07.12 Europe/London, August 15, 2011 By Robert Briel

Over 60% of connected TV households in the US use TV apps at least once per week, according to US based research firm In-Stat.

“As expected, Netflix and YouTube currently dominate the TV application space,” said Keith Nissen, research director at In-Stat. “But as Netflix competitors become more numerous and as applications are optimised for the big screen, TV apps will become part of the mainstream TV viewing experience.”

Updated research found the following: shipments of connected TVs with integrated TV applications will grow by an average 36% over the next five years. 22% of US BB households already own an HDTV with integrated TV apps.

Although owners use the connected features of their TV set regularly, TV apps are not the primary reason for purchasing connected TVs. The research chimes with similar findings from Strategy Analytics that said viewers were sticking with familiar brands in their use of connected TV apps. And the adoption of online video streaming services, such as Netflix, does not increase the propensity to purchase online video content.

The viewing of PVR recorded TV programming does not lead to the adoption of free VOD services from a pay-TV operator.

Consumers favouring subscriptions to both pay-TV and online video services rose from 18% to 30% during 2010, contributing to the continued growth of Netflix.