[opendtv] =?windows-1252?Q?Viacom-Sony_TV_Is_a_Big_Deal._Its_Also_the? =?windows-1252?Q?_Same_Deal_We_Already_Have._AUGUST_15,_2013? =?windows-1252?Q?__PETER_KAFKA?Message-Id: <244CB019-97F2-46A6-8CC4-07A0C1F2E052@xxxxxxxxxxxxx>
- From: Craig Birkmaier <craig@xxxxxxxxxxxxx>
- To: OpenDTV Mail List <opendtv@xxxxxxxxxxxxx>
- Date: Sun, 18 Aug 2013 14:48:40 -0400
http://allthingsd.com/20130815/viacom-sony-tv-is-a-big-deal-its-also-the-same-deal-we-already-have/
Viacom-Sony TV Is a Big Deal. It’s Also the Same Deal We Already Have.
AUGUST 15, 2013 › PETER KAFKA
Viacom’s deal to deliver its cable TV shows to a new Web video service from
Sony isn’t final.
But it is a big deal: As the Wall Street Journal first reported today, this is
the first time a major programmer has agreed, in principle, to sell a “linear”
feed of its shows to the Web.
That is, subscribers for a yet-to-launch Sony TV service would get Viacom’s
shows at the same time they get delivered to Comcast, or DirecTV, or Verizon
Fios subscribers.
Viacom’s agreement — or potential agreement — will make it easier for other
programmers to step out and make their own agreements. That’s also big.
So for argument’s sake, let’s say Viacom and several other big programmers sign
on, for real, and Sony launches sooner than later.
Here’s the key question: Are those guys going to sell their stuff to Sony in a
way that differs materially from the way they’re selling their stuff to
traditional pay TV operators?
I haven’t been able to get confirmation on this. But I do have an educated
guess: No.
Which means that if Sony (or any other “over the top” Web service, like Intel)
launches, it’s going to sell TV the way you buy TV right now — a bundle of
channels, at one price, which will be very close to the price those bundles
cost everywhere else. [UPDATE: The proposed deal is for the full bundle of
Viacom channels, according to a person familiar with the negotiations.]
Which is exactly what programmers have been saying for quite some time, both
publicly and privately, that they’ve been willing to do. This despite some
misplaced fears that traditional cable TV operators like Time Warner Cable
would be able to quash a rival pay TV service.
Again, recall that the cable TV guys weren’t happy when Dish and DirecTV showed
up and started competing with them 20 years ago. But the programmers were happy
to sell the satellite guys their stuff, because they like having more
customers. Same thing 10 years ago, when Verizon and AT&T showed up to add even
more competition.
The curveball would be if the programmers were willing to give Sony, or Intel,
or Apple, or any new Web entrant, the ability to do something radically
different with their shows — like only offering a sliver of channels, instead
of a big bundle. Or to enable ad-skipping, like Apple proposed this summer. But
so far there’s no sign of that.
Meanwhile, if you’re one of those people who takes delight in the notion of the
Web “killing” cable, remember that a Web TV service still needs to be delivered
over the Web, which means anyone who uses it isn’t cutting the cord at all:
They’re just paying a different programmer but using the same pipe.
That is: If you’re getting TV and broadband from Comcast, and start getting TV
from Sony instead, you’re still going to pay Comcast* for broadband.
And that could theoretically be a good thing for the broadband guys, as long as
they’re able to increase their prices as usage goes up.
But no need to get ahead of things. Let’s see who else Sony (or Intel, or
Apple, or anyone else) signs up, and what they get when they do. Just because
it’s not earth-shaking doesn’t mean it’s not going to be fun to watch.
* Or, possibly, AT&T and Verizon, which turn Comcast’s broadband monopoly into
a duopoly in some markets.
----------------------------------------------------------------------
You can UNSUBSCRIBE from the OpenDTV list in two ways:
- Using the UNSUBSCRIBE command in your user configuration settings at
FreeLists.org
- By sending a message to: opendtv-request@xxxxxxxxxxxxx with the word
unsubscribe in the subject line.
Other related posts:
- » [opendtv] =?windows-1252?Q?Viacom-Sony_TV_Is_a_Big_Deal._Its_Also_the? =?windows-1252?Q?_Same_Deal_We_Already_Have._AUGUST_15,_2013? =?windows-1252?Q?__PETER_KAFKA?Message-Id: <244CB019-97F2-46A6-8CC4-07A0C1F2E052@xxxxxxxxxxxxx> - Craig Birkmaier