Connected TVs in 74% of U.S. Internet Homes

Jan. 26, 2017
According to the Diffusion Group, the penetration of Internet-connected TVs among U.S. broadband households has increased nearly 50% ...

According to the Diffusion Group, the penetration of Internet-connected TVs among U.S. broadband households has increased nearly 50% since 2013, from 50% to 74% at year-end 2016.

Connected TV penetration grew 22% between 2013 and 2014, and another 15% between 2014 and 2015, TDG says. Of late, however, growth has slowed to 4%, a significant but not unexpected turn, said Michael Greeson, TDG president and director of research.

In 2004, TDG predicted that the diffusion of connected TVs would closely follow broadband uptake, and as broadband growth begins to slow, so too does the number of new connected-TV users.

"At 74% penetration, connected TV use is squarely in the Late Mainstream phase of its trajectory," said Greeson. "Barring any major disruption in TV technology or market conditions, growth will slow each year as the solution reaches saturation."

That said, pervasive access brings with it a wide range of opportunities, TDG says, especially when it comes to video services. "Broadband pay TV services are particularly well-positioned to leverage this utility, which permits scale at much lower costs," Greeson said.

About the Author

BTR Staff

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STEPHEN HARDY
Editorial Director and Associate Publisher
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MATT VINCENT
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KRISTINE COLLINS
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JEAN LAUTER
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