[opendtv] Re: FCC's spectrum plan gives broadcasters food for thought

  • From: Craig Birkmaier <craig@xxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Sat, 3 Jul 2010 09:16:30 -0400

At 3:32 PM -0500 7/2/10, Manfredi, Albert E wrote:
 > What the MVPDs are growing concerned about is that so much money
 is on the table now that it is becoming possible to offer
 economically attractive alternatives to cable. And when this
 happens, the content oligopoly can cut out almost all of the
 middlemen.

And good for them. I see no reason to become so partisan about this.

You are the partisan here, religiously defending the continued existence of "FREE" over the air television. Entertainment was the bait to get people hooked on the mass media. If it had simply been a medium to deliver the news (which is always about politics), public service and emergency warnings, it would never have had much impact. The perception that the entertainment delivered by Broadcast TV is FREE lies at the heart of this discussion. Just as corporations DO NOT pay taxes, advertising is not free. All of this gets bundled into the prices we pay for EVERYTHING.

Entertainment is a consumable product; it can be expensive to create, and clearly has value like any other product. One can argue that the current system delivers TOO MUCH "value" to those who feast off of what I call the mass media funnel - that is, the concentration of revenue into a few hands based on hundreds of millions of potential viewers making a few thousand people wealthy beyond any reasonable measure of their contributions to society. This includes talent, including professional athletes, and the producers who give the talent a stage...

Something tells me you will not be a happy camper when you are forced to pay directly for the entertainment you consume. And not just pay, but pay monopoly rents for this stuff - stuff that in many cases will still be stuffed with commercials.


First of all, the "content oligopoly" would also be threatened, with the dismantlement of walled gardens like the MVPDs. Because anyone can create content over the Internet.

Not a chance. They have far too much control. Yes there will be independent producers who will break through, but promotion and distribution are far too important. It is the relentless cross promotion of the talent and content they choose to bring us that drives ratings.

But even more important, it is the position that they have created in driving public opinion that keeps them in power. The stage is constantly filled with actors that challenge current social mores while advocating political positions, athletes as role models, and politicians who are actors that crave a different kind of celebrity... AND power.

There is only one way to undermine this... the people must stop watching, and that ain;t gonna happen.

Secondly, I see no reason for rushing to the defense of the poor helpless MVPD oligopolies, as opposed to the content oligopolies. If anything, the MVPD oligopolies are far more capable of surviving, because they can morph into broadband providers, and still deploy walled gardens along with that broadband service. As the DC Circuit ruled. So honestly, I have never been able to understand your arguments about this.

Who is defending the MVPDs. Certainly not me. They are just another cog in the gears that drive the current system. I guess you have been ignoring all the posts I have made recently stating that they are the next victim for the content oligopoly.

Perhaps you are confused by the fact that they have the best game in town now for distribution, especially as it relates to delivering improved forms of advertising that are more targeted and accountable. This is the direct result of their investment of nearly $100 billion in infrastructure.

\The bottom line is, FOTA broadcasting is no threat to MVPDs.

It is no threat to anyone anymore...

The American public is far, far too self-indulgent to go en masse to FOTA TV only.

It's not about indulgence.. It is about content, and most of what people are watching is not available via FOTA.

THIS IS BY DESIGN BERT. Broadcasters have no way to collect that all important second revenue stream. Advertising alone is no longer sufficient to sustain FOTA.

The content oligopolies cannot threaten MVPDs either. MVPDs provide Internet broadband, MVPDs are not being forced to let others use their infrastructure, MVPDs can afford to create their own content, and with the self-indulgent American consumer, MVPDs can go ahead and jack up their rates to whatever they please. When 85 or more percent of households scramble to get hooked up and addicted, what can any MVPD possibly have to worry about?

People dropping their service because it is becoming too expensive, while alternatives provide enough of what they want for a fraction of the price.

It's all you can eat, event though you never eat most of what is offered, versus paying only for your meals...

Regards
Craig


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