March 27, 2012
Internet streaming: Replacing cable and dish
People are mistaken who believe internet video streaming is a fringe market. Watching television programming through subscription services like cable and dish is becoming increasingly expensive while online video streaming is free or becoming cheaper with more content being added daily. Streaming is “the process of providing a steady flow of audio or video data so that an Internet user is able to access it as it is transmitted.”(Daintith, 2004) In time internet video streaming will replace cable, dish, and over the air broadcasts as the main source of televised programming. It is easy to see that internet streaming is the wave of the future. With more and more people getting online with broadband connections to homes and mobile devices, there is an increasing realization that many are paying too much for cable and dish services when the same programming can be accessed for free or more inexpensively. (Snider, 2011) They are also realizing that with video streaming there is no restriction on the time and place they can view the desired programming as long as it is after the original broadcast or in the case of cinematic films, after they are released from theatrical venues; in other words, video on demand. The convenience of “on demand” programming will allow a busy population to be more productive in other areas of their life when they do not have to schedule a time to watch their favorite shows. Although many shows, particularly live sports are currently being offered free to internet viewers in real time (e.g., ESPN3, NBC Sports, and CBS March Madness on Demand), this just adds to the attraction of video streaming. Clearly then, the entertainment industry is looking closely at the potential of video streaming both as another revenue source and a threat to traditional ad revenues. Hulu Tv is the internet’s leader in providing free premium content...