Cable Based Video-On-Demand to Generate Revenue of $2.8 Billion in 2006, says New Yankee Group Report.Business Editors/High-Tech Writers BOSTON--(BUSINESS WIRE)--Nov. 4, 2002 Video rental store revenues protected in short term by earlier access to new releases Over the last 18 months, leading cable operators have rapidly deployed video-on-demand (VOD See video-on-demand. VoD - video on demand ) for three reasons: to differentiate their service from direct broadcast satellite (DBS (Direct Broadcast Satellite) A one-way TV broadcast service from a communications satellite to a small round or oval dish antenna no larger than 20" in diameter. ) services, to improve the value proposition for digital cable and to produce incremental revenue from their upgraded networks. With the growing penetration and increasing breadth of VOD content, pay-per-view and subscription VOD will generate combined revenues of $2.8 billion in 2006, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. a new Yankee Group (the Yankee Group, Boston, MA, www.yankeegroup.com) A major market research, analysis and consulting firm founded in 1970 by Howard Anderson. It provides general consulting and strategic planning in the computer and communications field. report titled "Video-on-Demand: Sustained MSO (1) (Multiple System Operator) Typically refers to a cable TV organization that owns more than one cable system, but it may refer to an operator of only one system. Commitment Drives Rapid Growth." "Despite falling stock prices and pressure from Wall Street, most major MSOs have continued to deploy VOD," said Adi Kishore, Yankee Group Media & Entertainment Strategies analyst. "With content availability growing and VOD technology maturing, the supply side hurdles are largely resolved. MSOs must now shift their focus to the demand side and concentrate on marketing and consumer education to drive usage." The report also found that growing VOD availability and usage will begin to divert video rental revenue. However, rental stores' earlier access to new releases from the major studios will limit the impact over the next few years. NOTE TO EDITORS For interviews, please contact Adi Kishore at akishore@yankeegroup.com. THE YANKEE GROUP (www.yankeegroup.com) The Yankee Group is a global leader in technology research and consulting. Our customers, which include technology vendors and users, benefit from our accurate, reliable, and trusted research, consulting, and personalized one-to-one client interaction covering communications and IT products and services. Now in our fourth decade, the company is headquartered in Boston and maintains offices throughout North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. , Europe, Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. , and the Pacific Rim. |
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