Cable providers eager to enter internet streaming market

By on July 9, 2013, 3:45 PM
amazon, intel, directv, netflix, hulu, cable, time warner cable, internet tv

It appears some of the nation’s largest TV providers are feeling the heat from Netflix and other streaming services. Not only did DirecTV purchase Hulu to give it some expertise in this area, but the company is now trying to secure over-the-top (OTT) rights from programmers. The purpose of OTT is to allow subscribers to directly access movies and TV shows via the internet, instead of a conventional set-top box. The initiative to acquire these rights is not limited to DirecTV, it also includes Time Warner Cable and Charter Communications.

According to the Los Angeles Times, TV providers don’t plan on making the transition to online content anytime soon. The primary motivation is to get on equal footing with rivals Netflix, Amazon and Hulu. They effectively want to widen their potential distribution channels, in the scenario that internet streaming becomes the most popular viewing method.  A DirecTV spokesperson told the LA Times, “Our programming deals are confidential so we can't specifically comment, but our one objective in these deals is not to restrict access but to ensure we get equal or better treatment with both existing and new competitors."

On another note, Intel is also trying to enter the broadband TV space. Although they wanted to launch the service later this year, they have failed to land any programmers to sign on. As a result, Intel is making up for its unproven reputation in the TV industry by offering extremely lucrative deals. Early reports suggest that Intel is willing to pay nearly 75 percent more than traditional cable companies for the same content.

Industry analysts have also suggested that Intel will have to land deals with five of the major six US media companies in order to provide a competitive breadth of channels. Not surprisingly, the chip-maker has tried their best to enter the market. A cable network executive explained that “they are very aggressive”, while a secondary source believes that once one programmer signs on, the rest should fall like dominos.

Image via TVSecrets




User Comments: 6

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Guest said:

ZZZZZ so much potential but so unwilling to go anywhere always last google had go fibre to home netflix etc proper OD comeone provide a service that eveyone want forget all the confidential nonsense...

Guest said:

"but our one objective in these deals is not to restrict access" yeah whatever that if the only reason....exclusives, just forget all that and can we not have one huge server which holds all movie music an tv show files and allow access by whatever means you are using being pc ps3 ipad netflix phone anything for a flat fee

Guest said:

And they'll bombard streaming content with ads just like a TV, and around we go. Greedy cable companies are the reason people prefer streaming content and now they want to get in there ahead of the masses and capitalize on it.

Scavengers Scavengers said:

And they'll bombard streaming content with ads just like a TV, and around we go. Greedy cable companies are the reason people prefer streaming content and now they want to get in there ahead of the masses and capitalize on it.

Hulu already does that. Even for paid subscriptions.

Dave

tipstir tipstir, TS Ambassador, said:

Hulu is run by Comcast they charge $7.99 a month for commerical ridden programming. I cancelled that service where I get my own HDTV ANT stick on the side of the house and ta da free TV. Netflix and Amazon Prime Instant Videos is more than enough for me.

CATV to Stream like Netflix will just tack on more fees and it will cost your more because CATV only in it for the high profits, but local HD Broadcast is started to air same type of programming for free. Best CBS, NBC, CW, etc. GetTV, LWN, METV, Bounce networks and more are coming I have 71 channels from the outdoor HDTV ANT.

Renrew Renrew said:

To be fair, Hulu Plus has no commercials on their movies yet. Their TV commercials are most annoying, They pop up every 5 minutes or so and there us very little variety.

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