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Old 23-08-2011, 13:32   #15
Chris
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Re: The future of pay-television

Linear broadcast TV creates the market for VOD services.

In a commercial environment, either subscriptions, or advertising, or both, pays for the content to be created. The subscription/advertising money is only available because the linear distribution model guarantees a sufficiently large audience. Having created the content in the first place, the linear broadcasts also act as a massive advertisement for the existence of that same content on VOd services.

Do not underestimate the passivity of a British TV audience at 8 or 9 pm on a weekday evening. The overwhelming majority of us still pick from the choices that involve least effort, namely the linear terrestrial public service channels. This is the case across all homes, even those that have access to subscription and VOD services.
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