-Pac

Even the savviest CEO's desire for a digital transformation advantage has to face the global market reality -- there simply isn't enough skilled and experienced talent available to meet demand. According to the latest market study by IDC, around 60-80 percent of Asia-Pacific (AP) organizations find it "difficult" or "extremely difficult" to fill many IT roles -- including cybersecurity, software development, and data insight professionals. Major consequences of the skills shortage are increased workload on remaining digital business and IT employees, increased security risks, and loss of "hard-to-replace" critical transformation knowledge. Digital Business Talent Market Development Although big tech companies' layoffs are making headlines, they are not representative of the overall global marketplace. Ongoing difficulty to fill key practitioner vacancies is still among the top issues faced by leaders across industries. "Skills are difficul

Mobile Device Market Still Awaiting Recovery

The mobile devices market has experienced three years of unpredictable demand. The global pandemic, geopolitical pressures, supply chain issues, and macroeconomic headwinds have hindered the sector's consistent growth potential. This extremely challenging environment has dramatically affected both demand and supply chains. It has led to subsequent inflationary pressures, leading to a worsening global cost of living crisis suppressing growth and confidence in the sector. In tandem, mobile device industry stakeholders have become more cautious triggering market uncertainties. Mobile Device Market Development Operating under such a backdrop, the development of mobile device ecosystems and vendor landscapes have been impacted severely. Many of these market pressures persisted throughout 2022 and now into 2023, borne chiefly by the smartphone market. According to the latest worldwide market study by ABI Research, worldwide smartphone shipments in 2022 declined 9.6 percent Year-over-Year