Expect a dogfight in the digital download arena with many boxes capable of attaching to the TV set and the internet, ingesting long and short form content, free and transactional. From the cable box currently connected to your TV set to Tivo, from Playstation 3 offering Sony movies to Roku offering access to your online Netflix subscription. And of course their is Microsoft who has Xbox and Apple with Apple TV to push. And lastly Slingbox may want to own a piece.
"Sony said its service will let users rent or buy movies and rent television shows produced by major studios and production companies -- including Paramount Pictures, Warner Bros. and Sony Pictures -- and watch them on TV sets through its PlayStation Network in the U.S."
Who will survive,who will get gobbled up. Again, content is king and whoever controls it has greater control over which box will survive. That may give Sony an advantage with games and movies. Are you watching this, Nintendo; Wii may need to find a partner, too. Partnerships will matter and as Tivo further integrates into the Comcast cable box, synergies will grow to enhance its appeal and value. Apple has always built customer friendly devices and have passionate loyal customers that will stand in line to get their products. And Microsoft has the resources to maintain a seat at the table.
Digital downloading will create more opportunities for competition and that may spell good news for the customer. And may offer even more advertising options to support revenue growth.