Digital Strategies for Broadcasting Client Inquiry Brief

Local TV Stations and Internet Video: Are They Players in the ‘OTT’ Market?
Rick Ducey , 7/14/2010

Summary: BIA/Kelsey forecasts that by 2013, over-the-top homes will exceed cable homes. “Over The Top” video refers to a group of Internet-based technologies and business models that provide linear and nonlinear television services over a third party’s bandwidth to connected television sets. This includes both free (ad-supported) and pay (subscription, video on demand, etc.). For example, a new Sony Bravia set can be connected to Verizon’s FiOS Internet service to get to the Roku Channel Store for on-demand viewing of broadcast network news — all without subscribing to the basic or premium FiOS TV service. Similarly, Hulu provides access to prime-time network programs. Companies interested in local broadcasting need to pay attention to the trend as it is on a fast trajectory and will have an impact on local television station business models.

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