American viewers look to IPTV

USA

Internet protocol television (IPTV) looks set to experience a surge in popularity in the US, with three quarters of Americans expressing an interest in the burgeoning broadcast medium.

A survey by international investment bank RBC Capital Markets discovered that three in five people would consider IPTV over satellite or cable services, with their buying decisions driven mainly by price, the opportunity to choose personalised content and then create their own viewing schedule, and the ability to watch more content of specific interest.

The latest figures follow news early this month that US market intelligence group iSuppli expects the number of global subscribers watching IPTV services to expand by a factor of more than 26 between 2005 and 2010. And earlier this summer, researchers at The Diffusion Group forecast that North America will experience a compound annual growth rate in IPTV subscriptions to 34m within the next four years.

The new RBC study also discovered that 53% of Americans are watching the same amount of television as before—but many people are also spending an increasing amount of time on the internet, with 42% having upped their hours online.

RBC Capital Markets analyst Mark Sue said: "Technology and broadband innovations will dramatically change the TV viewing experience over the next several years. Not only will consumers be able to view content when and where they want, they will be able to enjoy customized programmes that feature high levels of interactivity".

However, nine out of ten respondents said they still did not watch television programmes on their PC or laptop, and more than three-quarters said they did not anticipate doing so. Asked if they watched movies on their personal computer more than they did last year, 83% said no.

Lovelace Consulting  |  16.08.2006

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