Lovefilm, the Amazon-owned Netflix of Europe, now streams more content over the internet than its DVD, Blu-Ray, and games rental businesses rolled into one. Internet users have increased an impressive 400% over the last 12 months as more and more people turn to watching TV shows and films on demand on laptops, tablets, smartphones, and most importantly connected TVs and games consoles.
The company’s physical media postal service still grew by a notable 25% last year though, so that sector is hardly dead – but it is quite obvious that internet streaming is where we are all headed. As people get faster broadband connections, the move to streaming will only hasten as well – because, let’s face it – movies by post may be cheap and convenient when compared to getting in a car and driving to Blockbuster, being able to watch the films instantly with the click of a few buttons is infinitely superior. That you can watch this content anywhere on a laptop or tablet doesn’t hurt either.
It looks like Netflix, the streaming of which accounts for nearly a third of US internet bandwidth at any given moment, has a competitor on its hands in the 900-pound Amazon/Lovefilm-shaped gorilla.