Video On Demand

SUPPLY & DEMAND CHANGES FOR VIDEO-ON-DEMAND IN CABLE TV

Supply and demand conditions accelerate growth in video-on-demand (VOD) cable TV service in 2004, in contrast to the low levels of consumer acceptance of VOD over the preceding nine years. Cable TV companies initiated supply-side technological and content improvements that, when communicated to consumers, led to an increase in demand for VOD among cable TV company subscribers. Greater growth in the demand for VOD among cable TV subscribers is projected for 2005 and beyond, and more VOD content providers are entering the market as both (a) providers of content for cable TV company VOD service and as separate cable TV channels.

Video-on-demand (VOD) in the cable television (TV) was first put into operation in Hong Kong in 1990, and the service was introduced in the United States in 1995. Consumer demand for VOD either languished or grew very slowly, however, in the United States. The

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Category: Science - V