Game Consoles Most Used Connected CE Device for Online Video in the US

Thursday, August 25th, 2011
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SCOTTSDALE, Ariz. — Game consoles were rated as the most used connected CE device in North America to stream Netflix content, according to two recent survey reports by ABI Research. Survey respondents said that on average, they spent seven to eight hours a week watching online video on these CE devices. “Companies such as Microsoft and Sony in particular are pushing to make the consoles more central to the digital living room,” says Michael Inouye, senior analyst, digital home. “Nintendo is not as aggressive in this regard yet, but with the Wii U they might try to make a bigger push into the over-the-top content delivery market.”

There were also significant regional disparities in game console connectivity rates: APAC has a low connect rate (13.1% in China, 10.9% in India, and only 6.3% in South Korea), especially compared to Western Europe (37.3% in the UK, 31.8% in France, and 20.6% in Germany) and the United States (38.7%). China’s low numbers can be attributed to the fact that game consoles are largely banned, while South Korea’s piracy issues and penchant for online and PC gaming limit the demand for consoles.

Digital home practice director Jason Blackwell commented on the future prospects for the game console market: “Some industry insiders have started to envision the demise of game consoles – an end expected to come at the hands of mobile devices. But we feel this market still has plenty of life. While mobile devices might soon match the processing power of game consoles, there are a number of issues such as storage and portability that could hinder the transition to mobile. The game console has a higher degree of persistence in the living room, giving more household members access to the device at any time of the day, whereas most mobile devices are designed for portability and a more personal experience.”

ABI Research’s reports, “HDTVs, Blu-ray, Game Consoles, and Internet Set-Top Boxes,” and “Consumer Content Consumption on Connected CE Devices,” review surveys from seven countries and examine consumer behavior on connected CE devices in the digital living room, including purchase intentions and penetration of brands.

They are part of the Digital Lifestyle Research Service.