Smart TVs Expected to Dominate Market by 2016

Nearly 85% of all flat-panel TVs manufactured in 2016 will be able to connect to the web, according to a new Gartner report.

Worldwide production of “smart TVs” is expected to reach 108 million in 2013. Gartner cautions manufacturers that the ability to connect to the web won’t be enough to spur demand among consumers for smart TVs. “In the end, the choice may be all about the extra content that one TV brand offers over another.

Consumers will be asking questions such as, which internet TV services can the TV access? Are these the sites I think are valuable? Can I use my smartphone or tablet with this TV?” said Paul O’Donovan, Gartner’s Principal Research Analyst.

Gartner defines “a smart TV” as a set that has the ability to search the web for video content and then play that content back. It does not necessarily require an internet browser, but it does need to offer apps via an app store, regardless of whether it’s operated by the manufacturer or a third party.

Nielsen and Twitter Join Forces to Launch new Social TV Ratings

Audience measurement specialist Nielsen has joined forces with Twitter to create a TV ratings system for social TV.

Nielsen Twitter TV Rating will deliver a “syndicated-standard metric around the reach of the TV conversation on Twitter” and will be available on a commercial basis from the start of the fall 2013 TV season.

Twitter has increasingly aligned itself with the TV business over the past few years and last month Nielsen bought out social TV analytics firm SocialGuide, which ranks shows according to Twitter activity.

The new ratings system will complement Nielsen’s existing TV ratings, giving TV networks and advertisers the real-time metrics required to understand TV audience social activity, according to the two parties.

“The Nielsen Twitter TV Rating is a significant step forward for the industry, particularly as programmers develop increasingly captivating live TV and new second-screen experiences, and advertisers create integrated ad campaigns that combine paid and earned media,” he said.

Twitter claims over 140 million active users and a significant proportion of tweets related to TV shows.

“Our users love the shared experience of watching television while engaging with other viewers and show talent. Twitter has become the world’s digital water cooler, where conversations about TV happen in real time,” said the company’s VP of media Chloe Sladden.

“This effort reflects Nielsen’s foresight into the evolving nature of the TV viewing experience, and we’re looking forward to collaborating with Twitter ecosystem partners on this metric to help broadcasters and advertisers create truly social TV experiences.”

It’s not clear, however, what this means for social TV specialists such as Trendrr and Bluefin Labs, which have largely built businesses based on the providing clients with insights into Twitter activity around their programming.