However, Parks Associates said about 33% of U.S. broadband homes are interested in networked set-top boxes, which the Dallas-based research firm said would result in increased demand for interactive and personalized TV services and would push annual worldwide set-top box shipments over 200 million by 2013.

“While less than 10% are willing to pay a monthly fee, demand is still on an upward trend, especially as the set-top connects to more and more services,” said Jayant Dasari, research analyst with Parks.

Parks said the global digital TV transition and new distribution channels such as DTT (TV channels using digital signals delivered via conventional antennae), IPTV, and the so-called over-the-top video services or services repurposing content across multiple platforms, will intensify competition in the television service market.

With the set-top box connected to a variety of sources, it would expand the battle in the television services market to the entire digital home, affecting every service sector from energy management and security to voice and video, according to Parks.

From the article, "Little Interest in Paying for Networked Set-Top Box" by Erik Gruenwedel

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