[opendtv] Re: Internet TV business model changes
- From: Craig Birkmaier <craig@xxxxxxxxxxxxx>
- To: "opendtv@xxxxxxxxxxxxx" <opendtv@xxxxxxxxxxxxx>
- Date: Mon, 6 Jan 2014 09:13:23 -0500
On Jan 5, 2014, at 4:38 AM, Albert Manfredi <albert.e.manfredi@xxxxxxxxxxx>
wrote.
>
> You're missing that this equation changes, for content the networks
> distribute that doesn't need those single-purpose TV distribution networks,
> Craig. The exclusive rights benefitted the NETWORKS primarily.
No Bert. It is the exclusivity of the rights that makes the content license
valuable. And, when the programs are ad supported, the ability of the licensee
to sell those local ads.
How would NBC sell ads in 80 countries, and why would they take the risk? Many
times the rights fees cost more than ads can cover. Remember OnDigital? It
failed because the spent too much on an exclusive sports franchise. Licensing
is easy and you can charge whatever the market will bear.
>
> For unedited, untranslated shows, the networks can bypass those other media.
> I'm convinced they would get a phenomenal audience. Matter of fact, Italy,
> France, and Germany for sure are already using the Internet for their TV. Too
> bad only Germany allows us to watch, live or on demand, their major network
> shows. Aside from local station programming, France and Italy get all
> protective with this "you're outside the national territory." And so do the
> US networks if you try to watch their content from overseas.
They make MORE money through exclusive distribution deals. End of story.
>
> But it's the content OWNER that has the leverage. If the US networks do what
> the German networks have already done, no one is going to stop them, Craig.
> It's the networks that have to see the payoff to themselves.
I could not agree with you more!
Clearly the networks do not agree with you.
Regards
Craig
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