The NPD Group today released their findings when comparing internet based video on demand sources.

According to the story, iTunes accounts for 45% of all internet based video on demand purchases. For comparison, Amazon Instant Video is in second with just 18% of the marketshare.

It is also worth pointing out that most users prefer to either rent or stream their video content rather than buying it. Movie purchases accounted for just 16% of all purchases of internet based video on demand (VOD).

Although VOD seems as if it is the future of watching video content, NPD points out that disks are not dead.

“There is a significant base of video customers in the U.S. who continue to be comfortable with physical formats, and a large majority haven’t made the complete transition from discs to digital video,” Crupnick said. “For the time being, at least, consumers still like to own and rent movies and TV shows on DVD and Blu-ray, even in a world of where connected devices and digital rental, streaming, and ownership options are becoming more accepted and commonplace.”

Do you use iTunes (or another service) for your VOD, or do you still prefer the old fashion DVD or Blu-ray? Let us know in the comments!

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