[opendtv] Re: What a coincidence: Can TV Broadcasters Really Go OTT?

  • From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
  • To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
  • Date: Mon, 15 Jul 2013 21:08:35 +0000

Craig Birkmaier wrote:

> We've discussed this ad nauseum. The issue is not the underlying
> technology, other than the reality that you cannot suddenly shift
> most TV viewing from current infrastructures to the Internet;

That's a separate discussion.

The topic here is why require an MVPD subscription for those Internet devices 
that access FOTA content. These devices exist today, and they access that 
content today. So whatever you assume about saturating ISP nets is immaterial, 
in this context. Having an MVPD subscription won't make that Internet device 
any less prone to creating congestion. It's not like that Internet device would 
be using the MVPD infrastructure, EVEN IF it were being used at home (as many 

> Nothing changes except the web address Bert. It's not a question
> of whose infrastructure the bits come from; it IS a question of
> verification that you have an MVPD subscription so that they get
> their subscriber fees.

We've already been over this. For the person who uses only Internet access, for 
example to receive ABC FOTA content over IP, an MVPD subscription would include 
a load of expenses he doesn't benefit from at all. Not only is the user paying 
twice for infrastructure (once to his ISP, another time as part of the MVPD 
price), even though he only using one of those infrastructures, but the user is 
also not getting any of the basic tier channels in the process.

If ABC wants to get more revenues for this than they get FOTI, then the only 
correct way to do it is to charge whatever, $0.50 or whatever it takes per 
month, to the Internet user. Hardly anything approaching the price of an MVPD 
subscription. That's why this model is not sustainable.


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