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You are currently browsing the ActiveVideo blog archives for March, 2010.

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Archive for March 2010

All News is Local; it’s Not All on Your TV
Thursday, March 25th, 2010 by Edgar Villalpando – SVP Marketing

DisneyWorld

It’s been said that all politics is local. Probably, although it could also be said that political animosity crosses all boundaries.

While all news is not local, the most important news to any citizen is the hometown neighborhood rundown. While it’s nice to know what’s going on in another part of the country or world, it’s pretty damned important to know why those fire trucks are down the street when you don’t see any smoke or flames and why there are news station helicopters circling over your backyard.

Local news has become an essential element of the Internet. Boston.com, the online home of the Boston Globe, just launched a 90-second midday video update. Even the smallest weekly newspapers maintain and occasionally update Web sites with the latest details of the Fourth of July parade and that fender bender at Main and High. Local television is another matter. Whether you’re viewing on the Web, on appointment TV or patiently scrolling through a ton of digital channels to find just the right program, local TV is spotty at best.

That means there’s an opportunity for collaboration between groups that don’t always collaborate: local cable systems, local newspapers and local broadcasters. The goal would be local news at the touch of a button on the local cable system. The three might actually be able to pull free of their death grips and cooperate on some advertising platform, although that type of cooperation might be asking a bit too much.

On another level, there’s a simpler collaboration. Local broadcasters and/or newspapers could partner with “citizen journalists” to bring the dynamism of Web newsgathering to the television. Using cloud-based technology for a company such as ActiveVideo, a personalized, Web-driven local news channel could be delivered to every subscriber’s set-top box or broadband-connected CE device.

While your channel would be reporting on that fire down the street, the folks in the next town might have coverage of the Lady Gaga Lookalike Contest. Instead of the viewing for your entire market area being controlled by the local news director, the stories you see would be determined by your preferences, your location and your past viewing choices.

With TV Everywhere, the concept can even be carried into the pocket of the consumer with a smartphone and access to his cable lineup. Out of town with a neighbor? Your smartphone could tell you whether the school budget passed, while his would be delivering video of his son’s semifinal wrestling match.

When it comes to news, the old saw is that there are three things people want: local news, information on trash pickups and obituaries. That’s probably not entirely accurate, but the bottom line is that local news relies on a simple formula that’s worked for decades. There’s no reason why it couldn’t be even more effective on television with just the push of button.


Access, Access, Access
Thursday, March 18th, 2010 by Edgar Villalpando – SVP Marketing

DisneyWorld

When Walt Disney was scoping locations for DisneyWorld years ago, the selection of Orlando was no accident. Walt saw I-4, the Florida Turnpike and an airport and knew that “Location, Location, Location” really meant “Access, Access, Access.”

Ol’ Walt had the right idea. He knew that it wouldn’t matter how much money was poured into a project if people couldn’t get there easily.

So here we are today with Hollywood embarking on another venture—not quite on the scale of DisneyWorld—but significant nonetheless. Wayne Friedman of MediaPost wrote this week that a who’s who of studios are working with the cable industry to launch a new effort to jumpstart Video-on-Demand. The “Movies On Demand” service has been depicted as a $30 million effort to “highlight VOD services, which would heavily compete with brick-and-mortar video stores and other digital film services targeted at consumers.”

Wayne says this is a major effort that will include increased availability of recent box office hits; a sweeping promotional campaign that will encompass TV commercials, print and interactive; and a dedicated Web site called CableVideoStore.com. What’s not to like?

I’m excited that there’s a big commitment to VOD, but let’s not forget the big reason why DisneyWorld landed in Orlando and not in Outer Mongolia. You’ve got to have a simple way for consumers to get to the product, or they’re not going to be motivated to buy.

Imagine if parts of DisneyWorld were tucked away in a daunting maze of one-way surface streets and stop signs. Or if the airport could only handle short-hop flights to a few nearby hubs. You’d have people clustered in one part of the park while other attractions went unused. Or worse, you would have people who would say that it’s just not worth the effort to go there in the first place.

While operators are working hard to make improvements, cable VOD remains saddled with outdated interface paradigms, most notably an EPG extension, where VOD titles are listed as if each movie is a separate “channel”; and a flat category and title menu system, which leads to a preponderance of purchases of movies with titles that start at the beginning of the alphabet.

A promotional campaign and improved film availability windows won’t change that, but hosting the navigation interface in the network “cloud” can. CloudTV™ (Doncha just love the way I weave that term in every now and again?) can enable operators and on-demand content providers to offer customers the flexible search and discovery they need to find the titles, actors and genres they need. Just as importantly, it allows Netflix- and Amazon-like recommendation engines to help titles “find” customers, based on established viewing preferences.

And, of course, because the navigational interface is delivered as a single MPEG stream, it can provide VOD customers with the same search and discovery experience on any digital set-top box or web-connected CE device.

When DisneyWorld was just a gleam in Walt’s eye, not even he could have imagined just how big an impact it would have on its market. Nor can we know, in a world of increased consumer choice and control, just how big on-demand viewing will become.

What I am certain of is that promotional efforts and movie windows will be only parts of the success story. If we’re going to get maximum return from our VOD investment, it will be important that customers have the easiest possible access to the content that they want to see.


Don’t Box Me In
Thursday, March 11th, 2010 by Edgar Villalpando – SVP Marketing

STBs

Pop quiz! How many boxes do you have in your home entertainment center? You probably have one for the cable/satellite/telco video system; one for the audio system; a DVD player, or two if one’s a Blu Ray; perhaps a CD player if you think you get better audio from a standalone unit; maybe a turntable or tape deck—especially if it’s one of those new deals that record old vinyl onto computers; maybe a lingering VCR that hasn’t quite gasped its last breath; probably at least one game console; and perhaps a modem or some other computer-related device.

If you’re like me, you have more boxes than the Macy’s closeout aisle on Christmas Eve. So why would you want another one to do interactivity?

That’s why I have to wonder at the business models behind recent announcements by Google and TiVo that they’re pushing Web-TV connectivity. Both announcements included yet another box.

In Google’s case, the box might be a replacement for a satellite receiver—or it might be an add-on; hard to tell. One way or the other it would contain all the software elements for an interactive Web-based connection to Google and other Internet content and would probably come with some exclusions as to where it gets the content and how it puts it on the screen.

TiVo, of course, cut its manufacturing teeth building boxes and had some relative success selling them as parts of home entertainment systems for a while. TiVo might be including its software into cable hardware, but, like Google and some others who are attacking the nascent interactive space, TiVo is building another box to do the job.

Call me unrelenting but I think it’s just common sense to take away a box and put the necessary Internet and interactive connectivity off-premises in the amorphous Internet cloud. Who really needs another device to store still more content that can be accessed from sources outside the home? If you want interactivity, isn’t it easier to give a command to an existing box and let that unit, which is already there, go find the content from its convenient location off-site? It gets there just as quickly; you have as much control over it as you want when it arrives; and if you really feel like storing it, there’s plenty of storage capability on many of the boxes you already own.

Adding another box to a home entertainment center today is like throwing another pair of shoes into Imelda Marcos’ closet. It might look nice, might give you something the other boxes don’t, but in the end what’s already there is already made for walking.


Cloud’s Promise: Always Up To Date
Thursday, March 4th, 2010 by Edgar Villalpando – SVP Marketing

Old TV

A guy I know owns a 35-inch Sony television that weighs just slightly more than a Cadillac Escalade, takes up about a quarter of his bedroom and consumes enough energy to make Al Gore lose weight with worry.

He bought the set about 15 years ago, just as flat panel TVs were coming onto the market, because a television set manufacturer’s rep said that HDTV would take about six years to really get rolling. Six years after buying the Sony, he bought a full-featured digital HDTV and put it in his family entertainment center. He gave the delivery guys an extra 50 bucks to move the Sony to his bedroom where it’s been making dents in the carpet ever since.

When I pointed out to him that new HDTV sets don’t cost that much and do so much more, he looked at me blankly and said: “Why would I want to get a new set? This one is a Sony, no baloney. It’s got a great picture and pretty good sound. There’s nothing wrong with it.”

Except that it can’t show off that picture without some form of analog-to-digital device to pick the signals off the air or over the cable, satellite or telco network. Neat features like picture-in-picture are obsolete and have been for years, although they were extras when the set was bought. And, as mentioned previously, it weighs a ton and spins the energy meter.

“So?” he answered. “It gets a good picture and it’s great for watching Leno on the Tonight Show before I go to sleep.”

End of story. At least end of his story. The story of hardware versus software; device versus cloud has been ramping in volume about as long as that guy’s owned that set. It was a big topic of debate at the TV of Tomorrow Show where there was sharp division between those who would put the smarts into the device—can anyone say TiVo—and those who would make the cloud the final repository.

Put me among those who think the cloud is the best place to put the most information. As my buddy’s TV demonstrates, consumer electronics devices are built for obsolescence but not overnight obsolescence. Applications and content are immediate and changes in how they are delivered and especially how they’re received and displayed can happen overnight. Somewhere along the line a featured device that depends on its software and mechanics to deliver the latest in home entertainment will outlive its ability to do so—unless, of course, it’s attached to another device that can receive that information. Of course a device that’s built with the scalability and upgradability to switch with the times will never become obsolete; it may break and it may die from old age but it won’t stop serving its purpose.

Fifteen years ago my buddy had six years to worry that his set would be replaced by an onslaught of HDTVs. Today’s device, like a car that leaves the lot and depreciates to junk, is likely to be obsolete before the consumer even understands all its features. Isn’t it a better idea just to put those features in the cloud and give the consumer access to them via an open-ended device?

By the way, my buddy figures to move in the next year or so. When he does he won’t be taking his Sony along—not because it doesn’t work, but because it weighs so damned much he knows he’ll never move it.