PC Encroaching On TV's Dominance In Share Of Screen Time With Digital Video Users

New York, NY - While TV's place as the preeminent channel for Americans to watch video content remains safe for now, results from recent research conducted by Ipsos MediaCT shows that the PC is slowly encroaching on the TV's dominance, capturing an increasing amount of screen time among those who download or stream video online.

Findings released by Ipsos MediaCT from MOTION - their quarterly tracking study investigating digital video usage and behaviors in the U.S. - shows that the percentage of video consumed on a TV among video downloaders and streamers declined from 75% in February 2007 to 70% in February 2008 - a small, yet significant drop in overall `share of screen time' with the growing contingent of digital video users.

In addition, the percentage of total screen time captured by movie theaters also declined significantly in the past year, mirroring an overall trend Ipsos MediaCT has witnessed in traditional video consumption. Adam Wright, Director at Ipsos MediaCT, explains: "Streaming video online has become an activity many Americans aren't just experimenting with, but enjoy on a regular basis. Today, about half of all Internet users aged 12 and up have streamed a video file online in the past 30 days. The growing sophistication of home PCs, as well as the ubiquity of high-speed Internet connections in the home and outside, really facilitated the experimentation process with the digital video medium, and subsequently caused many to adopt the PC as a channel they rely on for video entertainment."

Coinciding with the drop in these more traditional channels' share of screen time is an equally significant year-over-year gain in overall screen time for the PC, which nearly doubled its overall share (19%) with digital video consumers since early in 2007 (11%). Today, among the 52% of American's age 12+ whom have ever streamed or downloaded a digital video file online, about one out of every five hours spent watching movies, TV shows and/or other types of videos is done so on a PC.

Perhaps just as interesting as the PC's ascent in video entertainment is the relative lack of growth in the overall share of screen time being allocated to other, more portable video devices such as portable DVD players, digital media players and mobile phones. Wright goes on to explain why growth in share of screen time with portable devices may be limited: "While the number of device options are growing for consumers to access and watch their favorite video content, what isn't necessarily changing is the location where we enjoy this video content - our homes. This, combined with the growing demand for digital video content, is why we're seeing the shift in share of screen time away from traditional video channels to the PC right now."

Rise In PC's Share Of Screen Time Consistent Across All Age, Gender Groups

The overall phenomenon of watching more video content on a PC is not isolated or driven by a few select demographic groups, but rather is relatively consistent across all age groups and genders. In contrast, watching video content on other portable devices is a niche activity for most adult digital video users - many of whom have invested in outfitting their living rooms with HDTVs and subscribe to cable or satellite television. Teens aged 12 to 17 are the only age group that is watching a greater percentage of their video content on portable devices. Not surprisingly, teens also experienced the largest drop in the share of screen time they devote to the TV. However, what's not known is whether their greater reliance on portable video devices is simply a life stage trend these younger digital video users will outgrow as they age.

The uniformity of the trends observed with share of screen time among digital video users really underscores a much larger implication for the video entertainment industry: consumers who are engaged in video downloading and streaming today are indeed developing a more diverse set of needs with how they access and manage the their preferred video content. New video playback devices, such as the Apple TV and Roku's Netflix Player, are coming onto the market specifically trying to bridge the gap between traditional viewing habits and the growing demand for more convenient access and management of digital video content. Wright concludes, "We really see these share gains in non-traditional video channels as not simply an isolated, generation-driven market effect, but rather a large macro-trend in the way consumers want their video content delivered that those in the entertainment industry should increasingly be paying attention to as we look forward to the rest of 2008 and beyond."

Methodology

Data were sourced from the Q1'08 Deep Dive wave of fieldwork as part of Ipsos MediaCT's MOTION study, which was conducted online among a representative U.S. sample of Internet users aged 12 years and older in February 2008. To learn more about MOTION, a quarterly syndicated tracking programming researching the U.S. online video market, please visit: http://www.ipsosinsight.com/knowledge/techcomm/products/motion.aspx

For more information on this news release, please contact: Adam Wright Director Ipsos MediaCT (612) 573-8536 [email protected]

About Ipsos MediaCT

Ipsos MediaCT is the division of Ipsos specialized in researching the converging Media, Content, Telecoms & Technology Industries. We provide branded, customized and syndicated solutions for clients in these sectors. These include audience research, consumer insight, market assessment, sales forecasting and new product development work. Our industry experts combine the science of marketing research with a clear business focus to assist companies in maximizing their return on investment.

To learn more, please visit http://www.ipsosinsight.com/knowledge/techcomm/

.

About Ipsos

Ipsos is a leading global survey-based market research company, owned and managed by research professionals. Ipsos helps interpret, simulate, and anticipate the needs and responses of consumers, customers, and citizens around the world.

Member companies assess market potential and interpret market trends. They develop and build brands. They help clients build long-term relationships with their customers. They test advertising and study audience responses to various media. They measure public opinion around the globe.

Ipsos member companies offer expertise in advertising, customer loyalty, marketing, media, and public affairs research, as well as forecasting, modeling, and consulting. Ipsos has a full line of custom, syndicated, omnibus, panel, and online research products and services, guided by industry experts and bolstered by advanced analytics and methodologies. The company was founded in 1975 and has been publicly traded since 1999.

In 2007, Ipsos generated global revenues of e927.2 million ($1.27 billion U.S.).

Visit www.ipsos.com to learn more about Ipsos offerings and capabilities.

Ipsos, listed on the Eurolist of Euronext - Comp B, is part of SBF 120 and the Mid-100 Index, adheres to the Next Prime segment and is eligible to the Deferred Settlement System. Isin FR0000073298, Reuters ISOS.PA, Bloomberg IPS:FP