Comcast Interactive Capital Invests in CDN GridNetworks

In a world of what you want when you want it, content remains king. And as consumers demand that this content follow them wherever they go, it offers new business opportunities. For content creators, the question is whether the current content accessible on one device is valuable on another or whether it needs to be massaged to be more valuable in a new format. Screen size, multimedia interactivity, all impact how the content is best enjoyed on different screens.

And behind this accessibility to content is the backbone. Cable provided a wired world to this enjoyment and consumption. And their large pipe quickly forced telcos to become competitive again or risk losing all their customers. And telco has the added advantage of wireless to add another delivery opportunity to support the consumer's desire for mobility.

This new investment by Comcast in gaining more control of the pipe along with the other announcments of partnerships with Sprint in the wifi world is indicative that this fight is going to the streets. The flow of content is big business as these assets are becoming larger and larger files that need space and speed to reach their ultimate destinations. And these announcements are good next steps to assuring that the river of content continues to grow so more content can flow to the user.

Senate Votes to Reverse FCC Decision Allowing Media Consolidation

Should media companies be allowed to own both a tv/radio station and the newspaper in a market? Does it hurt the consumer's ability to get all angles of a news story or is it essential to enable these institutions to survive?

In NYC, Rupert Murdoch owns TV stations and the NY Post; Cablevision is asking to own the cable plant on Long Island, plus News 12, and soon Newsday. And I say that's a good thing.

I am not in favor of government regulation. Less government is preferred over more. I am much more in favor of fair market conditions; lower the barriers to entry to assure that more players can come into the market. Let the consumer decide with their wallet where they want to get their news/information/entertainment. In addition, let new technologies create new means to communicate and share information. Open platforms that enable many more companies to market their products and services.

And so I see nothing wrong with media companies pursuing multiple platforms. It is their means to continued survival. Without allowing the big fish to swallow the little fish the other alternative is that these little fish simply die. If not a bigger company like Cablevision to buy Newsday, the alternative could be that Newsday simply stops publishing a Long Island paper.

Viewership and readership trends change and new avenues now exist via internet sites to provide multiple points of view. Different points of view can still be heard loud and clear. As long as these roads remain wide open, let free market conditions rule.

Amazon Kindle a $750 Million iPod-Like Business By 2010

I don't yet own a Kindle. I do own an iPod. I don't know anyone yet that owns a Kindle or hear anyone buzzing about it on my daily commute in and out of NYC. I always see someone with an iPod. If timing is everything, Amazon hasn't delivered the goods yet. If I were Barnes and Noble, I would be partnering with a company like Apple to create a more user friendly reader device with the same software friendliness that Apple has created with iTunes.

As newspapers and magazines see their print editions decline, and book retailers see their sales hurt, it is time for them to adapt to the same changes in digital download that is affecting audio and video. In essence, start to change or die. Borders chose the latter. And the trends of consumption are moving away from physical to electronic. While printed reading material will always exist, newer generations will feel more comfort with digital reading. The cost savings in manufacturing will enable higher profit margins in publishing. It may even allow advertising to invade book sales and provide an extra opportunity to target readers.

The Cable Box Has Great Potential

My problem with today's cable box is that it is slow to respond, unfriendly, and hard to navigate. It's primary duty is access to DVR and VOD. It is clunky, inflexible to my needs, and inconsiderate to my viewing habits. Recently, my family was watching a movie on demand that we purchased. In the middle of viewing, it abruptly turned to a show to be recorded. Why? Because both turners were set to record and the box couldn't even ask what we wanted to do with this conflict. So it stopped the movie. Disappointing.

At the same time, I am hopeful that we will someday look back and laugh at this early generation of connection. The converter box offers great potential. Combine the advantages of slingbox with the software of Tivo, add in connectivity to gaming a la Wii and Playstation and create a device that talks to all the devices in the home and puts the controls in the hand of the user. Remotely set your thermostat, get activity on your sump pump, know who is at the front door, watch a pre-recorded tv show or your local baseball game on the road, and then set a recording schedule for your dvr from your same hotel room. Wired, wireless, at home, and remotely, interconnectivity and communication is key. The cable box talking to all these devices and easy to use is essential. The company that can deliver this value will win the user and viewer.

Hollywood on Strike Again?!?!

The old adage goes that those who don't learn from their mistakes are bound to repeat them. The recent writers strike should have taught all the parties in Hollywood that a strike does no one any good. Want proof that Hollywood suffers, just look at the recent announcements of all the new shows premiering this Fall. Do you feel the excitement? Neither do I.

The old standards, American Idol for one, despite being the number watched series, is losing viewers. Different year, same format, same silliness, same inane banter. And its success has spawned so many similar shows, including dancing competitions, that the uniqueness and appeal have worn thin.

Broadcast in general has seen viewership decline as cable provides the comfort food of reruns and original series that reach valuable niches. And now online video adds another resource for entertainment away from the TV. The fragmentation of viewing choices naturally leads to a loss of viewership by the old guard.

And an actors strike will only further drive away viewers from broadcast. Both parties are at a loss and both have a financial stake to come to agreeable terms. Stop trying to come up with different rules for different platforms. At the end of the day video content is a stream to be consumed; where there is revenue, there are costs associated against it. Be creative, otherwise you will only further kill the golden goose and have to watch American Gladiator 24/7.

In the Age of TiVo and Web Video, What Is Prime Time?

The writers strike enabled TV viewers to find new programming to replace the shows they normally watched on broadcast. As these new shows became favored by viewers, they were added to their Tivo list. And as viewers come to their TV every evening to be entertained, they prefer the control and choice from DVR and VOD to pick and choose exactly what they want to watch when they want to watch it.

It now becomes far easier to watch a show on my schedule. Too tired to stay up and watch SNL, watch it the next day or the day after. Putting the kids to bed at 8; watch American Idol or Survivor later in the evening when they are in bed and the house is quiet. The prime time schedule, like the Fall being the time for new seasons to start, is a thing of the past. It's all open for the taking.

And something else I've learned from being a DVR/Tivo user, I am hard pressed to tell you where that show came from. Yes I see the channel name next to the show, and yes, I see the bug in the lower right hand corner constantly telling me the channel, but I am more connected to the show brand, not the network brand. Now there are some network brands that are the show. Hannah Montana is Disney Channel, and Spongebob is Nick; but others less so.

What doesn't change is quality. A good show needs to be developed and nurtured. Help it to find its audience and grow. Without the commitment to keep producing episodes, good shows will fail before they are given enough time and support to succeed. Removing the constrictions of prime time programming opens the variety of viewing choices available; breaking throught the clutter to reach your audience requires smart programming and smarter marketing people. The competition may have gotten more intense, but good shows can still be made.

Prediction: Broadcast TV Will Get Hosed In Upfront, But Not the Whole Story

The broadcast networks are feeling the heat of lower ratings, writers strike aftermath, and alternative entertainment options. But I wouldn't worry too much about their ability to make up the revenue from their diversification strategy. Disney had a terrific quarter, despite ABC, with gains in cable, theme parks, etc. Cablevision may have reported losses due to Madison Square garden, but so far revenues and profits are rising across all their other businesses, including their cable nets, business services, etc. NBC may feel the impact in their broadcast operations but are doing amazingly well with each of their cable networks.

Yes, viewers have moved away from broadcast television for a number of reasons; fragmentation exists with multiple channels reaching different demographic and psychographic interests. For cable programming, it has led to an increase in both viewing and in ad revenue. As each of these media companies diversify across multiple businesses, they each will maintain growth as viewership trends move from one platform to another. Maintaining a foothold in broadcast, cable, internet, gaming, etc., assures reaching the consumer wherever they go. Building synergies with each platform assures brand preference and value.

Microsoft Buying Facebook Not As Silly As You Think

Technology with content, the chicken and the egg. A potential perfect blending of scale with consumer access. Microsoft needs a win and needs a bigger footprint in social networking. Facebook could provide the perfect entry for Microsoft applications into everyday life. An interesting pairing!

Cable Ops To Form Wireless Broadband JV

Major cable companies Comcast, Time Warner, and Bright House may have ended one partnership with Sprint, but they are investing in another. In a deal valued at over $12 billion, cable is joining Sprint and Intel to invest in a new wireless venture designed to offer video, hi speed, and mobile.

SO the question to ask is does this make cable competitive with telco in the wireless spectrum - OR - does this create a monopolistic, national wireless pipeline that might require governmental oversight?

From the article, "“This [Clearwire] is going to be completely different,” the executive said, adding that each operator will determine on its own how the product will be priced, branded, and when and where each rollout will take place." Each cable entity will uniquely decide how to use this national highway in its pricing, packaging, positioning message to consumers. As a wireless venture, there are no physical boundaries; is this really possible, or is this rhetoric. Just wondering.