Actually, the content move is unclear - but amusing
As recently as this morning in Commsday
"Video on Demand, although not initially offered, is also purportedly in the pipeline. “To deliver
content through broadband, it’s a question of when, not if, Video on Demand download TV programs
can through,� said Hughes. “The box is certainly more than able to cope with providing those
kinds of services. It’s really a matter of doing the deals with service providers who want to provide
it.� Hughes said that TiVo would be offered throughSeven subsidiary VoIP company Engin, and
said the company was investigating how to utilise the wireless broadband offered through recently
acquired Unwired."
Do you really think Nine is going to let Warners content go to a Seven service, or Ten its content/studios?
Also, look at what Hughes said " other service providers" - so that means Telstra or ReelTime as the only other providers. And Telstra owns FoxTel alongside PBL/Nine. Seven wont and cant do content themselves fo rthe reasons above.
Given that TiVo has little or NO download content in the US, other than Amazon's unbox download to own service (due to technical compatibility, download to rent is challenging on a Linux based box such as TiVo - but Linux will accept streamed services - but not with UNW!)
Back to content - whilst each free to air is the largest (or one of) customer a studio has - each studio is aligned with ONE free to air - so Seven has clout with Disney and Fox, Nine with Warners, Ten with CBS Paramount - but, those studios WONT (and cant due to holdback restrictions and exclusivity) provide content to the other Free to Airs. Next major clients for Hollywood studios are the Rental stores in a $1bn market (Video Ezy/Network Video/Blockbuster/Civic) and the Retailers (EzyDVD/Sanity/JB Hifi/Virgin) in a $1.6bn market.
Seven pays Disney circa $50m - so whilst a singularly large client, it is ranked similarly with rental and retail - and this is in one of the two studios in which it has any "pull" or not blocked by agreement from the other free to airs. To make a service viable, you need a majority of the seven major studios.
Yahoo!7 have a relationship with ReelTime
UNW & RMA announced a relationship some time back
Whilst the UNW play has happened, are we watching the right next stock?
UNW
unwired group limited
