Report: Streaming video growth outpacing downloading of movies, TV

Consumers have increased the amount of movies they stream 12 percent, and stream 5 percent more television than they did a year ago, according to a new study that says streaming is outpacing downloading as the method of choice to view online entertainment.

Entertainment, media and technology market research firm Interpret, said its quarterly New Media Measure also highlighted the growth of Netflix, which has seen an increase in its share of the streaming video market, up 36 percent from the first quarter of 2009. Streaming continues to be the dominant method for consuming content online, as downloading TV and movies has remained flat.

In an interesting turn, the continued improvement in the quality of streaming video and in the amount of available outlets for streaming appears to have reduced video piracy. Interpret said the incidence of illegal downloading of movies (9 percent) and TV shows (7 percent) is well below that of music (20 percent).

"New media behaviors such as social networking and online video consumption have true staying power," said Josh Bell, Executive Director, Interpret LLC. "No passing fad, consumers are already weaving these activities into the fabric of their daily lives, and it is all happening extremely fast. Moreover, consumers appear to be turning to legal modes of content distribution, suggesting consumers see tangible value in the experiences video content providers are offering."

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