Intel Internet Video Service Making Progress?

Intel has been working on an Internet competitor to cable, satellite and telco TV that it had wanted to launch in 2012. As you would guess, Intel has had to work harder than expected to line up key programmers for a distribution strategy that competes with its present distributors (cable operators, telcos and satellite video suppliers such as DirecTV and Dish Network). 

Ignoring for the moment the current "average" amount of bandwidth U.S. consumers are able to obtain, the venture hinges on the ability to offer the same sorts of content cable TV, telco TV and satellite TV service providers offer. 


In that regard, Intel Corp. is "making progress" in talks with Time Warner, NBC Universal and Viacom to obtain TV shows and films for its online video service.

Intel reportedly is about to begin negotiations with News Corp. as well. Apparently, the talks with Disney and CBS are less well developed. 


Intel hopes to create a more flexible service, that might give subscribers more choices over the channels they receive. Just how much change programmers might agree to support is the question. 

There has been speculation that Intel could offer a streamlined selection of standard channels at a lower price, with or without the ability to view some content "on demand." Others have said a key draw would be the ability for consumers to have some ability to buy somewhat customized packages of service.

Many observers have argued that programmers will be quite careful about upsetting relationships with their present distributors. That would imply a very limited ability for Intel to offer too much customization of which channels or programs consumers could buy. 

On the other hand, it would precisely be just such customization that could provide huge incentives for consumers to consider an Internet delivery service.