Internet connection becomes widespread on televisions

According to a study by The Diffusion Group (TDG), connected television will experience an explosion, with devices using over-the-top (OTT) services growing to 250 million in 2016. Among the various OTT platforms, TDG's analysis predicts that gaming consoles will continue to dominate these environments, at least in the coming years.

If in 2010 the number of screens, STBs and consoles connected to the Internet to offer over-the-top (OTT) services was already 106 million worldwide, according to a study by The Diffusion Group (TDG) this figure will reach 250 million units in 2016.

Although with impressive growth, this figure would not represent more than half of the homes that could receive OTT services in 2016. In other words, 488 million homes have the hardware and broadband services to receive video under OTT formulas, but only a minimal part would use them.

It is precisely this gap between OTT-ready homes and homes using OTT services that TDG has focused its study on. In his opinion, the industry has proposed a premature approach, when in reality the opportunity/threat lies in jumping far into “premium” pay TV. This is precisely where connected television platforms are having the greatest impact, pushing over-the-top services like Netflix to occupy a predominant place in the living room.

Among the various OTT platforms, TDG analysis predicts that gaming consoles will continue to dominate these environments, at least for the next few years.

In its report, TDG identifies six lines of progress in OTT. Traditional consumers will gradually replace their devices with others with an Internet connection, having greater access to digital content while operators will relax their protectionism.

The policies that affect the distribution of video content over the Internet will be set by national governments with the consequent impact of the adoption of devices that allow OTT distribution.

Consumers are increasingly accustomed to on-demand delivery on average, and products and services that support On-Demand access will be favored.
All forms of personal media are digitized, so consumers will increasingly want to have access to digital content on their televisions whether it be video, music or photos.

Finally, OTT services will be offered on multiple screens, allowing consumers to enjoy content anywhere.