[opendtv] Re: Speaking of business models

  • From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
  • To: <opendtv@xxxxxxxxxxxxx>
  • Date: Fri, 16 Mar 2007 15:56:31 -0400

John Shutt wrote:

> I just went to ABC.go.com and found episodes of Ugly Betty,
> a show I never catch due to my job, but I watched it once
> and found very good.
> The beginning of each clip says "Brought to you with limited
> commercial interruption by Smirnoff" and there is a Smirnoff
> banner on the screen the entire time the episode is playing.

True, ABC uses Flash Player 9, and it won't allow a full screen display.
But CBS uses WMP or Real Player, and it does allow the screen to be
filled, just like TV. No annoying banners anywhere, although the image
quality is not great. And still there are only maybe four 30-second ads.

> This would appear to me to be both a means to get some
> incremental revenue, and also to combat unauthorized posting
> on sites such as YouTube.

You might be right. I figure that as long as most people watch the
regular so-called "linear" program, these other media (even the DVDs you
mentioned, perhaps) don't need to pay for themselves. But the important
point is that whatever people migrate to using most is going to have to
deal with the paying the real bills.

So when people get all excited that they can now watch TV over the
Internet without all the ads, my impression now is that this may be only
temporary. It's not the whole story. When or if the Internet does become
the prevalent distribution medium, you can expect any manner of annoying
ads, or subscription fees, or both. (Not to mention broadband connection
fees, which may have to go up to cover the cost of upgrading the ISPs'

The other point is that the way I usually watch TV, i.e. recorded and
played back later, is not very different from watching these Internet
shows. Except that the image and audio quality is better. Also, the fast
forward or rewind is far quicker and more reliable than it is on the

Tom Barry wrote:

> Remember that offering downloads can not only have
> advertising, they also ARE advertising, bringing folks to
> your site and promoting the shows.

Yes, the main site can have ads too, however it seems to me that if
people start using the Internet instead of OTA, cable, or DBS, the time
spent watching the shows will have to bring in the revenues, rather than
the few seconds you're at the home site. Or fees, of course.

Who knows. Maybe they can offer full screen viewing with more ad
interruptions, vs the small screen and banner ads a la ABC, with fewer
ad interruptions. Or maybe annoying pop-up ads during the show, that you
have to click to get rid of. I'm sure we'll see marketers hyping up all
these wonderful new ideas.

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