New research by Magnaglobal has revealed the full extent of video on demand (VOD) and digital video recorders (DVR) uptake over the next five years.
Specifically the latest issue of the analyst’s On-Demand Quarterly has shown that its year end forecast for the end of 2016 shows that DVR will reach 63.1 million subscriber households or 51.3%, a leap of nearly 23 million from current figures. Similarly, VOD, including over-the-top (OTT) will reach 71 million households or approximately 57.7%. This compares with the 53.3 million VOD households (45.6%) at the end of Q1 2011.
The US, not surprisingly, will be the key DVR battleground. DirecTV now claims 9.9 million DVRs by Magnaglobal estimates, as around 80% of new subscribers took either HD and/or DVR boxes during 1Q11. This compares to 7.9 million DVR subscribers at DISH Network. Comcast added 257,000 advanced service customers during the quarter. With 10.4 million HD and/or DVR subscribers, Comcast has approximately 6.1 million DVR subscribers, representing 26.6% of the company’s total subscriber base.
The UK is the leading market for DVRs outside of the US, with Virgin Media delivering 83 million VOD views per month during 1Q 2011, to 64% (or 2.4 million) of its subscribers, equating to an average of 34 views per user per month in the quarter up from an average of 32 views per user per month in 1Q 2010. In Germany, KabelDeutschland’s “Select Video” is currently available to 2.3 million households or 32% of its subscriber base. The service is expected to cover 3.4 million households or 47% by the end of the year.