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Thursday, September 18, 2014

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  • NFL Now is a Brilliant Bid For Mobile Video Ads

    Yesterday the NFL announced a new video initiative called "NFL Now," which will offer fans a trove of short-form videos in a highly personalizable experience. Brian Rolapp, the NFL's EVP of Media told Adweek that the current shortage of mobile video ad inventory was "one of the biggest reasons we are doing this." I'd go one step further - I think capturing mobile video ad dollars is THE reason the NFL is launching NFL Now.

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  • VideoNuze Podcast #205 - Sports Leagues Fight Aereo; Broadband Battle in the U.K.

    I'm pleased to present the 205th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

    Colin is in London this week and shares observations on the intense battle for broadband subscribers in the U.K. BT has been aggressively laying fiber in a bid for broadband subscribers. It recently spent about 1.4  billion pounds on soccer rights to supply its BT Sport channels. Colin says BT has seen lift in both broadband and pay-TV subscribers as a result. One wonders whether Google could try something similar here in the U.S. by bidding for NFL and other rights somewhere down the road?

    Speaking of the NFL, it and Major League Baseball were in the news this week for filing a brief with the Supreme Court urging review of broadcasters' challenge to Aereo. The leagues basically asserted that if Aereo is deemed legal, more of their games will migrate to cable, which of course has been happening anyway. Meanwhile Aereo's lead investor Barry Diller said this week he could see a 35% adoption rate for Aereo long-term, primarily driven by millennials. This would be hugely disruptive if it were to happen.

    Listen in to learn more!

    Click here to listen to the podcast (18 minutes, 11 seconds)




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  • At Least 5 Big Challenges for a Google-NFL Sunday Ticket Deal

    The Internet has been buzzing this week with the idea that Google may bid for the NFL's Sunday Ticket package, which is with DirecTV through the 2014 season. The root of the buzz is a story in AllThingsD that NFL commissioner Roger Goodell met with Google's CEO Larry Page and YouTube's head of content Robert Kyncl and that one of the things they discussed was Sunday Ticket.

    Did they seriously discuss Sunday Ticket or was it the last item on a list of things they were spitballing? Who knows. But let's assume for a moment that Google actually WAS interested in Sunday Ticket. Could it happen and does it make sense?

    There's certainly no financial impediment for Google. DirecTV pays about $1 billion/year currently. Even if Sunday Ticket's value increased by 50% (which is less than the 60-70% increases the broadcasters and ESPN paid to renew their NFL deals in the past 2 years), it would still be small change for Google. Rather than the money, I see at least 5 big challenges Google (and the NFL) would have to surmount:

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  • 80 Billion Reasons Why Pay-TV Will Become Even More Expensive

    If you think your monthly pay-TV bill is already pretty expensive, then brace yourself for rate increases that will definitely be happening over the next several years, particularly in certain geographic areas of the U.S. Why? Because the cost of programming continues to spiral, led by sports. In fact, over the past 24 months, at least $80 billion has been committed by broadcast and cable TV networks to televise sports in the U.S. (note this includes $6 billion, the minimum either News Corp. or Time Warner Cable will likely pay for TV rights to the L.A. Dodgers' games).

    The chart below itemizes all of the deals that I'm aware of; no doubt there are others as well that aren't included. Also not included are the expected increased costs of renewals for some of sports' highest-profile events like the Super Bowl and NCAA March Madness in coming years.

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  • Streaming the Super Bowl is No Big Deal, For Now

    The NFL and NBC garnered a lot of attention yesterday with news that the Super Bowl (along with the Pro Bowl and two Wild Card games) will be streamed online for the first time, and made available to Verizon's mobile subscribers. I'll admit, when I first read the news my reaction was "that's pretty cool!" But when I thought about it for another moment, my feeling changed to "so what's the big deal?" Maybe I'm being a skunk at the picnic, but I'm guessing some of you may have had a similar response. Why?

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  • VideoNuze Report Podcast #114 - Sports Rights Fees and OTT

    I'm pleased to be joined once again by Colin Dixon, senior partner at The Diffusion Group, for the 114th edition of the VideoNuze Report podcast, for Dec. 16, 2011. In today's podcast Colin and I discuss the escalation in sports rights fees, player salaries, sports networks' affiliate fees and pay-TV rates.

    Earlier this week I wrote about the massive, $254 million contract baseball slugger Albert Pujols signed with the Angels and how a new 20-year, $3 billion deal with Fox Sports enabled the team to afford the deal. But that's already old news, because since then the NFL signed $28 billion worth of deals with CBS, Fox and NBC (on top of the $15.2 billion renewal with ESPN agreed to in September), and ESPN forked over another $500 million for broader rights with NCAA.

    Why does all this matter? Because as I've said repeatedly throughout the year, these deals are largely funded by non sports fans, through their ever-higher monthly pay-TV bills. As Colin and I agree, it's an unsustainable trend that's largely being enabled by consumers' ignorance and inertia about what they're paying for. Coincidentally, just today the NY Times has an article on this topic, the first one I've seen from a mainstream newspaper. The  byproduct of escalating pay-TV rates is that they're opening the door for OTT alternatives to thrive. Listen in to learn more!

    Click here to listen to the podcast (16 minutes, 11 seconds)



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  • Webinar on Quality of Video Service This Wed, Dec. 8th

    Akamai, IDC and the NFL are presenting an interesting complimentary webcast this Wednesday, discussing their research findings on the correlation between viewer engagement and video quality. As longer-form online-delivered video has proliferated, whether supported by ads or payments, quality has become a critical issue. When viewers sit down to watch for a while, their expectations of quality increase vs. just watching a short clip or two. Content providers and delivery partners need to know specifically what matters and how to deliver it.

    In this webcast, the presenters will review actual findings from 6 recent events. Though user engagement is influenced by video quality, higher bitrates alone didn't always lead to viewing duration. Rather, engagement appears to be more related to the consistency of the viewing experience, so that transitions between bitrates and also the number of re-buffering events are in fact most crucial to audiences. Learn all about the findings during the webcast this Wed, Dec. 8th at 11am PT / 2pm ET.

     
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  • 5 News Items of Interest for the Week of Aug 23rd

    Following is the latest update to VideoNuze's new Friday feature, highlighting 5-6 of the most intriguing industry news items from the week that VideoNuze wasn't able to cover.

    Ads skipped by 86% of TV viewers, but TV ads still most memorable

    A new Deloitte survey unsurprisingly finds high rates of ad skipping among DVR users watching time-shifted programs, yet also notes that 52% of respondents say TV advertising is more memorable than any other type (only 2% cited online video advertising). Is there a love-hate relationship with good old TV advertising?

    Endemol USA Plans Kobe Bryant Web Series
    Online video continues attracting celebrities, with the latest being LA Laker star Kobe Bryant, who will be featured in 8 episodes teaching Filipino kids about hoops. The series is being produced and promoted by powerhouse Endemol. More evidence that independent online video is gaining.

    NFL Sunday Ticket To-Go, Without DirecTV
    DirecTV unbundles its popular NFL package, selling online access to non-subscribers for $350. It's not clear there will be many takers at this price point, but it does raise interesting possibilities about unbundled subscribers connecting to their TVs and also how sports will be impacted by online and mobile viewing.

    TiVo Launches Remote with Slide-Out Keyboard
    TiVo is enhancing navigation with a long-awaited keyboard that slides out of its standard-shaped remote control for $90. With TiVo's new Premiere box offering more video choices than ever, quicker navigation is required. As other connected devices hit the market, it will be interesting to see what clever solutions they come up with too.

    MTVN's Greg Clayman Heads to News Corp to Lead iPad Newspaper
    Amid the ongoing shuffle of digital media executives, MTV Networks lost a key leader in Greg Clayman, who's moving to News Corp to head up their new iPad newspaper. Greg's been on VideoSchmooze panels and we've done webinars together; he always brings great insights as well as a terrific sense of humor.
     
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  • VideoNuze Report Podcast #41 - November 20, 2009

    Daisy Whitney and I are pleased to present the 41st edition of the VideoNuze Report podcast, for November 20, 2009.

    This week Daisy leads off with thoughts on what the NFL is doing with both online and mobile video, based on her recent interview with Laura Goldberg, GM of NFL.com.

    I then dig deeper into my post from yesterday, "YouTube Direct is Yet Another Smart Move" in which I explained why YouTube Direct, a new initiative which was unveiled earlier this week, makes a lot of sense for both YouTube and its content partners. I've been impressed with how YouTube continues to evolve away from its wild-west UGC roots, finding ways to add value for both its users and also for its partners. Listen in to learn more.

    Click here to listen to the podcast (12 minutes)

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  • Titans-Steelers on NBCSports.com Last Night Was Impressive

    I was only able to catch a little bit of the Titans-Steelers came last night on NBCSports.com, but what I did see was pretty impressive. This was the first of the "Sunday Night Football Extra" games that NBC Sports and the NFL plan to stream live this season. NBC Sports is using Silverlight for the first time, and the live HD broadcast included 5 different camera angles to choose from. Akamai is providing CDN services and Microsoft's Smooth Streaming for delivery.

    NBC has been a pioneer in the delivery of online sports content, and with the 2008 Beijing Olympics setting a new standard. The NFL is not alone in pushing into online delivery though. As I noted recently in "2009 is a Big Year for Sports and Broadband/Mobile Video," there have been a ton of new initiatives this year across baseball, basketball, football, golf, tennis, auto racing, etc.

    I'm looking forward to having Perkins Miller, SVP, Digital Media and GM, Universal Sports, NBCU Sports and Olympics on my discussion panel at VideoSchmooze on Mon evening, Oct 13th in NYC. No doubt he'll have lots of great insights and data to share about how the season is progressing.

    The next game on NBCSports.com is this Sun night, Bears vs. Packers, 8pm ET.

     
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  • 4 Items Worth Noting from the Week of August 17th

    Following are 4 news items worth noting from the week of August 17th:

    CBS's Smith says authentication is a 5 year rollout - I had a number of people forward me the link to PaidContent's in-depth coverage of CBS Interactive CEO Quincy Smith's comments at the B&C/Multichannel News panel in which he asserted that TV Everywhere/authentication won't gain critical mass until 2014.

    I was asked what I thought of that timeline, and my response is that I think Smith is probably in the right ballpark. However, these rollouts will happen on a company by company basis so timing will vary widely. Assuming Comcast's authentication trial works as planned, I think it's likely to expect that Comcast will have its "On Demand Online" version of TV Everywhere rolled out to its full sub base within 12 months or so. Time Warner Cable is likely to be the 2nd most aggressive in pursuing TV Everywhere. For other cable operators, telcos and satellite operators, it will almost certainly be a multi-year exercise.

    NFL makes its own broadband moves - While MLB has been getting a lot of press for its recent broadband and mobile initiatives, I was intrigued by 2 NFL-related announcements this week that show the league deepening its interest in broadband distribution. First, as USA Today reported, DirecTV will offer broadband users standalone access to its popular "Sunday Ticket" NFL package. The caveat is that you have to live in an area where satellite coverage is unattainable. The offer, which is being positioned as a trial, runs $349 for the season. With convergence devices like Roku hooking up with MLB.TV, it has to be just a matter of time before the a la carte version of Sunday Ticket comes to TVs via broadband as well.

    Following that, yesterday the NFL and NBC announced that for the 2nd season in a row, the full 17 game Sunday night schedule will be streamed live on NBCSports.com and NFL.com. Both will use an HD-quality video player and Microsoft's Silverlight. They will also use Microsoft's Smooth Streaming adaptive bit rate (ABR) technology. All of this should combine to deliver a very high-quality streaming experience. But with all these games available for free online, I have to wonder, are NBC and the NFL leaving money on the table here? It sure seems like there must have been some kind of premium they could have charged, but maybe I'm missing something.

    Metacafe grows to 12 million unique viewers in July - More evidence that independent video aggregators are hanging in there, as Metacafe announced uniques were up 67% year-over-year and 10% over June (according to comScore). I've been a Metacafe fan for a while, and their recent redesign around premium "entertainment hubs" has made the site cleaner and far easier to use. Metacafe's news follows last week's announcement by Babelgum that it grew to almost 1.7 million uniques in July since its April launch. Combined, these results show that while the big whales like YouTube and Hulu continue to capture a lot of the headlines, the minnows are still making swimming ahead.

    Kodak introduces contest to (re)name its new Zi8 video camera - It's not every day (or any day for that matter) that I get to write how a story in a struggling metro newspaper had the mojo to influence a sexy new consumer electronic product being brought to market by an industrial-era goliath, so I couldn't resist seizing this opportunity.

    It turns out that a review Boston Globe columnist Hiawatha Bray wrote, praising Kodak's new Zi8 pocket video camera, but panning its dreadful name, prompted Kodak Chief Marketing Officer Jeffrey Hayzlett to launch an online contest for consumers to submit ideas for a new name for the device, which it intends to be a Flip killer. Good for Hayzlett for his willingness to change course at the last minute, and also try to build some grass roots pre-launch enthusiasm for the product. And good for the Globe for showing it's still relevant. Of course, a new name will not guarantee Kodak success, but it's certainly a good start.

    Enjoy your weekend!

     
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  • WWE's "Smash-Ups" Drives Excitement for WrestleMania 25th Anniversary

    World Wrestling Entertainment (WWE) has created an innovative user-edited video application called "Smash-Ups" to engage its fans and drive excitement for this Sunday night's "WrestleMania 25th Anniversary" event. It's a great example of how long-form video can be segmented and made available to users to exercise their creativity in support of the brand. In this case, WWE is also offering a $5,000 prize to the user who creates the best clip.

    I've been a fan of these kinds of mashup or re-mix apps, going back to a post I did in August '07 about the one that Universal Pictures and Metacafe created for "The Bourne Ultimatum." More recently, NFL has had success with its NFL "Replay Re-Cutter" launched last fall. I continue to believe they offer a clever way for fans to engage with the brand and potentially tapping into archive content that likely isn't creating any current value. The clips create new video views and incremental ad inventory. And as the clips are shared by users they also become a cheap source of viral marketing.

    WWE gets all this. Brian Kalinowski, WWE's EVP, Digital Media said, "The WWE is renowned for its passionate fans and compelling content, and WrestleMania Smash-Ups allows us to bring both together in an innovative, engaging broadband video experience....unleashing the full value of our library of tens of thousands of video clips to drive greater engagement from our viewers and enhanced content monetization." In addition to the video clips, Smash-Up lets users edit the segments provided, and insert audio tracks and title cards. If there's one downside, it's that the maximum clip length is 2 minutes, which is not a lot of time for hard-core fans to create a meaningful montage out of 25 years of classic footage.

     

    The Smash-Ups are powered by Gotuit, a company I've written about which has also recently announced it is powering Major League Soccer's "QuickKicks" video portal and remix and Lifetime's "Movie Mash-up" feature. As CEO Mark Pascarella and VP &GM Patrick Donovan, explained, a key Gotuit advantage for all these initiatives is that no new video clips are actually being created. Rather, by using Gotuit's metadata and indexing capabilities, the content provider can tag particular scenes and present them as clips. When users create their mixes, they're actually just combining a series of "virtual clips" - time-coded in and out points in the underlying long-form video files. This makes managing these activities a lot simpler and cost-effective. The Smash-Ups also showcase how the Gotuit UI can be fully customized and integrated with WWE's look-and-feel.

    WWE is monetizing the clips through both sponsorships (THQ) and ads. A pre-roll or mid-roll is inserted up to a maximum frequency of 1 ad per 2 minutes of content (a Gotuit setting the content provider can adjust). Users can share their creations with embed code or via email. WWE has also done a great job promoting the Smash-Ups, enlisting its superstars to make their own videos which are posted on YouTube.

    These user-edited applications (especially if they're part of contests with meaningful incentives) are a pretty compelling tactic for content providers to drive viewership and monetization. I expect we'll continue to see more of them launched.

    What do you think? Post a comment now.

     
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  • NFL.com's "Game Rewind" Feature is Pretty Cool

    I got a tip yesterday about "Game Rewind," a feature that NFL.com has apparently launched in the last week or so. For a mere $20/season, you can now watch full, commercial-free replays of all the season's games. The video is delivered in terrific quality by Move Networks, and as seen below, also offers a side window that shows a synopsis of the game's scoring. I'm not a huge football fan, but since I missed the exciting end of last week's Patriots-Seahawks game, I simply dragged to the fourth quarter and sat back and enjoyed (btw, how nice is it to watch commercial-free?!).

     

    One suggestion for the NFL team: introduce EveryZing's MetaPlayer, Gotuit VideoMarkerPro or Digitalsmiths (or someone else's metadata-based search technology) so that fans can quickly retrieve only the highlights they care about (especially for the fantasy crowd). If I just want to see Matt Cassel's touchdown passes, it would sure be nice to enter that phrase and be shown those specific highlights only. Still, Game Rewind is a very cool new feature, of course only possible courtesy of broadband delivery.

    What do you think? Post a comment now.

     
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  • NFL Demonstrates Syndication is Not Right for Everyone

    As many of you know, in general I'm a big-time advocate of syndication as a strategy to permeate broadband video into all the "nooks and crannies" of the Internet. Many content providers have embraced this path, most recently Hulu and CBS (with its Audience Network). The purpose of syndication is to ensure that content reaches users where they currently visit, as opposed to requiring them to come to a new destination. That "destination-centric" approach was of course the way the traditional media industry worked.

    But the NFL shows that syndication isn't right for everyone. In instances where there is genuinely unique content, it can make sense to pursue a pure destination strategy.

    To illustrate, yesterday I missed part of the Patriots-Colts game. Though I did catch the end, I was eager to see the big plays. During the parts of the game I saw there were several promos for video available at NFL.com. So post-game I started pinging the NFL's site and it turned out that within about 1 1/2 hours of the end of the game, there was a 5:13 edited montage posted. It included most of the big plays and was available exclusively at NFL.com.

     

    The NFL caused a kerfuffle earlier this year when it issued highly restrictive rules governing use of and monetization of its game video. But having had this experience, I think they made the right call. When you have must-see content and own all the rights, I think it is indeed better to pursue a destination strategy. You get all the views. You get all the monetization. You get all the site loyalty and cross-promotion opportunities. You get everyone linking to you. And you have the exclusive archive.

    It's rare to own something as valuable as NFL game video. But if your video does have similar attributes, then I would encourage considering destination over syndication. If you go this route though, being highly proactive to serve users' interests, as the NFL is doing, is essential to success.

     
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