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As Samsung, Panasonic and LG get set to launch a new range of TVs in Australia that will deliver a multitude of new content services that include Foxtel, Blockbuster movies and Telstra Movies, new research suggests that consumers will exceed digital video disc and Blu-ray use by downloading movies direct to their TV.IHS Screen Digest claim the trend is already happening in the USA and once Smart TV penetration takes off in Australia, it will happen here.
The research company claims the viewing of legal movies via a smart TV, a smart enabled Blu ray player or digital set top box, will double to 3.4 billion this year from 1.4 billion in 2011. Physical viewings of DVDs and Blu-ray discs will shrink to 2.4 billion from 2.6 billion, according to the forecast.
“We are looking at the beginning of the end of the age of movies on physical media like DVD and Blu-ray,” Dan Cryan, IHS senior principal analyst, said in the statement. “But the transition is likely to take time: almost nine years after the launch of the iTunes Store, CDs are still a vital part of the music business.”
The report highlights the price disparity between online purchases and movies sold in retail shops. Consumers paid an average of 51 cents for every movie consumed online, compared with $4.72 for physically purchased videos.
