The number of paying users visiting online video download sites has grown tremendously in the last year with Australian users seemingly addicted to downloading televisions shows after they air in the US.
The number of households now using the service in the US has reached 12 million, which is a significant increase from the three million households downloading video content between 2005 and 2006, according to Parks Associates research.
Local news and entertainment download service Bigpond has seen a massive increase this year in video downloads, according to Bigpond CEO, Justin Milne.
What’s apparently appealing to Australian users is being able to download television shows shortly after they air in the US.
Milne is confident that this trend is set to continue despite some blockbuster US television shows now airing almost simultaneously in Australia to the US due to growing demand.
“The availability of higher-quality content and a significant base of products like the iPod that allow for more seamless content-to-device linkages have provided a boost to the online video space,” said Parks Associates US-based vice president and principal analyst, Kurt Scherf.
However, Scherf also claims that past failures in the digital video delivery network market could inhibit future growth.
“With issues surrounding content rights, the role of incumbent video providers, business models, and questions about how consumer electronics manufacturers and other service providers will actually succeed, the space is very fluid at this point,” he said.