[opendtv] Re: TV Technology: Netflix Users Watch 10 TV Shows a Week

  • From: Craig Birkmaier <brewmastercraig@xxxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Wed, 04 Nov 2015 07:45:39 -0500

On Nov 3, 2015, at 9:31 PM, Manfredi, Albert E <albert.e.manfredi@xxxxxxxxxx>
wrote:

Craig Birkmaier wrote:

Last first. The number of people using a PC to watch Netflix on a TV
would be in the noise - nearly impossible to measure, as the best
stats I can find suggest hardly anyone still does this.

Prove it.

I'd love to if I could find any stats. There are plenty of stats that talk
about the percentage of streaming video viewed on various devices, including
PCs. Laptops are still an important market segment, but nobody tells us how
many are connected to a TV. Many reports say viewing on desktop PCs is
declining.

In articles that talk about how to stream to a TV you still find a mention of
using an HDMI cable with laptops.

I see the same stats, and they are far from clear. The truth is difficult to
ferret out. It took a lot of digging, for instance, to find the truth about
how people actually watch TV content. That's because the questions asked in
the surveys are almost always ambiguous.

Something we can agree on. This space is filled with ambiguity since there are
so many ways to view video from the Internet. Perhaps the strongest support for
your cause is that many Millennials don't even own a TV, choosing to watch OTT
sources on a PC or mobile device. FWIW, it looks like smart TVs have largely
failed as well - this may be a reflection of the stories published that the
Smart TV manufacturers are collecting all kinds of personal data about viewing
habits.

The important number is the 47% watching Netflix on their TV.

Yup. But how they are doing this is not explained.

True, but the unit sales of Chromecast, FireTv, Roku, and Apple TV suggest
these are the most popular devices by far. Game consoles and Smart DVD players
are also used a lot.

For example, if they are set up as I am, or if they are using a wireless
scheme to stream from PC/laptop to TV, then the PC use for streaming TV is
most likely considerably higher than tablet use, rather than just 1
percentage point higher.

I'd love to know how many people are set up as you are. The percentages you are
referring to are meaningless as they refer to the screen being used to watch
Netflix. Obviously some portion of the people watching Netflix on their TV are
using a PC, some are using streaming boxes, some are using game consoles, some
smart TVs, etc.

The important distinction is not how the stream gets to the TV. It is the
screen you are watching. I'll watch something (not Netflix) on my smartphone if
that is my only choice; I'll use my tablet rather than the smartphone if there
is no other screen to watch. But if I'm home I typically stream entertainment
on the big screen, including Netflix.

I do watch a significant amount of video on my tablet when catching up on the
news, watching "How To" YouTube videos, and marketing videos related to things
I am buying. So I think it is important to consider the kind of video being
consumed, and how that impacts the screen of choice.

You assume that connected TVs or streaming boxes are the only way this
viewing on TVs is accomplished, and I simply don't believe it. I see too many
people commenting online about using PCs.

I do not assume anything. I try my best to understand all the options, how they
are used, and the trends. Clearly there are some "Luddites" who choose to use a
PC to stream video on their TVs. There are hundreds of millions of Luddites
using MVPD set top boxes, not by choice, but rather, by necessity.

The whole point in discussing this is to understand how the interface to the TV
is evolving, and what it will look like in a few years. I do not hear anyone
saying the Microsoft is going to take over the family room via the PC. I did
hear that a lot, back when Bill Gates was doing the annual keynotes at the
Consumer Electronics show, and the Microsoft booth looked like a family room.
That vision of the future failed to materialize.

The debate today has more to do with how the content will be sold, and the
companies that are most likely to offer:

The devices used to view that content;
The human interface to these screens, including the TV;
New kinds of content bundles, and Apps that offer more than just TV
entertainment;
And an ecosystem that ties devices together, including the Internet of Things
around us.

Microsoft wanted to own this, but they never got past the PC...

What was more interesting was she was focused on "not changing a
thing" in terms of the physical setup.

Clearly, since changing anything would require a truck roll. Labor is the
biggest expense.

They only roll trucks these days to connect to the house or to run wires in the
house. You pick up the STB or a cable modem at the store and install it
yourself. The reality is that the cable industry has a huge installed base of
old, outdated set top boxes deployed. Most have been paid for several times via
the monthly rental fees.

The biggest problem is all the space these boxes are going to take up in
landfills.


Regards
Craig

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