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Mike Berkley says...

I guess Comcast's original name "OnDemand Online" (or ODOL, as they called it internally) felt too big company-ish. But I'm not yet sold on Xfinity -- feels a bit forced.

This new name / brand is specifically for it's TV Everywhere service on Fancast.com. On other sites, like CBS.com, it will be named something different. TV Everywhere branding is going to be decided by the site publisher, apparently, which makes sense to me.

Story: http://paidcontent.org/article/419-comcast-naming-its-tv-everywhere-service-xfinity/

Filed under: TV Everywhere

Mike Berkley says...

Comcast-owned ThePlatform is arguably the top Online Video Platform (OVP) provider, and almost certainly is within the TV industry.  They unseated encumbent Brightcove over the last year by launching Hulu.com, CBS.com, TV.com, and a slew of other broadcast and cable TV networks. They announced even more TV programmer customers today (most of whom are owned by Comcast) as well as Rogers, Canada's largest cable operator.  ThePlatform also powers online video for Comcast's largest competitors: Time Warner Cable, Cox, and CableVision.

Today, thePlatform made a major announcement that brings TV Everywhere a HUGE step closer to reality.

ThePlatform is launching a cable Authentication & Authorization component to its white-label video publishing product that will enable programmer web sites (HBO.com, Showtime.com, NBC.com, etc) to publish their premium TV shows on their sites, requiring the user to authenticate himself as a cable subscriber with access to that channel (ie, you can only watch HBO shows online if you pay for HBO through your cable provider).  Enforcing this authentication ensures everyone in the media supply chain gets credit for that view, and money is transferred accordingly.  To that end: an integration with Nielsen to directly track views would be a killer strategic move by thePlatform! 

This solution also has the following compelling side benefits for the MSO's and TV Programmers:

  • Keeping cable subscribers happy and hooked (cable companies fear that free online TV services like Hulu may result in cable subscribers canceling their pay TV services).
  • Upselling subscriptions: if I'm a Comcast subscriber but don't pay for the HBO cable package, I may be compelled to sign up now if it means I can watch all HBO shows whenever I want, online (or on my HD TV via Boxee or the like).
  • Upselling content: if I am not an HBO subscriber but want to watch just a single HBO show, now there is a mechanism to buy shows a la cartThis is the model that Disney currently loves.

Here's a nice diagram of how this new component works:

ThePlatform is initially providing this technology only to TV Programmers for their sites (broadcast networks and cable channels).  That's a great first step, though I believe the killer app will be making this capability available to any web site, not just NBC.com or HBO.com, etc. I wrote about this just yesterday.

Regarding the rest of thePlatform's competition in the OVP space...  DigitalSmiths, despite its strong TV Everywhere positioning campaign last month, hasn't released any technology yet that addresses the initiative's largest challenges: authentication and authoriziation.  Meanwhile, Ooyala and Brightcove appear to be sitting on the TV Everywhere sidelines.

Filed under: TV Everywhere

Mike Berkley says...

One step at a time, I understand.  But I believe it's critical that TV Everywhere becomes an "open" premium video distribution platform available for any web publisher, on any web site

Consumers will demand the freedom to watch Entourage in their preferred environment, be it Hulu.com, Facebook, Boxee, etc... not just on Fancast.com or HBO.com.  That is the promise of TV Everywhere.  Universal authentication will make this a technical possibility. It is ultimately the right thing to do and will benefit the entire media ecosystem, starting with the paying customer.

Clearly Comcast, Time Warner, and the other MSO's need to weigh the benefit of providing their subscribers a good experience (in the form of choice) versus the economic benefit of locking their users to their own sites (or programmer sites, such as HBO.com, CBS.com, Showtime.com, etc). 

The MSO's have a reputation for opting for the economic benefit over the user experience benefit, which has really hurt their brand image.

Creating a "win" for the user should be the top priority for Comcast and Time Warner.  Remember, TV Everywhere was born out of a defensive move to stem cable cord cutting.

I understand that we are just in the first inning of TV Everywhere, and these are the necessary first steps.  However, I would like to hear Comcast and Time Warner talk about the longer-term vision for where this is all going.

Here is Comcast's Amy Banse articulating their near-term TV Everywhere (OnDemand On Line) rollout:

Filed under: TV Everywhere

Mike Berkley says...

The Old Way: consumers pay for distribution of content (cable, newspapers, ISP's, etc).

The New Way: consumers pay for the content, regardless of how it's distributed (TV Everywhere).

TV Everywhere's core value proposition for consumers is that they can view their TV when they want (on demand) and where they want (TV, PC, mobile, tablet, etc). It's a no brainer proposition; who wouldn't want that?!

Newspapers need to do the same thing for news content. This is where Murdoch is both right and wrong. He's right in that consumers SHOULD pay for the value of quality content, but he's wrong in that they should pay twice for the same content: once for physical newspapers and again for online access.

Consumers WILL pay for the value of quality content, as long as they only pay for the "piece of content" once, and are able to view it how they want, when they want.

Assuming that the consumption of the content can be tracked across all devices, that ads can be dynamically placed across all devices, and that the content programmer gets "credit" for the view.... everybody wins.

End of debate.

Filed under: TV Everywhere

Mike Berkley says...

Dish will be using the "TV Everywhere" name for it's upcoming Slongbox-enabled set-top box. That is clearly on a collision course with the broader, industry-wide TV Everywhere initiative.

http://multichannel.com/article/388171-Dish_Files_To_Trademark_TV_Everywhere_.php?rssid=20059

Filed under: TV Everywhere

Mike Berkley says...

CableLabs is a standards body for the cable industry. We've all been waiting for them pick up the task of working toward the TV Everywhere authentication technical architectures and protocols (see yesterday's post). Glad to see that process beginning now.


Story: http://www.lightreading.com/mobile/document.asp?doc_id=183922&f_src=lightreading%5Fgnews&site=cdn

Sent via BlackBerry

Filed under: TV Everywhere

Mike Berkley says...

With over 300M consumer accounts and adding 5M new accounts EACH DAY, Facebook will likely reach the 1 BILLION in 2010. It is therefore safe to assume that the vast majority of Comcast, Time Warner, DirecTV, and Dish subscribers will have a Facebook account.

Without any doubt, Facebook has now become the "identity gatekeeper" of the web. Facebook is the defacto openID provider.

As such, there ought to be an easy way to leverage Facebook to solve TV Everywhere's authentication challenge.

Imagine if we could link our cable / satellite accounts to our Facebook accounts. A couple clicks using Facebook Connect on the cable provider's web site is all it would take. Once a link is established between DirecTV and Facebook, for example, DirecTV could provide Facebook with that user's content access rights (such as: user has rights to HBO content but not Showtime).

Here's a back-of-the-napkin use case of how it might play out:

  • Let's say I am a basic Comcast cable subscriber and have a Facebook account.
  • I sign into Comcast.net with my Comcast-assigned username and password. I am prompted to click on a FB Connect link and then the "Authorize" button. Comcast sends my cable TV account info to Facebook, which Facebook stores as part of my Facebook profile.
  • I then go to Yahoo and select the latest Simpsons episode to watch. Yahoo's TV Everywhere "enabled" video player (see explanation below) prompts me to sign in via Facebook Connect. I click "approve" and Facebook sends the video player my Comcast profile, which tells the video player what I'm eligible to watch. The player stores my cable profile info via a cookie and begins streaming the episode. When I try to watch a HBO content, the video player knows to block the stream.
  • The above example could take place on ANY website that uses a TV Everywhere "enabled" video player. This could simply be a "chromeless" Flash-based player with Facebook Connect implemented and logic to interpret content provisioning based on cable account profiles.
  • Using Facebook Connect for authentication, any site would be able to present TV Everywhere content and (almost) every cable subscriber would be able to participate after only a few "I Authorize" clicks.


OK, I know the above may be overly simplified, but hopefully you get the gist.

The big question here is whether the MSO's would be willing to share any customer account information with Facebook. To make TV Everywhere work easily for consumers, I believe they will need to share.

Filed under: TV Everywhere

Mike Berkley says...

And peer-to-peer traffic is falling fast, which is great news for premium video publishers:


http://multichannel.com/article/366266-Video_On_Demand_Now_27_Of_Internet_Traffic_Study.php?rssid=20063

Filed under: TV Everywhere

Mike Berkley says...

The momentum is definitely turning towards a paid content model for online TV access these days!

More accurately: the momentum is for a hybrid model mixing free (ad supported) and paid content. The reality is that the "Hulu experiment" for NBC and Fox has had mixed results.

Yes, Hulu has been very successful in building a large online audience very quickly (with the help of exclusive primetime TV content deals, a Super Bowl commercial, and tens of millions $ in marketing).

But Hulu has thus far been unable to show an advertising business model that comes close to matching cable / broadcast models. Hulu generates just a third the revenue per viewer episode than traditional TV from advertising. While there are lots of reasons for this, the basic reason is that viewers have a much lower tolerance for TV commercials in a lean-forward (at computer) environment than in a lean-back (living room) environment.

So the "Hulu experiment" will soon be entering a new phase of its life which involves extracting a little flesh from its viewers. We don't yet know how exactly this will be implemented. It is likely going to be different than the cable-industry's TV Everywhere initiative, which requires users to prove (authenticate) they are paying cable subscribers before getting access to certain content.

It might be more similar to Disney's newly announced iTunes-like, pay-per-show model they announced yesterday.

We shall see. But all of this is certainly a sign of the times. Here's the story on Hulu's move to a paid model:

http://mobile.broadcastingcable.com/blog/ADverse_Atkinson_on_Advertising/23941-Chase_Carey_Hulu_to_Charge_in_2010.php?nid=2228&source=title&rid=6454445

Sent via BlackBerry

Filed under: TV Everywhere

Joe says...

One of Hulu's biggest accomplishments has been creating a convenient, free and legal alternative to Bit Torrent for high-quality video content.  Even with big losses like the full series of It's Always Sunny In Philadelphia, it has remained the best library for online video.  However, the free times they are a-changin'. 

Today, Gizmodo reports on recent comments from Chase Carey, deputy chairman of News. Corp which co-owns Hulu, boldly claiming that, "Hulu's Glorious Free Days Are Officially Numbered."  Well, not quite.  According to TV Week, "[Carey] later told B&C's Claire Atkinson that not all content on Hulu would be behind a pay wall."  So, to the freemium model we go?  Or payment on a per-episode basis?  Proceed with caution, content distributors and recall history: Netflix's streaming subscription model has been a widespread success in contrast to the tepid reception of rental/purchasing alternatives on devices like the Apple TV.  Sorry, that hilarious episode of The Office where Dwight's desk is moved to the bathroom isn't worth $2.99 tethered to one device.

A discussion on the future of TV would not be complete without our good friends the cable providers.  Where do goliaths like Comcast belong in the ecosystem of IP-based syndicated content?  Trying to maintain relevance, they're scrambling to compete with TV Everywhere initiatives of their own.  But do they really address a consumer need in our social, peer-driven world of discovery?  For me, not really.  I don't have time for aimless channel surfing, I find out about shows through peers.  Like the hilarious Glee.  That's right, I said it.  The sole remaining benefit of cable providers is to promote niche channels/shows that would otherwise struggle to receive national audiences.  You gotta love cable bundling packages.  If there's a lesson to be taken from the dumb-pipe-be-damned mobile operators, it's that powerful incumbents will fight hard to preserve dated business models.

Perhaps the transition to paid online content was inevitable as a critical mass audience moved online and pre-roll advertisements didn't cover the bill.  The Chris Anderson model of free may be viable for the long-tail but is it realistic for expensive TV production and Hollywood salaries?  Maybe not.  As the outspoken Mark Cuban humorously puts it, "We aren’t talking healthcare, we are talking The Simpsons.  No one in the country has the right for their Simpsons to be subsidized."

Filed under: TV Everywhere