Cable Taking Interactive TV To The Next Level

Perhaps one day, the cable box will be more responsive, more user friendly, more necessity than annoyance. Time Warner certainly is trying as they have inked a deal to give more web content and interactivity to their customers. Through a deal with ActiveVideo Networks, formerly ICTV, "Cable subscribers can play interactive games from TAG Networks, and get fully customized news, sports and children's programming through P:Mosaic, a personalized video navigation system." It is being rolled out first in Hawaii and hopefully more systems follow.

Frankly the cable box needs better navigation, a more logical and economically designed guide, and easier controls. And even more important an interactive opportunity to better engage with the viewing experience.

Convergence Alert - Hulu To Stream NBC Feed

Hulu is streaming tonight's second Presidential Debate, taking its feed direct from NBC, in a move that might just irk cable operators and local broadcasters. And while it is in the public good to enable access to these debates in whatever form, it demonstrates how content and the audience it serves, can bypass local broadcast stations and cable operators to reach its audience.

"The feed will be provided by NBC News and will run about 90 minutes. In addition, Hulu will live stream the final presidential debated slated to be held Oct. 15. In that case, Hulu will carry the Fox News coverage. Fox and NBC are joint partners in Hulu."

As Time Warner fights with LIN Broadcasting over retransmission fees, the argument gets strengthened when content can be accessed over the web. Per the NYT, "In the midst of a contract dispute with a local broadcaster last week, Time Warner Cable did something that was until recently unthinkable: it told its customers to hook up a computer to their television and watch their favorite shows using the Internet." And for cable operators like Time Warner who rely on subscription to their cable line-up, including broadcast channels, the concern is that consumers will stop paying for a cable connection and rely strictly on their internet connection for content. It is why Time Warner doesn't want to pay a fee for content that is free elsewhere. Thus, the Hulu move while applauded for its desire to bring this content to the web, is dealing with a very slippery slope.

Will The iPhone Kill Amazon's Kindle? No.

Silicon Alley Insider also has an opinion on this competition and does a great job of explaining why the iPhone and the Kindle are not competitive with each other. They include screen size, battery life, and content available on each device. Ultimately, these two devices actually encompass different spaces.

"We agree that Kindle might make more sense as a software application on many devices -- not just one Amazon gadget. But while Stanza/the iPhone is a neat toy, neither the hardware (small screen/small battery) nor software (can't read the books you want) makes it an attractive offering to a buyer in the digital reader market. (And there is a market, we have photographic proof.) If the Kindle dies, don't blame the iPhone."

Better to look at what the Sony e-reader is up to and when the next generation Kindle reader comes out. Even in a down economic climate, we like our technological toys.

IPhone Stanza Downloads May Top Kindle Sales

Apple iphone users love their phones. As new apps emerge, their value to their users increase. One such app, Stanza, turns the phone into an e-book reader, capable of downloading reading material on the go. And as their are more iphones than Kindles in the market, it makes perfect sense that this free reader has surpassed Kindle sales.

Short term, it shows the appeal of the iphone; long term, it demonstrates that their is real appeal for devices that can download written content for immediate consumption. Whether that device is the Kindle or another device that Apple creates, it still needs to be a screen large enough to read, but portable to carry, capable of presenting text and pictures in a full range of colors, and with a long battery life. And content is king; "And Stanza only offers books in the public domain, unlike the wide variety of reading matter available via the Kindle, including newspapers, magazines and bestsellers."

I'd love to own an iPhone; my problem is still with the primary function of a cell phone, to make and receive calls. Today, the AT&T wireless network in the NY area does not compare to the Verizon wireless network. I made the switch a few years ago because reception was so poor. I am still not impressed that their coverage has improved. It's time to make the iPhone available to all carriers.

How Many Boxes Can Fit On The End Of Your TV?

Dateline - The year is just a couple years in the future. Quick, check your connections; how many "boxes" are connected to your TV? In the past it was the cable box, a DVD player and perhaps still a VCR. And some TVs were just connected directly to the cable or even an antennae. But let's assume it is post 2/17/09 and most every TV is connected to either a cable box or digital converter box. In addition, their may be a Wii or PS3 or Xbox or all three. Their is still a DVR or even a Blu Ray, unless your happy with your "game" box playing your HD DVDs. And perhaps you have a Roku, Vudu, a Tivo, or some other box to connect to your internet downloads. And worse still, all those different remotes are lined up on your coffee table. Now which one turns the TV on and how do I switch from one device to another. It can make your head spin. The good news, Tivo is becoming available on your Direct TV and Comcast box, Roku attaches to the web and some of the new game consoles play your DVDs. Now if we can only simplify it even more.

Vudu Making A Splash

A number of articles on the new HD format now available through an internet connected device, Vudo, David Pogue of the NYT seems pretty impressed with the quality of the picture. "Vudu calls the service “HDX,” with video encoded at variable bit-rate in MPEG-4 H.264 in 1080p at 24 frames per second—the highest HD format currently defined." And while the download isn't instantaneous, iit iis certainly faster than the day or two wait that occurs to receive your DVDs in the mail from Netflix. We certainly have become a society that lacks patience.

One interesting discussion that Pogue makes is the 24 hour window that limits how long your rental lasts for. With Netflix, hold on to your DVD for as long as you like; although, their download policy is also one day. VOD has this same one day rule. Vudu offers the second day at only a dollar more. Still, Pogue has an ingenious thought, "The 24-hour window is absurd from the get-go — why should downloadable movies offer any less viewing time than a DVD rented from Blockbuster? It should be a three-day or seven-day window, period." Cable companies should consider this move as a competitive benefit.

Netflix Picks Starz's Online Movie Service

Starz has broadened its distribution by signing a three year deal to offer its films through the Netflix service. And while these titles are primarily seen on a PC, Netflix's deal with Roku means that these same films can be seen on your TV. SO how do the cable companies feel about this. Will cable customers who have Starz cancel their subscription and get their movies through their Netflix subscription. In fact a Netflix subscriber now has more flexibility about where they watch their movies DVD player, Roku player, or PC. Companies like Verizon have also signed distribution deals with Starz; perhaps with consideration to also offer mobile downloads as well.

"Starz last month scrapped Vongo, its consumer-facing Internet movie service, in favor of focusing on landing distribution deals with cable, telco and Web providers." But will cable want to make these deals only to have to compete inside its own platform with online distribution. Perhaps another reason why Comcast wants to limit downloads and Time Warner is looking to charge for heavy usage. Starz describes this online service as more limited than cable's product, “The services that we provide cable, satellite and telco are much more robust than Starz Play,” he (Starz president and chief operating officer Bill Myers) said. “It’s not a replacement product by any means. It allows us to get to customers who may not get Starz content in other formats.” But they may be a short term response as technology should make the distinction of the two services meaningless.

NBC says local TV profoundly affected by downturn

The state of local TV advertising appears to be in trouble. And while the economy may be cited as the main reason, perhaps it is technological change that is affecting its health. National TV advertising, per Jeff Zucker, continues to perform. ""We haven't seen an advertising slowdown on a national level yet in the United States but obviously we're concerned about it, and I think if you're not concerned about it you're in denial," he added."

But the reason for the downturn may not be all an economic fault. Syndicated programming, once the mainstay for local TV, can now be accessed via the web; local news is similarly received the same way. In addition, it is now possible to customize a national ad so that a different message reaches the target audience. Segmented based on geography, age, income, family size, and any number of attributes. Cable sees this as an opportunity and has created Canoe Ventures to organize all the largest cable systems into a "national" group to then be segmented to reach a targeted audience across the cable universe.

But where does that leave the local broadcaster who is geographically limited to what it can sell. And worse, must compete with its own national network for eyeballs as not only on the network itself, but also on web sites, cable nets, and VOD. Specifically, for the local NBC broadcaster such as WNBC in New York, how can they compete for ad dollars, when its shows are also on nbc.com, hulu, and iTunes, as well as on news content cable nets like MSNBC, entertainment content on USA, Bravo, Oxygen, and others plus their respective web sites. When businesses need to target geographically to advertise, they now have the tools to cut up and target these national audiences even more effectively. No it is not just the economy that is hurting the local broadcaster, it is the industry and the technological changes that are occurring that have negatively impacted them.

PTV subscriptions to grow 64 percent in 2008

The growth of IPTV is coming at a fast rate and most interestingly, Western Europe has the most IPTV subscribers while the US brings in the most revenue. Cited as contributing to this growth are platforms like You Tube, Hulu, an the BBC iPlayer. ""The biggest change since 2007 is the rapid advent of new entrants making inroads in consumer video consumption and placing greater demands on IPTV operators to innovate," said Gartner research director Elroy Jopling....Gartner defines IPTV as a managed broadband network which delivers high picture-quality television and video content to a user's TV set via a set-top box. Content delivered over the Internet or only to a computer is not included." This seems like an odd definer these days as You Tube can be accessed via Tivo and Netflix is accessed via Roku and other devices.

Essentially, IPTV opens up new channels of content to consumers. While lowering barriers of entry enables more content to be found, it doesn't necessarily mean that more content equates to better content. Ultimately, content remains king and its perceived value to the consumer is what drives usage. Enabling easy access and gaining awareness through promotion are key tactics to build viewership and ultimately monetize the content created.