US on-demand internet content revenues are expected to reach $9 billion by 2010, with consumer spending for online entertainment forecast to grow by 260% over the next five years, according to new research from Parks Associates.
The
Digital Lifestyles: 2006 Outlook report estimates revenue to increase by $6.6 billion over the next four years, driven by innovations in digital entertainment platforms and content services.
Commenting on the predictions, Kurt Scherf, vice president and principal analyst at Parks Associates said: “This year will be a watershed for delivering to consumers an array of new entertainment experiences.”
He continued: “Thanks to broadband proliferation and growing co-operation between content producers and other members of the digital environment value chain, we’ll see significant product and service announcements throughout 2006.”
Scherf also indicated that the online video market would be active in 2006, with PC and consumer electronics manufacturers seeking to expand their influence by offering more integrated networked solutions to end users.
Parks Associates claimed that the number of world-wide consumer broadband subscribers will reach more than 360 million in 2010, up from 184 million in 2005, while IPTV services will reach nearly 70 million in 2010.
This strong growth is also seen in the UK, with eMarketer expecting the country to lead Europe in terms of broadband adoption. The UK Online report claims that 56.7% of the UK population is currently online, rising to 62.5% over the next three years (see UK To Lead Europe In Broadband Uptake).
Turning to IPTV, this too looks set to become a significant force in Europe, with research from Screen Digest forecasting France to be the leading market in the region, with 2.4 million subscribers by 2009 (see IPTV To Have Significant Impact On European Markets).
Meanwhile, on a global scale, Informa Telecoms & Media predicts the technology to reach 25.9 million subscribers by the end of 2010, up from just 2.7 million at the end of 2005 (see IPTV To Reach 25.9 Million By 2010).
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