In another example of unstoppability, online entertainment gets another gold medal with a new report that said US viewers prefer watching movies online in 2012, rather than non-Web formats such as DVDs.
A US online research firm in New York released a new report over the weekend indicating that online movie transactions will hit 3.4 billion this early in the year, compared to 2.4 billion in physical videos on DVD.
Research firm iSuppli said the new statistics clearly showed the trend reversal from 2011, with 2.6 billion recorded DVD sales as opposed to just 1.4 billion movie online transactions.
The report noted that the increase on online video peaked at 135% over the same figure recorded in 2010.
The firm that does studies and analyses of broadband and digital media said that streaming subscription services for video online by such major providers as Netflix and Amazon helped push online video sales higher this year, accounting for more than 90% of all paid movies viewed on the Internet.
iSuppli analyst Dan Cryan was quoted by CNN as saying that US movie viewers’ preferences appeared to have moved away from the old perception that premium content distribution was not possible online.
Cryan pointed out that the trend favoring online video sales in 2012 should be a wake-up call for Hollywood, which traditionally pegs a substantial percentage of its earnings from yearly movie releases from physical DVD sales.