Don’t expect our cable friends to go down lightly – TV Everywhere is here. Championed by Time Warner Chief Executive Jeff Bewke, "TV Everywhere," aims to preserve the industry's lucrative subscription business model amid the rise of online video.
Seeing a potential threat from the rise of online video viewing, which remains in its infancy, Comcast and Time Warner recently agreed on a framework for putting programming from cable networks online to satisfy consumer demand while still requiring customers to subscribe to a TV service in order to prevent an erosion in their revenue base.
Comcast is testing a Web authentication system that will allow 5,000 Comcast customers to verify their cable TV subscription and then access programming online in an on-demand format at Fancast.com and Comcast.net. The plan is called “On Demand Online.”
The trial will provide online access for Comcast's TV subscribers to some of TV's most popular programming, including HBO shows like "Entourage" and "True Blood" and TNT's "The Closer." AMC's "Mad Men" and "Breaking Bad" are expected to be included later this summer, and the offering will also include major Hollywood films like "Dark Night" and "Juno."
Networks have joined Comcast and TimeWarner. CBS has joined along with cable network AMC, owned by Cablevision Systems Corp. (CVC); the Food Network, owned by Scripps Networks Interactive Inc. (SNI); and BBC America, owned by the BBC. Along with others, they joined Time Warner's HBO and Turner networks as well as Liberty Media Corp.'s (LMDIA) Starz.
TV Everywhere highlights competing business models – advertiser supported content championed by Hulu.com and YouTube and subscription based models championed by Netflix and now TV Everywhere. Which model emerges as the standard is still in play. Personally, I see hybrid models similar to those available on cable today where HBO is premium content and standard network TV is advertiser supported.
No comments:
Post a Comment