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To: Mick Mørmøny who wrote (62649)	1/7/2003 5:51:48 PM
From: RetiredNow	Read Replies (1) \| Respond to of 77400

Cable Industry Finally Delivers on VOD Promises After a decade of promising that Video on Demand (VOD) service was just around the corner, the cable TV industry has finally started delivering, according to In-Stat/MDR (http://www.instat.com). The high-tech market research firm reports that over the past year, VOD services have become available in dozens of cities and metropolitan areas throughout the United States and Canada, and VOD subscribers are now able to “time shift” their favorite movies, TV shows, and sporting events. However, In-Stat/MDR’s research underlines that the service will largely be confined to North America for the next few years, limiting VOD’s short-term growth rate. Until cable-based VOD services expand into Asia and Europe, we expect the total number of VOD users to remain relatively modest. While there are currently more than 300 million total worldwide cable TV subscribers, only a small fraction of those subscribers will have VOD services anytime soon. In-Stat/MDR has also found that: Cable TV operators are continuing to develop their marketing strategies by experimenting with both “movies on demand” and subscription VOD packages that offer a broad range of content at different price points. About one-third of all digital cable TV subscribers in the US with available VOD service have become regular VOD users. The “Cost per VOD Stream,” a metric that defines how much it costs to deliver VOD services to a subscriber household, has dropped from over $600 per household in late 2001, to approximately $475 today. Worldwide cable-based VOD subscribers will grow from just over 3 million regular users at the beginning of 2003, to over 11 million by 2006. This Market Alert is drawn from the In-Stat/MDR report, “VOD in the Cable Industry: The Long Wait is Over” (#IN020031MB), which covers Video on Demand services in the cable television industry. It discusses the packaging and delivery of the world’s initial VOD service roll outs, and covers the economics of current cable-based VOD services. The report also provides five-year forecasts for cable-based VOD subscribers and revenues. To purchase this report or for more information, please visit: instat.com or contact Erin McKeighan at emckeighan@reedbusiness.com or 480.609.4551. The report is priced at $2,195 U.S. Dollars.