[opendtv] Re: Will Digital Passthru Effect Digital Tier Subscription?
- From: Craig Birkmaier <craig@xxxxxxxxx>
- To: opendtv@xxxxxxxxxxxxx
- Date: Fri, 3 Aug 2007 10:42:46 -0400
At 8:41 PM -0700 8/2/07, johnwillkie wrote:
Anybody can create content:
Why haven't the cable companies done so? (they're in the distribution
business, fool!)
Why haven't the DBS companies done so? (they're in the distribution
business, fool!)
Why haven't the IPTV folks done so? (they're in the distribution business,
fool!)
Their choices speak volumes. The cable networks (they're in the content
business, fool!) have actually begun to produce content, because after years
of fees, they can now imitate the quality of the big five.
A rather foolish attempt to make a point, but...
The cable networks are able to create content because they can
deliver a sufficient audience to pay for it. Most of the high quality
original content you are talking about is actually produced by the
media conglomerates that own the networks. Most of the niche cable
channels are able to create content by carefully controlling
production cost to keep them in line with anticipated revenues.
It may not seem like a big deal to you John, but there are thousands
of independent producers creating content for the likes of Discovery
networks, HDTV, FOOD, et all, at a fraction of the cost of an episode
of a network drama or sitcom. Therre are hundreds of shows that are
now delivered with budgets below $30,000 per episode. Not a big deal,
unless you are an independent producer who is actually enjoying a
nice income making this stuff.
And during the years of fees that made these new networks viable, two
things have happened:
1. The quality of the stuff offered by the networks has declined dramatically;
2. The content oligopolies bought almost all of the successful cable networks.
Regards
Craig
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