The market for video on demand (VOD) is developing rapidly. According to ‘Idate’, by 2010 VOD should represent between 9 and 13% of the French audiovisual market. The French leading TV channel, TF-1 is trying to position itself as the market leader. This summer it will broadcast its mini-series “Master of the Zodiac” for free on the internet, rather than the usual €1.99 per episode. The programme will be broadcast by streaming and serve as a market test to help decide TF-1’s strategy going forward. The TV station is taking a leaf out of the US channel ABC’s book when it tested VOD by streaming episodes of ‘Desperate Housewives’ and captured over 11 million viewers after its first episode.
While the worldwide market for VOD is still small, see table below, it is expected to grow exponentially, especially after 2010 when more households should be fully equipped with the technology to enjoy streaming.
Worldwide Market for VOD in 2005 (source: Informa Telecoms et Media)
Number of Households (m)
Revenue ($Bn)
North America
62.9
1.5
Europe
39.4
1.3
Asia-Pacific
18.1
0.3
Latin America
5.6
0.1
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