Real value of new platforms is promotional, says JupiterResearch

October 3, 2006

Near-term revenues from digital markets for TV and filmed entertainment will be minimal and potentially neutralized by ad-spending threats, according to a new report from JupiterResearch.

The report, “Evolving Business Models for Television & Filmed Entertainment,” forecasts new digital platforms will generate $5 billion in yearly spending by 2011, while DVR ad skipping puts $12 billion at risk.

The projected figures will account for 2 percent of advertiser and consumer spending, while 5 percent is at risk. This is assuming that advertisers reduce spending, which they so far have not, and that they don't use new advertising formats and platforms, according to the report.

The real benefit of new platforms to TV and film programmers and studios is promotion not economic, said David Card, vice president and senior analyst at JupiterResearch.

For more information, visit: www.jupiterresearch.com.

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