What’s the point of an Android-powered TV - isn’t television supposed to be kind of dead anyway? Now, let’s be realistic. Dead looks like GM’s Hummer: a broad butted relic from those merry days, when the environment was something to train your four wheel drive in.
Sure, TV as-is gets into some rough spots: economic downturns and big corp ad spending don’t go that well together. Local TV has been an almost exclusive ad playground for local car dealers. Tivos are attacking scheduling and audience flows. But, guess what: people are still watching. Because, addictions are hard to break.
Still, we tend to mix the means of delivering content (broadcasting television) with consuming this content (watching tv). For peak audience content, broadcasting is still hard to beat (just look at the half a billion Dollars big G is supposedly shelling out for streaming YouTube’s vids). But descheduling and instant access, that’s is pretty much how consumer’s want to see their future tv. That’s why the toughest competitor to network tv is not a YouTube channel, but your home network.
I really mean it: if you’re running a tv network, treat home networks as potential affiliates in a different time zone. And that’s how we’re coming back to Android. It’s just a boring operating system, currently huffing and puffing inside some halfway decent smartphones. It’s free (hardware guys like that idea) and the potential trojan horse for one of the most aggressive data driven media companies (like phone book publishers in the 20th century) in the whole world. Which is a bad metaphor, as ye olde Greeks needed their one trick pony to resolve a 10 year long siege. But the Goog needs a whole army of tiny trojans to foster new markets to prevent itself from becoming the one trick pony riders of the contextual text ad.
Now, what’s good for Google isn’t necessarily good for the rest of us. If an 800 pound gorilla waltzes through the jungle, “do no evil” does not prevent massive collateral damage. But especiallly in the realm of TV and TV distribution, some creative destruction might be welcome.
I don’t believe in Android powered TVs as a home media platform. It’s bad practice to hardwire a piece of furniture (displaying device: life expectancy of roughly a decade) with a computing platform (tends to age in hyperspeed). But if my stupid Android-enabled TV talks to my Android-powered smartphone, we might be getting somewhere. Especially, if everything’s linked in the background by one mighty media company.
For developers, the beauty of a concept like Android for TV is easy: the days of the web as the all consuming platform are numbered. We’re entering a data driven world, with lots of devices and platforms, talking to API-enabled services. Look at Twitter as a poster child. Conten/data and presentation layer are not related in any kind of way.
On the other hand, the world of tv distribution and its related hardware is still a cumbersome hodgepodge of everything. It’s the old school of electric media, when radio was a humming thingy called radio, which was sitting in your living room, which you turned on to listen to: radio. Don’t expect anyone anytime soon referring to his tv or whatever device as an Android.
We’ve seen the future of iTV. And it’s purple. Seriously. Yahoo’s Intel-based Widget Channel might become the iPhone of interactive TV. Not because both are based upon a expensive platforms. But because the Widget Channel leverages formatted internet data onto a TV screen. Web surfing on a tv set is just a poor experience. Visualizing targeted data is something completely different.
It’s just like on the iPhone. I don’t browse the NY Times web site in Safari, but I read Paul Krugman on the iPhone app. Same with the Widget Channel. Mostly, I don’t want to search weather.com. I just need my local forecast now.
Chumby hooking up with Samsung leads into the same direction. Grabbing existing data and displaying them on consumer devices (digital picture frames are just bonsai-sized video displays anyway).
This sounds smart: MySpace leverages their mass of uploaded bootlegged videos (as long as they are properties of Viacom’s MTV Networks). Every uploaded video (80 000 per day) will be run through Auditude’s “fingerprinting” system. MTV content will get some ad overlays, the 3 parties involved will share the ad revenues. The “benefit” for the 4th party, the uploading MySpacer (a.k.a. the editor) seems a bit weaker: he will not get reprimanded …
German pubcasters are the BBC on steroids. Moneywise, at least. Their combined annual budget dwarfs the GNP of a couple of lesser UN-members. And even hardboiled tax collectors blush at the methods of their fee collecting agency GEZ.
Don’t get me wrong. Strong and independent public broadcasting is an important asset. As seen in the US, a beggar’s banquet of impoverished do-gooders cannot counterweight a fully commercialized brainwash attack. State controlled tv is a terrific tool for thriving populists, post-imperial imperialists, and media savy dictatorships (and definitely not an option).
Still. If you want to collect billions and billions of Euros for the greater good, a well aged argumentation line from the black and white days of the tube won’t do you any good. EU commissioners want to pull the plug (commercial broadcasters will see to that). And the German publishers are finally starting to see a problem with those hidden champion media empires. Because it’s not about here’s print, there’s tv anymore. On the web, all media cats are prey.
The last political fiddlings ended with some strange solutions like this. Yes, the pubcasters can put some their video assets onto the web. But after seven days, they have to be removed. Weird. Even weirder: there are paid deals between mega publishers and mega pubcasters on video syndication. Uhum. Excuse me. Looking at organizational structures of German pubcasters, the micro money passed from WAZ to WDR most likely won’t even cover the process cost. So it’s probably all very strategic. Or maybe just helpless. Redefining public broadcasting for a networked, digital media world it isn’t. (Because, more likely, it will look more like this.)
It’s not helping anyway. Will Münchner Erklärung, the Munich Declaration of the big wigs of German publishing, kill public broadcasting? Nope. We’re more likely talking about assisted suicide anway.
That’s good news, isn’ it? Even with monies evaporating all over the place, converting dead loans into dead funds, VCs are still investing in online video. NewTeeVee reports some nice numbers: “This year, 29 startups have already received funding, and the average amount is on the upswing, too, to $7.5 million.“
TechCrunch has a pretty interesting write up on this. And of course, it’s not about a settop boxes at all. Think Android For TV, says Erick Schonfeld. Right. Google getting into CE hardware would make as much sense as King Midas getting into copper mining.
Still. With an Android TV, we should finally stop thinking of settop boxes. First of all: what’s an STB anyway?
Now, let’s take a step back. There’s this wonderful new HDTV set you just bought. It probably already has more computing power than NASA needed to put a man on the moon. The descrambling part, well, think CableCard 2.1. You just need a card reader, like the SIM card on a GSM phone. There’s no need for a stupid box to be attached to a smart tv.
And of course, as the history of computing teaches us, the smart tv - if you really want it to become smart - should have something like a nice, stable standardized OS as a foundation. The basics, besides handling all the standard stuff like putting moving images on a screen, would probably be something like
Now. Forget about storage and networks. The really interesting part will be the UI. Why? Well, Google is in the ad business. And the quantum theory of adverising teaches us: an ad nobody looks at does not exist.
Now look at the status quo. In one corner, we’ve got the media sales super giant with a market cap higher than the stratosphere. In the other corner, we’ve got the incumbents: cable MSOs, satellite operators, some DSL, and last but not least: the tv networks and stations. Representing the allocation of the largest piece of global media cake. Backed up with a finely interwoven network of legalese and some well greased, age old business relationships. Don’t try to push some interstitials in between their shows. Because that’s exactly the incumbent’s billion dollar business. And a well protected turf.
So. Where’s your disruptive moment? Your leverage? It’s not that the tv ad sales business is desperately looking for some streamlining.
Now think UI again. And have a look at the Electronic Programming Guides of nowadays: thick as a brick. TV means: you’ve got time to waste, but no screen real estate to do the same. And what does your run of the mill EPG? It wastes your valuable tv-time AND your screen real estate. Instead of waiting for the scrolling listings of the TV Guide on Screen (late 20th century), now (early 21st century) you click, click, click until you might find (or, most likely, not) the craved for nugget of information. Even worse: with all the computing power in your household at its (virtual) finger tips, an EPG stills treats your grandmother with the same relentless indifference as it treats you. For an EPG, The Weather Channel (TWC) comes just after TCM, because it’s spelled like that.
Current EPGs are just plain vanilla displayed data. Not even information, because this would imply some intrinsic value. How comes? It’s a structural problem: “Premium” EPGs, which are slightly better, cost you a premium.
You meaning: the operator. And the question you’re asking yourself (or your market researchers) is: is a better EPG a reason to subscribe? Would it reduce churn? Good question. Your panel won’t be able to answer that. Because they’ve never seen a really good EPG.
Or you meaning, the manufacturer. Mostly trying to keep cost down, down, down. Because if you want to ship units, it’s a really low margin business.
Or you meaning: the consumer. Yes, friends of Tivo, if you’re really good, a company might find some handfuls of consumers, paying a monthly premium. But tv is a mass market. Paying premium is not. Therefore, Tivos are the CE equivalent of a Beemer.
Now how about this. If a well known company offers you (the manufacturer) a piece of software for free (hey, no licensing fees!), which even handles most of the basics things you’re going to have to implement anyway? Maybe you’ll have to add some dollars for hardware. But at least, that’s a business you understand. And it’s still cheaper and it even gives you some leverage with your operator clients. Because it’s not just a better device. There are even some ad revenues the well known company is offering to share with the operator. But wait, there’s more: how about if you (the operator) doesn’t just get a new, incremental business. They’re even throwing in the additional incentive of lowering your cost of operations (it has been nice working with you, Gemstar). And that’s just the beginning.
Sorry. I got carried away a bit. This wouldn’t be Android TV, but Trojan TV. And maybe, you do not even need the operator that hard. As long as you are in the tv and got a net connection. What the heck. As long as your Android powered TV set chats happily ever after with your Android powered cell phone, filling iGoogle with all the behavioral data it needs to serve you the ads you deserve.
If you are a) into soccer (or fussball or football …) and b) own a cam corder (or a mobile which handles a video a bit better than my SE K610i), you’re invited to put your fan video on halbzeit.in, which translates into halftime.in and is our little video sharing site.
Why are we doing this? On YouTube, MyVideo, Sevenload, there’s already tons of fan related material. Sure. But a) we like soccer and b) we want to put the stuff on our tv channels (don’t try this with bootlegged flash encoded video material).
And not to forget c). Yes, on YouLoadMySevenVideo, there are already some trillions of uploaded videos. So your pretty cool fan action will have neighbors like this one.
Nachdem Bertram gerade so schön das Thema Das Internet und die öffentlich rechtlichen Sender aufgemacht hat, kam gestern die Ernüchterung. An Stelle von ARDtube mit Embed-Codes für alle Inhalte und was man sich sonst noch so schöne Dinge überlegen kann, rückte die Realität. Ich durfte beim rbb eine Podiumsdiskussion verfolgen. Das Thema: Total digital? Die Zukunft der Medienwelt in Berlin und Brandenburg
Als ich reinkam, frage ich den Portier: Ich suche die Zukunft der Medienwelt? Sagt die neben ihm stehende Frau hinterm Tresen: Die suchen wir hier auch schon länger. Aber wenn sie zur Veranstaltung wollen, dann geht’s hier schräg rechts nach hinten. Das war denn aber auch so die einzig pfiffige Bemerkung des abends. Der Grundtenor ging eher so: Ja wollen die Leute überhaupt diese vielen verwirrenden Sachen wie DAB, DVB oder [schluck] Internet, bildungsbürgert gutmenschlich Moderator.
Der Printmann von der Märkischen definiert das Netz immer noch als ein “weiteres Distributionsmedium”. Leserkommunikation ohne Medienbruch ist für ihn bestimmt ein Zeitungspapierflieger, der ihm ins offene Redaktionsfenster geworfen wird.
Und Dagmar Reim, allgewaltige Intendantin des rbb, ist stolz auf ihr digitales Sendezentrum (recht so). Und findet werbefinanziertes Lokalfernsehen durchweg suspekt und popelig (nachdem Wolf Siegert aus dem Digitalisierungsbericht der Landesmedienanstalten zitierte, dass gerade lokales Fernsehen von Digitalisierung und immer günstiger werdenden Technik profitieren würde). Suspekt weil: das lokale Autohaus ja mit ein paar hundert EUR den Sendebetrieb finanzieren würde und demnach auch das sagen hat.
Je nun. Ich finanziere auch via GEZ den Sendebetrieb des rbb, und hab dorten, wie allen andren gebührenzahlenden Zuschauer auch, erstmal rein gar nichts zu melden. Und die rbb Media GmbH verkloppt nur nichts an lokale Autohäuser, weil der rbb lokal schlicht nicht vorhanden ist. (Nicht das im lokalen Rundfunk alles zum Besten steht. Aber dafür finanziert TV Winzstadt auch nicht die Tour D’Oping und muss nicht alle naselang einen Sportkoordinator wg unsportlicher Umtriebe freisetzen.)
Kinder, Kinder. Zurück zur Sache. Da sitzen die Kollegen auf Bergen von Inhalten, und alles versendet sich wie zu Grossmama Dampfradios Zeiten. Muss doch nicht sein. Geht doch auch anders. Aber lieber wetteifern die Fernsehfrau und der Zeitungsmann um ewiglichere Themen: wer stirbt zuerst aus - Zeitungsleser oder öffentlich-rechtlicher Fernsehzuschauer? Vanitas vanitatum, macht nix. Die Berlin/Brandenburger Unternehmen EOStv und www.der-billigbestatter.de helfen ihnen gerne weiter.
Na eben. Poppt doch, die Zukunft der Medienwelt in Berlin und Brandenburg.
First thing I have to say: Bertram and Harald did a phantastic job. This is grand. But unfortunately, I’m a bit in a nitpicking mood.
Let’s start with some of the basic assumptions. The assumed basic cost structure for a free tv network doesn’t make too much sense. Yes, the key areas are right: content licensing/production, marketing, and distribution. But distribution is not a variable. At least not, if you need national reach. The more coverage you want, the more you pay. Let’s just assume that German mega broadcaster RTL pays annually about 12 million Euros to reach its tv audience. 9live has almost the same distribution. And therefore pays about the same amount of money. The big difference: RTL has renevnues of round about 2 billion Euros. 9live makes about 60 millions.
This has of course serious implications. The cost of distribution limits the access to the public (as do the technical limitations, e.g. available spectrum). It’s called mass media, because you need the masses to watch (or interact, as it’s the case with 9live). Otherwise, you’re going to be out of business pretty fast.
Pay tv is kind of different. Essentially, as a channel operator you have to convince a gate keeper, that the he should shoulder the cost of distribution, against a revenue share. Joost seems to aim to become some kind of funny in between. A gate keeper for a p2p -based distribution of free tv.
Both approaches pose quite serious barriers of entry. That’s why one of the key factors in tv 2.0 is the lowering of the cost of entry. With web based distribution, you can reach an international audience for zilch. Hey, that’s a start.
Now, what’s going on with this audience? As a side note: tv networks (as most traditional media players) do not like Google. But the media sales organizations of tv networks do not (yet) feel the sting of Google’s AdSense. Yes, Google is a juggernaut. But the bauty of the text ad system has been, that Google found a whole new pot of gold. Google isn’t making it’s billions with the handful of mega brands, that fill the koffers of the tv networks. That’s why traditional media is much more scared of bud.tv and the likes. If the media buyers become audience aggregators of their own … As it turns out, it’s not that easy. Especially, because as a media buyer, you’re buying into consistency of reach. Ventures like bud.tv are, like any new media brand, a risky thing. And don’t forget: one of the heaviest spender in media is media itself.
But back to tv 2.0. OK, web based video lowers the barrier of entry. That’s good. The same reasoning applies to the cost of production. Not because of the web, but because the hard- and software for video production and editing is finally approaching zero. This applies to all areas. With my own company, we’re deploying professional broadcast playouts into cable headends. Unthinkable a couple of years ago. same with professional video editing. HDTV cameras. Post production and 3D animation. You name it.
This is good. But still: producing a video is still quite some effort. Will “moving images replace HTML pages”? Never ever. Producing a video is too much effort for the producer. And, for most parts, watching a video takes is too much equally. Why? Video is a linear medium. You can scan a written page in light speed. Speed watching isn’t that easy.
OK. Enough nitpickin’. Bertram and Harald are of course right. TV is going to change. The means of access to video content are changing. Channels as the main organizers of content access will have to change.
The funny thing is: we really don’t know, what tv really is. Do we define tv by content. Most likely not. Otherwise, we wouldn’t make a difference between tv and DVD. Do we define tv as a technology? That’s probably a bit closer.
It’s tv, if it’s broadcasted and displyed on a tv set. But how about PVRs? With video and DVD, we distinguish between a solid media and ethereal broadcast receptions. PVRs are a virtual broadcast.
tv reception itself won’t change that much. Why? tv is a linerar medium. If it’s good, you watch. If not, you switch. Or tune off. That’s all the interacton you ever need.
What going to change is how you find and access content.
The main difference between tv (as is) and tv (2.0) is the enhanced on Demand factor: on Demand with an URL. Because the URL opens up all other means of access, business models, and social feature you can imagine.
It’s a funny idea: ditch cable and/or satellite, use AppleTV instead. Steve Rubel goes wild again: At home I have a Microsoft Xbox 360 (they’re one of our clients) and an Apple TV connected to my Sony HDTV. The content I download off the Internet for the two set top boxes has definitely eaten into my time with cable. The latter cannot be beat for live news and sports - yet.
But is this scenario really ready for prime time? And, if not yet: when? Serving 110 Million US tv households their daily dose of tv content via the Internet isn’t even a pipe dream - it’s actually a nightmare for the guys running the pipes. Just a small handul of people are currently heavy users of Bittorrent. But the p2p brethern is already clogging up 60 percent of the net (sez Gartner). Currently, you cannot scale net video to mass markets (not to mention HD deliveries). And don’t anybody YouTube me now. According to Compete, this February the top 20 videohosters served round about 260 million web videos. Which is about 2.5 videos per householf per month. Meaning an average viewing time of roughly five minutes. Per month. TV is currently eating of 4.5 hours per person and day. So puh-lease: yes, it’s exciting. And yes: it’s great to be ahead of the curve. But the debroadcastization of the tv world won’t happen any time soon.