MONTEREY, CA – Total revenue for interactive television electronic transactions conducted via gaming, television commerce and interactive advertising will reach $2.4 billion in total sales by the year 2009, says a new study from Kagan Research.
These interactive services are also expected to generate an estimated US$780 million in operator revenue by 2009. The research study contemplated only the U.S. market.
Growing competition for video customers has focused U.S. cable operators, satellite operators and telco carriers on developing interactive services capable of generating revenue, reducing churn and providing differentiation in the marketplace. Although domestic activity lags well behind developments in Europe, a burst of competitive pressure combined with expanding digital footprints could quickly bridge the gap in the volume of available applications.
"Although the picture for interactive software remains in flux – as operators explore the best combination of performance and critical mass – little doubt exists about the prospects for growth on the digital platform and proliferation of increasingly capable and efficient set-tops and receivers," reports Kagan senior analyst Ian Olgeirson, in a release.
"We anticipate 69 million digital subscribers will be equipped with interactive platforms by 2009, accounting for more than half of the TV households in the U.S."
