For all those of you who haven’t figured it out, the near future of TV is the Internet. The future of radio is also the Internet. That is true for two reasons: price and reach. It costs less to broadcast across the Internet as it will with standard broadcasting transmitters and equipment, and the advantage is much greater.
So, I was amazed when news broke that Hulu, a pioneer in distributing network TV on the Internet, is considering shifting its business model to need audiences to subscribe to cable or satellite services.
Here’s a snippet from PCMag’s policy:
Hulu is allegedly seeking to modify its business model to one which will need audiences to sign in using a username and password in their cable provider to get paid content, a la “TV Everywhere.”
This is a really decorative idea. Dumb, also, since it doesn’t take whole advantage of this paid iptv distribution version which ought to be a fourth approach to get broadcasts–a standalone system. It shouldn’t be dependent of another three supply approaches: cable, satellite, over-the-air (OTA).
More to the point, so far as the networks are concerned, it is going to remove the one opportunity there has been to have a community TV merged arrangement where everybody would get their TV in the Internet in a really controlled manner. A location possessed by the networks themselves: Hulu.
Rather, the entire thing wills balkanize and wind up spread out anywhere, which will allow more competition since everybody is going to be on equal footing.