fiberguyMy views are my own.Premium
I don't trust this guy, his lips are moving..
Here's the issue - Ivan says nothing that interests me personally.. when I read (virtually hear) his words, all I hear are a bunch of hoots and clicks coming from his mouth.
Verizon CEO Seidenberg FORGETS that he IS also a cable player as well... so for him to sit back and talk about "the cable industry".. well, didn't he just get done building out Verizon to be more like cable? (as cable has more like phone?) So basically they're one like the other. They always sit back and talk about the other like they're some kind of different breed - they're not.
Verizon, if they see internet video as a real issue, he wouldn't necessarily look towards stuffing his data pipes with it either. Last I checked, that man still has a crap load of DSL.. but he love sit high on his small pile of fiber optics thinking he's king of the world with Fios. (he's not)
If they were worried about competing, in the now, with internet video, they (cable and phone) could EASILY put a much quicker end to that industry by selling their video more on the ala cart basis AND raising the flat rate price of their internet services, where the speeds can command it. (ie: If you buy into ala cart video, there is no bundle rate for internet)
They also can't be running on the notion that they're simply going to meter bill the internet BECAUSE of internet video - that's insane! They have to come up with a couple billing models that run parallel to each other.. they can't JUST raise the price of the internet, just because.
They are right - it's the younger generation that will change the landscape of video, for a few reasons. For one, the income levels of younger people are always slipping as the generations move on; the fact is they make less and less and less than the ones before. They also have different needs. They'd rather be plugged into meaningless social networks and watch babies crying and biting fingers on YouTube for a quick laugh.. today's youth are more likely on the go, and not sitting in front of a TV during Prime Time.. many also are just fine "following" their favorite reality shows and then seeing them later on the internet.. so yea, that is real and that's what's coming.
If ANY video provider wants to change this up and make it work, they need to think about it now. It IS time for developing new ways of selling linear video - be it ala cart OR MUCH smaller groups of channels in bundles like the "Sports channels" or "Learning/Education" package.. "music packages".. or another way would be my vendor.. "The Discover networks".. etc.
They need to stop thinking that a million channels is the "thing" these days.. they can get rid of the 14 HBO channels, have 1, maybe 2 for events and live stuff, and put the rest "OnDemand" - afterall they built out a multi-million dollar model for that delivery - USE IT!
I do like Ivan's patronizing statement though.. "Young people are pretty smart".. the ONLY reason he used that line and those words came flying out past his lips like his own vomit, is to use that as a dig against cable; tearing cable down to make himself look better. Well, it didn't work with me at least. I still think Ivan is an idiot.
But still, he keeps talking about metered billing.. he's going to talk about tier pricing with caps and overage when "LTE" comes out, yet he also talks about the competition at home as well..
This article is just all over the place - to be honest, I don't think Ivan really knows what he wants to do, when he wants to do it, and how he's going to pull it off.
Every one of these players these days all 'talk' a big story and then sit back and wait for SOMEONE ELSE to make the first move so they can react with something SLIGHTLY less crappy and be the hero of the day..
They also need to learn that Linear TV isn't dead nor will it be for a LONG time to come... it's just the way they're presenting and forcing it on to people, the "model" which is dying quickly.
As long as there are mommy and daddy types having babies, there were always be the need for cable in the home. So long as the people who are 30-35 and above living out their lives, there will be the need for cable in the home (or satellite, etc)
Ivan is just, mostly, talking out his back door and really hasn't said anything that was worth putting in the press. The thing I most notice about this is how he somehow is elevating himself to some sort of status that is better or higher than others.. Anyone got a mirror for him?
P.S. - when the word "value" is used from anyone in power of a corporation like this, they're usually talking about how much value (as in money) they can get out of the customer... or what the company perceives as value, not necessarily the customer. a CEO or top level management official of any corporation or business rolling in the dough has NO idea how to relate what is "of value" to that of the middle class, or even lower class, hard working American.. somehow I think they've had one too many drinks with the politicians of our country who believe they, themselves, are "in touch" with Americans.