The Fourth Estate

Futuretube – Online Video in Asia

TV is changing. Not in the nature or format of shows that audiences watch – but in the way that consumers discover, consume and interact with content. While it is no secret that platforms like YouTube and Hulu are having a big impact on US audiences, the most disruptive and insightful lessons are to be found elsewhere. Asia, in fact.

Sports Rights, Business Wrongs

Had an interesting chat about sports rights today with Jason O'Sullivan who is the VP, Digital Media at ESPN STAR Sports in Singapore. There is a growing trend for Federations and rights holders to package and sell online rights distinct from broadcast rights. One of the challenges is that many of the people bidding for the latter are network operators and ISPs, who see exclusive content as a loss leader to get people to buy their communications products. That drives up the prices of those rights. For media companies, online advertising revenues are growing, but not to the extent to monetise massive investments in new media licensing. So, what about premium content? ESPN in the US has been successful with broadband platforms like ESPN 360 but O'Sullivan sees small upside in subscription revenue in Asia for the immediate term. In his view, broadband, disposable income and credit ownership are limiting factors in emerging markets. After all, in India even Pay TV is generally "don't need to pay" TV.

Evil Genius

 

If you haven't already, watch Buffy creator Joss Whedon's new 'direct to web' supervillain musical. And the good news, for those of you who don't live in the US, is that you can get it for free at Hulu. For now, at least.

The Future of the ABC

 

Had a very interesting chat last night at the FED with Mark Scott, Managing Director of the ABC. If you didn't make the event you can listen to the podcast. The premise of what it means to be a 'public broadcaster' over the next few years is set for a collision course with dramatic changes in the media consumption behaviour of audiences as well as the new economics of funding content.

Splitting The Bill

The best and probably only good thing about being sick in bed with the flu is that its the perfect opportunity to catch up on trashy television. And no, I'm not talking about Oprah. Thanks to iTunes I went on a downloading binge that included Lost, Battlestar Galactica and even quirkier titles like Eureka, Kyle XY, the Dresden Files, Jericho, Blade and Surface. And that's when I discovered the catch. A lot of a niche programming that ends up on iTunes also ends up getting cancelled. Anyway, it got me thinking. In an on demand future - just how will television get funded? 

The Power of Now

There is nothing quite like getting what you want. Especially if its when you want it. 2007 is shaping up to be the year of 'on demand' entertainment. Apple will consolidate its media pedigree by adding more video content to iTunes as well as bridging the gap between the computer and the home television with its ITV device. Peer to peer technologies like Bittorrent and the Venice Project will go legit, as publishers discover bandwidth savings from decentralised distribution. Upstart aggregators like YouTube will try and toe the line on copyright infringement. And Studios, just like music labels, will wake up to the fact that consumers are starting to view channels as another form of forced consumption like record albums.

Tubular Belles

If baby boomers day dream about winning the lottery, Gen Xers just fantasise about selling out to Google. In their video message to the YouTube community announcing their sale to Google - founders Chad Hurley and Steve Chen could barely suppress their grins. And by the end of the clip, they were killing themselves laughing. I don't blame them. US$1.65 billion buys a lot of Ferraris and pina coladas. But as with all big media deals - the 'what' is never half as interesting as the 'why'.

You Can't Do That On Television

Online video has hit prime time. YouTube now claims to be streaming 100 million clips per day. Viacom and Google are experimenting with delivering short TV clips through online ad inventory space. Most of the major US networks are delivering traditional programming via iTunes or their own download service. And social networks like MySpace are adding rocketfuel to the explosion in viral video distribution. Is this TV 2.0? I don't think so.

Viewer Pays

You have to hand it to Apple. When Steve Jobs sneezes, everyone else falls over themselves to catch pneumonia. Following on from the integration of Disney TV programming with the iTunes store, both CBS and NBC Universal television network announced this week that they would be selling shows a few hours after broadcast at 99 cents an episode through video-on-demand services on cable and satellite. Like Lost and Desperate Housewives on iTunes, the programs will run commercial free.

The Next Last Mile Is Only A Meter

You are no doubt somewhat bemused by the hype over video search, the latest craze animating the titans of the new economy. Yahoo and Google’s offer to host your home videos seems both considerate and vaguely sinister. We all know, after all, the kinds of video most people are looking for when they jump on a search engine. But rest assured, home movies are a red herring. As more and more people illegally digitise and download broadcast television and movie content, the real issue for media companies will be finding an effective means to simultaneously secure and open up their material for public access.