Cloud TV: The future will be the mainstream core value in the cloud

Beijing Time September 5 News, Science and technology blog website TechCrunch recently published the Agent editor Eric Scofield (Erick Schonfeld) "Cloud TV". The article points out that although the traditional TV companies (also known as content providers) set up many obstacles, and refused to cooperate with network video companies, but the development trend of cloud TV is difficult to block. Scofield also believes that the low profit margins of television itself cannot be a reason for Apple not to launch, because the core value of cloud TV lurks in the cloud of storing, searching, disseminating, and sharing content, and television itself is just a bigger display screen.

The following is the original text:

TV is about to enter the cloud era. From books to music, more and more media have been moved to the Internet, under the general trend, television is no exception.

Netflix, Hulu and even Apple TV are fueling the spread of traditional film and television resources to the Internet. YouTube attracts more users, and according to comscore, YouTube occupies 7% of the time Americans surf the internet.

But the film industry is more resistant than the rest of the media. The tide can not be violated, but not as fast as music, news and books.

The TV industry is sticking to the line. Starz is no longer cooperating with Netflix on content licensing. Hulu's sales plan seems to be treading on. Even Apple is suffering from the transition. Apple recently slowed the business of TV drama Leasing (which we foresaw one months ago) because television networks are not really trying to co-operate.

But no one doubts the ultimate triumph of the Internet, which will eventually defeat the stiff, rigid programme of cable and satellite television. Most people only watch a fixed more than 10 channels, but pay for 500 channels. If you can choose to pay for only one channel or program, a lot of people will. Obviously, a good user experience comes from the user's free choice of what to look at, when to look at, and how to look (whether through TV, laptop, ipad or mobile phone). But that's not enough. Cloud-era television is not just about distributing resources, it's about finding and sharing new programs and changing the way users consume. Asymco's analyst, Horace Dediu, said in a recent report on the issue that it would make television more intelligent.

Unlike the impact of smartphones on the internet, television has no intelligent content, and its intelligence is not embodied in hardware devices, but in program production.

Of course, this is not to say that the programme is poorly produced. Rather, there is a lack of innovation in the question of what the program is and what it is used for. The production and dissemination of programs should be adapted to people's lives. Television shows have been unchanged in half the world. Program classification, time, business model, series, format, broadcast time table and value chain are all the same as the 1951 "I Love Lucy" broadcast. They assume that users watch TV programs at the same time every day, with the exception of other activities. They also assume that people are reacting to the effects of brand advertising and that the audience is largely homogeneous.

TiVo tried to make the TV smarter, but it was also calculated by cable and satellite television companies. They insist on using DVR (Digital DVR) technology in their set-top box. While TiVo has forced them to pay royalties, their user brand status is falling. Just look at Ed Bott's chart in the tech blog ZDNet comparing "Netflix" and "TiVo" and "Media Center searches."

Photo: "Netflix" and "TiVo" and "Media Center search contrast

Bott concludes:

The trend is no more obvious. In the 2008 into the streaming media era, DVR technology crumbling.

But tying computers to television doesn't solve the problem. Once the video resources are randomly cataloged, it is possible to radically change the entire user experience. Instead of using YouTube to navigate, users can search for other information on the Internet, either through search or through social networking to find the video they need. Traditional TV programs are still tied to set-top boxes because this is the most profitable way for content providers. Television advertising dwarfs Internet advertising, not to mention the monthly cost of cable television.

In addition to YouTube, Google wants to combine the two with its own Google TV. But internet companies that control traditional TV programs do not co-operate. Apple has struggled to connect Apple TV to itunes. Apple will redouble its involvement in the field, with rumours of a new TV and program on its own.

Some observers believe that Apple will not be able to enter the commercial television market because of low profits. But this view is biased. Apple is not going to sell TV, it wants to reshape the entire TV viewing experience, if it needs to develop a television, then do it. In addition, the TV only displays the screen. Value lurks in the cloud of storing, searching, propagating, and sharing content.

The current Apple TV box is just a media linker with no storage capabilities. Once the icloud is released, film and television resources become part of it. Apple is currently customizing the payment mode by menu. Users pay by program. If Apple gets the best film and television resources, it will eventually be cheaper than a monthly-paid cable, though not ideal. Netflix will recommend film and television resources to users based on the shows they have already watched, and Apple intends to offer similar services. This may be the first step towards smart television.

The next step is to create a social network TV navigation based on a program that is being viewed or recommended by a user's buddy or a focused object. The discovery is an essential part of the growing iphone and ipad TV apps. However, it is not ruled out to improve the television viewing experience.

Television programs are combined with the Internet and will be vastly different when connected to other things. Programmes that cannot be shared and linked will be neglected, and the time for television programmes to strictly follow the timetable will be gone, with the exception of instant news, sporting events and awards ceremonies. The internet has replaced DVR, but has freed itself from the obnoxious current program navigation user interface. The programs that users want to watch are no longer restricted and everyone's schedule is different. It is true that everything will be better in the cloud era.

(Responsible editor: Liu Fen)