More new TV video platforms will start this year. But
there'll be a price to pay -- for all concerned.
For CBS' Les Moonves, this will come in the form of new subscription video-on-demand services -- like Netflix, Amazon and Hulu. Moonves hopes
that new companies will pay TV networks decent fees for airing older episodes of shows -- like Netflix does. In turn, consumers will also need to open their wallets.
Viewers are getting primed
for all this -- in different ways. For example, about half the country more or less delves into 'video-on-demand' of TV shows. That's right. But it isn't through traditional cable VOD-type services.
It’s from home DVR units.
If consumers are already paying a $5 or $6 DVR monthly fee to a TV/video multichannel distributor, there already is a connection. What’s needed now is a
more savvy subscription VOD company, like Netflix, to market the transition.
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Right now, no single SVOD company has enough programming heft to make this a reality. Neither Netflix nor Amazon
has a wide range of network and cable programming to convince consumers to make the switch. Even Hulu -- with the likes of NBC, Fox and ABC programs in its stables -- can't truly be pitched as a
pseudo-DVR alternative.
And TV viewers might always want a form of DVR under their control -- at least in the near term.
For CBS and other companies, a new wave of SVOD services --
paying handsomely for older programs or year-old episodes of current series -- is a good deal. So are upcoming higher retransmission revenues. But not buying the likes of TV Guide Network
or Hallmark Channel.
That's because the goal is all about big-time costly programming, not something mid-size channels or others can support. That said, even CBS wants to start producing more
for the bigger general interest cable networks. But that would just be a starting platform to sell shows internationally and digitally.
For many networks -- cable and broadcast -- big
time-shows will continue to demand big dollars. Somehow and somewhere, new VOD services will have to adjust to those business metrics.