Video-on-Demand: The future of media networks details the forces that will drive the network movie market in the decade ahead. It is a comprehensive overview of the US subscription TV and Internet-based electronic movie markets, including a detailed, narrative walk-through of the assumptions and conclusions in those models. Whether you're looking to build the VOD business or planning to compete with it in the decade ahead, this report will make essential reading.

This report will provide you with all the current data and information you need to develop your own view of where this dynamic new sector of the media market is heading. Virtually all market analysts, investors, studio executives and technology companies have assumed during the past two decades that, once true video-on-demand technology was deployed, the servers would be straining to keep up with consumer demand.

The report includes:

• An exclusive history and projection model of the entire US a la carte network business: cable, DBS and Internet
• US enabled household counts, per-household consumption, US consumer spending and studio revenue from 1) proprietary subscription network PPV/VOD services and 2) the nascent Internet services offering movie subscriptions, rentals and 'download-to-own' consumer propositions.
• US per-HH movie spending in all the existing Hollywood aftermarkets to 2004
• VOD economics from the cable operator's point-of-view
• History and projections to 2014 of US broadband homes - cable v. DSL - including historical growth by company
• History and projections of US digital video recorder (DVR) homes and their likely role in the on-demand future
• Assessment from the studio perspective of the relative economics of the subscription, rental and sell-through models
• An analysis of the release window issue based on an overview of studio revenue and margins across all markets
• Details on each studio's VOD deals and investments
• Analysis of the strategic imperatives of cable and telephone companies and their likely impact on the development of VOD
• Analysis of the impact DVD sales have had on VOD's launch
• Separate projection model of the Internet music business and comparison to nascent Internet VOD business

Table of Contents

Index to Figures

Executive Summary

What is Video-On-Demand
Paying TV
The Dawn of Digital Video
The Arrival of Video-On-Demand
On-Demand Alternatives
Other Studio Ventures

Proprietary Networks: The Traditional Approach
Cable: Finally Making the VOD Dream Come True?
DBS: Competition Driving Innovation
Telcos: Is It Finally Time?
Proprietary Network VOD: How The Battle Shapes Up

Internet VOD
Current Studio Efforts On the Internet
High Speed Access: Making The Connection
Connecting The TV to The Internet
Internet Music: The Proof Is In The Downloads
Proof of Concept: 'I Want My DVD'
Strategic Imperatives Will Drive Electronic Sell-Through

VOD: Business Model Of The Future
Traditional Subscription Networks
Cable/Telco À La Carte Services
Internet VOD Industry

Appendix: The AMR Video-On-Demand Model

List of Tables and Charts

Executive Summary
Per-TV Household Spending On Movies: '81-'04
Potential VOD Households
The Future Of Electronic Movie Delivery Spending

What Is Video-On-Demand?
Movie Spending Per TV Household
Aftermarket Comparison
2004 Total Movie Transactions
DBS's Impact On Studio ALC Revenues
VOD HH v. VOD Spending Per Digital Household
Participationv. Revenue
Growth of High-Speed Households
Studio VOD Interests
VOD DistributionNetworks & Consumer Propositions

Proprietary Networks: The Traditional Approach
Pure-Play Network Stocks
Projected Growth of Digital Network Households
Cable's Shift to Digital
VOD Months-to-Payback Analysis
Digital Disc and Digital Network Households
PPV/VOD Window: 2003 v. 2004
DBS NVOD 1994-1999 v. Cable VOD 1999-2004
DBS Forced Cable's Digital Play
Cable Digital Households By Company
Household Growth: The First 6 Years
Spending Growth: The First 6 Years
DBS Subscribers By Company
Growth in DVR Households
DSL Subscribers By Company
U.S. Digital Wireline Subscriptions
Annual CD Buys v. Penetration of U.S. Households
Annual VOD Rentals v. Penetration

Internet VOD
Studio Revenue Growth
Studio Home Video Revenue
Consumer Spending on Internet VOD
Current IVOD Services - Consumer Propositions
High Speed v. Cable VOD-Enabled Households
Average Movie Download Times
Cable Modem Households By Company
U.S. PC and TV Household Connectivity
Getting Internet to the TV
iTunes Rights
Year-End Active Gaming Households
Audio Downloads v. Subscriptions
Internet Audio Model
The Internet Marketplace
Online Content Spending
In-Home Entertainment: Current Consumer Propositions

VOD: Business Model of the Future
U.S. Media-Enabled Households in 2004
Projected Growth of Digital Network Households
Proprietary Network ALC Homes
Monthly Movie Buy Rates
Proprietary Network Movie Spending
À La Carte Movie Spending
Internet Connectivity
TV-Connected High-Speed Market
PC-Only High-Speed Market
Internet Video Consumer Spending
Internet VOD Supplier Revenue
VOD-Using Households
Supplier Revenue from Electronic Delivery Movie Services
Appendix: AMR's Video-On-Demand Projection Model
Subscription Networks - PPV& NVOD: History 1997-2004 & 2005 (Projected)
Subscription Networks - PPV& NVOD: Projections 2006-2014
Subscription Networks - VOD & ALC Totals: History 1997-2004 & 2005 (Projected)
Subscription Networks - VOD & ALC Totals: Projections 2006-2014
Traditional Network Totals & Internet Video: History 1997-2004 & 2005 (Projected)
Traditional Network Totals & Internet Video: Projections 2006-2014
Internet Video, continued & All Network Totals: History 1997-2004 & 2005 (Projected)..
Internet Video, continued & All Network Totals: Projections 2006-2014