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November 06, 2004

Yankee Group Forecasts DVR Future

Via LostRemote, the Yankee Group forecasts swift sales for DVRs estimating a 7 million unit installed base by years end. Tim Hanlon, senior vice president, director of emerging contacts for Publicis Groupe's Starcom, says:

"We've moved past the early-adopter stage by the middle of this year, and we're clearly now in the early majority stage and the numbers are going to continue to grow."

There were some other interesting tidbits in their other findings:

  • Aggressive pricing resulting from News Corp.'s acquisition of DirecTV and DVR services such as Highlights-on-Demand for NFL Sunday Ticket subscribers will drive DVR penetration on the DBS platform.

  • Cable operators will continue to extend their DVR deployments to new markets and initial take-rates will hold true for newer markets.

  • Consumer electronics manufacturers will continue to integrate DVR functions into DVD players, TVs, gaming consoles, and other devices.

  • Consumer electronics manufacturers will deploy TiVo's basic service on low-cost devices that require no monthly service fee. This will lower trial barriers for consumers.

Posted on November 06, 2004

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