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DATA NUGGET
June 14, 2000


Interactive TV: It's Baaaack!

Few Americans may know what interactive TV is today. But in just a few years, the combination of Web-like connectivity with television programming on the boob tube will start taking off, according to Forrester Research Inc. Revenues from this new market are expected to rise from $570 million last year to $29 billion in 2004. In the early years, most revenues will come from subscriptions. Later, the bulk will come from advertising and e-commerce, as audiences grow accustomed to buying by remote control.

Revenues from interactive television
(in $ millions)

  Subscription Ads E-commerce Total

1999 320 120 130 570

2000 820 334 628 1782

2001 1430 1160 1720 4310

2002 1700 4100 3700 9500

2003 2000 10200 6600 18800

2004 2400 16600 10000 29000

DATA: Forrester Research

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