Thursday, June 28, 2012

Mobile TV is a Feature, not a Product, Yet

At the moment, services such as "TV Everywhere" that allow users to view some of the video they purchased as part of their subscription video services on a smart phone or tablet remain a "feature," and are not yet envisioned as revenue-generating "products."

That would not be an unusual pattern. Service provider Wi-Fi hotspot access has become a feature of a broadband subscription, whether provided by a fixed or mobile network. That seems to be the developing pattern for mobile TV services tied to another subscription.

Smartphone or tablet apps that are tied in to a cable TV show are definitely about "discovery and engagement," not advertising revenue, said Tammy Franklin, Scripps Networks Interactive senior vice president of affiliate sales and new media distribution.

For Verizon Wireless customers, unlimited U.S. domestic voice and texting essentially now are features of a mobile service, not discrete products. The basic connection fee includes both voice and texting.

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