Trender Research issued a report last week suggesting that 7 percent of households will choose over the top (OTT) video offerings or a hybrid of OTT video and broadcast over pay TV services by 2012. It's not a huge number, but any number may be significant for a sector of TV service providers that is still trying to grasp how the Internet video trend ultimately will affect them. The prevailing wisdom early on was that there was much to fear, but in the last year or so, hybrid strategies and new online TV service concepts like TV Everywhere have gained steam.
The statement comes from the Trender report, "Pay TV and the Growing Over the Top Video Threat," and is based on an esitmate that Trender calls "realistic" versus other possible more aggressive or more conservative scenarios--though Trender also acknowledges in its press release that 7 percent may end up being a conservative number. Trender says some of the issues that will keep OTT video adoption relatively low include "limited live TV, sports, and high definition content, and the relative complexity of setting up and using OTT devices and networks."
Here's the Trender Research press release
ABI Research last year suggested carriers can be OTT video players
The U.S. pay TV market reached 80 millon households this year