Contributors   |   Messages   |   Polls   |   Resources   |  
Comments
Newest First | Oldest First | Threaded View
<<   <   Page 2 / 8   >   >>
JohnBarnes
JohnBarnes
10/21/2016 2:41:53 PM
User Rank
Platinum
Re: But the economics say otherwise ...
Ariella, Yes, absolutely the pressures of declining profit (or the lure of rising profit) will drive a business to innovate and to embrace things they have long been against. The interesting thing here is whether Verizon has anywhere to be driven to; economic history is full of cul de sacs in which lie the ruins of formerly great companies. Sometimes you can give the people what they want and sometimes that is what will make money. Other times you can't do that and it will never make money.

50%
50%
DHagar
DHagar
10/21/2016 2:38:48 PM
User Rank
Platinum
Re: Waiting game
@Michelle, I like your vision and that is certainly a desirable development that would improve overall capabilities.  I share with you, however, that I think content will be the driver and the networks will fall into line around content.

50%
50%
Ariella
Ariella
10/21/2016 2:20:13 PM
User Rank
Author
Re: But the economics say otherwise ...
@JohnBarnes Of course, ultimately any business is driven by what will make money. Verizon is actually struggling with that as its lower-priced competitors are causing its subscriber numbers to plummet.  According to https://www.bloomberg.com/news/articles/2016-10-20/verizon-tops-estimates-even-as-rivals-cut-prices-to-steal-users

Verizon Communications Inc. suffered its worst quarter of subscriber growth in more than six years amid intensified price competition from smaller rivals, adding pressure on the company's media and advertising ventures to take up the slack for a rapidly maturing wireless business.

The nation's largest wireless carrier signed up 442,000 total subscribers in the third quarter, falling far short of the 875,000 average of eight analysts surveyed by Bloomberg.

The results underscore a strategy by Verizon to protect profits in lieu of offering steep discounts. 

 

50%
50%
Michelle
Michelle
10/21/2016 1:48:33 PM
User Rank
Platinum
Re: Waiting game
@DH I would like to see broadband infrastructure built out and cable whipped into shape at the same time. I don't think that'll happen. I suppose content will drive the change.

50%
50%
JohnBarnes
JohnBarnes
10/20/2016 10:44:59 PM
User Rank
Platinum
But the economics say otherwise ...
Many of y'all seem to be missing the point Adi made very clearly in the article: it's not only about what the consumer wants, but also about how the consumer can be persuaded or coerced to pay.  (Many generations of consumers have all wanted the same thing: as much as they want, right now, the way they want it, for free. Yet nobody has ever tried to make money giving that to them). Thick packages have margins that cable companies can live on. Skinny packages outcompete them but have narrower margins. A la carte would have almost zero margin. If OTT companies force the cable companies into that race to the bottom, OTT can survive a lot closer to the bottom than cable can -- and that's the end of cable.

They know what you want. They just don't want to starve to death giving it to you.

50%
50%
DHagar
DHagar
10/20/2016 3:55:41 PM
User Rank
Platinum
Re: Waiting game
@Michelle, good point.  Which raises the question of who will take the lead - content providers (ie Netflix) or network operators (ie cable operators)?

I am thinking content may be king?

50%
50%
Ariella
Ariella
10/20/2016 3:38:22 PM
User Rank
Author
Re: Unneccessary channels
@DHagar clearly it doesn't want to miss out on this revenue stream.

50%
50%
Michelle
Michelle
10/20/2016 2:18:35 PM
User Rank
Platinum
Re: Waiting game
@Joe yes that is true. A lot of areas lack infrastructure to support video streaming or the service is cost-prohibitive for any resonable person.

I was actually talking about the speed of Netflix software development and content acquisition. As a company, they seem to move a lot faster than traditional cable operators.

50%
50%
DHagar
DHagar
10/19/2016 10:45:27 PM
User Rank
Platinum
Re: Unneccessary channels
@Ariella,  great example - thanks for sharing!

Clearly, that is one of the reasons that Google is a leader and strong performing company.

50%
50%
Ariella
Ariella
10/19/2016 8:54:54 PM
User Rank
Author
Re: Unneccessary channels
There's more competition opening up from Google's parent company now. From Google signs CBS, in talks with others on web TV:sources 

 

>Alphabet Inc (GOOGL.O) unit Google has reached an agreement with CBS Corp (CBS.N) to carry the network on its planned web TV service and is in advanced talks with 21st Century Fox (FOXA.O) and Viacom Inc (VIAB.O) to distribute its channels, three sources told Reuters on Wednesday.

The service, which will be part of Google's YouTube Platform, is expected to launch in the first quarter and will include all of CBS' content, including live NFL games, one of the sources said.

Google's so-called "skinny bundle," with fewer channels than a typical cable subscription, will cost $30 to $40 a month, the source said. It was unclear which Fox and Viacom networks would be part of the Google service, two of the sources said.

The sources requested anonymity because the discussions are confidential. A spokesperson for YouTube declined to comment.

50%
50%
<<   <   Page 2 / 8   >   >>


Latest Articles
Italy's 5G auction could exceed a government target of raising €2.5 billion ($2.9 billion) after attracting interest from companies outside the mobile market.
The emerging-markets operator is focusing on the humdrum business of connectivity and keeping quiet about some of its ill-fated 'digitalization' efforts.
Three UK has picked Huawei over existing radio access network suppliers Nokia and Samsung to build its 5G network.
Vendor says that it's its biggest 5G deal to date.
Verizon skates where the puck is going by waiting for standards-based 5G devices to launch its mobile service in 2019.
On-the-Air Thursdays Digital Audio
Orange has been one of the leading proponents of SDN and NFV. In this Telco Transformation radio show, Orange's John Isch provides some perspective on his company's NFV/SDN journey.
Special Huawei Video
10/16/2017
Huawei Network Transformation Seminar
The adoption of virtualization technology and cloud architectures by telecom network operators is now well underway but there is still a long way to go before the transition to an era of Network Functions Cloudification (NFC) is complete.
Video
The Small Cell Forum's CEO Sue Monahan says that small cells will be crucial for indoor 5G coverage, but challenges around business models, siting ...
People, strategy, a strong technology roadmap and new business processes are the key underpinnings of Telstra's digital transformation, COO Robyn ...
Eric Bozich, vice president of products and marketing at CenturyLink, talks about the challenges and opportunities of integrating Level 3 into ...
Epsilon's Mark Daley, director of digital strategy and business development, talks about digital transformation from a wholesale service provider ...
Bill Walker, CenturyLink's director of network architecture, shares his insights on why training isn't enough for IT employees and traditional ...
All Videos
Telco Transformation
About Us     Contact Us     Help     Register     Twitter     Facebook     RSS
Copyright © 2024 Light Reading, part of Informa Tech,
a division of Informa PLC. All rights reserved. Privacy Policy | Cookie Policy | Terms of Use
in partnership with