[opendtv] Re: Technology years

  • From: Craig Birkmaier <craig@xxxxxxxxx>
  • To: opendtv@xxxxxxxxxxxxx
  • Date: Sat, 20 Jan 2007 07:33:47 -0500

At 5:46 PM -0500 1/19/07, Manfredi, Albert E wrote:
If they choose not to, even after adequately functioning parts have been
available for a few years for very reasonable rates, then something's
fishy.


The companies that Bert is talking about would logically have built stand alone STB devices, not integrated tuners for TV sets, although the Nokia Media screen might have qualified as a receiver and display - but the power demands still make a product like the Media Screen a tenuous proposition for any OTA DTV standard.

The reality Bert is that there is not a sufficient consumer market for OTA STBs in the U.S. No need to go through all the reasons again, but bottom line the numbers do not add up for most manufacturers. I suspect what Nokia and others were hoping for, was an initiative by some broadcaster or entrepreneurial type to commit to a large production run of boxes to launch a service. TO date the only example of this has been USDTV, and that has been a dismal failure, with most of the first generation boxes sold at fire sale prices at Walmart.

Perhaps a better example would be to look at the success of the iPod. Many people tend to think in terms of the iPod as the center of Apples music universe. But in reality, the center of that universe is iTunes and the iTunes store. The iPod is just the portability element, as the new Apple TV is just the "iPod" for the big screen TV. The reality of Apple's success is that iTunes allows consumers to fully exploit their music collection, and to add to that collection via the iTunes store. Building on the success of that core business, Apple has been able to build new businesses such as Podcasting, movie trailers, and now video.

Broadcasters COULD have leveraged their core TV content business to build other new businesses, if they had taken the initiative to build and promote a compelling DTV platform, capable of supporting the core business and new businesses such as "push broadcasting" (to local cache), data broadcasting, and ...

Instead they have used DTV to prolong the life expectancy of their analog cash cow, and as Mark, Nat and others have noted, it is getting tougher to figure out how to make a buck with DTV.

Regards
Craig


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