Posts Tagged ‘Cable’

Cord Cutters

PC World has an article today looking at the phenomenon of the “cord cutters” or those that want to drop their cable or satellite TV provider and just get their entertainment from Internet-based providers, like Hulu.

I think it’s an interesting look at all the different options available for getting rid of your IPTV, Cable or Satellite Provider. There’s Vudu, Hulu, Roku, Boxee, NetFlix, Amazon, iTunes, Sezmi and lots more. I just know lots of them have pretty weird names. Which gives you  lots of options, which is great.

I do know some people that cut the cord already, and don’t seem to miss their old life. Earlier today, Harry McCracken from Technologizer asked his readers whether he should dump his cable provider. He’s even thinking of hooking up a computer next to the TV to get some added functionality.

Sure cutting the cord is a great way to save money, but you give up a lot. First of all, there’s live TV, since the Internet is really great for catching up on episodes you missed. That means giving up watching live news and sports, primarily. However, if paired with over the air (OTA) HD signals, it doesn’t mean giving up much since you can receive all the major local stations in HD, while getting the rest of your content from Internet providers.

But I think the real thing that you give up is convenience. Getting all your content live (or even on-demand via DVR) delivered to the big screen in the living room is very convenient. And it works. If you get rid of your Service Provider then you have to go out and hustle for your programming. You have to buy DVDs, or go to your PC, or buy a new set top box, or do something else to get you out of the mood to watch TV. And take you out of your comfort zone. (Of course, after reading this article about watching too much TV, it may be good to cut back on TV time.)

Other than news and sports, it probably is possible to get a lot of the content you want, over the Internet for free or just a few dollars an episode from iTunes or Amazon. Or even streaming instantly from NetFlix, like your own virtual DVR in the sky. (I’ve been watching 30 Rock  Season 1 for the first time this week via NetFlix streaming on my Tivo.)

I guess what it really comes down to is that the Internet is great for on-demand content. TV is great for live.

I don’t plan on cutting the cord. In fact, I think the number of people actually doing it are low. I’ve heard that most Service Providers have seen customers drop some premium channels and services, but not too many outright cancellations. American consumers are cutting back, not cutting the cord–at least not in any big way.

Cable Companies Want Exclusive TV Content

It seems that cable companies are finally getting tired of competing with all the free TV shows that are streaming over the Internet. According to an article in AdAge.com, Time Warner Cable’s CEO Glenn Britt said that they do care when TV networks put their full-length content online and essentially bypass cable TV.

This is a fight that’s been a long time coming. Hollywood studios and networks are finally realizing that they want to reach the most number of people as possible and not be constrained by traditional broadcast TV models. For example HBO has hosted many full-length shows online, as have ABC (Desperate Housewives, Lost), NBC (Hereos) and others.

Studios are embracing this new “Hollywood 2.0″ mentality that they want wider options for their content, and different mediums rather than trying to keep everyone tuned into their TV sets. In fact, a Time Warner cable spokesperson said they are prepared to withhold some subscriber revenue from the networks.

“Our point of view is that there is a segment of our audience that is living more primarily online than they are living on other platforms,” said Erik Flannigan, exec VP-digital media of MTV Networks’ Entertainment Group. “As some of our actions have made clear, the consumer will have many places they want to consume content. As long as we’re putting forth that experience and getting the lion’s share of the advertising, everybody wins.”

I don’t think that it will come to that, however. Cable companies are scared, and are trying to say and do anything to make people understand that they feel threatened by the Internet. Broadcast TV is being threatened–by DVRs, Internet delivery and even DVDs. But any major change to the established broadcast cable TV systems won’t happen for many years.

Some cable providers, like Comcast, have embraced the Internet and have developed web properties (like FanCast.com). It seems that other TV providers will have to learn how to adapt in the face of the growing Internet menace.

[tags] FanCast, Comcast, Advertising, AdAge, Ad Age, Cable TV, cable [/tags]

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