Comcast-NBC Deal Closing In

Lots of chatter as 2010 has passed and both sides are eager to close this deal. So what are the stumbling points? "At issue is a condition proposed by the Federal Communications Commission that would require Comcast to offer NBC programming to any online video service that has reached a similar deal for content from at least one of NBC's competitors, such as Walt Disney Co. or News Corp." Some wonder that the conditions imposed could raise additional problems.

Regardless, it seems the cat is so far out of the bag that there is nothing else left to do but approve this merger. Is it good for business, perhaps. Is it good for the consumer? The one thing I can tell you, that no matter what the conditions are, companies and consumers alike often find work arounds. Can't get the answer you want, work around. Build a better mousetrap. Hence cord cutting and IPTV. Napster and file sharing. With technological innovation in the entertainment industry happening at a lightning fast pace, a merger, even of this size, won't stop the consumer from getting the content they desire.

So the question of this merger is simply when and no longer if.

Buy or Wait - iPhone On Verizon Network

What to do, what to do. Buy or wait for the next generation of iPhones for the Verizon Network. Is the 3G network good enough or is it better to wait for the 4G version. And for those that have been waiting, what's another 6 months or year. Frankly these and other questions are being asked as Verizon gets set to presell it's iPhone. And with a 2 year subscription, buying early could satisfy the immediate craving for the device and 2 years will go awfully quick. By then, another cool generation will be released and the natural upgrade process occurs. And like buying a PC, they become obsolete so quickly, no matter when you purchase.

Verizon may also be dropping its discount phone purchase program. With demand so strong, why even consider discounting. So perhaps the best advice is take the plunge. No matter what you do, owning the device is better than continuing to wait to join the party.

MySpace - Sell Or Close Shop

Wave the white flag! A social network leader has risen and the competitor is about to be vanquished. So was the case for Bebo and now for MySpace. "MySpace is cutting 47 percent of its staff amid reports that owner News Corp. is preparing the social-networking website for a possible sale." Can this under performer be resurrected or is it really just the beginning of the end. Without a buyer, it is likely that the business will simply close down. For Fox, owners of MySpace, its purchase a few years ago, never deliver the intended results. Was it poor management, and inability to see the future, or just a better opponent in Facebook? Whatever the case, a sad ending to a once promising website.

Cable Distribution v, Content - Streaming Media

Consumers want their content where they want, what they want, and when they want, whether it is tethered to a wire or not. And they want to pay once for this access. Cable distributors hear that plea and recognize that building an inclusive model with such access keeps subscribers paying, want to proceed with streaming media. Content owners have other ideas.

Content owners like the idea of being paid multiple times for their content and selling to multiple distribution platforms is a revenue winner. That also enables cable customers to cut the cord and switch from one platform to another. Hence the friction between content and distribution.

Now Comcast is announcing that they want to stream the cable content they license to untethered devices like the Apple iPad. "While the initial barrage consisted of warning shots––programmers dispatched carefully worded reminders that such distribution pathways are not authorized by existing affiliate agreements, but stopped short of threatening immediate legal action––many observers believe that this will prove to be the first exchange in yet another long and bloody war between rights holders and operators." Is it time for a response from the FCC?

A merger of content and distribution, ie Comcast and NBCU, would facilitate this step for cable, although other distribution competitors could be shut out of the content. Should the FCC rule that content purchased by a cable operator can be streamed by that operator for the benefit of their customers. Isn't this exactly what Slingbox offers and doesn't Dish integrate Slingbox into their platform's converter box.

To be fair, some content owners have already enabled access. On Demand through authorized boxes can also be accessed. This slippery slope is not flattening and this issue of TV Everywhere will not go away. Other content owners will have to find a comfortable position. Hopefully, an eyeball gained through easier availability will still positively impact revenues. Higher subscriptions and better advertising rates. The future is mobility and Content v Distribution will have to find a common ground.

Verizon To Announce It’s Getting The iPhone; New Edition Unlikely

True, CES was last week, but why spoil an expensive conference with an anticipated announcement. Why not wait to deliver the poorest secret in telecom history, that the iPhone will be finally made available to Verizon customers. Not in 4g with their LTE network, but as version one, in a 3G model. The article speculates that a 4G announcement is possible. The announcement is scheduled for tomorrow in New York. "But given Apple’s penchant to launch new products on its own turf in California, it’s unlikely that it will be the latter." Still better late then never.

Time Warner Likes TV Everywhere

Lots of speeches coming out of CES this week. And the buzz continues for smartphones and tablets. But the underlying need is content. Content is King and access to from an economic model that works for the consumer is necessary. So it is Jeff Bewkes, CEO of Time Warner that sees access of cable content across platforms the key to stopping cord cutting and improving the bottom line. "More screens mean more opportunities for viewers to watch Time Warner's shows or read Time Inc. magazines. Consuming more content means more ad and subscription revenue for Time Warner." I like the reasoning.

The reason consumers liked cable was that for one low price they could access many channels of content. The reason consumers like websites that aggregate information is that it simplifies the search process and provides what they need quickly. Consumers seek easy search and access as well as expertise in what to find, watch, and read. That cable can deliver video content easily as part of its subscription is nice. But the consumer wants to be untethered and if their video content can leave the home, via TV Everywhere, to where they happen to be, that is a major benefit. "He (Bewkes) sees the secret in stemming cord-cutting in giving consumers infinite access to what they're paying for. The theory: If you can access your HBO shows anywhere, anytime, it's worth more than ever — but you're not paying more — so why give that up?"

It is the new want that the consumer is demanding - what they want, where they want, when they want, to any device they want. Embracing a TV Everywhere approach assures retention as well as subscription growth. Owning those eyeballs than allows for more ad revenue too. Viewership rises and ultimately so do revenues.

CES Pushing 3D and Internet TVs

We all rushed out to upgrade our TVs. We threw away our big tube sets for sleeker, thinner, and bigger, not to mention better picture from HDTV. "But now, most people who want a flat-screen TV already own one. Industry watchers and manufacturers estimate that nearly two-thirds of households in the United States have a flat-screen set." But last year, and again this year, TV manufacturers want us to upgrade again to 3D and internet-TV. EXCEPT, 3D has not proved that appealing and we already can connect to the internet through blu ray, XBox, Apple TV, and other devices connected to those HDTVs.

My big tube TV lasted over 15 years. I am reluctant to replace my HDTVs for 3D TVs. I only hope I can get 10 years out of the current crop of TVs. And when other TVs fail and need upgrading, the 3D feature is not compelling for me.

It seems in fact, that once again, attention at this year's CES is focused on smaller products. Smaller tablets, thinner iPads and iPhones. Mobility remains an important benefit for the consumer as does the ability to access more information. Comcast just announced that their new app will shortly allow remote slingbox type streaming of live TV as well as mobile on demand access. More buzz should emerge on this and other new mobile tools this week. For me, I want an announcement that includes a revolutionary improvement of the battery. Charging every night is tiring. Miss one night and you are left with a brick. The need for second batteries and emergency power packs may help but ultimately these mobile devices need to work harder and retain more juice to last longer. I'm still waiting for that announcement to come.

Cable Companies Can Remain Leaders

We've heard of the triple play - phone, cable, broadband, now is the time to really embrace the quad play. No, I don't want cable companies buying Sprint or getting into the mobile phone business. rather, the fourth play is Wifi. With so many products accessing the web and cable content, cable companies should control that connection too. Need connection to your home voice mail, manage your DVR, or watch a show from work, why not on a device connected to your cable's Wifi platform.

For the cable company, a pricing strategy could include discounts based on level of service. A triple play customer gets the best discount, the double play customer a little less of a discount. It encourages retention of cable verse both telco and cord cutters. Obviously there is a cost to build out a wireless platform. But consider a consortium across the top cable companies, Comcast, Time Warner, Charter, Cablevision, and Cox, and the cable customer could have a real benefit to staying with their cable provider.

And customers could buy ipods, ipads, and other mobile devices without the expensive cell coverage. A less expensive wifi connection gets them all the coverage they need. Certainly the need is there for better wifi coverage. Cable companies could once again own the market and remain the leader.

Sirius and Bubba Separate

While content is king, I guess not all content is valuable. Certainly not for Bubba the Love Sponge. "Bubba heads to the "New Media" frontier of online radio provider radoio. While Bubba heads for the internet he is also pushing for this loyal following to drop their subscription to Sirius XM. Many took to his Twitter and Facebook pages to announce that they had called Sirius XM to cancel."

Does Bubba have that strong an audience to affect subscriptions to Sirius. Doubtful. Perhaps Howard Stern could have that influence, but few others.