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The core problem is the idea of "channels" and schedules. We should just have companies that produce media content and license that content to services that pro

by Osiris 11y ago

The core problem is the idea of "channels" and schedules. We should just have companies that produce media content and license that content to services that provide access to it. It's like how Netflix, Amazon, and Hulu each produce their own content. In the future I'd envision something like NBC Productions just producing shows and licensing them. With each show generating it's revenue stream, we'll have a lot more variety of content because a show doesn't have to reach the widest audience, only an audience large enough to bring in enough revenue to cover the cost of production.

exelius 11y ago
But then how do you find that content? You mention licensing it to services; so how do you differentiate yourself as a service? Right now, the answer is to create your own exclusive content. There's a risk pooling problem at play here too: if I'm paying $10/mo for Netflix, how do you allocate the money between the content on Netflix? Spotify faces the same problem: top artists demand higher payouts in return for listing their music on the service. The top artists are what bring the listeners in, but as a result it's almost impossible for someone who's not an international star to make any money from Spotify. Video faces the same issue.
orky56 11y ago
Much of the content creators' revenue comes via advertisers. Until the content creators are able to make the transition you are suggesting, they will have to stick with that. I believe that's one of the reasons holding back Hulu from growing their user base despite jumping into content creation: advertisements are still there so On Demand is still limited in value.
swombat 11y ago
> We should just have companies that produce media content and license that content to services that provide access to it. Yes. In music this is somewhat solved by compulsory licensing laws. The same should be applicable to movies and TV...
dragonwriter 11y ago
> With each show generating it's revenue stream, we'll have a lot more variety of content because a show doesn't have to reach the widest audience, only an audience large enough to bring in enough revenue to cover the cost of production. Except each show will still have to reach the widest audience, because it will have to bring in more revenue than the entity producing would expect from the best alternative use of the same input resources, not just enough to break even.

by Osiris 11y ago

exelius 11y ago

But then how do you find that content? You mention licensing it to services; so how do you differentiate yourself as a service? Right now, the answer is to create your own exclusive content. There's a risk pooling problem at play here too: if I'm paying $10/mo for Netflix, how do you allocate the money between the content on Netflix? Spotify faces the same problem: top artists demand higher payouts in return for listing their music on the service. The top artists are what bring the listeners in, but as a result it's almost impossible for someone who's not an international star to make any money from Spotify. Video faces the same issue.

orky56 11y ago

Much of the content creators' revenue comes via advertisers. Until the content creators are able to make the transition you are suggesting, they will have to stick with that. I believe that's one of the reasons holding back Hulu from growing their user base despite jumping into content creation: advertisements are still there so On Demand is still limited in value.

swombat 11y ago

> We should just have companies that produce media content and license that content to services that provide access to it. Yes. In music this is somewhat solved by compulsory licensing laws. The same should be applicable to movies and TV...

dragonwriter 11y ago

> With each show generating it's revenue stream, we'll have a lot more variety of content because a show doesn't have to reach the widest audience, only an audience large enough to bring in enough revenue to cover the cost of production. Except each show will still have to reach the widest audience, because it will have to bring in more revenue than the entity producing would expect from the best alternative use of the same input resources, not just enough to break even.