Peter Krasilovsky's

Local Onliner

May 21
2009

WMS ’09: New Tech is Redefining the TV Experience, Business Models


New digital technologies using ATSC-DTV standards are redefining the TV experience and enabling new business models, says Glenn Reitmeier, VP of Tech Standards and Policy for NBC-Universal, who was speaking at BIA’s Winning Media Strategies conference in Washington D.C. “We are at a really exciting phase” akin to General Sarnoff’s use of radio receivers to redefine the radio industry.

Reitmeier says that what we’re seeing is a new software-based environment that acts as “an application framework” allowing such features as conditional access, subscription pay per view, digital rights management content downloads. When that is combined with interactive channels, a whole new world opens up, including voting, social networks, ecommerce and targeted ads.

The advances will enable broadcasters to reclaim their fundamental advantage by 2015, says Reitmeier. But it isn’t about the home TV. Fundamentally, consumers just want content on any screen. Devices such as video enabled phones are exploding, helping achieve growth from this “very mature business.”Non- real time services are also an important part of the equation, including on demand and cllipcasting, targeted ad insertion, and location based preference codes.

Mike Bloxham, Director of Insight and Research at the Center for Media Design at Ball State University, speaking on the same panel, continued on the same theme. Indeed, a recent study by The Center quantified 65 different categories of media consumption using four types of screens: TV, computers, mobile and “other,” including GPS, in-screen navigation etc.

While digital has added diversity at every demographic, Bloxham is quick to note that live TV still dominates and is used 318 minutes per day on average. That includes more than an hour of commercials – more time than is spent viewing news.

Pundits who have written off live TV in favor of the Internet, game consoles and Digital Video Recorders are getting ahead of themselves, he notes. It hasn’t happened yet. Those media are used far less. “Television is a very solid business for many years to come,” says Bloxham.

At the same time, “television” now consists of a mish mash of each platform. There are no ‘TV companies’ anymore, he says. “There is ‘platform promiscuity.’ Consumers don’t care in the slightest if programs coming in via telcos, mobile whatever. “

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    Thanks for coming to my personal site. Most of the content on this site is also found on BIA/Kelsey’s Local Media Watch, which includes material from other BIA/Kelsey analysts. I am a Vice President with BIA/Kelsey, and am focused on the Marketplaces research program.

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