Downstreaming: The State of Internet Video on Demand

Diagram of Streaming Multicast
Image via Wikipedia

Last week, TNL.net did some analysis of how the top streaming video services were doing in terms of the most popular video entertainment of 2010. They compared Netflix, Hulu Plus, Amazon Video-on-Demand, and iTunes.

Looking at the top 50 TV shows of 2010, the results were not promising. Current seasons of shows are a strength for Hulu Plus, and a weakness for Netflix. Out of these top fifty shows, Netflix offered partial content from 10 of them, Hulu 18, Amazon 31, and iTunes 41. Bear in mind that Amazon and iTunes are pay-per-episode models, which may allow them to secure more content. For current offerings, that would include the last or current season of shows, those numbers dropped to Netflix 2, Hulu 12, Amazon 28, and iTunes 39.

How did movies measure up? Checking out the top 100 box office hits of 2010, Netflix offered 10 of them, Amazon 48, iTunes 46, Vudu 46, and 74 of them are out on DVD. We haven’t discussed iTunes or Vudu yet, as we do not have devices capable of using them, but we will cover them in the future. This is not very surprising though, that a per-rental model is one that studios would prefer to an unlimited use model.

Beyond that, Amazon, iTunes, and Vudu offer an ownership model, although Amazon specifically allows you to buy something they might subsequently take away, as we mentioned when we discussed the service. Ownership means, theoretically, you can stream the title whenever you want…for the rest of your life, or the life of the service, whichever comes first. Even more titles are available on this basis.

The gap between what is available on disc, and what you can stream is closing, but it is likely the rental or the purchase models will see more adoption by the studios than the unlimited consumption models. What we are lacking are streaming models that resemble the offerings of TV stations. Would you subscribe to a service that offered a limited selection of streaming content that rotated each month, but by doing so, allowed you ultimate access to more content over the year, for example?

Specialty streaming subscriptions may be the future in this regard. It won’t happen this way, but would you subscribe to a month of instant SyFy channel, where it would give you all the movies/TV shows scheduled to air on the SyFy channel for the next month, and change on a month to month basis? Or any other cable channel?

What do you think the future of streaming is? What will companies try?

Has Boxee Sold Out?

Image representing Boxee as depicted in CrunchBase
Image via CrunchBase

We’re big fans of Boxee here. We don’t use it on a daily basis(partly because of the issues with using it under Fedora Linux). We’ve been at every Boxee New York City event, we’ve annoyed their CEO.

Boxee is a media center application with a 10-foot interface designed for full sized televisions. As it began, there was an emphasis on socialization. Boxee has a lot of advantages. It has wonderful codec support for playback. But as Boxee moved toward a commercial model, playing local content was moved to the side, along withsocialization. People seem to speak less of those aspects nowadays.

Boxee turned to focus on streaming content, becoming popular for individuals looking for a new Hulu interface. Boxee played a game of cat and mouse with Hulu. Until the D-Link Boxee Box came along, and they announced that they would be putting Hulu Plus on. This logically means that the game is up. Even though Hulu offers content for free, Boxee, like many boxes, will likely support only the paid version.

Vudu and Netflix, showstoppers, are delayed and will hopefully arrive on the Boxee Box soon enough. That hasn’t stopped Boxee from expanding. At CES this week, Iomega announced a Boxee device that includes a hard drive. Viewsonic announced a TV set including Boxee.

CBS Interactive announced it will make full episodes available for purchase through Boxee. It is certainly a big move for Boxee. But they have gone from challenging the status quo to working with them. Working with CBS is certainly better in the long run. Working with content providers to get them to willingly put their content on TV is a better long term solution than creating apps that may stop working at the whim of said providers.

On the other hand, they may lose some of their devoted fanbase in the process. If every service costs money, then the value of purchasing a a dedicated device for several hundred dollars is lessened. One thing though…it’s still cheaper than cable.