[opendtv] Re: Gatekeepers of Cable TV Try to Stop Intel

  • From: Craig Birkmaier <craig@xxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Sat, 22 Jun 2013 07:59:35 -0400

On Jun 21, 2013, at 5:16 PM, "Manfredi, Albert E" 
<albert.e.manfredi@xxxxxxxxxx> wrote:

> Trying once again: the technical aspects have already been solved. All that 
> remains is to update the definition of what constitutes an MVPD. That's a 
> matter for the FCC and Congress only. Therefore, it can't be technical. It's 
> legal.

Yes, legal and political.

BUT. 

The FCC can update its definition of an MVPD, but it cannot force the 
conglomerates to change the business model and sell a channel for the bundle 
price, on an ala carte basis. The FCC does not have the regulatory authority to 
change the business model.

Congress COULD do this with legislation, or the Justice Department COULD go 
after the congloms  with an anti-trust litigation. One must ask why this has 
not happened...


>> What has web site design got to do with this?
> 
> Everything. The guy with the most intuitive web site gets the advantage, 
> especially when multiple web sites compete for the same product. You get the 
> "service" through the web site, Craig. Don't make this more complicated than 
> it is.

WRONG.  

You may get "a" service through a website, or you may go to a site that 
attempts to collect information about some or all of the sites that deliver OTT 
content. 

Yes, some sites may do a better job than others, but you are still stuck with 
the traditional browser interface, which does not translate well to the big 
screen in the family room. As we saw with the Comcast X2 presentation, the 
device may play a much larger role in how people will access content from their 
TVs.

If just having the ability to access a website is all that is needed, how is it 
that there are so many different mobile devices and mobile operating systems 
out there? They all do the same thing right?

WRONG.

Some do a much better job than others because of design and human interface 
considerations. And THAT is what the marketplace and competition is good for.

> The marketplace has a way of evolving, whether the players like it or not. 
> Fact is, a broader legal definition of what an MVPD can consist of, the cable 
> companies will compete in a different manner, whether they like it or not.

Yes, the competitive landscape is changing. But changing the definition of an 
MVPD is not going to magically change anything.

In a perfect world - much like the one that you advocate for - the middlemen 
will be 
disintermediated (i.e cut out of the picture). Who needs an MVPD if you can 
deal directly with the entity that creates the content? If you like CSI, just 
subscribe to the CSI portal.

The Justice Department went after the major book publishers and Apple for 
changing the publishing business model from wholesale to agency. Apparently the 
government had no problem with the fact that Amazon had a virtual monopoly on 
e-books, often selling the most popular titles below their cost. But the 
government DID have a problem with a business model that protected the 
publishers and other resellers who wanted to make a profit. 

Why were the publishers concerned about Amazon? 

Perhaps because Amazon is actively trying to eliminate them; Amazon is now 
recruiting big name stars to self publish, and 25% of the titles they offer are 
now self-published. Even the big publishing houses are starting to move to this 
new "agency model," where the writer gets 70% and the distributor gets 30%.

The problem with TV is that you need more than a computer to make a TV show…

Regards
Craig


 
 
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