As of third quarter 2006, DVD penetration in the U.S. is up 6% from the previous year and continues to grow, while VCR penetration has started a decline. 

• In 1999 when Nielsen first started tracking DVD ownership in its Home Tech Report, DVD penetration was only 6.7% and was dwarfed by VCR ownership at 88.6%.
• DVD households now rent DVDs about twice per month, compared to VCR homes renting VHS tapes only about once per month. 
• The frequency with which households rent video tapes has leveled off during the past six months.

More topline findings from Nielsen's Q3 Home Tech study: 

Computers

• 73.4% of U.S. homes currently have a computer in the household, and homes with children and teens are more likely to have a home computer. 
• Homes with an income over $60K are 50% more likely to own a home computer than homes with an income below $60K.

Internet

• 95.4% of consumers with Internet access go online at least once a week, 
• 37.3% of Internet users go online more than once a day. 
• 78.2% of online users have made purchases over the Internet. 
• 46.8% of online users (ages 12+) have used the Internet to download and play music from the Internet.

MP3 Players

• 26.7% of U.S. homes own or rent an MP3 player. 
• Households with the presence of children 12-17 years of age are nearly 2 ½ times more likely to own or rent an MP3 player than compared to the Total U.S. 
• The percentage of homes owning an MP3 player has risen by 149.5% since 3rd Quarter 2003.

PDA

• 16.4% of U.S. homes own a PDA, and since 3rd quarter 2003, PDA ownership has increased by 4.5%. 
• Not surprisingly, higher income homes are more than four times as likely as lower income homes to own a PDA.

Methodology
Nielsen's Home Technology Report is a primary research survey conducted by phone with 1,253 randomly selected American homes four times per year. 

Source: Nielsen's Home Technology Report