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Ad supported content and set-top boxes key to future according to analysts

15 September 2007 12:25 by Rich "vurbal" Fiscus | 3 comments

Consumer technology analysis firm Parks Associates sees DVDs, diversity, ads, and set-top boxes as keys to successful digital video delivery.In a recent report they looked at a variety of technolgies ranging from broadcast television and DVRs to video Streaming and downloads and came to a number of conclusions, many of which match conclusions in a similar report from last year.

Among their chief observations was the amount of diversity in delivery channels for video, not just between companies, but often within a single company. For example, although Netflix and Blockbuster both have internet DVD rental servivces, Netflix also operates a streaming service for their customers, while Blockbuster is purchasing online movie service Movielink and already has the largest chain of brick and mortar DVD rental outlets in the U.S.

Another interesting observation regards the success of ad supported video while user paid content seems to be floundering. Despite resistance to this new model from many sides, from television network and viral video sites are having a much easier time courting advertisers than commercial content providers trying to find customers. Of particular note was Google's decision to drop Google Video months after acquiring YouTube.

Meanwhile some companies, most notably television networks, are seeing success making shows available online in a variety of different formats. With networks often owned by large entertainment conglomerates, the report finds that the key to success for these sites is creating an identity to establish a sort of "brand loyalty" among viewers.

Finally, they mention that the proliferation of set-top set-top boxes may spark a boom in internet based content as it becomes easier to get content to your television instead of having it held hostage on a computer.

Source: TechNewsWorld

Permalink to this article

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Discuss this article!
webe123 (Inactive) 15 September 2007 18:01
I don't mind watching ad supported content.But I will NOT pay for it myself. [ + quote]
borhan9 (AfterDawn Addict) 17 September 2007 3:35
*Originally posted by webe123:* I don't mind watching ad supported content.But I will NOT pay for it myself. ditto. [ + quote]
wazzat (Junior Member) 22 September 2007 14:49
Pay for Directv or cable and be force fed lovely commercials. [ + quote]