With digital downloads of videos from content providers set to surge in the coming years, ABI Research has released an interesting study. It projects that internet video content for the television via download from set-top box Internet video devices will deliver $1.5 billion in service revenue by 2012. We will see devices from the likes of Apple, Netgear, and Sony that will bridge the gap between Internet video and television, but an interesting quote from the article cites video game consoles as the key movers in this industry:

“ABI Research believes that of all the consumer platforms for TV playback, video game consoles will lead in total revenue for public Internet video delivery, because of their close proximity to the TV, large hard drives, and the high penetration of online services among gamers.”

I wonder what adjustments, if any are needed, Apple will do to compete with all-in-one systems like the XBox 360 and PS3. If they are any indicator of what consumers want, then Apple might have to juice up the Apple TV with more power and features just to stay afloat.

Take a bigger bite of this apple… (link: Podcasting News)

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