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November, 2011

Apps on TVs

The complexities of the television industry and the challenges of internet distribution.
There's been some acceptance that Apple would get into the TV market for the last five years and the fires were only fanned with a quote from the new Steve Jobs biography about how he had "cracked" the problem. John Gruber and Jason Kottke think the Jobsian solution looks like apps, not channels:
Letting each TV network do their own app allows them the flexibility that writing software provides. News networks can combine their written and video news into an integrated layout. Networks with contractual obligations to cable operators, like HBO and ESPN, can write code that requires users to log in to verify their status as an eligible subscriber.
Over the last few weeks I've been singing the praises of the Watch ESPN app to anyone who will listen. With your cable credentials (well mine at least), you're able to sign in and watch ESPN, ESPN2 and a whole bunch of other content that didn't make it to a numbered channel. It's a great and somewhat peculiar experience. After just a few minutes of watching SportsCenter you notice two big things. First, there are no commercials, they just say "commercial break" and show nothing. Second, there is no MLB content. When they went to baseball highlights (a big SportsCenter topic over the last few weeks), the screen went blank again just like it did during a commercia (sometimes it just showed the score or got blurry). I'm assuming because of MLB.com, Major League Baseball controls the exclusive internet streaming rights. It's not a dealbreaker for me, as I'm a football/NASCAR man, but it does speak to the complications of the television industry, which Dan Frommer wraps up nicely in a response to Gruber's post:
For the networks, not pissing off the cable guys means staying away from putting too much digital video on TV sets, especially for free. iPhone and iPad apps aren’t as bad. And yes, the geeks among us have been plugging their laptops into their TVs for years. But putting stuff on a TV set in a way that’s easy for normal people to access — and in a way that competes with traditional TV — is still a no-no for most networks. Especially the ones that are more dependent on affiliate fees, or hope to make the argument for higher affiliate fees in the future.This is one reason that TV networks have blocked Google TV from accessing their content. And why many iPad video apps don’t let you beam the video to your Apple TV via AirPlay.
I really like it when people lay out the realities of a business for the world. Often we hear about how broken the television industry is, but if you're a cable company things are pretty peachy. Sure you are fighting against putting too much content on the web and pissing off the digirati by blocking your content from Google TV, but you don't care much because you get paid truckloads of money for absolutely nothing. How many other businesses are there on the planet where you get paid regardless of whether someone has any interest in ever interacting with your product. Sure this will change, and no company has done a better job over the past 15 years at pushing industries with seemingly unbreakable business models into a new way of thinking (music and mobile), but television will be especially tough because of both the economics and Apple's past success. Or, as Frommer puts it:
The people running TV networks are not dummies. They may be slow to adopt new technology, but they’re not stupid. They saw what “working with Apple” did to the music industry. And they are set on making sure that if Internet distribution and new technologies eventually redraw the entire TV distribution chain, it happens on their terms and on their schedule.
Okay, enough writing about Apple. Back to regularly scheduled internettery.
November 2, 2011
Noah Brier | Thanks for reading. | Don't fake the funk on a nasty dunk.