The online video picture
About five percent of U.S. homes with broadband service will buy connected TVs this year, about four million units, Parks products. About six million will buy connected Blu-ray players.
"More than a third of HDTV displays sold this year will be Web connected and upwards of 75 percent of Blu-ray drives sold this year will be connected," Scherf said.
In the first half of this year Sony and Samsung led the way in connected TV sales with 23 and 20 percent of the market respectively. LG, Vizio and Panasonic followed with about nine percent each.
Devices to specifically link the home TV and PC are also on the rise with projected sales of about six million units this year. Many use Wi-Fi or its variants, although at least two companies are using ultrawideband links.
Growth in U.S. online movie sales through consumer devices is forecast to rise from about $700 million in 2010 to more than $5 billion in 2014. That's still a fraction of the multibillion dollar DVD rental business, but an increasingly large one, Scherf said.
"DVDs won't fade away but they will certainly be supplemented," said Scherf. "Online video will slowly replace the retail DVD store," he said.
Click on image to enlarge.