3 ms·

What makes you think they won't be relevant in 10 years? They're not a distribution company like Netflix, Amazon or the cable companies. They have no direct rel

by cremnob 14y ago

What makes you think they won't be relevant in 10 years? They're not a distribution company like Netflix, Amazon or the cable companies. They have no direct relationship with subscribers. They don't deal with the marketing to customers, distribution or billing systems. They produce amazing original content, and the cable companies pay big money for it. So until Netflix, Amazon, Apple, etc. have the viewers that would warrant paying HBO the incredible amount of money they currently get, it's in their best interest to stick with the cable companies. Even if cord-cutting had a material impact on the cable companies (and there doesn't seem to be any evidence of that), HBO would have no problem getting their content on the next-gen distributors. The armchair television executives have been amusing ever since this became a story, and I think it's because they don't understand their business model. Or like MartinCron said, they just can't get over that what's best for HBO isn't aligning with their own self-interest. I'm also not sure if people are really thinking this through to the logical end. HBO is great because they don't have to consider ratings or cater to viewers' tastes. That would all change if they were responsible for getting people to pay for HBO GO.

SwellJoe 14y ago
I don't know that they won't. They may have all the pieces in place to move fast when the time comes. But, I know that other content is coming into existence outside of the old models (Arrested Development new episodes are being developed by and exclusively for Netflix, for example). Of course, history would indicate that new entertainments do not necessarily displace old ones. Cable didn't displace broadcast (though it did slow the growth of broadcast and make a few of the less efficient operators either shape up or get bought up). VHS didn't kill theaters or cable movie channels, but it did raise the bar (it triggered some of the stuff you're talking about being the unique value of HBO; HBO was not always an original content provider). But, I believe there's plenty of growth opportunities that HBO is currently missing.

by cremnob 14y ago

SwellJoe 14y ago

I don't know that they won't. They may have all the pieces in place to move fast when the time comes. But, I know that other content is coming into existence outside of the old models (Arrested Development new episodes are being developed by and exclusively for Netflix, for example). Of course, history would indicate that new entertainments do not necessarily displace old ones. Cable didn't displace broadcast (though it did slow the growth of broadcast and make a few of the less efficient operators either shape up or get bought up). VHS didn't kill theaters or cable movie channels, but it did raise the bar (it triggered some of the stuff you're talking about being the unique value of HBO; HBO was not always an original content provider). But, I believe there's plenty of growth opportunities that HBO is currently missing.