[opendtv] Re: Aereo handwringing
- From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
- To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
- Date: Thu, 23 Jan 2014 04:02:12 +0000
Craig Birkmaier wrote:
> This really is the crux of the matter. Protecting that second revenue
> stream.
Well, sometimes people get too focused on one aspect to miss the big picture.
And, of course, networks can re-create the two revenue streams if they must,
without p*ssing off so many of their customers by insisting on antiquated
real-time broadcast techniques.
If the networks are so terrified of those who want to innovate, by giving
people what they want (i.e. TV over IP), all these networks need to do is take
the bull by the horns and respond themselves. What people want is not going to
go away, TV networks. The customer ultimately holds the cards.
> But the ONLY business that is threatened here is the local broadcaster.
> You can bet your last dollar that the Broadcast networks would abandon
> FOTA broadcasting and cut a deal for direct carriage by the MVPDs if
> the retrans dollars evaporate.
Not just the local broadcaster, but also the MVPDs with their pricing
structure. Don't forget how Amazon and Netflix are becoming MVPD competitors.
It makes sense, when new techniques are developed, that those who were
essential players before may not be essential anymore. So the old roles have to
be re-invented, to remain essential. The blacksmith needs to become the auto
mechanic.
> But they would NOT cut out the industries that build the
> infrastructure, collect the money, and control the ISP market
> that will someday deliver the IPTV bits.
I don't understand the last part, but I agree that the networks cannot do
without certain middlemen. In general, they need the ISP networks and they need
to collect fees for subscription channels. They don't need broadcast towers for
IP distribution, and they don't need to rely exclusively on middlemen who own
the infrastructure to be the ones with content rights. Because that's shooting
themselves in the foot. The networks need to get their stuff out in ways
consumers prefer, or they'll forever be sticking their fingers in new holes in
the dam.
Bert
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