Released on March 2008

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The future of video content market is online. The phenomenon reached a world dimension, thanks to the diffusion of broadband and involves viewers, producers, content providers and the mainstream broadcasters. In Europe, at the end of 2007, its revenue amounted to €116 million and this figure will grow consistently, reaching €701 mln by the end of 2011.

The download to rent (DTR) services, which represents 80% of the market and whose value is €91 million, are going to generate most of the revenues, reaching €497 million in 2011, even if their market share will decline in favour of the download to own (DTO) services and the free content ones, whose revenues will be, thanks to advertising, 38% of the total revenues in 2011.

This report of ITMedia Consulting, The Online content market in Europe, concentrates also on the evolution of business models and on how they are re-defining the value of content in the digital era. In particular the study analyses how digital convergence is changing the users’ habits, increasing their demand of content, and how content producers and broadcasters can benefit from this situation increasing their margins and revenues.

This market study will answer these key questions:

• Online content in Europe: revenues and growth forecasts until 2011
• How broadband content is changing business models?
• How can be offered digital content? The three business models: transactional, subscription and ad supported
• The users: who downloads digital content and why?
• What are the opportunities of advertisers in the digital content era?
• The different strategies of content providers