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Old 07-03-2016, 00:12   #656
harry_hitch
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Re: The future for linear TV channels

OB thanks for the reply. I wont quote your entire post, I will try and save the space.

I wont debate about NowTV either, because as you allude to, no-one knows what is it's main use.

As for Netflix, I can see it rising above £20 in 10 years time, it is already nearly £10, and it has raised prices rapidly in recent years.

There are a number of things not to like with your first point. Mainly, how will being limited to one streaming service a year be fair to poorer families? There will only be so much content available, and how anyone could stretch that out over 12 months is beyond me. What also happens when the poorer families get hooked onto the exclusive shows that their one streaming service provides? They then have a choice to either keep the same old content for another 12 months, just for a couple of shows or risk losing those shows for some more variety. Lets also say these poorer families all have Now TV because that's all they can afford. What happens if, when linear tv "dies out" and the poorer families watch 2 shows one on Universal and one on Fox. These two seperate channels, then become independent streaming services each keeping their shows. All of a sudden, they have to a make a choice to pay more than they currently do to watch one of their favourites show and lose the other. Don't forget, if we have streaming services only, I have no doubt Universal, Fox etc would all release their own services. Sky (I believe) have stakes in these channels, but I doubt they could stop them launching streaming independent streaming services. That seems rather an unfair on the poorer members of society. What would you do if you were in that situation and little money? Would you be happy with that option?

Point 2 - I don't remember how this one started, and I am lost as to why you are talking about bbc subscriptions. Regarding PPV, people who do pay are those who can afford to, or chose to. I choose not to. I am glad agree PPV is expensive though, I trust you won't suggest it again in future now.

Point 3 - Okay, yup there is plenty of dumbed down stuff on Sky. There is plenty on Netflix too though.

Point 4/6 - How many advertising banners will you accept though. I don't think you fully grasp how much ad revenue will be required to help keep subscriptions down, especially for the costs of exclusive world-wide rights. Lets try and figure out some very basic costs. Netflix operates in about 200 countries, with 75 million customers. Lets say each customer pays on average £6.99 (I am aware some countries may cost less than the UK, so have lowered the average price below the UK price) to run as it currently stands. Lets say Netflix win rights for just one single show, and the rights cost £500,000 for that shows rights in each country it operates in. (I imagine it will cost more that that, but happy to be wrong). The cost for one show, alone, would cost £100,000,000 extra, that is £1.50 extra per customer. Lets say they win rights to 20 shows, that will be £30 extra per customer. You are talking crazy prices for exclusive world wide rights. Lets say Netflix double their customer base, it's still £15 extra per customer, and that is already taking over the £20 you mentioned in point 1. This, does not of course include any global film rights - imagine the cost of those!!

Point 7 - Indian summers is now coming to C4.

How attractive would Netflix be to you without the BBC, Channel 4, Fox and universal tv show content alone, let alone all the films they own? How many shows and films would be lost? Hundreds and hundreds. I can not imagine they will be as such good value as they are now.

I am once again losing the will to live with this thread, but I await your reply.
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