Wednesday, March 30, 2011

Watch for Significant Cord Cutting in 2012

Nearly 25 million U.S. households have watched online video on their standard TVs, Forrester Research reports. The U.S. online adults Forrester Research surveyed reported that 14 percent of their total video viewing was coming from the Internet, on average. Assuming a typical user watches five hours a day worth of video, which implies about 42 minutes a day of online video consumption using TVs, PCs or other devices.

When the results are sorted to include only respondents who say they watch online video on a TV, 28 percent of total viewing time—about an hour and 24 minutes a day—is online video.

In about 56 percent of cases, consumers are using their videogame consoles as the gateway to online viewing that is displayed on a TV. That makes sense, as the game players are, by definition, already connected to the TV and to a broadband connection.

The personal computer is the second most common gateway device used to view online video on a standard TV, Forrester Research reports that 10.9 million homes currently connect a PC to a TV at least occasionally, representing about 44 percent of the gateway devices used to watch online video on a TV display.

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