With Connected TVs Increasing, Cable Must Adapt

By Kyle Piscioniere October 20, 2015

Parks Associates has found that 45 percent of Western European households equipped with broadband own a smart TV. Widespread adoption of the connected TV model fits the narrative of evolving, smarter TV viewing, while spelling a major shift in the market.

Germany leads European countries in smart TV ownership, with over 50 percent of its connected households jumping on the smart TV bandwagon.

Western Europe is proving an early adopter of the emerging technology. Smart TVs and their ilk – Amazon Fire TV, Chromecast, Apple TV, and Roku – are poised to reshape our relationship with our television sets. Not only will users be able to use their television like a personal computer, but connected TVs allow access to users’ preferred streaming services. The cable monopoly of our screens has officially been shattered, and the service must adapt or change to keep up.

The new television service poses a serious threat to the traditional television models. Cable has already been rushing to partner with streaming services in an attempt to stay relevant, but their primary source of income – once-unavoidable ads inserted into regular programming – is fast becoming obsolete.

Image via Shutterstock

Advertisers have been quick to shift into placed promotions, in which products are implicitly peddled through the plot of the show (think of the Dunphy family’s reliance on Apple products and Toyota vehicles) but television purists tend to resist such integrated marketing. That leaves cable providers and paid streaming services with a tough riddle: in an age of ad-blockers and TiVo, how do you get viewers to willingly pay attention to an advertisement?

With streaming services now producing content preferred to the censored, FCC-regulated cable offerings, the industry needs to begin adapting. Cable will have to fight for time on the new wave of connected TVs, and Western Europe’s viewing habits will be a vital experiment in connected viewing habits. 




Edited by Maurice Nagle
SHARE THIS ARTICLE
Related Articles

Mist Applies AI to Improve Wi-Fi

By: Paula Bernier    11/9/2017

Mist has created an AI-driven wireless platform that puts the user and his or mobile device at the heart of the wireless network. Combining machine le…

Read More

International Tech Innovation Growing, Says Consumer Technology Association

By: Doug Mohney    11/8/2017

The Consumer Technology Association (CTA) is best known for the world's largest trade event, but the organization's reach is growing far beyond the CE…

Read More

Broadcom Makes Unsolicited $130B Bid for Qualcomm

By: Paula Bernier    11/6/2017

In what could result in the biggest tech deal in history, semiconductor company Broadcom has made an offer to buy Qualcomm for a whopping $130 billion…

Read More

How Google's 'Moonshot' Could Benefit Industrial Markets

By: Kayla Matthews    10/30/2017

The term "moonshot" encapsulates the spirit of technological achievement: an accomplishment so ambitious, so improbable, that it's equivalent to sendi…

Read More

After Cisco/Broadsoft, Who's Next for M&A?

By: Doug Mohney    10/27/2017

Cisco's trail of acquisition tears over the decades includes the Flip video camera, Cerent, Scientific Atlantic, Linksys, and a couple of others. The …

Read More