Hendin+C+Report+Proposal

Hendin C TO: Proximity Video Team FROM: Clark Hendin DATE: April 05, 2010 SUBJECT: Proposal for report on cable companies providing online content

The line between live broadcast television and online video content has become blurred in recent years. Viewers realize that they do not need to be sitting in front of a television to watch their favorite television show or movie. In addition to how video content is being absorbed, viewers have the option to view programs on demand whenever they choose. I propose to write a report on how major cable companies like Comcast compete with non-cable providers of video content like Netflix and Fancast.com.

Providers of video entertainment now provide options for its viewers. Some cable companies have provided their customers with online access to its content.
 * Need**
 * Comcast customers have online access to the same content they have through their television by via Fancast.com.
 * By watching programs on demand or after it has been recorded, many commercials are eliminated or can be avoided by fast-forwarding through them.
 * High definition content is slowly becoming a priority for Gen-Y.

Premium video content is increasingly being delivered through the Internet, giving Gen-Y many different ways to access TV shows and movies. As a result broadcast TV audiences are being fragmented and the movie industry can no longer assume that box office revenues alone will pay for the production of new movies. We need to determine how Gen-Y currently watches premium video and which broadband technologies they prefer. This information will allow us to advise Proximity clients on how best to target Gen-Y using ads associated with premium content.

The proposed report “The impact of online based content” will cover the following topics:
 * Topics**
 * The convenience of watching content online vs. the quality of watching content on a high-definition television.
 * The integration of online content provided by cable television companies
 * The increasing popularity of On-Demand program viewing options

The report will also contain links to sources where viewers can have access to a near limitless library of online video content.


 * Sources**

Frommer, Dan. "Why Comcast Has To Worry About Hulu." //Business Insider//. 04 May 2009. Web. 08 Apr. 2010. .

Frommer reports that "More than 40% of U.S. households under age 35 watch Internet video //on their TVs// at least once a month, according to research firm In-Stat." This statistic illustrates that a large portion of Gen-Y uses services like NetFlix to download movies and TV shows to their TV through devices such as a PlayStation 3, Nintendo Wii, or XBox. Frommer also also offers possible remedies for cable companies like Comcast to remain competitive with non-cable video content providers like NetFlix.

Pegoraro, Rob. "Even with Comcast's Fancast Xfinity Web Site, 'TV Everywhere' Still Isn't." //Washington Post//. 28 Mar. 2010. Web. 04 Apr. 2010. .

Pegoraro reports on the concept of "TV Everywhere." According to Pegoraro, this concept refers "channels and providers work together to provide online access to shows and movies -- but only to people who already pay for conventional, offline viewing on televisions." Comcast customers who do not have access to their home television can still watch the same content they would be able to at home. As long as they have access to a high speed internet connection, they can log into Fancast.com and watch any TV shows or movies which they would be able to view at home.

In addition, Pegoraro also references potential customers that would pay less to only have the same access to Fancast as comcast customers without actually paying for cable television for their home. These customers simply prefer to receive video content almost exclusively online. Pegoraro explains, "My experience suggests that's technically possible, but Comcast doesn't seem interested in poaching customers from competitors that way."

Hartwell, Sharalyn. "Consumer Electronics Show Is a Generation Y Playground." //Examiner//. 06 Jan. 2010. Web. 04 Apr. 2010. .

Hartwell reports on this year's Consumer Electronics Show in Las Vegas. She directly correlates the progression of web-enabled devices capable of downloading video content to a high definition television, and the attraction of such devises to Gen-Y. She also references the ability for Gen-Y to use these devices to access social networking sites. "CES 2010 is also buzzing once again about streaming audio and video content from the Internet to your TV. There’s been talk for years, but the Internet video set-up boxes are getting big attention this year. They are basically a small piece of hardware you hook up to your TV and then can do everything--stream media, get Netflix directly, use Facebook or Twitter--basically rolling all your favorite gadgets into one. The Roku HD-XR and D-Link Boxee box are just two getting some chatter. It’s just a matter of time before that is the must-have gadget for all Gen Y’ers."