[opendtv] Re: Execs see challenges bringing Net video to TV

  • From: Tom Barry <trbarry@xxxxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Fri, 26 Sep 2008 07:27:49 -0400



John Willkie wrote:
Not a sustainable business model for local tv.  The networks can always go
around you to the MVPDs.  Affiliation agreements have expiration dates, and
can only be extended by mutual agreement between the parties.

John Willkie


That is certainly a problem, even in the current OTA system. Sports content especially seems to be migrating to the MVPDs. Local broadcasters using retrans consent must provide a value added service and negotiate each time with both the nets and MVPD's or they will be bypassed.

But the local broadcasters are established with some local content, local advertiser content, and local distribution that still reaches incrementally more viewers than cable (since it includes cable).

I don't know if the cable/phone/broadband/TV providers using multicast IP changes this equation drastically. Local broadcasters still have a chance at providing a value added service in this ecology.

- Tom


-----Mensaje original-----
De: opendtv-bounce@xxxxxxxxxxxxx [mailto:opendtv-bounce@xxxxxxxxxxxxx] En
nombre de Tom Barry
Enviado el: Thursday, September 25, 2008 8:45 PM
Para: opendtv@xxxxxxxxxxxxx
Asunto: [opendtv] Re: Execs see challenges bringing Net video to TV

Yep. That was sort of my point. The world of broadband broad/multi-casters might look much like the world of OTA broadcasters now, with many of the same players (if they are quick about it) though with smaller towers.

Who better to be a middleman between the networks, local advertisers, and cable companies than the current local broadcasters?

On demand is pull, not push. I think that makes it for higher markup material that can be sold to a smaller audience.

But any popular on demand material could be sold more cheaply to those who were willing to watch it at some scheduled time with everybody else, also making it 'an event'. The same material could be sold simultaneously both ways, in different tiers. And PPV, starting only at selected times is sort of in between. As the interval between start times gets shorter (every 5 minutes?) it combines multicasting economy with near-VOD benefits. And everywhere in between in a ratio of price, resource usage, and convenience.

- Tom

John Shutt wrote:
----- Original Message ----- From: "Tom Barry" <trbarry@xxxxxxxxxxx>


OTOH, if it was real time and everybody watched it the same time in 8 mbps AVC then they would only have to make multicasting work. Five major networks could be pushed for a total of only 40 mbps to the whole neighborhood.
Absolutely, but then you lose the "on demand" aspect, and have only created another broadcast medium. Nothing wrong with the per se, but definitely not a substitute for a TiVo in the home, which was the original intent of this thread.

John


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