Broadband-delivered video could produce annual revenues of £735 million by 2010
London, UK - April 21, 2006 - "Download-to-Own," a new mode of movie ownership, made history in the UK last week, when Universal Pictures and LOVEFiLM released the classic movie King Kong on the same day they made the DVD available for sale. Responding to this event, Strategy Analytics highlights the wider implications for the industry in the new Broadband Media and Communications report, "Universal Brings Kong to Broadband: Ape Smashes UK Release Window-But Slips on Pricing."
This report shows that a significant part of the UK broadband audience is ready to try video download services, which could complement - or even replace - popular video rentals, as well as DVD/videocassette purchases. In a recent survey of 250 broadband homes in the UK, Strategy Analytics found that nearly a quarter of respondents expressed interest in this new type of video download opportunity.
"With more than 10 million UK households now using broadband Internet access, these findings suggest great potential for the online distribution of video content," said Senior Analyst, Martin Olausson. "As the base of users grows, access speeds increase, and the range of video available online expands to include more premium content, such as recent movies."