Wednesday, March 21, 2007

Triple-Play, and the telecom/cable battle.

It's very popular to talk about new companies like google (UTube) that are changing the way media is handled. But the methods of getting the media to the home are still roughly the same, cable (or fiber) is piped to your home.

A huge battle raging between the old telecom companies and cable companies. In an effort to lock in customers, they are offering triple plays - IP voice, data and video delivery.

While Telecom companies have an edge by owning the infrastructure, they are regulated to sell to the cable companies. Cable companies, on the other hand, are both content owners as well as providers of the service, giving them the edge. But companies like AT&T and Verizon won't just lie down.

What does this mean for the changing landscape?

"A bundled consumer services offering that includes television over IP (TVoIP) has emerged as the leading application that tips the balance in favor of migration to IP (for carriers). Carriers can start by offering one service and then increase their revenue stream by adding other services incrementally. A first step might be to offer IP data at $30 a month, then add voice for another $20, and finally TVoIP for $40." Michael Khalilian and Farshid Mohammadi

In the future, all media for the home, online books to video games, to your favorite Thursday night sitcom will be packaged for you through streaming fiber direct to your home. Benefits seem clear, but will there be a segregation of content? If I choose Verizon, will i not get certain sports shows? or certain channels?

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