TV Ventures

Posted on December 4, 2010


As TV is losing popularity to some, others are expecting to have it make a big comeback.  Reuters reports that according to sources, Microsoft is setting its eyes on a new TV venture after finding consumers fleeing expensive subscription packages for online services like Netflix and Hulu.

Microsoft in the past has invested in MSNBC and Web TV, and recently with Kinect for Xbox360.  Now it’s planning to redefine living room entertainment even further by creating a new subscription-based TV service on Xbox game console.  It’s competing with Google, Apple and Netflix.

You could wonder, well, what new features can TV have that can make consumers stick to it this time?

How about messaging friends over Xbox while watching your favorite shows or to make families more happier and save some moola, by having more individual channels like HBO and Showtime that can be sold directly to subscribers?  Those sound pretty good considering we are paying for bundled channels, where we watch only a small portion of what we actually pay for–or at least some of us.

This may not arrive for another 12 months according to sources, but we can see TV becoming a mix of video game and instant messaging.  And although this may sound like a hopeful case for TV, it may not look so great for traditional TV.  No longer will advertisements drive the revenues.  Consumers are now calling the shots.

We see how technology has increased our stickiness to devices like Smartphones and other digital and mobile products.  According to MinOnline, media companies are leveraging this mobile opportunity to create new revenue streams.  Smartphones enable users more access to services they want resulting in increased attachment to the devices.  The same “stickiness” applies to TV too.

That probably sounds like old news.  But it’s going to be seen more and more in future ventures to come.

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