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Netflix accounts for 1/3 of nightly home Internet traffic, Apple's iTunes takes 2%

post #1 of 37
Thread Starter 
Data sent from iTunes represents 1.9 percent of North American Internet traffic every night, a share beyond all other competing digital storefronts, but also well behind the bandwidth served up by Netflix.

Sandvine


Broadband research company Sandvine has been tracking North American bandwidth usage during primetime hours for years, and its latest data summarized Tuesday by AllThingsD shows that Apple's iTunes is responsible for nearly 2 percent of all Internet traffic at those hours. That places the storefront ahead of websites like Facebook, which accounts for 1.48 percent, and Amazon, which takes 1.31 percent.

While iTunes provides video content for purchase or rent, along with music, apps, books and more, it's video-only providers that dominate bandwidth consumption. Netflix alone accounts for 32.25 percent of all nightly downstream traffic delivered over fixed networks to users at home.

In second is YouTube, which accounts for 17.11 percent of traffic, placing it ahead of generic "HTTP" data with 11.11 percent. BitTorrent, which is a popular file sharing format for users who pirate copyrighted material, accounts for 5.57 percent of bandwidth used.

MPEG video downloads came in fifth with 2.58 percent, placing them ahead of Hulu, which streams TV episodes, movies and its own original content with free and subscription accounts available. Hulu finished ahead of iTunes with 2.41 percent.

Apple's iTunes took seventh place among the top bandwidth consuming options with 1.9 percent, placing it just ahead of SSL at 1.89 percent. Rounding out the top services are Flash video (1.72 percent), Facebook (1.48 percent), Amazon (1.31 percent) and HBO Go (0.34 percent).

Of the data used by consumers on their home networks, 20 percent was transmitted over Wi-Fi to devices like iPads, iPhones. That's up from 9 percent a year ago.

While Netflix is dominant on home fixed network connections, YouTube is the primary bandwidth consumer among mobile data users, taking 27.33 percent.
post #2 of 37

This is just proof the ISPs need to throttle and cap further. I mean, LOOK at all the people actually using their Internet connections! We can't have that¡

 

Anyway, it'll be interesting to see how/if this changes after a hypothetical deal to change up the way the Apple TV is served content. 

 

And is this chart reflective of iTunes cloud viewing, iTunes purchasing and downloading, or iTunes as a whole? That's important to know. If it's just purchases, of course it's lower than Netflix/YouTube. YouTube is basically streamed piracy of content and Netflix is legal streamed content. 

post #3 of 37
netflix you stream everything, itunes i can play off my laptop to my apple TV

but either way, netflix is a much better deal than a la carte from itunes. for me its netflix and blu rays
post #4 of 37

Well, I guess if the choice was to watch a movie on FX, USA or one of those other channels with commercials, or watch it on Netflix, I'd chose Netflix every time too. Funny though, I haven't watched any streaming content from Netflix for at least a month. Wonder why I keep paying for it.
 

post #5 of 37
Quote:
Originally Posted by al_bundy View Post

netflix you stream everything, itunes i can play off my laptop to my apple TV

but either way, netflix is a much better deal than a la carte from itunes. for me its netflix and blu rays

They're very different transmission formats and different business models.

Netflix seems to be compatible with just about everything with an IP address these days.
post #6 of 37
Why am I not seeing piratebay in that list? I struggling to believe that bittorrent is that small.
post #7 of 37

Is "HTTP", "MPEG", "SSL", and "FlashVideo" a clever way of disguising their true use: erotica?

post #8 of 37
Quote:
Originally Posted by ChristophB View Post

Why am I not seeing piratebay in that list? I struggling to believe that bittorrent is that small.

The piratebay would be indistinguishable from bitorrent traffic.
post #9 of 37
Quote:
Originally Posted by TeaEarleGreyHot View Post

Is "HTTP", "MPEG", "SSL", and "FlashVideo" a clever way of disguising their true use: erotica?

 

And is "erotica" a clever way of saying porn?

The state is nothing more than a criminal gang writ large.

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The state is nothing more than a criminal gang writ large.

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post #10 of 37
Apple could have easily been where Netflix is now. Netflix doesn't even have its own servers since it uses Amazon's servers. Apple has 500 million credit card accounts in iTunes and if Apple decided to start a streaming service for Apple devices, it could easily gain ground on Netflix practically overnight. There's no reason Apple couldn't obtain the same contracts that Netflix has. Apple can afford to build the best server farms money can buy. In doing so, Apple would also be able to boost AppleTV sales. Instead, Apple chooses to sit on billions of dollars and not do anything except let its iPhone business go down the tubes.

Let's all sit back and watch Apple's share price head back towards $400 despite all the financial tricks it's doing instead of playing hardball in the smartphone industry and selling more iPhones. Most of the stocks are still going up as the Dow continues to climb. Which direction is Apple going? Opposite from everyone else. Netflix's share price is now worth a little more than half of Apple's share price and rapidly climbing with a nice round P/E ratio of 600. That's how to run a growth business that attracts investors. When I look at Apple sitting on billions of dollars and not making any growth moves, I really have to wonder what they're thinking.
post #11 of 37
Definitely a stat that Netflix can use to get favorable deals for content.
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
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"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
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post #12 of 37
Quote:
Originally Posted by dasanman69 View Post

Definitely a stat that Netflix can use to get favorable deals for content.

It could work against them as well, the content owners want control, and having a licensee that's too powerful goes against that control.
post #13 of 37
Quote:
Originally Posted by Constable Odo View Post

Apple could have easily been where Netflix is now. Netflix doesn't even have its own servers since it uses Amazon's servers. Apple has 500 million credit card accounts in iTunes and if Apple decided to start a streaming service for Apple devices, it could easily gain ground on Netflix practically overnight. There's no reason Apple couldn't obtain the same contracts that Netflix has. Apple can afford to build the best server farms money can buy. In doing so, Apple would also be able to boost AppleTV sales. Instead, Apple chooses to sit on billions of dollars and not do anything except let its iPhone business go down the tubes.

Let's all sit back and watch Apple's share price head back towards $400 despite all the financial tricks it's doing instead of playing hardball in the smartphone industry and selling more iPhones. Most of the stocks are still going up as the Dow continues to climb. Which direction is Apple going? Opposite from everyone else. Netflix's share price is now worth a little more than half of Apple's share price and rapidly climbing with a nice round P/E ratio of 600. That's how to run a growth business that attracts investors. When I look at Apple sitting on billions of dollars and not making any growth moves, I really have to wonder what they're thinking.

One big difference is that Apple would only have Apple users while Netflix has Apple users and everyone else.
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
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"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
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post #14 of 37
Quote:
Originally Posted by JeffDM View Post

It could work against them as well, the content owners want control, and having a licensee that's too powerful goes against that control.

So just Apple can be allowed to dictate terms and get favorable deals?
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
post #15 of 37

Why even compare iTunes versus Netflix? They're different services entirely.

 

In other news, looks like the anti-Apple stock brigade is pouncing on more nonsensical "news" to short the stock today... (eyes rolling back into skull)...

Proud AAPL stock owner.

 

GOA

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Proud AAPL stock owner.

 

GOA

Reply
post #16 of 37
Quote:
Originally Posted by SpamSandwich View Post

Why even compare iTunes versus Netflix? They're different services entirely.

In other news, looks like the anti-Apple stock brigade is pouncing on more nonsensical "news" to short the stock today... (eyes rolling back into skull)...

Well they're similar services just different business models.
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
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post #17 of 37

Better get the bigger screen little expensive phone like $225  with contract and cheaper phone along with 5S (4 and 4S are outdated cheaper phones with useless screen size compared to newer phones which includes iphone5) to dominate the whole market.  Give options to future users and get out of the ego. You are no longer THE Steve Jobs!

 

If Apple cannot get them, then the so called "ecosystem" will be in big trouble.
 

post #18 of 37
Where is apple tv traffic, itunes?
post #19 of 37

Interesting that there are twice as many pirates (BitTorrent) as Hulu users. I think Hulu is great for new shows. Netflix is great for old shows and movies. As for iTunes, I only buy from iTunes when there are no other legal options... so typically... the odd "season pass" for a specialty cable show. The specialty cable channels are really clinging to the old Cable TV model.

post #20 of 37
Quote:
Originally Posted by dasanman69 View Post


One big difference is that Apple would only have Apple users while Netflix has Apple users and everyone else.

 

I don't know. I have tons of Windows/PC friends who have an AppleTV and love it.

post #21 of 37
Quote:
Originally Posted by dasanman69 View Post

Definitely a stat that Netflix can use to get favorable deals for content.

 

Yup. But Netflix's problem is money. They don't have the budget to negotiate big deals for current content. That's why it's all old stuff. CBS sells Big Bang Theory to cable companies for instance for $2 million per episode. And cable has ads. I read an article where someone did the math and figured that it would cost Netflix (with no ads) $400 million for a season of Big Bang Theory. There goes half their entire content budget!

 

Apple on the other hand has mountains of cash. Really looking forward to see what they can pull off with the forthcoming Apple Television. Not the hardware and interface. That's stuff is easy. Looking forward to seeing what they can pull off on the licensing end of things.


Edited by Takeo - 5/14/13 at 1:03pm
post #22 of 37
I don't think Netflix buisness is tenable longterm because it simply acts as a middle man between the content creators and the consumer. Content providers are limiting what is available on Netflix. Just look at the movie line up on Netflix streaming its really limited. The only reason I have a netflix subscription is to get a few episodes of BBC series and a some from American netwokrs. It would not take much for Netflix's biz to go away as soon as the content prviders terminate the contracts they have with Netflix. Add to this the bill about to go thru congress forcing cable to provide a la cart pricing and Netflix will tank really fast imho. There are rumors that ESPN is negotiating with Apple to bring ESPN to Apple TV which isn't far fetched since Disney owns ESPN and Disney has deep links with Apple. Netflix has zero live sporting events. Need I go on? Netflix is serving a niche market right now , one which I think developments will soon overtake. Bottom line Netflix is not a first run medium and content providers are starting to use it as a bait and switch model by baiting us into watching new shows then not giving us new seasons hoping to tempt us back to cable. I can only get Scandle, Once upon a time on ABC's app not on Netflix. yeah I can watch old Season 1's on Netflix, which was okay but nothing recent. what format is my ABC app, MPEG4, html? what is that other 22% traffic share? What about NFL and baseball I have MLB AtBat. I really hope the NFL brings something to the table streaming soon
Edited by Paul94544 - 5/14/13 at 1:45pm

Originally by Rickers - 2014 : Cook & will bury Apple.  They can only ride Steve's ghost so long.


History reduce Apple Watch.... to a footnote in the annals of technology - Benjamin Frost Dec 2014



Reply

Originally by Rickers - 2014 : Cook & will bury Apple.  They can only ride Steve's ghost so long.


History reduce Apple Watch.... to a footnote in the annals of technology - Benjamin Frost Dec 2014



Reply
post #23 of 37
Originally Posted by Paul94544 View Post
I don't think Netflix buisness is tenable longterm because it simply acts as a middle man between the content creators and the consumer.

 

But then you go on to say that Apple should do the same thing.

post #24 of 37
Quote:
Originally Posted by dasanman69 View Post

Definitely a stat that Netflix can use to get favorable deals for content.

huh, I don't understand how Netflix can use subscriber base as a bargaining chip unless it allows content providers to add commercials. One big advantage Netflix has is commercial free to attract subscribers. No the only thing that matters is how much money they can pony up on the table to add content  and they dont have much money now do they

Originally by Rickers - 2014 : Cook & will bury Apple.  They can only ride Steve's ghost so long.


History reduce Apple Watch.... to a footnote in the annals of technology - Benjamin Frost Dec 2014



Reply

Originally by Rickers - 2014 : Cook & will bury Apple.  They can only ride Steve's ghost so long.


History reduce Apple Watch.... to a footnote in the annals of technology - Benjamin Frost Dec 2014



Reply
post #25 of 37
Quote:
Originally Posted by Tallest Skil View Post

 

But then you go on to say that Apple should do the same thing.

I didn't say they should do anything, you are putting words in my mouth, I only said there are rumors, but anyways Apple doesn't just do business selling content it has Computers, iPhones, Ipads, Ipods and music. So my original statement stands  Apple is more tenable company plus not reliant on one revenue stream. Cook said after all something like they will go into other new businesses. Netflix business model is only one revenue stream sort of like a Value Added Retailer. oh and just as an example of broadcast network fighting back : Tuesday saw the launch of a new version of broadcaster ABC's iOS app, one that for the first time will allow users in select markets to watch live television from a U.S. broadcaster. I imagine that very soon we will be able to subscribe to individual broadcast and cable channels via Apps, oh dear RIP Netflix


Edited by Paul94544 - 5/14/13 at 2:15pm

Originally by Rickers - 2014 : Cook & will bury Apple.  They can only ride Steve's ghost so long.


History reduce Apple Watch.... to a footnote in the annals of technology - Benjamin Frost Dec 2014



Reply

Originally by Rickers - 2014 : Cook & will bury Apple.  They can only ride Steve's ghost so long.


History reduce Apple Watch.... to a footnote in the annals of technology - Benjamin Frost Dec 2014



Reply
post #26 of 37
Quote:
Originally Posted by Paul94544 View Post

I don't think Netflix buisness is tenable longterm because it simply acts as a middle man between the content creators and the consumer. Content providers are limiting what is available on Netflix. Just look at the movie line up on Netflix streaming its really limited. The only reason I have a netflix subscription is to get a few episodes of BBC series and a some from American netwokrs. It would not take much for Netflix's biz to go away as soon as the content prviders terminate the contracts they have with Netflix. Add to this the bill about to go thru congress forcing cable to provide a la cart pricing and Netflix will tank really fast imho. There are rumors that ESPN is negotiating with Apple to bring ESPN to Apple TV which isn't far fetched since Disney owns ESPN and Disney has deep links with Apple. Netflix has zero live sporting events. Need I go on? Netflix is serving a niche market right now , one which I think developments will soon overtake. Bottom line Netflix is not a first run medium and content providers are starting to use it as a bait and switch model by baiting us into watching new shows then not giving us new seasons hoping to tempt us back to cable. I can only get Scandle, Once upon a time on ABC's app not on Netflix. yeah I can watch old Season 1's on Netflix, which was okay but nothing recent. what format is my ABC app, MPEG4, html? what is that other 22% traffic share? What about NFL and baseball I have MLB AtBat. I really hope the NFL brings something to the table streaming soon

Maybe that's why they've started making their own content.
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
post #27 of 37
Quote:
Originally Posted by MJ1970 View Post

And is "erotica" a clever way of saying porn?

 

It is one way of describing that, yes.  But I was not seeking to be clever, I just didn't know if AppleInsider would censor that word in the forums.

post #28 of 37
Quote:
Originally Posted by dasanman69 View Post


Maybe that's why they've started making their own content.

Love your quotes

Here's another in the same vain:

"Convention is not Morality" from Jane Eyre

Originally by Rickers - 2014 : Cook & will bury Apple.  They can only ride Steve's ghost so long.


History reduce Apple Watch.... to a footnote in the annals of technology - Benjamin Frost Dec 2014



Reply

Originally by Rickers - 2014 : Cook & will bury Apple.  They can only ride Steve's ghost so long.


History reduce Apple Watch.... to a footnote in the annals of technology - Benjamin Frost Dec 2014



Reply
post #29 of 37
Quote:
Originally Posted by dasanman69 View Post

So just Apple can be allowed to dictate terms and get favorable deals?

No.

The video owners were worried that Apple would dictate the terms, which is why so many studios held back on their deals with Apple.
Edited by JeffDM - 5/15/13 at 1:26pm
post #30 of 37
Quote:
Originally Posted by Paul94544 View Post

Love your quotes
Here's another in the same vain:
"Convention is not Morality" from Jane Eyre

Thanks, I'll see if I can add it.
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
post #31 of 37
Quote:
Originally Posted by SpamSandwich View Post

Why even compare iTunes versus Netflix? They're different services entirely.

Yes, one is a subscription service and the other one a pay per view/item. It shows that in raw data consumed a subscription service pulls in an order of magnitude more than a pay/rent approach.

post #32 of 37
I'm a huge fan of Netflix. The $8/mo is such a small price to pay to keep my kids in line. "I'm cancelling Netfix" is a way more serious threat than any other punishment I could impose!

The downside is, I can now recite every episode of iCarly line for line.
post #33 of 37
Quote:
Originally Posted by Paul94544 View Post

Tuesday saw the launch of a new version of broadcaster ABC's iOS app, one that for the first time will allow users in select markets to watch live television from a U.S. broadcaster. I imagine that very soon we will be able to subscribe to individual broadcast and cable channels via Apps, oh dear RIP Netflix

What does live TV have to do with Netflix? Netflix has NEVER been a first run service. You will always be at least a season behind, but for $8 a month who can complain? When you start with faulty logic, you're going to come to faulty conclusions.
post #34 of 37
(Double post)
post #35 of 37
Quote:
Originally Posted by caliminius View Post

What does live TV have to do with Netflix? Netflix has NEVER been a first run service. You will always be at least a season behind, but for $8 a month who can complain? When you start with faulty logic, you're going to come to faulty conclusions.

That's not true anymore. Netflix is creating content so that's first run. Lillehammer is hilarious.
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
"Few things are harder to put up with than the annoyance of a good example" Mark Twain
"Just because something is deemed the law doesn't make it just" - SolipsismX
Reply
post #36 of 37

We're a Mac'd out household, four people, five Macs, but no one gets TV or Movies from Apple.  We have a Roku with the cheapest Netflix deal and when someone wants something that's not on Netflix or the other Roku channels, like a current movie, we do a one-shot Amazon.   Works great for our needs and the bill is small.  

post #37 of 37
Quote:
Originally Posted by AppleInsider View Post

[...] Apple's iTunes is responsible for nearly 2 percent of all Internet traffic at those hours. That places the storefront ahead of websites like Facebook, which accounts for 1.48 percent, and Amazon, which takes 1.31 percent.

 

What an utterly ridiculous, meaningless statement!

 

One guy downloading one movie will use up as much bandwidth as 10,000 people surfing Facebook all night! Duh, movies are big, web pages are small. It's a comparison of bandwidth consumption, not popularity!

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