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dlr5288
dlr5288
4/28/2017 11:44:17 AM
User Rank
Platinum
Re: OTT in NZ
Yes I've definitely realized in recent years that AT&T is playing the underdog whereas that used to be Verizon's spot before they cane more popular.

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mpouraryan
mpouraryan
4/24/2017 1:38:20 PM
User Rank
Platinum
Re: OTT in NZ
What was interesting was today's NY Times about how AT&T is playing the underdog.   Verizon, though, is seeing an erosion of its' core mobile business (which I suppose is a different issue for a different day)....

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dlr5288
dlr5288
4/24/2017 12:48:14 PM
User Rank
Platinum
Re: OTT in NZ
Yes I saw that! Very impressive. Personally, I think there's room for both Netflix and Verizon to be successful. However I know the want to eliminate other competitors is high.

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mpouraryan
mpouraryan
4/1/2017 12:26:42 PM
User Rank
Platinum
Re: OTT in NZ
Netflix (just like all the other giants) has to watch its' back as others will be gunning for it--including Verizon here in the United States--although their original programming is quite impressive--and the fact that the Oscars acknowledged it with the win for their documentary on the Syrian White Helmets is quite an accomplishment.

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dlr5288
dlr5288
3/31/2017 11:59:55 AM
User Rank
Platinum
Re: OTT in NZ
Very true! It'll be interesting to see how this all pans out. Although I think it's a great idea for Netflix to finally be in New Zealand. Great market for that over there I presume.

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dcawrey
dcawrey
3/28/2017 7:53:13 PM
User Rank
Platinum
Re: OTT in NZ
@afwriter Piping in that content would indeed be my assumption. But that doesn't mean it fits what the market there wants. 

I've read about how Netflix is catering to places like Brazil and India. But there are way more people there. 

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afwriter
afwriter
3/27/2017 11:48:45 AM
User Rank
Platinum
Re: OTT in NZ
When you put it like that the numbers change a little. Then it begs the question of how Netflix plans to remain profitable if they have reached their saturation point? I guess it works if they are not creating original content for NZ, but instead piping in their original content from the US.

 

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Adi
Adi
3/27/2017 5:19:15 AM
User Rank
Author
Re: OTT in NZ
elizabethtv - we have to be bit careful with the base for these calculations. So the population might be 5 million (or actually, a little less than that), but I think the better metric for penetration/TAM estimates would be households. Because often these services are shared among household members, specially since most OTT video services now allow multiple streams on multiple devices. I don;t have an NZ HH figure, but my guess would be that it is closer to 2-2.5 million rather than 5. So penetration of 1.4 million HH (for all OTT services) is getting a lot closer to the celiing than it seems if we look at the population base as being 5 million. 

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Adi
Adi
3/27/2017 5:14:47 AM
User Rank
Author
Re: OTT in NZ
dcawrey, elizabethtv - most NZ operators have spent a lot on transparent caching, basically storing popular content from other parts of the world locally. This is complicated by the move to encryption but there are still opportunities. Netflix, for example, will offer service providers their own caching appliance to store their content and servce locally, cutting transit costs for them. In a place like the US, service providers are less concerned about caching content, and Netflix ended up striking a deal with Comcast for transit. But in NZ, I think the way to keep costs down is still to cache as much as you can locally. This manages transit costs and lets them manage subscriber rates as a result so that broadband access rates aren't too crazy.

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dcawrey
dcawrey
3/26/2017 3:54:07 PM
User Rank
Platinum
Re: OTT in NZ
@elizabethv You make a very valid point - most people don't chalk up internet as an entertainment cost. 

It's more like a necessity. 

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