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Traditional TV facing challenge from the Web

By Jiang Xueqing ( China Daily ) Updated: 2013-11-29 07:45:17

Traditional TV facing challenge from the Web

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Traditional TV facing challenge from the Web

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Many users of OTT TV and set-top boxes share his delight. Not long ago, they abandoned TV broadcasts by downloading movies from the Internet or watching their favorite content online.

According to iResearch, a market research firm focusing on the Internet industry, the active audience for online videos in China hit 450 million for PCs and 120 million for mobile phones and tablets in August.

Viewers watched online videos for an average of 43 minutes on a PC every day that month and 18 minutes on mobile devices.

The Internet is posing a real challenge to the TV industry, but it also brings opportunities for change. Experts said that TVs will become the next device to offer Internet access in addition to PCs, mobile phones and tablets, because they are one of the most important home appliances, connecting all family members.

"A large TV screen at home is the best partner to a small mobile screen," said Peng Gang, senior vice-president of LeTV.

"Today, we regard TV as a device for Internet access. This revolution is inevitable, thanks to the continuous efforts of Internet companies to enrich their content resources and improve user interaction," he said.

The change is taking place with the increase of Internet speed in China, said Liu Chuang, general manager of the flat display panel consulting division of All View Consulting.

The average Internet connection speed in China stood at 3.3 megabits per second in the second quarter, according to ChinaCache International Holdings Ltd.

The State Council, the country's cabinet, plans to further increase household Internet connection speed to 20 Mbps in the city and 4 Mbps in rural areas by 2015.

Competition for the Internet market on big screens has become increasingly fierce this year, as many well-known Internet companies have expanded into the TV industry.

The e-commerce giant Alibaba Group Holding Ltd gave 1 million set-top boxes - each costing 399 yuan - to its customers for free on Nov 11 as a reward for their patronage.

IQiyi, a video provider owned by China's largest search engine Baidu Inc, debuted its 48-inch OTT TV jointly with TCL Multimedia Technology Holdings Ltd, a leading consumer electronics manufacturer, on Sept 3.

 
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