Study: PMPs Need More, Better Videos

DALLAS — More sources of video content and a better viewing experience will drive consumers to buy portable media players (PMPs), and we're not there yet, a Parks Associate study contends.

Video content includes time-shifted TV programs, wireless video reception, and video transferred from a PC, the report said.

"The PMP market has not reached one-tenth of its potential yet, and this data explains why," contended senior analyst Harry Wang. "Compelling video content and good video viewing experience trump cost of video content as the top two factors that will drive consumers' usage of next-generation, video-focused portable entertainment devices," he said in citing the survey of PMP owners' needs.

The survey of 382 owners found that 43 percent to 44 percent cite appealing video content and optimized video viewing experience as the primary factors that would encourage them to watch more PMP-based video, while 33 percent are motivated by cost of content, 19 percent by personalization and connectivity features and 16 percent by ease of use.

"None of the PMP vendors has a perfect score on these five mega factors, although Apple clearly leads the pack in fulfilling the high-ranking needs of the PMP early adopters," Wang said.

With the introduction of its latest iPods, Parks said, "Apple is close to having a dream device for portable video." But recent tension with NBC Universal revealed increasing uneasiness toward Apple's market prowess from the content industry, especially on the video side. "If they act quickly enough, Apple's competitors can take advantage of this rare showing of vulnerability in otherwise a seamless execution of the iPod and iTunes model," Wang added.