Internet-Connected TV To Grow 36% By 2016
New bells and whistles on Internet-connected televisions aren't going to waste, according to a new survey. Turns out they are being used regularly.
Over 60% of Internet-connected TV households use TV apps at least once per week, according to Scottsdale, Ariz.-based In-Stat. New wave TVs allow consumers to connect with Netflix, YouTube, Facebook, and more.
"As expected, Netflix and YouTube currently dominate the TV application space," says Keith Nissen, research director at In-Stat. "But as Netflix competitors become more numerous and as applications are optimized for the big screen, TV apps will become part of the mainstream TV viewing experience."
Right now, In-Stat says 22% of U.S. TV households already own an HDTV with integrated TV apps. Connected TVs with integrated TV applications will grow by an average 36% over the next five years.
Still, the survey says TV apps are not the primary reason for purchasing connected TVs -- and that consumer behavior of these new TV apps doesn't lead to more purchasing of other video content, especially when it comes to customers of Netflix.
In-Stat says consumers now favor both traditional pay-TV and online video services, which have risen to 30% in 2010 from 18% previously.
In regard to DVR use, the research suggests playback of DVR programming does not lead to increased use of free video-on-demand services from a TV programming service.