May 14, 2009

The Year Of The Internet-Connected TV

TV Manufacturers Must Be Ready For Change In The Living Room

by Nathan Safran

with J.P. Gownder, Abe Garon, Dan Wilkos

Executive Summary (This is a document excerpt)

In 2008, we watched as streaming media made its way into the home via such diverse connected devices as set-top boxes, games consoles, DVRs, and Blu-ray players. 2009 has brought us the news we all knew was coming: The TV is going to be connected to the Internet in a big way. Yahoo! announced its connected TV platform of streaming media services and TV Internet widgets, and several major TV manufacturers announced support for the platform. Our analysis of potential early-adopter segments shows that 12% of North American online adults have broadband, watch 15 or more hours of video per week, spend half or more of their video time watching on-demand content, and are attractive targets for their heavy on-demand viewing habits. Internet-enabled midtier TV models and HD content partnerships will position TV manufacturers to take advantage of the coming revolution in our living rooms.

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