SCOTTSDALE, AZ — Thirty million U.S. broadband households are already watching online video on the TV, and close to 90 percent of these households stream video to the TV as well as downloading it, says research group In-Stat. Over the next five years, In-Stat expects that the majority of consumer electronics devices purchased, including digital TVs, Blu-ray players and gaming consoles, will be Web-enabled. A total of 137 million devices are expected to ship in the United States in 2014.

“The future will be a hybrid environment in which consumers will get their digital entertainment from both pay-TV and online sources,” says Keith Nissen, principal analyst at In-Stat. “Digital entertainment will be viewed on a plethora of Web-enabled devices, dictated by content type, source, location and many other factors. However, the home big-screen TV will continue to be the preferred device for consuming both broadcast as well on-demand video content.”

Report highlights include:

  • Within five years, more than 11 million operator-provisioned hybrid set-top boxes will be capable of delivering online video content directly to the TV.
  • By 2014, 57 million U.S. broadband households will be viewing full-length online video on the TV.
  • Web-to-TV video content revenue will reach $17 billion by 2014.
  • Among households viewing Internet TV at least once a week, the 45- to 54-year-old age group saw the biggest percentage increase from 2009 to 2010.
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