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The online video audience is expected to reach 190 million people by 2012, 88% of the Internet user population, according to the recent report by market research firm, eMarketer. The future of the video industry depends largely on how stakeholders navigate technical challenges, infrastructure upgrades, the migration to mobile, and ongoing consumer resistance to ads and payments.

"After some false starts with ill-fated transactional experiments, online video content owners and distributors are pursuing a strategy that closely follows the standard TV business model," says Paul Verna, eMarketer senior analyst.

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Related topics: IPTV, Telecom