[opendtv] Re: TV Technology: Supreme Court to Hear ABC v. Aereo April 22

  • From: Craig Birkmaier <craig@xxxxxxxxxxxxx>
  • To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
  • Date: Sun, 16 Feb 2014 08:12:31 -0500

On Feb 15, 2014, at 7:30 PM, "Manfredi, Albert E" 
<albert.e.manfredi@xxxxxxxxxx> wrote:.

> Perhaps both. Aereo allows people to watch live TV on devices that otherwise 
> wouldn't be able to receive TV. The VOD aspect is mostly already available to 
> these Internet appliances, via the congloms' own web sites. So perhaps the 
> antenna service is the most unique aspect.

Aereo also allows users to record programs on a networked DVR. When they watch 
these programs they are watching the local broadcast version, including local 
commercials. When they watch an Internet VOD service they are watching the 
commercials inserted by the network or by the portal service (e.g Hulu). 

It is not both, with the caveat that network shows have commercials inserted by 
both the network and the local station. Viewers can also record syndicated and 
local programming that may not be available via any Internet portal.

> Okay, it makes sense that the local broadcaster gains eyeballs. Depending how 
> ad dollars flow to the congloms, which I don't know exactly, they too may 
> gain.
Only if those extra eyeballs are measured. Ad rates are typically based on 
ratings, however the networks sell a large part of their inventory up front at 
pre determined rates. If the shows come up short on ratings they may refund 
money to advertisers. Aside from retrans consent revenues, the major revenue 
source for local stations comes from the ads they insert in network prime time 
programming (and sports) followed by ads in syndicated prime access programming 
and local news. 

> If Aereo wins and the congloms kill off OTA broadcasting out of spite, it 
> would be interesting to see whether they also kill off their FOTI option. As 
> Aljazeera did, belive it or not. All the while hyping up this Aljazeera 
> America, like it was something new and better.
> These are examples of "too much greed for their own good."

We live in interesting times..


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