In-Stat: FOD Boosts VOD

Growth in free-on-demand services and content over the past year has significantly increased overall consumer awareness of and usage of video-on-demand, according to In-Stat, a sister company to Multichannel News.

The research firm added that MSOs including Comcast Corp. and Cablevision Systems Corp. believe FOD services are a key differentiator in their battle with direct-broadcast satellite providers, and they are pressuring content developers to supply them with more FOD content.

“There were approximately 7.5 million worldwide cable-based VOD users at the end of 2004," In-Stat analyst Mike Paxton said in a prepared statement. "VOD-user growth is projected to remain strong for the next several years. Total worldwide users are forecasted to rise to almost 13 million at the end of 2005 and ultimately reach 34 million in 2009."