Wireless and Broadband

Strategy Analytics: 56 Percent of Broadband Users Report Decline In TV Viewing

Broadcasters Should Use Broadband To Enhance Viewer Relationships

LONDON--(BUSINESS WIRE)--April 7, 2004--Television broadcasters are losing millions of viewers to broadband Internet services, according to new research from Strategy Analytics. In a recent survey of 800 European broadband users across seven countries, 56 per cent said they were spending less or a lot less time watching television since subscribing to broadband. Strategy Analytics' report, "Broadcasters Beware: Broadband Is Stealing Your Viewers," has been released to subscribers to the Broadband Media and Communications advisory service.
"Television is clearly suffering the most from the rapid growth of broadband," comments David Mercer, Principal Analyst at Strategy Analytics. "A growing number of viewers are now choosing to spend their spare time communicating online and finding entertainment on the Internet, rather than sitting in front of the TV set. TV companies need to face up to this reality and start preparing for the brave new world of broadband entertainment."

According to the report, TV programmers and service providers can deal with this trend by continuing to emphasize iTV services and Digital Video Recorders (DVRs). At the same time, the industry should plan to make the broadband channel an integral part of their planning for future TV programming.

This research showed that broadband users are also spending less time with other traditional media, such as printed publications and radio. However in these cases some users also reported an increase in usage, reflecting the fact that these media have made their content available on the Internet.

About Strategy Analytics

Strategy Analytics, Inc., a global research and consulting firm, provides timely insights and strategic business solutions to companies operating at the convergence of information, communications and entertainment technologies. With worldwide headquarters in Newton, MA and principal offices in England, France and Germany, Strategy Analytics focuses on market opportunities and challenges in the areas of Automotive Electronics, Broadband, Telematics, Wireless Strategies and Enabling Technologies. For more information, see www.strategyanalytics.com

Contacts


Strategy Analytics, Inc.
European Contact:
David Mercer, +44 1908 423 610
dmercer@strategyanalytics.com
or
US Contact:
Jim Penhune, +1 617 614 0701
jpenhune@strategyanalytics.com

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