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Down Grade: Broadband Adoption Linked To TV Cord Cutting

August 23, 2011

Dallas-based researcher Parks Associates says 13% of consumers who have broadband connections have made cutbacks within the last 12 months -- with another 9% to come. The study says this includes some 3.9 million people who regularly watch Internet video.
The study says 22% of all broadband households now use the Netflix Watch Instantly service. Also, it was suggested that set-top box distributors find a way to include YouTube, the digital video service, which is already being include in many Internet-connected TVs on the market.

The reports says "TV Everywhere will be an ineffective retention tool." The data suggests 11% of all pay-TV households, or 6.5 million homes, would pay an extra $15 a month. Many consumers view TV Everywhere as a "premium package."

The study suggests "TV Everywhere" providers will see gains if many offer no-frill packages.

Park Associates notes that nearly 50% of all flat-panel TVs sold in 2011 will be Internet-connectable and about two-thirds of U.S. broadband households will have a video-game console connected to the Internet. Consumer sales of Internet-connectable TV devices will go to nearly 350 million units worldwide by 2015.

From the article, "Down Grade: Broadband Adoption Linked To TV Cord Cutting" by Wayne Friedman

Previously In The News

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Parks Associates estimates 608,000 households will have multiservice residential gateways by the end of 2001, but demand is expected to explode by 2004. By 2005, yearly demand is expected to be up t...

Survey Says Gaming Isn’t Just For the Nerdy. Or Is It

A survey of online gamers from 2006 by Parks Associates found that the “power gamers” that account for 30 percent of retail revenue are just 11 percent of the online gaming population. The majority...

Set top boxes to achieve 200 million sales by 2013

A The set top maker Pace has already seen a great year with increased sales and it would seem to be a trend that is set to last up until at least 2013, according to a new report compiled by Parks As...

PRI Fellow: The Future of Broadband Looks Bright

Daniel Ballon, a policy fellow in technology studies at San Francisco-based think tank Pacific Research Institute (PRI), gave a presentation on "The Future of Broadband" that looked at the market fo...

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