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4K Streaming Devices Driving TV Adoption, But Slow Internet an Issue, Says NPD

The rise in 4K-capable streaming media players is helping drive Ultra HD TV adoption mainstream, said a Tuesday NPD report. Some 38 percent of consumers surveyed said they’re very or somewhat likely to use a 4K TV in the future,…

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up five percentage points since Q1, NPD said. As of Q3, 87 percent of installed 4K TVs had active internet connections, showing an interest among 4K TV owners in streaming media. Recent 4K-capable streaming media device launches from Amazon, Google and Roku will boost the transition to 4K TV adoption, it said. In Q3, 32 percent of U.S. Internet homes had at least one installed streaming media player, up by 7 million homes over the past year, fueled by the growing number of streaming TV services, said NPD. Only a limited number of streaming media player owners have used a 4K streamer, however, said NPD. A higher percentage of millennials -- more than half -- are aware of them and 39 percent said they’re interested in using 4K streaming media devices in the future, said the research firm. Broadband speed will be critical to 4K video streaming, said NPD. An internet connection speed of 25 Mbps or higher is recommended for 4K streaming, and currently about 5 million U.S. households have the broadband infrastructure required, it said. The number of U.S. households with 25 Mbps or higher internet speeds has been growing through the year, but so has the competition for the pipeline, with the average home having eight connected devices, putting a strain on the network’s ability to transmit a 4K video stream, NPD said. “Content distributors with an infrastructure prepared to offer 4K UHD video streaming are poised to take advantage of the pending inflection point in the display and TV programming industries, as viewers who stream video will be the first to expect their movies and TV shows delivered in 4K resolution,” said NPD analyst John Buffone. The survey, done July 28-Aug. 15, reached 5,364 U.S. consumers, aged 18-plus from diverse regions and demographical backgrounds.