Alex has once again put out an intelligent paper that explains the floodgate that is now bursting with the Internet becoming a distribution medium for content. Will content owners change their historic ways? Will P2P networks continue to grow?
We at TVover.net know exactly how right Alex really is. Based upon traffic from our Internet TV directory, we've been witnessing millions of people over the last week looking to watch the World Cup online. There are only a handful of channels out there (ESPN360, BBC, etc.) as FIFA's broadcasting rights are pricey and limited to geographic areas. Where does the average consumer turn to? All the P2P video broadcasting networks.
Take the time and definitely enjoy the thought-provoking read for some interesting discussions.
By Alexander Cameron, Managing Director, Digital TX Ltd.
The textbook says content is king, and that saying is something every telco and ISP worldwide is contemplating after realising that if they throw enough technical people at the IPTV infrastructure problem they can put a TV network together. But putting the wires in doesn't make people flock to your service like broadband or telephony does. TV is not just a whole new ballgame but a massive leap of competence and faith. To attract customers, you need good content, and getting it is no afterthought – there are far too many IPTV projects alive in the world today where content is seconded or laughed off. It's a very deadly mistake.
It's often easy to forget the humble beginnings of content owners, but a good place to start is with ASCAP (American Society of Composers, Authors, and Publishers) and the BMI (Broadcast Music Incorporated), both created just under a century ago to protect the rights of musicians, similar to the UK's PRS and MCPS. Before the 1920s, people didn't pay for entertainment like we do today – radio stations broadcast performers live without paying them. Radio (or the "wireless") changed everything.
During wartime ASCAP members (predominantly musicians) boycotted the radio as the industry had become motivated to have their assets protected and paid for. Slowly they came to rely on the new medium until it formed the very backbone of their industry, once they were able to be compensated for their work being played on it. History repeated itself with vinyl, cassette tapes and internet P2P piracy today.
But this time content's kingdom is crumbling. Right before our very eyes, slowly and gently.