[opendtv] Re: Bundling and competition

  • From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
  • To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
  • Date: Wed, 11 Sep 2013 21:20:31 +0000

Craig Birkmaier wrote:

>> Still now, wireless allows multiple different media to compete in a
>> way that wired media cannot. So when you can add wireless telephony
>> to the mix, that allows multiple telephone services to compete
>> everywhere.
>
> I can't believe you said that.
>
> Your stated vision of the future of the TV in your family room is one
> that is made possible by a WIRE that delivers streams of broadband
> data to your TV

Uuuuh, hardly.

All I need for my (fixed) TV is a broadband connection to the Internet. The 
totally orthogonal point being, how best to get a competitive broadband 
connection? Is it best wired or is it best wireless?

Clearly, whether mobile or fixed, the most competitive solutions are always the 
ones that don't tie you to that monoplistic infrastructure! That's one of my 
main points to Prof Negroponti. The other being, it was all a matter of 
technological innovations, not mere accidents.

And a side point is, the contribution of the wireless aspect of RF comm 
channels used to be a lot higher than it is now. In most cases now, aside from 
satcomm, the wireless contribution is only for that last-mile, or even 
last-few-feet link. All of the heavy lifting is done by the backhaul networks, 
which tend to be fiber. So it's really incorrect to say that even mobile 
solutions, e.g. cellular, are "wireless." Cellular is nothing without the 
backhaul network, and that ain't predominantly wireless by any means.

> The only argument left, is whether we will need ANY wires, if spectrum
> is used in an optimal manner in the future.

Yeah, but mostly that's what one calls "arm waving." Ideally, everything, 
including power distribution, would be wireless. I object to these vague 
"optimal manner" allusions, which get thrown about but add little. You mean 
"optimal," or you mean "imaginary"?

> You did it again. OTA TV is not even trying to compete. It is there
> primarily to guarantee that lucrative second revenue stream from the
> MVPDs.

You're confusing "business models" with technology. OTA TV has multiple 
different TV networks/station groups all using their own distribution medium, 
and yet all capable of deploying their signal to the same locations. Pretty 
hard to get that kind of competitive environment with cable or even DBS. There 
is no single entity that can keep a market hostage. E.g., EVEN IF OTA TV were 
available by payment, there would be no single MVPD capable of extracting those 
higher monthly rates. Only if you set up OTA TV in an obtuse way would the 
customers have to be dependent on just one organization.

Bert

 
 
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