[opendtv] Re: Analysis Game Changer!

  • From: Tom Barry <trbarry@xxxxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Tue, 04 Aug 2009 13:48:05 -0400

MVPD's achieved their monopoly by being able to distribute information
more efficiently than the competition, without any particular rights to
that content at first.   ISP's (including MVPD's) continue to improve
this efficiency.  The cost to deliver all the bits in an mp3 song is now
trivial.  It will soon also be trivial for many people to download a 1
hour HDTV show in 720p mpeg-4 format.

Some ISP's will contract for legal rights to content and then have to
charge the customer more for that privilege, plus maybe attempt copy
protection.   Some  ISP's will not acquire these rights and deliver only
bit pipes, leaving the customers to find their own content, legal or not.

It is still uncertain which model will be most attractive to consumers. 
Price and convenience ...

- Tom


Manfredi, Albert E wrote:
> Craig Birkmaier posted:
>
> http://www.tvweek.com/blogs/tvbizwire/2009/08/game-changer-cbs-research-
> guru.php
>
> Yes, we have seen this sort of discussion many times of late. Stream TV
> over the Internet, and in principle all modes of broadcast TV (meaning,
> OTA, cable, and DBS) become obsolete. The ISP takes on the role now
> filled by the MVPD.
>
> Of course, if the ISP has to pay the networks, guess where the ISP is
> going to get that money? So in fact, this is just an attempt to get
> everyone connected to a MVPD. The ISP will simply charge a higher
> monthly fee for those who watch TV over the network. Industry insiders
> might get excited about (possibly) the elimination of must-carry or
> retransmission consent, but to the customer, it's six of one and half
> dozen of the other.
>
> I continue to doubt the huge success of the Internet ads. Since the ads
> cannot be fast-forwarded, it's a leap to believe that viewers would put
> up with such a scheme if it transmitted significantly more ads than are
> sent now online. And furthermore, to expect the viewer to interrupt his
> show to do interactive ad browsing is also a stretch. This may succeed
> on occasion.
>
> (Oh, what if you design a PVR for online streams? Such a box could be
> made to push the "continue" button automatically, after each ad break,
> and then the viewer can fast-forward those online ads too? Full circle.)
>
> So I think that's the balancing act. My bet is that the networks will
> discover that this scheme doesn't change anything very dramatically.
> There'll still be demand for alternative ways to access that content.
>
> Bert
>  
>  
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