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Connected TV Application Market Opportunities

Most consumer electronics (CE) device manufacturers are apparently in the process of introducing software platforms that support widgets -- also called Connected TV applications.

According to the latest market study by In-Stat, this sets the stage for a burgeoning new market and alters how people will access Internet content -- from news, web-surfing and purchasing to watching Netflix movies and YouTube.

"By 2013, TV applications have the potential to generate over $1.7 billion in annual revenue," says Keith Nissen, In-Stat analyst.

"Our primary research shows consumers already have a moderate interest in TV Widgets. An innovative web-enabled CE device and service from a company like Google or Apple could truly galvanize the market, much as the iPhone transformed the mobile telephony market."

Connected TV applications are small, self-contained software programs that can be plugged into a web application to access a wide range of content. Due to their broad scope, TV apps are rapidly becoming a ubiquitous product requirement for nearly all web-enabled CE devices.

In-Stat's market study found the following:

- U.S. shipments of web-enabled CE devices that support TV applications will grow from 14.6 million in 2010 to 83.4 million by 2014.

- By 2014, over 59 million U.S. broadband households will own at least one CE device that supports TV applications.

- By 2014, the U.S. installed base of CE devices that support TV applications will be 136 million units.

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