VideoNuze Posts

TV Everywhere is getting another shot of momentum this morning as thePlatform, one of the leading online video platform companies (and a subsidiary of Comcast) is rolling out new features aimed at giving TV networks greater control of their programs in the coming TV Everywhere world.

The key new feature is what thePlatform calls an "Authentication Adaptor," which is a mechanism for networks that want to offer their programs on their own web sites to authenticate users as current paying video subscribers of a multichannel video provider (recall that under current TVE plans it is a requirement to be a multichannel video subscriber in order to access programs online). The authentication adaptor works by instantly checking with appropriate multichannel providers' billing systems and returning a yes/no authentication response for that user.

If the user is authenticated, then the adaptor verifies that the specific program is available for viewing to that user, depending on what tier of service the user subscribes to. thePlatform does this by mapping each individual show to specific channels that each have an ID. The channel IDs are in turn mapped to the multichannel provider's subscription packages. For example if you were to try watching "Entourage" on HBO.com, but you didn't subscribe to HBO the linear channel via your service provider (e.g. Comcast, Time Warner Cable, etc.), your request would be denied. As one can imagine, with the endless permutations of shows, networks, subscription packages and multichannel providers, linking all of this together and delivering fast response times to the user is quite a challenge.

What's also interesting here is that if indeed a request has been denied, a marketing opportunity has been created for both the TV network and the multichannel provider. In the Entourage example above, the denial message could be accompanied by offers to watch now on a pay-per-view basis or to instantly become a subscriber to HBO via Comcast, or to buy the DVD, etc. Or maybe the offer is just to watch free clips to improve sampling. thePlatform supports the creation of these types of rules and integration to appropriate 3rd parties. This is a great example of how TV Everywhere also opens up the instant-gratification online economy to networks and video providers.

The new features gain in importance as thePlatform is also announcing this morning more than 20 TV networks have recently become customers including Fox Sports Networks, E!, G4, Style, Comcast Sports Group (a group of regional sports networks), Travel Channel, Big Ten Network and others yet to be named. As TV Everywhere rolls out next year, TV networks will become increasingly interested in offering their programs themselves, in addition to offering access on their distributors' web sites.

Separate, thePlatform is also announcing today that it is working with Rogers, which is Canada's leading multichannel video provider, on an online video initiative. Though details aren't provided, Rogers recently disclosed that is also pursuing TV Everywhere, so it's probably logical to put two and two together. thePlatform also provides video management services to large American operators Cablevision, Cox, Time Warner Cable, in addition to parent company Comcast. Between the video provider deals and the TV networks deals, thePlatform finds itself squarely in the middle of the TV Everywhere action.

What do you think? Post a comment now.

EveryZing is changing its name to RAMP, and positioning itself around "Content Optimization." Ordinarily a name change signals a change in strategic or product direction, but in this case, as CEO Tom Wilde explained to me last week, the re-naming is neither. The change to RAMP unifies the company name with its platform name (plus descriptive extensions), and completes the evolution of the company as a consumer destination originally named PodZinger.

RAMP has continued to build out its platform since then, unveiling its "chromeless" MetaPlayer in Oct '08 that creates "virtual clips" so users can navigate to just the scene they're looking for, while content providers can maintain their existing business rules. Then earlier this year RAMP released "MediaCloud," which moved the metadata extraction process into the cloud, giving content providers the ability to manage the metadata themselves and deeply integrate it into their workflow and larger content publishing activities.

As metadata has become recognized as the currency underpinning content discovery and monetization, RAMP has added large customers, such as NBCU (also its lead investor), FOX, Meredith Publishing and others. RAMP's capabilities to handle all media types (video, audio, text and images) has become increasingly important as content providers realize that mixing and matching different assets is now required to provide audiences with the best experience. For the most advanced publishers, the days of siloing off video or audio are in the past.

In its new white paper, RAMP articulates well the fundamental shifts happening in the media business: the move away from "containers" (e.g. a magazine, album or newspaper) into content "objects" that users find, share and self-organize online; the trend toward syndication, where brand success is more about proliferating content everywhere on the web than attracting users to a specific destination site; the opportunity for content providers to enhance their monetization through dynamic contextual targeting rather than by simply selling eyeballs. Addressing these and other elements effectively is what RAMP calls content optimization.

Many of the themes RAMP espouses align with what I've been describing for a while now as the "Syndicated Video Economy." I only see these themes accelerating in importance as the supply of video escalates, devices proliferate and social media grows. With its flexible, SaaS platform that integrates well into other 3rd party content management and publishing platforms, I expect RAMP will continue to succeed as content providers become more sophisticated about how to operate online.

What do you think? Post a comment now.

Yesterday's Multichannel News described a deal between MaxPreps.com and Comcast that shows how well broadband video and video-on-demand fit together, a notion I suggested earlier this year. In the deal, MaxPreps, a provider of high-school sports content (which is owned by CBS), is producing video content in the Houston market for exclusive distribution on Comcast's VOD system. The deal gives Comcast a local sports differentiator vs. satellite and telco competitors, while for MaxPreps it gives valuable access to TV viewers.

Gluing the parties together is Clearleap, a technology provider I last wrote about here. As Braxton Jarratt, Clearleap's CEO explained to me, MaxPreps uses a team of freelance videographers to shoot and edit the video. They're given access to dedicated Clearleap accounts so that they can upload the video for a local MaxPreps content manager to review their work.

The content manager uses Clearleap to make edits, set the release schedule, create playlists if desired, and approve the final package. Clearleap then transcodes the video to the appropriate format and pushes it to Comcast for general availability. Braxton said an hour-long football game could be live within 15 minutes for VOD viewing and that the deal was operationalized in just a few weeks, with very limited capex. In effect the process helps turn VOD into a dynamically programmed content outlet much the way we think of the web.

For those accustomed to working solely online, constant, near real time content updates are routine. But for anyone who has worked with VOD systems, which are characterized by long lead times to get content ingested, prepared and made live, this workflow is a breakthrough. In fact, the MaxPreps-Comcast deal and workflow provides a possible glimpse into how a hybrid broadband-VOD model could work in the future and again why incumbent video providers who already have a set-top box sitting in the living room enjoy certain advantages.

As I illustrated in last week's post about Comcast's results over the last 3 years, incumbent video providers are in a steel cage match for subscribers, particularly higher-spending ones who value digital options. Yet it has become exceptionally difficult to differentiate through exclusive content, as most channels now seek as wide distribution as they can get.

For cable companies, whose roots are in their local communities, local sports VOD content could be a meaningful point of difference. And sports are just a starting point. One can imagine local entertainment, events, and localized versions of national programs all created/managed via the web, but viewed by consumers on VOD. The key is having the technical ability to cost-effectively collect and manage the video, and then insert it into the VOD system.

If the MaxPreps-Comcast deal in Houston scales to additional territories, and Comcast rolls out additional VOD content, I expect other video providers will adopt a similar model.

What do you think? Post a comment now.

Colin Dixon, senior partner at The Diffusion Group, and I will continue our complimentary webinar series, "The Terror of Technology II: Demystifying Broadband TV" today at 2pm ET/11am PT.

In today's session, Colin and I will discuss net neutrality and how it impacts online video. We're coming at this quite differently, so the webinar promises a spirited exchange of ideas. There will be ample time for audience Q&A. Please join us!

Click here to register

Talk about the big bang theory of PR: Sezmi, the next-gen video provider, is unveiling today a public pilot project in Los Angeles, pricing for its 2 tiers of service, and $25 million in additional financing. Dave Allred, Sezmi's SVP of Marketing and Product Management briefed me on the news last week.

Sezmi hit my radar 2 years ago, when, as "Building B," its co-founders Buno Pati and Phil Wiser began pulling back the curtains on a bold plan to create a full substitute for cable/satellite/telco TV service. Key to the company's plan was its "FlexCast" model for delivering video via digital broadcast and broadband networks, to a proprietary receiver which is packed with a terabyte of storage. Having seen multiple demos of the product, I've been consistently impressed with how it combines traditional linear TV with on-demand, broadband, DVR, personalization, social networking, advanced advertising and sophisticated navigation.

While Sezmi is the sleekest multichannel video experience I've seen, I've continued to be concerned about the following questions: Was the system technically sound and could it scale? Would the company overcome venture capitalists' nuclear winter to satisfy its fund-raising needs? Could it land a full complement of cable programming deals to offer a bona fide alternative to incumbent providers? Would Sezmi's eventual pricing live up to the company's assertions that it would be "substantially less" than today's providers? Today's announcements begin to answer those questions.

The pilot, which Dave says will be open to about a thousand LA-area residents will be the first time Sezmi will go beyond successful friends and family technical trials. The goals of the pilot are to do a final shakedown of the service before broader launch, test marketing collateral and start to scale up in advance of a Q1 rollout. The pilot will also begin a process of close scrutiny by consumers and competitors of how well Sezmi stacks up.

Pilot participants will get their service for free and be offered equipment discounts to continue after the pilot wraps up. Dave explained that going forward Sezmi plans to offer 2 tiers of service, a $24.99/mo "Supreme" option that includes all local broadcast channels in the LA market, many familiar basic cable channels (the pilot includes 23 channels, from Turner, NBCU, Discovery, Viacom and Rainbow), broadband programming from YouTube and others. Premium programming from networks like HBO, Showtime and Starz will be available on a subscription VOD basis (i.e. no linear feed will be available). A "Select" tier for $4.99/mo, which will carry just the broadcast channels. Subscribers to both tiers can either buy the equipment for $299 or lease it for $11-$12/mo (for each TV).

Sezmi's value-pricing will invite immediate comparisons to DISH Network, which has been the low-price leader in video services. On the other hand, Sezmi's next-gen technology approach will resonate most with early adopters. Dave said that the company's research consistently found a sweet spot of consumers interested in having DVR and HD capability, plus an integrated video system, but unhappy about paying $60-$70/mo, which is the typical monthly rate from cable/telco competitors once promotional discounts expire. Sezmi's belief is that people are "over-served" by today's providers and that by focusing on the basics, executing on them with a tech-forward but approachable solution and pricing aggressively the company will gain share. Its marketing strategy feels similar in some ways to what JetBlue has pursued in the airline industry.

Prospective customers will first focus mainly on Sezmi's content. As yet, Sezmi does not have deals with all the major cable programmers. Most prominently missing from the current list are the channels owned by Disney-ABC, Fox, Scripps and A&E. While its likely to assume Sezmi will eventually close those deals, until they do the company is playing with one hand tied behind its back (it's impossible to compete effectively without, for example, ESPN, Fox News or Food Network). The company's goal is to carry channels that account for 80-90% of consumers' actual viewing.

Sezmi will not have the full array of channels now available in HD. Dave explained that Sezmi's bandwidth constraints forced it to make choices. For some viewers that won't matter if the price is right; for others it will be a deal-breaker. Sezmi also will not be carrying linear feeds of premium channels like HBO, Showtime and Starz, instead focusing on offering them on a subscription VOD basis, plus offering thousands of pay-per-view movie titles. Lastly, Sezmi will have limited appeal for sports fans as it lacks content like NFL Sunday Ticket, RedZone, MLB packages and popular regional sports channels.

Still, Sezmi has a lot going for it. Beyond low price, the personalization features are likely to resonate most. Once Sezmi learns a user's profile, it automatically records programs, and organizes them into each family member's "Zone." Pressing the "mi" button on the remote provides a customized view of that particular content. Sezmi also seamlessly integrates broadband content, today from YouTube, but in the future from many others into the overall experience.

As I've described before, Sezmi's model is to partner with telcos, broadband ISPs and retailers for its go-to-market strategy (there's an unnamed partner involved in the pilot). There will be heavy marketing costs involved to educating the public about Sezmi's benefits, so partnerships are essential. While no names are being cited yet, Dave alluded to a number of key partners, who will be announced in January. I'd bet on AT&T for one, although anyone who wants to be in the video business likely will have a look at Sezmi as well, particularly those seeking to offer a triple play bundle.

Despite all the talk about over-the-top video and cord-cutting, Sezmi is still the only bona fide new competitor I'm aware of that could be a replacement for cable/satellite/telco services. The company still has a long road ahead of it, but today's announcements are solid evidence of its progress.

What do you think? Post a comment now.

Brightcove is launching the fourth generation of its platform today and is also introducing a new low-priced "Express" option that complements its "Professional" and "Enterprise" editions. Brightcove's SVP of Marketing Jeff Whatcott recently walked me through the new features and Express strategy.

Brightcove is enhancing its customers' ability to publish across 3 screens by introducing, among other things, a "universal delivery service" option which allows the same video to be delivered via multi-bit rate streaming and progressive download. When selected, this means that publishers' video can be uploaded once, but delivered more intelligently depending on the device being targeted and the bandwidth available. Brightcove is also introducing an SDK for iPhone publishing which streamlines the workflow for publishers targeting the iPhone. Brightcove is also broadening its appeal to non-media customers that require a behind-the-firewall solution, providing delivery only to approved IP addresses and helping manage assets stored on private CDN infrastructure.

Given how increasingly strategic video is for its media customers, Brightcove is also introducing live streaming (including ad insertion), improved video sharing (with a particular focus on Facebook's Live Stream Box Widget), better analytics and monetization and improvements in media sharing across multiple divisions within an organization.

Brightcove is also introducing a slew of under-the-hood improvements that streamline the workflow, improve integration with 3rd parties and enhance SEO. These include new player APIs allowing more customized experiences, ad rules APIs and integrations with other web applications.

Importantly, the company is also broadening its target customer base. Although Brightcove had recently started focusing more on non-media (e.g. government, education, business) customers, these were still typically larger entities with high willingness-to-pay. Jeff explained though that with Brightcove's well-known brand, it was receiving many daily inquiries from prospects looking for a low-cost, turnkey solution. Lacking one, Brightcove felt it was leaving business on the table.

Now with the Express product (with 3 monthly price points, $99, $199 and $499), the company is making its first concerted effort to satisfy those with smaller video libraries, less need for customization and simpler monetization strategies. Moving to the low-end of the market puts Brightcove into more direct competition with players like Fliqz, Delve and others, while creating another new option for those with modest needs that have used YouTube.

As I've written recently, the video platform space continues to be quite crowded, with new entrants continuing to crop up. While I suspect that will continue to be the case, Brightcove argues persuasively that its feature set is far beyond anything that newer players yet offer, and that its track record of delivering video globally, at scale, provides major content providers quality assurance that others cannot yet match.

While the video platform space continues to evolve, Brightcove always impresses me with the methodical approach it takes to its product roadmap. Having been in the business for so long and having wide breadth of customers, the company is unlikely to fall behind anyone else when it comes to new customer requirements. Even in instances when competitors get a jump on it by offering distinctive new features, Brightcove is quick to respond. Brightcove 4 positions the company to continue as one of market's key leaders.

What do you think? Post a comment now.

(Note: Brightcove is a VideoNuze sponsor)

Following are 4 items worth noting for the Nov 9th week:

1. Will Cisco's new Flip Video camera ad campaign fly? - Cisco deserves credit for its new "Do You Flip" ad campaign for its Flip Video camera, a real out-of-the-box effort comprised entirely of user-generated video clips shot by ordinary folks and celebrities alike. As the campaign was described in this Online Media Daily article, finding the clips and then editing them together sounds like heavy lifting, but the results perfectly reinforce the value proposition of the camera itself. The ads are being shown on TV and the web; there's an outdoor piece to the campaign as well.

Cisco acquired Flip for nearly $600 million earlier this year in a somewhat incongruous deal that thrust the router powerhouse into the intensely competitive consumer electronics fray. Cisco will have to spend aggressively to maintain market share as other pocket video cameras have gained steam, like the Creative Vado HD, Samsung HMX and Kodak Z series. There's also emerging competition from smartphones (led by the iPhone of course) that have built-in video recording capabilities. I've been somewhat skeptical of the Cisco-Flip deal, but with the new campaign, Cisco looks committed to making it a success.

2. YouTube brings ad-skipping to the web - Speaking of out-of-the-box thinking, YouTube triggered a minor stir in the online video advertising space this week by announcing a trial of "skippable pre-roll" ads. On the surface, it feels unsettling that DVR-style ad-skipping - a growing and bedeviling trend on TV - is now coming to the web. Yet as YouTube explained, there's actually ample reason and some initial data to suggest that by empowering viewers, the ads that are watched could be even more valuable.

One thing pre-roll skipping would surely do is up the stakes for producing engaging ads that immediately capture the viewer's attention. And it would also increase the urgency for solid targeting. Done right though, I think pre-roll skipping could work quite well. At a minimum I give YouTube points for trying it out. Incidentally, others in the industry are doing other interesting things improve the engagement and effectiveness of the pre-roll. I'll have more on this in the next week or two.

3. Watching the NY Times at 30,000 feet - Flipping channels on my seat-back video screen on a JetBlue flight from Florida earlier this week, I happened on a series of highly engaging NY Times videos: a black and white interview with Oscar-winning actor Javier Bardem, then a David Pogue demo of the Yoostar Home Greenscreen Kit and then an expose of Floyd Bennett Field, the first municipal airport in New York City. It turned out that all were running on The Travel Channel.

Good for the NY Times. Over the past couple of years I've written often about the opportunities that broadband video opens up for newspapers and magazines to leverage their brands, advertising relationships and editorial skills into the new medium. By also running their videos on planes, the NY Times is exposing many prospective online viewers to its video content, thereby broadening what the NY Times brand stands for and likely generating subsequent traffic to its web site. That's exactly what it and other print pubs should be doing to avoid the fate of the recently-shuttered Gourmet magazine, which never fully mined the web's potential. I know I'm a broken record on this, but video producers must learn that syndicating their video as widely as possible is imperative.

4. Nielsen forecast underscores smartphones' mobile video potential - A couple of readers pointed out that in yesterday's post, "Mobile Video Continues to Gain Traction" I missed relevant Nielsen data from just the day before. Nielsen forecasts that smartphones will be carried by more than 50% of cell phone users by 2011, totaling over 150 million people. Nielsen assumes that 60% of these smartphone owners will be watching video translating to an audience size of 90 million people. Its research also shows that 47% of users of the new Motorola Droid smartphone are watching video, vs. 40% of iPhone users. Not a huge distinction, but more evidence that the Droid and other newer smartphones are likely to increase mobile video consumption still further.

Enjoy your weekends!

Daisy Whitney and I are pleased to present the 40th edition (whoo-hoo!) of the VideoNuze Report podcast, for November 13, 2009.

This week Daisy first shares observations on her recent interview with Gary Vaynerchuk, who is best known as the host of Wine Library TV/The Thunder Show. Gary has a new book out called "Crush It!" part of a 10-book deal he did with HarperStudio. The book focuses on how you can build your personal brand using all of the Internet's various communications tools. Vaynerchuk has a lot of credibility as he's built up a huge following for Wine Library TV. Now with the books, he's showing how online popularity can be leveraged into the print world. For a good example of the show, check out this episode featuring Wayne Gretzky.

We then shift to my post from earlier this week, "Sony Gets It Wrong with 'Meatballs' Promotion." I took Sony Electronics to task for a new promotion they're starting which provides a free 24 hour rental of the movie "Cloudy With a Chance of Meatballs" to buyers of connected Sony Bravia TVs and Blu-ray disc players. It's also available as a $24.95 rental for current owners of these devices. I explain more about why I think this promotion falls way short and does little to advance the agenda of delivering movies via broadband.

Click here to listen to the podcast (14 minutes, 12 seconds)

Click here for previous podcasts

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