Posted by John on December 14, 2011

Study: Xbox 360, PS3 owners are turning to video streaming over physical discs

December 14, 2011 By

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While the amount of streaming options available on gaming consoles is increasing rapidly each year, more consumers are taking advantage of streaming content over DVD or Blu-ray.

Based off a yearly comparison study of 3,000 consumers conducted by Nielsen, video streaming on gaming consoles is on the rise while the number of people watching physical media is dropping. During 2010, ten percent of Xbox 360 owners watched video-on-demand or streaming services like Netflix through the Microsoft console. That number has climbed to 14 percent in 2011. In a similar trend on the PlayStation 3, nine percent of PS3 owners used the console to watch streaming content during 2010, but increased to 15 percent in 2011. The Nintendo Wii had the most significant growth spurt growing from a fifth of all users in 2010 to a third of all users in 2011.

Increased video streaming usage is likely due to wider availability of more streaming applications like Vudu and ESPN3 as well as increase reliance on streaming content from Netflix and Hulu Plus. Alternatively, physical media suffered on gaming consoles. Viewership of DVD or Blu-ray discs on the Xbox 360 fell by two percent and dropped by five percent on the PlayStation 3. However, total time spent on gaming consoles has increased by about seven percent over the previous year. In addition, time spent playing online games has increased by five percent on the Xbox 360. Sony’s PlayStation 3 saw a three percent drop in online gaming, but offline gaming increased by eight percent over 2010. Nintendo saw a slight drop in both offline and online gaming over the previous year. 

One aspect of console usage that dropped across all platforms was listening to music or utilizing the Internet. While all consoles had approximately 11 percent of users utilizing these services during 2010, that number had fallen to approximately four percent in 2011. When it comes to watching downloaded movies or television shows, there’s been very little change year over year. It’s likely that more people are subscribing to streaming content through monthly fees rather than spending money on individual video purchases.

More About: blu-ray, DVVD, ESPN3, Hulu Plus, Microsoft, Netflix, nielsen, nintendo, Playstation 3, ps3, Sony, Streaming video, Vudu, Wii, Xbox 360

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Showing 7 comments

  1. Jeremy Steele at 7:32am 15th December 2011 I live in a town in the middle of bumfuck nowhere, with a population less than 1,000. Way less. And I can stream in 720p. The time of ISP meeting the demands of our devices has come and passed.
  2. Rob Wolford at 7:12am 15th December 2011 Streaming….yeah right, I think I’ll be quite some time before the technology and ISP speeds can meet up with the demands of our devices.
  3. TechFreak at 11:01pm 14th December 2011 I would partially agree. I use Netflix and Vudu on my PS3, but still record shows on my regular DVR. I think a lot of console owners are younger people (not necessarily kids) that use streaming as a cheap way to watch shows. Smart to me!
  4. Matt Martinez at 6:52am 15th December 2011 I would go strictly streaming if Netflix would get their arses in gear and add better content. About 80% of the time that I search for something to stream it turns out to be disc only (or even unavailable in some cases).
  5. Keoki Holguin at 6:51am 15th December 2011 Fuck streaming. with all the buffering crap, the 480i or if your one of the lucky ones 720p. the 2.0 stereo so called surround sound. I would rather pay for my copy of a dvd/blu-ray disc any day for a stream of it, its mine I own it I can lend it to others or vice versa. Streaming will never be on par the a disc
  6. Cory Mc at 6:47am 15th December 2011 I agree, why type with 0’s instead of O’s?
  7. Jessica Trau at 6:43am 15th December 2011 It makes sense, why pay f0r discs, when y0u can get instant stream? The 0nly issue is there’s still s0 much stuff 0n discs, including bel0ved classics like Batman: The Animated Series, and 0thers.
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