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May 30, 2008

Strong numbers for online video demand a clear strategy.

This analysis is solely the work of the author. It has not been edited or endorsed by GLG.
Analysis By:
Alan Albarran, Professor and DirectorAlan Albarran
Professor and Director, UNIVERSITY OF NORTH TEXAS
Implications: This article discusses new research indicating rapid growth in viewing online video, and the need for pay TV providers to have a clear strategy.

Analysis: New study from ABI Research indicates strong growth predicted for consumers viewing online video, fueled by broadband expansion at a global level.

The article explains that content providers, Internet portals and user-generated sites are in best position to expoit this growing market, but cautions that Pay-TV providers (think distributors such as cable, satellite and telcos) face challenges.  This point is well taken, particularly in markets outside the US where pay TV distribution is more limited.

The research is just another indicator of shifting consumption to digitally based platforms.  It also validates many advertisers who are increasingly moving money to an online environment away from traditional media.

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Generated at 2008-09-05T17:45:16.330