Report: One in Three U.S. Homes Will Have Video-on-Demand By 2008

Authored by Mark Hefflinger on May 27, 2004 - 7:13am.

Boston, Mass. -- One in three U.S. homes will have video-on-demand (VOD) services available to them by the end of 2008, when VOD is available in 36.5 million digital cable homes, predicts Boston-based research firm Yankee Group. Deployments in 2003 rose 70% from 2002, and 11.4 million homes are now capable of using video-on-demand. The firm's estimate is a bit lower than an earlier projection, due to increased desire among cable operators to focus on other services like HDTV and digital video recording, which are being aggressively deployed by their satellite TV rivals. Yankee Group advises cable operators to market VOD more aggressively to their subscribers, as well as expand their available content libraries. Cable firms are also encouraged to continue to deploy digital video recording set-tops, despite their somewhat negative impact on the use of VOD, as that impact will be limited by video-on-demand's broader content offering and ability to support impulse viewing.
http://www.yankeegroup.com/public/home/daily_viewpoint.jsp?ID=11455