December 15, 2021
Launched in 2015, online television was created in an effort to combat subscription streaming VOD as well as the eroding pay-TV market.
New data from Parks Associates finds that 19% of U.S. broadband households now have an online TV service, which typically offer bundles of live channels via third-party connected devices such as Roku, Amazon Fire TV and Google Chromecast.
“Many households who cut the traditional pay-TV cord or never subscribed in the first place, are looking for a live and more linear video viewing experience via online options, which is driving [online TV] service uptake,” Paul Erickson, senior analyst at Parks, said in a statement. “These services also promise less-costly investment and more content flexibility, which increases the appeal among today’s video viewers, who are accustomed to the benefits of OTT solutions.”