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BREAKING NEWS & VIEWS

Fall Season: Video Usage at Record Pace
Monday, November 2, 2009

The surge in online video viewing continued in September, fueled by interest in the fall TV season, says comScore. More than 168 million U.S. Internet users accessed streaming video content for the month, piling up a staggering 26 billion videos. While Google’s YouTube maintained dominant market share of all video streamed (40.2%), the NBC/News Corp. joint venture Hulu was second (2.2%) and Fox Interactive Media (2.1%) was close behind. Viacom Digital (2.0%), which is responsible for Nickelodeon, MTV and Comedy Central content online, was also among the TV-fueled providers bunched beneath the YouTube juggernaut. In terms of audience reach, Google sites (mostly YouTube) are unrivaled with 126 million monthly unique. Fox (58 million), Yahoo (57 million), and CBS Interactive (42 million) are bunched behind. In recent months, Facebook (31 million) has become a new force in online video as publishers use applications to stream clips through the social network. Facebook could represent an important video distribution opportunity for magazine and other media brands with substantial presence there.

Many analysts speculated this year that video ad spending was among the only categories of digital advertising to increase markedly in this otherwise down 2009. Confidence in the online video platform continued last week at the OMMA Video conference in Los Angeles. Ross Levinsohn, general partner Fuse Capital and former head of Fox Interactive, predicted that 2010 would be the year that video will break through with media buyers as budgets shifted from TV, newspapers and magazines to the most obvious growth medium. Levinsohn also said that video-playing devices, most notably mobile and Internet connected TVs, will created massive new markets for online video. Tens of millions of HDTVs are about to be sold in the next year or so that all have some form of Internet connectivity. This channel could become an important venue for short form video from media companies like magazine brands that have been struggling to find distribution for the video programming they have been building in recent years. 

If you have breaking news to share please contact Steve Smith at ssmith@accessintel.com

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