Penetrating, fascinating, revealing and coruscating study from Edison Media Research and Arbitron, "Internet & Multimedia 2005: The On-Demand Media Consumer."

Summary of Findings

1. Americans are changing the way they access video programming. Video programming is no longer the exclusive domain of broadcast television, and network schedules no longer completely dictate what content is watched and when. Significant numbers of consumers are:

Watching movies on-demand through their cable box or rent them online.
Watching movies and TV programs on DVD as an alternative to syndication.
Accessing news and sports clips online.
Recording and time-shifting regular TV programming.

2. Americans are changing the way they access music. Music choices have expanded past the terrestrial radio dial to include:

Internet radio with thousands of stations to choose from.
Satellite radio with a clear national signal featuring major personalities and attractions.
Portable MP3 players that can hold entire music libraries and customized playlists.

3. The Internet is now mainstream. Four in five Americans have Internet access, with nearly half of online households having broadband access, and as a result:

Consumers are researching and buying items online.
News, music and video are being accessed online.
Consumers are spending a significant amount of time online, even while they are doing other activities, such as watching TV.

4. On-demand media behaviors change and limit exposure to commercial messages. Many on-demand devices and activities affect the ads normally associated with these media, such as:

DVRs allow users to skip through the commercial breaks in TV programs.
Video on Demand and DVDs allow consumers to watch movies and series without commercial interruption.
Portable MP3 players and satellite radio allow consumers to listen to a wide variety of music without commercial interruption.

5. Consumers show high enthusiasm and passion for on-demand media devices such as TiVo/DVR, iPod, broadband Internet access, high-definition TV and satellite radio.

6. The young and affluent are leading the shift to on-demand media habits. Teens, young adults and persons with an annual household income of $100,000 or more seem to gravitate toward on-demand media behaviors and attitudes.

Significant Highlights

As of January 2005, 81% of consumers have access to the Internet from any location, up from 50% just six years ago.

In January 2001 only 12% of Americans with Internet access at home used a broadband connection. Now, 48% of people with home Internet access have broadband and 48% have dial-up service.

The youngsters go for the portable digital music players: 27% of 12- to 17-year-olds, 18% of 18- to 24-year-olds, and 20% of 25- to 34-year-olds own an iPod or other portable MP3 player, compared with just 9% of those 35 and older.

Twenty-two percent of Howard Stern's listeners say they are "very" or "somewhat" likely to follow him to satellite radio. Sixteen percent of Americans say they currently listen to radio personality Howard Stern. In 2004, Stern announced that when his over-the-air radio contract expires he will be taking his show to Sirius Satellite Radio.