[opendtv] Re: CEA: Technology Trends to Watch 2014

  • From: Craig Birkmaier <craig@xxxxxxxxxxxxx>
  • To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
  • Date: Fri, 7 Mar 2014 08:14:28 -0500

On Mar 6, 2014, at 5:58 PM, "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx> 
wrote:
> 
> I may not have responded when you first wrote this, because it sounded too 
> absurd. But since you repeat it, okay, that's a perfect way to go out of 
> business, Craig. Wait until the bottom has already dropped out. Most people 
> don't need to be hit in the head with a 2 by 4 before they wake up.

They are not waiting for the bottom to drop out. They are perfectly positioned 
to have OTT TV fall right into their ISP laps. They are moving the most 
important channels to the Internet even as we argue. This is not the first 
major technology transition they have experienced, and it won't be the last. 
Oligopolies have a huge advantage in controlling these changes in business 
model.
> 
>> Incorrect. 83% subscribe to a MVPD service. The delta is just the
>> result of the fact that this was a poll.
> 
> Not very credible, Craig. There will be some percentage who are subscribers 
> to an MVPD net only for broadband and telephone. Those packages exist. If 2 
> percent of subscribers use such packages, that shouldn't be a big surprise. 
> That 81 percent figure is probably closer to reality.

If they are not paying for the MVPD service they are not a MVPD subscriber. 

But the cable companies can easily survive as an ISP service. DBS may go back 
to becoming a satellite ISP service for people in the boonies.

> It is important to note the popularity of that source of content. Can you 
> imagine if 51 percent of TV households said they watch OTA TV? This is very 
> much like such a stat. It's huge. Explaining why this is possible does not 
> change the fact that it's huge.

Bert. One more time.

The congloms are actively moving content to the Internet. They know it is the 
future.

They own most of the content that is in the FOTI category and make money with 
it. Netflix, Amazon, et all are paying them billions. And they are allowing the 
most desirable stuff move to the Internet for a price - a MVPD subscription. 

> We went over this already. It cannot be that congloms are only using this for 
> catch-up service, because (a) two of the congloms impose and 8-day delay, 
> making catch-up impossible, and (b) other congloms seem to have de-emphasized 
> the broadcast schedule from their online sites. Check it out yourself. Both 
> ABC and CBS *used* to arrange their web sites in a very clear broadcast 
> schedule format. You would scroll left or right, to the day of the week when 
> the program was broadcast. No more.

They are moving their content to the Internet Bert. We agree on this. 

Using the term catch-up seems to cause you linguistic nightmares. Yes, a 
portion of people "catch-up" then return to "live" broadcasts. For many, 
waiting 8 days is meaningless. They have simply moved on to VOD instead of 
appointment TV. And most of the Netflix, Amazon, iTunes audience is discovery, 
not catch up. People are watching older TV series they never saw when 
broadcast; the love the fact that there are no commercials, and that they can 
"binge watch" if they want to.

> FOT**I**, Craig. Not FOTA.

Sorry.

> The AppleTV that forces you to subscribe to Hulu Plus, and makes Hulu 
> invisible to you,

I have Apple TV. It does not force me to subscribe to Hulu Plus, or Netflix, or 
the NFL a Network. These are just content silos that it has agreements to 
access. I can access almost all of the sites you can Bert, including Hulu. I 
just access the site on my iPad then mirror it to the TV using Airplay. The 
only sites That cannot be accessed this way are those that still use the Flash 
video codecs.

> is what I'm talking about. FOTI delivery is extremely popular, at 51 percent 
> usage, even in spite of the attempts by those boxes that are borne out of 
> collusion.

As I said Bert, this is the only classification that us accessible to everyone 
with a broadband connection. And a big part of this 51% are watching cute cats 
on You Tube.


Regards
Craig 
 
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