[opendtv] Re: Watching ESPN without MVPD authentication
- From: Craig Birkmaier <craig@xxxxxxxxxxxxx>
- To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
- Date: Tue, 13 Jan 2015 07:37:44 -0500
On Jan 12, 2015, at 10:08 PM, Manfredi, Albert E <albert.e.manfredi@xxxxxxxxxx>
wrote:
>
> Daniel Grimes wrote:
>
>> And is Netflix, Hulu Plus, etc. really considered A La Carte?
>> It is according to the author but they seem to be bundles to me,
>> just VOD instead of live streams.
>
> This particular debate was to define what constitutes a VMVPD (virtual MVPD),
> as opposed to an OTT site.
>
> Yes, Netflix, Hulu, etc., all offer bundles of sorts, but nothing related to
> the very similar bundles and tiers that all of the actual MVPDs have. To me,
> an OTT site that bears no resemblance to the bundle and tiers model
> universally used by real MVPDs, does not qualify as VMVPD.
I agree with Bert on this. A VMVPD needs to offer the same live streams
available from facilities based MVPDs, or at least a subset of them. I would
expect the live audience to continue to decline for content that can be
consumed on demand, but access to live streams, especially sports and the major
networks will remain the core of the MVPD bundles. And when I say major
networks, I include cable networks like A&E that offer original programming,
not rerun channels.
> Reason being, more than any other, that the bundles of real MVPDs are built
> that way specifically to subsidize the existence of that set of niche
> channels, that the various congloms collude, essentially, to have included.
> If OTT sites don't do anything resembling this same type of collusion, it's a
> different animal.
I agree that there are many niche channels that the content owners require the
MVPDs to carry. However, many of these channels have large audiences and are
quite viable - the subscriber fees are certainly helpful in padding the bottom
line, but many of these networks would be viable today without the subsidies.
The Scripps Howard networks are a good example, as are some of the news
channels.
The important issue is that these niche channels create original niche content
- discovery networks are also a good example. If a network relies exclusively
on streaming old library content it is likely to be replaced by OTT VOD
services.
Regards
Craig
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