Monday, October 03, 2005

Advertisers, relax, it's only your most coveted viewers who will skip your ads

Magna Global reports that in the second quarter around 965,000 subscribers signed up for DVRs, down from 1.15 million in the prior quarter and 1.32 million in the fourth quarter of 2004. There are currently around 8 million DVR subscribers in the U.S.

“We believe this quarter’s decline reflects the gradual
maturation of the marketplace for DVRs,” read the report, written by Brian Weiser director of industry analysis at the Interpublic Group of Cos.-owned research unit.

“If predictions of large numbers of DVR subscriptions in the
next couple of years are unfounded -- and the data we are seeing shows the rate of growth is slowing, not increasing -- our point of view is that DVRs appeal to higher-end subscribers,” Mr. Weiser told

Time Warner Cable added 132,000 DVR subscribers with its current total standing at 1.1 million or 22.4% of its digital cable homes. Comcast has a total of 775,000 DVRs in the market.

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