Abstract
Publication Overview
This annual report offers a wealth of information on the worldwide development
of advertising and marketing in the digital era. It includes information on
online entertainment, digital broadcasting, IPTV and home media centres and
offers analyses, statistics, forecasts and trends. It provides insight into
the impact that digital media has had on the traditional media and the changes
they are making to evolve in the new landscape. Information on the leaders to
date, the Internet Media companies, is included along with a case study on
Google. Valuable insights and statistics for the emerging Internet
entertainment market of China are also provided. Brief regional information on
developments in North America, Latin America, Europe, Middle East, Africa and
Asia Pacific are also provided.
Subjects covered include:
Key online entertainment services and statistics;
- Social media;
- Online video;
- IPTV;
- Home media centres and home networking;
- Impact on traditional media;
- Internet Media Companies including case study on Google;
- Internet entertainment in the emerging market of China;
- Brief regional overviews.
Executive Summary
The entertainment market as a whole continues to be reshaped in light of
technological advancements and new industry partnerships. Developments in
online video, IPTV and home media centres are intensifying as the underlying
technologies continue to converge. Much of the world is also moving towards
all-digital broadcasting and North America and Europe are considered to be the
most developed TV markets in the world, with growth occurring rapidly in parts
of Asia. Around 28% of all TV households worldwide are now equipped to receive
digital TV broadcasts.
The Internet remains a popular pastime for consumers and online services such
as music, gambling and online dating generate billions in revenue each year.
Social media developments are also fascinating and exciting. They show the
great potential of the new communication and information tools that are
becoming available thanks to the Internet, Web 2.0, email and broadband
infrastructure. However, for these new social media tools to succeed, they
need to be fully and totally integrated into our daily communication. Current
social media sites such as Facebook, MySpace, LinkedIn, Plaxo, Twitter,
YouTube, Wikipedia, Google and Second Life are great incubators for these new
services; they provide us with new tools and allow us to experiment.
Online video has also proved popular with the success of Google' s YouTube
being well documented. While in 2009 YouTube continues to dominate in terms of
the numbers of viewers, we are now also seeing new business models emerging
that explore better ways to generate revenue from such sites. Attention is
turning towards Hulu in particular, as it demonstrates that users will watch
longer-form TV and video content and tolerate advertising - under the right
conditions.
Around the world home media entertainment centres continue to evolve as the
technologies converge to incorporate a variety of consumer electronic devices,
from digital TVs, to multi-room DVRs, digital media adapters, set-top boxes,
Blu-ray players and game consoles. There is a drive to incorporate IP-based
connectivity in more and more CE and PC devices and TVs in particular are fast
becoming the focus for home media centre developments. Sales of networked TV
equipped with wireless functionality are expected to increase in the years
ahead.
While Europe and Asia have the most dynamic IPTV markets, recently in the USA
the telcos' IPTV plans, on the back of their fibre deployments, have started
to gather significant momentum. However, on the whole, around the world,
customers continue to be more interested in the web-based broadband video
applications rather than IP-based TV. The economic downturn may also deter
telcos from expanding their IPTV coverage over the next couple of years and
subscriber growth could be curbed as consumers reign in their spending on
luxury services.
The Internet media companies are continuously looking for new opportunities
within the digital media and entertainment sector. Leading companies like
Google have widespread interests and an ability to be at the forefront of
innovation. The potential opportunities presented by the large emerging market
of China has also not gone unnoticed and after a slow start, we are now seeing
increasingly rapid development of Internet entertainment in China. The pace of
development has really been quickening as more and more of the population gain
access to the Internet. However, in order to reach its full potential, there
are many Internet-related issues still needing to be confronted, not least of
which is the regulatory regime. Controversial action by the Chinese government
in respect of Internet companies such as Google, Yahoo! and Microsoft
continues to loom as problematic.
This report provides a valuable insight into the developments taking place in
the digital media entertainment sector. It includes information and broad
global statistics on key online entertainment services. It provides detailed
information and statistics on two of the most popular online activities -
social media and online video.
The report also examines the IPTV market and the evolving home media and home
networking sectors. Broad statistics and developments are included for digital
broadcasting including DTV, HDTV, interactive TV and cable TV. The report
explores the impact that digital media has had on the traditional media and
the changes they are making to evolve in the new landscape. Information on the
leaders to date, the Internet media companies, is included along with a more
detailed case study on Google. Valuable insights and statistics for the
emerging Internet entertainment market of China are also provided along with
brief regional information on developments in North America, Latin America,
Europe, Middle East, Africa and Asia Pacific.
Key highlights:
- The new era of digital media is undermining the traditional media' s
privileges and their grip on their monopolies. They are now all jockeying for
a position in the new Internet economy. Sectors include TV and radio
broadcasting, newspaper publishers, film and video industries.
- The most popular online entertainment services include gambling/gaming,
online dating, online music, online video and social media.
- Social networking now accounts for around 10% of the time consumers spend
online.
- The increasing popularity of online video across different mediums will
lead to a greater demand for quality content delivery networks (CDN) that can
deliver and distribute content effectively.
- Online dating has been a popular web activity since around the year 2000
- and a profitable one as well. By 2009 it was generating almost $1 billion
in revenue.
- Already the biggest in the world, China' s online gaming market still shows
considerable potential for growth.
- TVs and game consoles are becoming available that can stream movies and
content straight from the Internet - examples include a flat panel display
developed by Vizio and Microsoft' s Xbox360.
- Many countries are switching from analogue to digital, as government
mandated switch over dates approach.
Table of Contents
1. Digital Media and Internet Entertainment Services
- 1.1 Digital media: trends in Internet entertainment & key online services
- 1.1.1 Digital media and entertainment
- 1.1.2 Key online entertainment services
- 1.1.3 Digital Rights Management (DRM)
2. Digital Media and Social Media
- 2.1 Social media: market overview and statistics
- 2.1.1 Insatiable appetite for communication
- 2.1.2 Social media after the financial crisis
- 2.1.3 Second Life, Twitter, LinkedIn, Plaxo, Facebook, MySpace, Wikipedia
- 2.1.4 More of the same with new tools
- 2.1.5 Personalising social media
- 2.1.6 Personal social networks
- 2.1.7 Incorporate social media within the organisation/group
- 2.1.8 Open Social Foundation
- 2.1.9 Conclusions
3. The Power of Online Video Media
- 3.1 Online video media: market overview and statistics
- 3.1.1 Introduction: the power of online video media
- 3.1.2 Killer applications
- 3.1.3 Delivery trends
- 3.1.4 Online video media statistics and forecasts
- 3.1.5 Backgrounder: video streaming and P2P
- 3.1.6 Conclusion: the future of video in telecoms
4. Growth Continues for IPTV
- 4.1 IPTV market overview and statistics
- 4.1.1 Introduction
- 4.1.2 The future of IPTV
- 4.1.3 IPTV case studies
- 4.1.4 Business models
- 4.1.5 Telcos versus media companies
- 4.1.6 Value-added multimedia
- 4.1.7 Video-on-Demand (VoD)
- 4.1.8 Market developments
- 4.1.9 IPTV market statistics and forecasts
- 4.1.10 IPTV services revenue statistics and forecasts
- 4.1.11 IPTV standards
5. Evolving Home Media Networks
- 5.1 Home media centres and home networks: market overview and statistics
- 5.1.1 Market in progress
- 5.1.2 Moving away from PC-centric
- 5.1.3 Industry sectors vying for home media market
- 5.1.4 Digital Video Recorder (DVR) overview
- 5.1.5 Industry consortia
6. The Move to All Digital Broadcasting
- 6.1 Digital broadcasting: market overview and statistics for digital TV,
HDTV, iTV, STB and cableTV
- 6.1.1 Introduction
- 6.1.2 Digital TV
- 6.1.3 Set-top boxes (STBs)
- 6.1.4 HDTV
- 6.1.5 Interactive TV (iTV)
- 6.1.6 Datacasting
- 6.1.7 Cable TV - introduction
- 6.1.8 Regional cable overview
7. Digital Media - Google & Other Leading Players
- 7.1 Internet media companies
- 7.1.1 Introduction and analyses
- 7.1.2 Internet media companies
- 7.1.3 Key areas for Internet media companies
- 7.1.4 Case study: Google, the leader
- 7.1.5 Brief case study: eBay
- 7.1.6 Brief case study: Skype
- 7.1.7 Other issues
8. Case Study: Internet Entertainment Trends In Emerging China
- 8.1 China and Internet entertainment
- 8.1.1 E-Entertainment
- 8.1.2 Social networking
- 8.1.3 Search engines
9. Digital Media' s Impact on Traditional Media
- 9.1 Impact on traditional broadcasters and publishers
- 9.1.1 Introduction
- 9.1.2 Continental shift in competition
- 9.1.3 New business models for media content required
- 9.1.4 Distinct industry realignments
- 9.1.5 Advertising spending moving to online
- 9.1.6 TV broadcasters
- 9.1.7 Radio broadcasters
- 9.1.8 Newspaper publishers
- 9.1.9 The video and DVD rental companies
- 9.1.10 The anomaly of the mass media
10. Regional Overviews
- 10.1 North America
- 10.1.1 Market overview
- 10.1.2 Entertainment and social networking
- 10.1.3 Online video market
- 10.2 Latin America
- 10.2.1 Overview of media convergence
- 10.2.2 Triple play models
- 10.2.3 Pay TV
- 10.2.4 Broadband TV (IPTV)
- 10.2.5 Digital Terrestrial TV (DTTV)
- 10.3 Europe
- 10.3.1 Western Europe
- 10.3.2 Eastern Europe
- 10.4 Africa
- 10.4.1 Overview
- 10.4.2 Digital TV
- 10.4.3 Mobile TV
- 10.4.4 IPTV and VoD
- 10.5 Middle East
- 10.5.1 Overview
- 10.5.2 FTA DTH satellite TV
- 10.5.3 Pay TV
- 10.5.4 HDTV
- 10.5.5 IPTV
- 10.5.6 Mobile TV
- 10.5.7 Internet entertainment and other services
- 10.6 Asia
- 10.7 Pacific region
- 10.7.1 Australia
- 10.7.2 New Zealand
11. Glossary of Abbreviations
- Table 1 - Worldwide Internet users - 1990 - 2009
- Table 2 - Worldwide broadband subscribers - 2003 - 2009
- Table 3 - Worldwide online gambling revenue - 1997; 2001; 2004; 2006;
2008
- Table 4 - Worldwide revenue from online video - 2008; 2012
- Table 5 - Number of virtual worlds worldwide - 2007; 2009
- Table 6 - Second Life subscribers - 2006 - 2008
- Table 7 - Unique monthly users: Facebook versus MySpace - 2008 - 2009
- Table 8 - Worldwide market share of mobile social network users -
2008; 2013
- Table 9 - Growth of Hulu video streams - 2008 - 2009
- Table 10 - Online video streams: top 6 online video properties in the US
- 2007; 2009
- Table 11 - PCCW NOW TV operational data and ARPU - 2003 - 2007
- Table 12 - IPTV subscribers in France - 2005 - 2008
- Table 13 - Alice TV subscribers in Italy - 2007 - 2008
- Table 14 - FASTWEB TV subscribers - 2006 - 2008
- Table 15 - Worldwide IPTV equipment spending - 2007; 2013
- Table 16 - Worldwide IPTV subscribers: comparison of analysts' forecasts
- 2007 - 2013
- Table 17 - Worldwide IPTV STB sales - 2007; 2012
- Table 18 - Market share of IPTV STBs in Asia Pacific, Europe and the US
- 2012
- Table 19 - Worldwide IPTV services revenue - 2006; 2008; 2012
- Table 20 - Networked TV shipments worldwide - 2008 - 2009; 2012
- Table 21 - Broadcasting subscribers, annual change and penetration in
the US - 2008
- Table 22 - BSkyB subscriber statistics - 2005 - 2007
- Table 23 - BSkyB ARPU - 2005 - 2007
- Table 24 - BSkyB revenue, operating profit and annual change - 2007
- Table 25 - Market shares of major USA MSO, DBS and telco video providers
- 2005; 2007 - 2008
- Table 26 - Consumer electronics sales growth in the US - 2005 - 2009
- Table 27 - Internet-enabled consumer device shipments worldwide - 2012
- Table 28 - DVR households worldwide - 2007; 2011
- Table 29 - Digital TV penetration rate worldwide - 2006; 2009; 2012
- Table 30 - Worldwide DTTV STB sales - 2007 - 2009
- Table 31 - Worldwide STB sales - 2007; 2009; 2012
- Table 32 - HDTV homes worldwide - 2008 - 2009; 2012
- Table 33 - Number of US homes using iTV services - 2002; 2009
- Table 34 - Worldwide interactive advertising revenue - 2012
- Table 35 - Worldwide broadband market share by access technology - 2009
- Table 36 - OECD broadband market share by access technology - 2007 -
2008
- Table 37 - USA cable versus DSL subscribers - 2006 - 2008
- Table 38 - USA cable versus DSL market share - 2006 - 2008
- Table 39 - Worldwide cable telephony subscribers - 2006; 2008; 2012
- Table 40 - Worldwide cable telephony revenue - 2007 - 2008
- Table 41 - Bundled offers' subscriber penetration rate, selected
European countries - January 2009
- Table 42 - Cable VoIP subscribers and annual change in the USA - 2003
- 2008
- Table 43 - Cable modem subscribers in Israel - 2003 - 2007
- Table 44 - Visitors to top web properties worldwide - 2008
- Table 45 - Worldwide search engine market share - Q1 2009
- Table 46 - Worldwide online advertising spending - 2007 - 2009
- Table 47 - Online advertising spending in the USA - 2000 - 2009
- Table 48 - Online advertising revenues - top four portals in the US -
2006 - 2008
- Table 49 - Online gaming revenues in China - 2004 - 2008
- Table 50 - Market share of online search engines in China - 2005 - 2009
- Table 51 - Worldwide advertising spend versus online advertising spend
- 2009
- Table 52 - Online news readership versus print news in the US - 2006;
2008
- Table 53 - Top five online activities - July 2009
- Table 54 - Five fastest growing web site categories - 2008 - 2009
- Table 55 - Ten largest US global social networking sites, visitors &
annual change - 2008 - 2009
- Table 56 - Top US online video sites statistics - July 2009
- Table 57 - Latin America cable TV subscribers and penetration rates -
2000 - 2008
- Table 58 - Cable TV subscribers and penetration rates - major
countries - 2007 - 2008
- Table 59 - Western European digital TV households - 2006; 2008; 2012
- Table 60 - Cable and satellite TV home penetration, selected European
countries - 2009
- Table 61 - European DTTV homes in selected countries - 2005; 2009
- Table 62 - Digital TV penetration (all platforms) - 2001 - 2008; 2011;
2012
- Table 63 - Top 10 satellite TV operators by subscribers - March 2009
- Exhibit 1 - Examples of popular online dating sites
- Exhibit 2 - Apple iTunes - key statistics
- Exhibit 3 - Online music sector - key statistics
- Exhibit 4 - Characteristics of virtual worlds
- Exhibit 5 - Definition of an online avatar
- Exhibit 6 - Examples of virtual worlds
- Exhibit 7 - Twitter usage facts
- Exhibit 8 - Teenagers use social media to belong
- Exhibit 9 - Examples of social networking websites
- Exhibit 10 - Top 15 social networks worldwide - 2008
- Exhibit 11 - Major regional user base of popular social networks -
mid-2007
- Exhibit 12 - Wikipedia
- Exhibit 13 - The Obama campaign
- Exhibit 14 - Examples of Web 2.0 developments
- Exhibit 15 - Examples of online VoD sites
- Exhibit 16 - Equivalence between access modes and traditional
audiovisual use
- Exhibit 17 - Tata Communications and Cisco' s telepresence solution
- Exhibit 18 - BBC iPlayer and ABC iView
- Exhibit 19 - Hulu - an interesting business model
- Exhibit 20 - Content Delivery Networks (CDNs)
- Exhibit 21 - The International Webcasting Association (IWA)
- Exhibit 22 - IPTV applications
- Exhibit 23 - Top IPTV carriers worldwide - 2008
- Exhibit 24 - IPTV subscribers by province and operator in China - 2007
- Exhibit 25 - Home Media Centres - more than 25 years in the making
- Exhibit 26 - Description of National Cable and Television Association' s
(NCTA' s) Broadband Home
- Exhibit 27 - Media centre devices
- Exhibit 28 - TV-orientated consumer devices adopting IP interface
- Exhibit 29 - Networked client devices
- Exhibit 30 - Interactive Program Guides versus Electronic Program Guides
- Exhibit 31 - Top 5 DVR providers worldwide - 2008
- Exhibit 32 - iTV innovations - iTV gambling and iTV mobile
- Exhibit 33 - iTV advertising example
- Exhibit 34 - Major cable VoIP operators in the USA - 2008
- Exhibit 35 - Examples of leading Internet media companies
- Exhibit 36 - Key areas of focus for Internet media companies
- Exhibit 37 - Examples of alternative search engines
- Exhibit 38 - Definition: cloud computing
- Exhibit 39 - Online ad deal between Google and Yahoo aborted
- Exhibit 40 - Google' s mobile operating system - Android
- Exhibit 41 - Google' s key activities - 2006 - 2007
- Exhibit 42 - Interesting items sold on eBay
- Exhibit 43 - Estimated analogue switch-off date in EU countries - 2009
- Exhibit 44 - DTTV licensing models in selected EU countries - 2009