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Tuesday, May 01, 2007

IPTV is a service that looks like - and smells like - TV

Net-based technology would allow limitless TV

The very next step is upgrading the speed of copper instead of deploying fiber -- I actually agree with that. It makes more sense. They are getting 25 to 30 mbps (which does demonstrate that DSL can go much faster than what it does now).

The IPTV stream is within this space and competes with the users’ other activities. The providers prioritize voice, then video and the rest of the packets.

This makes perfect sense -- after all, a 25 to 30mbps path isn't all that large if you want to run 10mbps video streams
The story about video priority is not really about video priority – it’s about purchased priority.
The providers are open in that they will take extra money from anyone who pays enough.
There is confusion between IPTV and a more general video over IP. This works to make IPTV seem to be forward looking. We need to make sure we distinguish between the two.

Unfortunately, for the telco guys, their video service is - at the moment - pretty much like cable service. It's offering linear video channels, video-on-demand and other items such as interactive TV.
Telco video is even bundled with broadband and voice, much like cable's triple-play.
Telcos may attempt to compete on price, but is that enough?
How do telcos think they're going to compete with cable - or even satellite TV - when they're delivering a "me-to" offering?
In addition to selling the usual television fare, how about offering more niche and/or ethnic programming than what's currently available from pay-TV incumbents? How about taking a stab at a la carte options? Or expanding family tiers?

Telco video services need to think ahead like satellite TV did more than a decade ago when it launched services.
A new technology is useless when it offers the same for more(or slightly less if you want).
Net-based technology would allow limitless TV, but the content will make the difference.
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