Pay-TV operators may be scratching their heads as to how to beat OTT providers, but new research suggests that their customers have given them a huge hint: direct access to online video.
New online video research from Parks Associates has revealed that even as providers adopt new business models and delivery strategies for pay-TV and premium service, more than half of US broadband households would like to have a YouTube on-demand feature with their pay-TV services. In addition, just over a quarter (28%) of US broadband households watched a full-length movie on a computer in the last two weeks.
"US pay-TV operators enjoy higher ARPU than their counterparts in other countries, allowing them to test and deploy a variety of new services, although many international providers are making similar moves," explained Brett Sappington, director, research, Parks Associates. "For example, Virgin Media has added a YouTube app to its EPG for its TiVo customers, answering their demand for access to online video ... consumers are changing their video-viewing habits as a result of online content and premium services and now operators are changing business models and offerings."