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Apple to Make Cable Set-Top Boxes? Not. Going. To. Happen.
The Wall Street Journal's lead story this morning is that Apple is meeting with large U.S. cable operators about building an Apple set-top box that would deliver cable programming and other content. Typical of all rumors relating to Apple, no credible source is cited (just "people familiar with the matter") and an Apple spokesman declines to comment. My take on this? Barring cable industry executives taking complete leave of their senses, the likelihood of this actually happening is next to zero.
Categories: Cable TV Operators, Devices
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Apple Dropping Its YouTube App Seems Like a Rare Win For All Stakeholders
No doubt you've already heard that Apple will not be including its native YouTube app in the next version of iOS that will officially launch this fall. Apple said its license for YouTube, which it held since 2007, when the iPhone launched, has expired. From my vantage point, this seems like a rare win for all stakeholders: YouTube, Apple, iOS users, YouTube's content partners, advertisers and even other video content providers.
Categories: Aggregators, Devices, Mobile Video
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3 Video Predictions for 2012: Jim Louderback, CEO, Revision3
Jim Louderback, CEO of Revision3, an independent special interest video network, kicks of VideoNuze's year-end feature of posting the top 3 video predictions for 2012 from executives around the industry.
Categories: Predictions
Topics: Amazon, Apple, Google, Kinect, Microsoft, Revision3, Siri, YouTube
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With New Disney Deal, Is YouTube Poised to Disrupt Online Movie Rentals?
Last Wednesday, just before the Thanksgiving break, YouTube announced a deal with Walt Disney Studios which will make hundreds of new and classic
movies from Disney, Pixar and DreamWorks available for rental. The Disney deal adds to the online movie rentals (or "iVOD" as this category is also known) initiative YouTube announced last May. Between the breadth of movies soon to be available, its aggressive pricing - including $.99 rentals on recently-released blockbusters, its integration in numerous connected devices and of course, its status as the online video market's 800-pound gorilla, YouTube may just have what it takes to disrupt the iVOD market, impacting the broader Hollywood and movie distribution industries.
Categories: Aggregators, FIlms, Studios, Video On Demand
Topics: Amazon, Apple, Disney, iTunes, Netflix, YouTube
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Steve Jobs and the Elusive Connected Device
This morning the world remembers Steve Jobs, whose influence on the computing, music, film, communications and other industries is immeasurable. Jobs's ability to imagine how things could be - and then make them so - made him the most unique business leader of modern times. His personal philosophy, articulated in his memorable Stanford commencement speech in 2005, is likely the only career advice anyone should ever need. Setting the bar high, and never being willing to settle for less, was Jobs's mantra. His ability to infuse this in his Apple colleagues was the reason the company turned out one hit product after another.
Yet for all of Jobs's successes, one product he had yet to nail was the "connected device," the industry term for something that delivers personalized video, including TV shows and movies, to a large screen. To be sure, Apple has begun having success with its Apple TV, yet Jobs still considered that device a "hobby" (his words) because he saw that it fell well short of the revolutionizing impact the iPod or iPhone had in their respective industries.
Topics: Apple, Steve Jobs
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Winners and Losers Due to Netflix's Decision to Split DVDs
Netflix's bizarre decision to separate its DVD business from its streaming business will have significant ramifications for the video ecosystem. Below are some of the clear winners, potential winners and clear losers.
Categories: Aggregators
Topics: Amazon, Apple, Blockbuster, DISH, Facebook, Google, Hulu, Netflix, Redbox, VUDU, YouTube
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Scarcity Breeds Aggregation Opportunities
Following is a guest post from Sam Vasisht, president of 21TechMedia which specializes in advisory services, business and marketing consulting for digital media companies. Sam was previously VP of Marketing at On2 Technologies, now part of Google's WebM initiative. He blogs at www.techmediatalk.com and can be followed on Twitter @21TechMedia.
Scarcity Breeds Aggregation Opportunities
by Sam Vasisht
Based on news from the world of online video over the past few weeks, the dust is starting to settle on a number of topics that had been contentious, if not controversial for some time. Among them is the affirmation of online services as a bona fide monetization model for major media. This was stated by Viacom on its earnings call two weeks ago. Similar signals from other corners of the industry range across Netflix's price increases in its continuing quest for premium content licensing; Amazon stepping up its game in video streaming with a licensing deal with NBC and a few weeks earlier with CBS; and Hulu attaching attractive 5 year content licenses with its rumored sale offer while signing up additional content deals as well.
The race for content aggregation is on.
Categories: Aggregators, Devices
Topics: Apple, Best Buy, Hulu, NBC, Netflix, Viacom
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And Now, Back to Our Regularly Scheduled Programming
Thanks for all the comments, emails, tweets, calls and other feedback on my little April Fool's Day "exclusive," that Netflix planned to acquire HBO, dissolve its channels and add HBO's programs to its iPad app. As with my prior April Fool's Day posts, it was a lot of fun to write, and even more fun to receive the range of reactions (yes, if you still thought it was true by the end, you were not alone!)
As with all April Fool's Day attempts that seem to work, the key is making the joke just believable enough to elicit the tension of "Wow!" vs. "No Way!" Of course April Fool's Day has become open season on the Internet, meaning that for many, the new standing policy on April 1st is to not believe ANYTHING they read.
While that raises the bar for me, the good news is that in the online video and pay-TV worlds, things have gotten so tumultuous that what was unthinkable yesterday somehow becomes reality today. Thus quite a few people's reaction to today's "exclusive" was that it was not only plausible, but actually expected. The idea that Netflix could acquire HBO still feels like an awfully big stretch to me, but who knows - someday it could happen.
Regardless, on Monday, VideoNuze will be back to its serious-minded coverage of the industry. Enjoy the weekend!
Categories: Miscellaneous
Topics: Apple, HBO, iPad, Netflix
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EXCLUSIVE: Netflix to Acquire HBO, Dissolve Channels Into Streaming Library for iPad Use Only
VideoNuze has learned that Netflix has struck a deal to acquire HBO from Time Warner and intends to dissolve HBO's linear cable channels, with its programs to be incorporated into Netflix's streaming library, available solely on the iPad. Terms of the deal are not yet known, but it is expected to be for stock only, with Time Warner becoming the biggest shareholder in Netflix. VideoNuze interviewed all the key participants late last night.
The deal is a stunning move for all parties, and reflects the fast-changing nature of the online video and pay-TV industries. First and foremost, the deal appears to be a stark reversal of opinion by Time Warner CEO Jeff Bewkes
who has consistently diminished Netflix's prospects. Bewkes commented, "My informal recent remarks, comparing Netflix's rise to the Albanian army's chances of taking over the world got me thinking afterwards, geez, is it possible that I've underestimated Albania's might, and therefore Netflix's potential? So I decided to study up on my history, and it turns out that back in 1378, Albania actually conquered almost three-quarters of the world's population. That was an eye-opener and really made me second-guess myself."
Categories: Cable Networks, Deals & Financings
Topics: Apple, HBO, iPad, Netflix
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Video Will Be Critical to Driving iPad 2's Sales
The new iPad 2 - faster, thinner and lighter than the original, and with an ingenious new "Smart Cover," is yet another impressive technical achievement from the design wizards at Apple. But as with all consumer electronics products, those attributes will only go so far in compelling consumers to crack open their wallets and buy. Steve Jobs knows better than anyone in the world the gadget marketer's manifesto, "It's not what it is, but what it does," so it's no surprise that as sexy as iPad 2 is, yesterday he also rolled out exciting new ways the iPad 2 can be used. The common theme: video apps are going to be critical to driving iPad 2's sales.
First and foremost is FaceTime, Apple's video chat app that is enabled on the iPad 2 with the addition of a VGA front-facing and 720p HD rear-facing camera to the device. These upgrades address the single-biggest criticism of the original iPad (aside from the inability to play Flash-based video) - that a device so conducive to personal video chatting shipped without the onboard cameras to do so (which in turn led to conspiracy theories that the cameras had been purposely left out to give the subsequent release extra juice).
Categories: Devices, Mobile Video
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Amazon Prime Instant Streaming Launches; Not a Netflix-Killer (Yet Anyway)
Amazon is announcing this morning that it has added streaming access to 5,000 movies and TV shows to the package of benefits its "Prime" members get, for no extra charge as part of their $79/year subscription. Amazon is offering a one month free trial to Prime to let new users test it out. The move had been widely rumored and of course the first company that comes to mind as being in the cross-hairs of Prime's streaming is Netflix. Those competitive concerns are legitimate, but for now, Prime isn't close to being a Netflix-killer.
The big Achilles heel of Prime is content selection. Though 5,000 titles sounds like a lot, it won't take long for experienced Netflix users tempted by a switch to Prime to recognize that most of these titles are already available on Netflix streaming as well. I did a quick comparison of 20 randomly-selected titles on Prime and found that with the exception of a few BBC Shakespeare titles and certain episodes of the PBS series "American Experience," everything on Prime is already available on Netflix streaming. In fact, for now Prime relies heavily on British programming and PBS. Though both provide quality productions, they are far from mainstream popularity in the U.S.
Categories: Aggregators
Topics: ABC, Amazon, Apple, EPIX, NBC, Netflix, Starz
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Netflix Gets Apple Subscription Exemption As CE Industry Love Continues
Speaking of Netflix (and who's not these days?), check out how Apple granted it an exemption from its 30% fee for its new App Store subscription model thisweek. Publishers were rankled this week that the long-awaited subscription support fee was pegged so high, and Google seemed to seize on it, by introducing its "One Pass" service right on the heels of Apple's announcement, with a lower 10% cut and more flexible rules.
Categories: Aggregators, Devices
Topics: Apple, Google, Netflix
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Apple Dominates Still Small Movie Download Business
Earlier this week IHS Screen Digest released market share estimates for major movie download or "EST" (electronic sell through) outlets in 2010, and no surprise, Apple's iTunes was atop the group, with a dominant 64.5% position. However, that was down 10 points from 2009, as Microsoft, Sony and others all gained share. IHS Screen Digest's research analyst Arash Amel noted that in 2011, Apple is going to face a potentially powerful new competitor in Wal-Mart, which acquired the Vudu VOD service early last year, which could turn the "iVOD" market into a 2 horse race.
Categories: Aggregators, Downloads, FIlms
Topics: Apple, IHS Screen Digest, iTunes, Microsoft, Sony, UltraViolet, Wal-Mart
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Online/Mobile Video's Top 10 of 2010
2010 was another spectacular year of growth and innovation in online and mobile video, so it's no easy feat to choose the 10 most significant things that happened during the year. However, I've taken my best shot below, and offered explanations. No doubt I've forgotten a few things, but I think it's a pretty solid list. As much as happened in 2010 though, I expect even more next year, with plenty of surprises.
My top 10 are as follows:
Categories: Advertising, Aggregators, Broadband ISPs, Broadcasters, Cable Networks, Cable TV Operators, Deals & Financings, Devices, Mobile Video, Regulation, Satellite, Technology, Telcos
Topics: 4G, Android, Apple, Google TV, iPad, Net Neutrality, Netflix, YouTube
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As DVD Sales Wane, Experiments With Movies' Digital Delivery Windows Rise
Yesterday brought more evidence of how digital distribution release windows and promotions are rising as DVD sales wane. First there was news that Disney had teamed up with Wal-mart to allow buyers of the Toy Story 3 DVD to get a bonus digital version of the film playable through the company's recently acquired Vudu digital outlet. That offer was quickly one-upped by Amazon which announced an increase from 300 to 10,000 movies in its "Disc+" program, which provides a digital copy to the user's Amazon VOD account when they purchase a qualifying DVD.
Meanwhile at the Blu-con conference in Beverly Hills, studio executives debated how to best calibrate digital, VOD and DVD distribution. Even emerging practices come with exceptions and debates about results. For example, while VOD has largely gained day-and-date release with DVD, exceptions are still made on a case-by-case basis, such as with Universal's "Despicable Me" which will have its DVD go on sale on Dec 14, but its VOD release not until after Christmas.
Topics: Amazon, Apple, Best Buy, Disney, EPIX, FOX, Netflix, Sony, Starz, Universal, VUDU, Wal-Mart, Warner Bros.
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Kyte Brings Live Streaming and HTML5 Ads to iOS Devices
Online video platform Kyte is announcing this morning support for live streaming to iOS devices (iPhone, iPad, iPod Touch) along with HTML5 ads.
The updates both build on Kyte's current iOS Application Framework and SDK. The HTML5 support means ads from third party networks can be served into live streams viewed on iOS devices. Kyte has also extended its integrated social media features into live streaming as a differentiator.
Both moves add to the growing momentum around video delivery to iOS devices, fueled of course by their massive and growing ownership base. Just last week Apple reported selling 14.1 million iPhones, 4.19 million iPads and 9.05 million iPods (though not all Touch) in its most recent fiscal fourth quarter.
There has been a huge amount of activity by online video platforms, ad managers/networks and live streaming providers to support iOS devices this year. There's no sign that things will slow anytime soon. As the ecosystem pieces come together - and wireless carriers roll out faster 4G networks - the implication is that ad-supported mobile video (both on-demand and live) is poised for significant growth ahead.
What do you think? Post a comment now (no sign-in required).Categories: Advertising, Live Streaming, Mobile Video
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6 Items of Interest for the Week of Oct. 18th
It was another busy week for online/mobile video, and so VideoNuze is continuing its Friday practice of curating 5-6 interesting industry news items that we weren't able to cover this week. Read them now or take them with you this weekend!
Networks block Google TV to protect themselves
Yesterday news started breaking that ABC, CBS and NBC are blocking access by Google TV. There are numerous concerns being cited - potential disruption of advertising, encouraging cord-cutting, incenting piracy, diminished branding, unsatisfactory ad splits with Google, and general worry about Google invading the living room. Each item on its own is probably not enough to motivate the blocking action, but taken together they are. Still, doesn't it feel a little foolish that broadcasters would differentiate between a computer screen and a TV screen like this? For Google, it's more evidence that nothing comes easy when trying to work with Hollywood. I'm trying to find out more about what's happening behind the scenes.
TWC Lines Up For ESPN Online Kick
An important milestone for TV Everywhere may come as early as next Monday, as #2 cable operator Time Warner is planning to make ESPN viewing available online to paying subscribers. Remote access is part of the recent and larger retransmission consent deal between Disney and TWC. TV Everywhere initiatives have been slow to roll out, amid cable programmers' reluctance. Further proving that remote authenticated access works and that it's attractive with a big name like ESPN would increase TV Everywhere's momentum.
Hulu Plus, Take Two: How's $4.95 a Month?
Rumors are swirling that Hulu may cut the price of its nascent Hulu Plus subscription service in half, to $4.95/mo. That would be a tacit recognition of Hulu Plus's minimal value proposition, largely due to its skimpy content offering. As I initially reported in August, over 88% of Hulu Plus content is available for free on Hulu.com. More important, Netflix's streaming gains have really marginalized Hulu Plus. Netflix's far greater resources and subscriber base have enabled it to spend far bigger on content acquisition. Even at $4.95, I continue to see Hulu Plus as an underwhelming proposition in an increasingly noisy landscape.
Viacom Hires Superstar Lawyer to Handle YouTube Appeal
Viacom is showing no signs of giving up on its years-long copyright infringement litigation against Google and YouTube. This week the company retained Theodore Olson, a high-profile appellate and Supreme Court specialist to handle its appeal. While most of the world has moved on and is trying to figure out how to benefit from YouTube's massive scale, Viacom charges on in court.
Verizon to sell Galaxy Tab starting November 11th for $599.99
Verizon is determined to play its part in the tablet computer craze, this week announcing with Samsung that it will sell the latter's new "Tab" tablet for $600 beginning on November 11th. The move follows last week's announcement by Verizon that it will begin selling the iPad on Oct. 28th, which was widely interpreted as the first step toward Verizon offering the iPhone early next year. Apple currently owns the tablet market, and it remains to be seen whether newcomers like the Tab can break through. For his part, Apple CEO Steve Jobs said on Apple's earnings call this week that all other tablets are "dead on arrival." Note, if you want to see the "Tab" and learn more about how connected and mobile devices are transforming the video landscape, come to the VideoSchmooze breakfast at the Samsung Experience on Wed., Dec. 1st.
One-Third of US Adults Skip Live TV: Report
A fascinating new study from Say Media (the entity formed from the recent merger of VideoEgg and Six Apart), suggesting that 56 million, or one-third of adult Internet users, have reduced their live TV viewership. The research identified 2 categories: "Opt Outs" (22 million) who don't own a TV or haven't watched TV in the last week and stream more than 4 hours/week, and "On Demanders" (34 million) who also stream more than 4 hours/week and report watching less live TV than they did a year ago. Not surprisingly, relative to Internet users as a whole, both Opt Outs and On Demanders skew younger and higher educated, though only the latter had higher income than the average Internet user. This type of research is important because the size of both the ad-supported and paid markets for live, first-run TV is far larger than catalog viewing. To the extent its appeal is diminishing as this study suggests poses big problems for everyone in the video ecosystem.
Categories: Aggregators, Broadcasters, Cable Networks, Cable TV Operators, Devices, Mobile Video, Telcos
Topics: ABC, Apple, CBS, ESPN, Google TV, Hulu Plus, iPad, NBC, Samsung, Say, Time Warner Cable, TV Everywhere, Verizon, Viacom, YouTube
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5 News Items of Interest for the Week of Aug 30th
In a week dominated by Apple's new products, there actually was some other interesting online/mobile video industry news this week. Continuing VideoNuze's new Friday feature of highlighting 5-6 stories that we didn't cover this week, below are a collection of items for your weekend reading pleasure.
YouTube Ads Turn Videos Into Revenue
The 800-pound gorilla of the online video industry is reportedly closing in on profitability, based partly on ads running against user-uploaded copyrighted material. By detecting these uploads and offering the underlying rights owners the choice to have their video taken down or leave it up and generate revenue, many are choosing the latter. YouTube continues to evolve from its UGC roots.
Samsung, Toshiba Unveil Google-Based iPad Rivals
The battle line between Apple's "i" devices and those running Google's Android will ramp up, with mobile video set to follow, as Samsung and Toshiba plan to sell tablet computers in the coming months. Though the iPad is of to a strong start, it looks like it won't enjoy the same market dominance as the iPhone did as competitors jump into the tablet market quickly.
Google TV: Up to $300 Price Premium?
The components to enable Google TV could add $300 to the retail price of a television. If accurate this would put Google TV at a big competitive disadvantage given the trend toward lower-priced connected devices such as this week's $99 Apple TV and Roku's price cuts.
A Look Back: Lessons Learned From TV Everywhere a Year After Deployment
Marty Roberts, VP of Sales and Marketing for thePlatform, which has powered a number of TV Everywhere rollouts, offers insights based on the company's experience. Topics include authentication, content ingest, parental controls, discovery and content security. TV Everywhere is still in a nascent stage, but pay-TV providers should be following early lessons and moving quickly.
ShowUHow Scores $3 Million Series A Backing for Video Instruction Guides
A startup site that offers video instruction guides for various types of products that need to be assembled illustrates how valuable video can be for how-to video applications.
Categories: Advertising, Aggregators, Cable TV Operators, Deals & Financings, Devices, Startups
Topics: Apple, Google TV, Samsung, ShowUHow, thePlatform, Toshiba, YouTube
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Putting Premium Content Within an Arm's Length of Desire
Robert Woodruff, the long-time president of Coca-Cola, had a famous quote summing up his ambition for the fizzy brown water: "I want Coke to be within an arm's length of desire." Given the initiatives of Apple, Google, Netflix, Hulu, Amazon, Sony, pay-TV operators, Roku, TiVo, gaming consoles and numerous others, a spin on the Woodruff quote might well be, "They're all putting premium content within an arm's length of desire." It's no exaggeration to say that we are on the cusp of unprecedented consumer access to premium content - both current and past seasons' TV programs along with archived and new-release movies.
The choices being presented to consumers are dizzying, and are poised to become increasingly complex. With Apple's announcement yesterday of a $99 Apple TV connected device, and 99-cent rentals from ABC and Fox (and others no doubt to follow), another relatively low-cost option for viewing premium content will be available. Not to be outdone, Amazon also unveiled its own 99-cent option yesterday, for downloads of TV programs, though the durability of this offer isn't yet clear. And Sony too announced a new service called Qriocity to delivery its content to its connected devices.
Categories: Aggregators
Topics: Amazon, Apple, Netflix, Sony
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For Connected Devices, To Browse or Not to Browse - That is the Question
If Hamlet were considering what functionality devices connecting the Internet to TVs should have, he might well pose the question, "to browse or not to browse?" In other words, should connected devices come with a browser that allows users to freely the surf the entire Internet - as they do online and on mobile devices - or should they present content and services through walled gardens of approved "apps?"
With new connected devices proliferating (see Apple iTV tomorrow), and becoming less and less expensive (see Roku price cuts yesterday), it's inevitable that massive connected device adoption lies ahead. Yet even as these devices are poised to take on greater importance in consumers' lives and be ever more strategic to any company committed to a three-screen strategy, it is still far from clear which device approach will dominate.
Categories: Devices
Topics: Apple, Espial, Roku, Samsung, TiVo, Vizio
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