republican-creole
site Search:


 
   
story category
Aereo May Not Have Funds to Survive Broadcast Battle
Analyst: Service Isn't Really Offering a Wanted Product
by Karl Bode Tuesday 14-Aug-2012 tags: business · alternatives · bandwidth · cable
Frost and Sullivan analyst Dan Rayburn argues in a blog post that while Aereo may have recently gotten a stay of execution by beating back an injunction requested by broadcasters, they don't have the funds for a protracted legal battle. Aereo is offering users streaming local broadcast channels for a monthly fee, but the company is still currently only offering it to users in New York City, and even then has only managed to sign up some 2,000 paying subscribers. In addition to a possible funding shortfall as the battle with broadcasters drags on, Rayburn argues that consumers simply aren't interested in what Aereo is offering:

What Aereo is doing isn’t groundbreaking at all, since anyone can get an atenna and get channels over-the-air (OTA). You don’t need Aereo’s service to make that happen and besides the one-time cost of the antenna, it’s free. I get that Aereo is offering viewing support to more than just the TV and some DVR functionality, but those aren’t features enough consumers are willing to pay for. You don’t launch a service in the market just because the technology exists to allow you to do it, you launch a service because there is a real demand for it from consumers. In Aereo’s case, consumers aren’t demanding what they are offering.

The company recently shook up their pricing and introduced a free option, and Aereo founder Barry Diller has been promising to expand the service into most major markets within a year and a half. Do you agree with Rayburn that Aereo isn't really providing a service consumers want?

view: topics flat text 
Post a:
Arty50
Premium
join:2003-10-04

Sign me up in SF Bay Area

I would kill for Aereo right now. I live in a part of the Bay Area that doesn't get OTA reception, so I'm forced to pay for cable if I want local channels. The quantity and quality of OTA channels is waaaaay better than what I'm getting with the basic Comcast cable package, so I would gladly pay to rent an antenna.

veloslave
Geek For God
Premium
join:2003-07-11
Pleasant Hill, CA

Re: Sign me up in SF Bay Area

said by Arty50:

I would kill for Aereo right now. I live in a part of the Bay Area that doesn't get OTA reception, so I'm forced to pay for cable if I want local channels. The quantity and quality of OTA channels is waaaaay better than what I'm getting with the basic Comcast cable package, so I would gladly pay to rent an antenna.

X2
--
Mom was right.... I NEED fiber!
8744675

join:2000-10-10
Decatur, GA
I'd kill for it too. I live 6 miles from the transmitters and can't get a decent signal for local channels, especially when it's overcast raining. There are too many trees and buildings in the line of sight. I just want local channels that don't freeze up and have the sound cut in and out.

There's a whole bunch of us fringe users who won't pay for cable and can't get decent OTA since the switch to digital.
big_e

join:2011-03-05
Reviews:
·Comcast
·Frontier Communi..

Re: Sign me up in SF Bay Area

At 6 miles miles from a full power TV transmitter you shouldn't be needing a clear line of sight. You are probably having problems with multipath interference and signal overloading. I suggest getting a directional antenna and variable signal attenuator. If there are any signal amplifiers, get rid of them. At 6 miles away from the transmitters they will be completely unnecessary and will simply overload and distort the signal.

The biggest problem with DTV is you almost need to be an engineer to get it work right. With analog if the setup is wrong you could still at least get a viewable picture use that to determine the problem.
Eek2121

join:2002-10-12
Newton, NJ

They are limiting their customer base.

The biggest issue is i'm in a new york metro market (NJ) and can't get the service. If they'd let me I would sign up. Another issue is that it only works on the iPhone. I'm running android. In short, they are deliberately limiting their customer base. They need to roll out clients for both android and roku. If i had locals on my roku box i'd be able to cut the cord once and for all.
--
visit my blog!

Elliot9874

@comcastbusiness.net

Re: They are limiting their customer base.

I would love this service!

I would pay $10 in a heart beat.

No need to fiddle with the rabbit ears. Always get a clear picture plus DVR for $10 Sign me Up
ISurfTooMuch

join:2007-04-23
Tuscaloosa, AL
Actually, there is a Roku app, but I think it's still a private channel. I'll check a link I have at home where I believe I saw it and post a follow-up.

Tomek
Premium
join:2002-01-30
Valley Stream, NY
said by Eek2121:

They need to roll out clients for android

Exactly, I would love to try out that service. I don't watch local TV at all. But DVR to skip ads. Hmmm. Well, since no Android, I hope they go under.
--
Semper Fi

KCrimson
Premium
join:2001-02-25
Brooklyn, NY
kudos:1
Reviews:
·Verizon FiOS

Bloggers vs. EVERYTHING

Bloggers exist to criticize. 2000 paying subscribers might be nothing to Dan Sullivan, but I'm sure that initial purchases of many successful products looked a LOT worse. You can't dismiss a product simply because its not DEMANDED before introduction, or upon initial sales. Its not before a critical mass of time, experience, and in this case litigation proves the product's worth.

Here, I'd REALLY like the FCC to step in eventually (and on an expedited basis). What consumers should DEMAND of legislators and their enforcement agents (FCC), is a reworking or redefinition of the rights of rebroadcasting of local broadcasts via digital transmission. I'd like EVERY local broadcaster compete nationally or even globally for their digital retransmission on a free market basis - i.e., no laws or regulations barring WNYW from competing with L.A's Fox affiliate for my digital viewing.

Gozo

join:2012-07-25

Just another fly by night scam

Get suckers to invest, cash out and close shop.

When they first launched they claimed that they were going to house an antenna for each subscriber which set off my B.S meter.

Linklist
Premium
join:2002-03-03
Longport, NJ
kudos:5

Re: Just another fly by night scam

said by Gozo:

Get suckers to invest, cash out and close shop.

When they first launched they claimed that they were going to house an antenna for each subscriber which set off my B.S meter.

The whole service screamed BS from the get go.

Do you agree with Rayburn that Aereo isn't really providing a service consumers want.

Yes.
--
»www.mittromney.com/s/repeal-and-···bamacare
»www.mittromney.com/issues/health-care

Oh_No
Trogglus normalus

join:2011-05-21
Chicago, IL
said by Gozo:

Get suckers to invest, cash out and close shop.

When they first launched they claimed that they were going to house an antenna for each subscriber which set off my B.S meter.

??? Huh?
They use a board with small antennas on it in a good location to pick up the signals.

I dont understand what is BS about this??? Is your meter broken?

Gozo

join:2012-07-25

Re: Just another fly by night scam

said by Oh_No:

said by Gozo:

Get suckers to invest, cash out and close shop.

When they first launched they claimed that they were going to house an antenna for each subscriber which set off my B.S meter.

They use a board with small antennas on it in a good location to pick up the signals.

I dont understand what is BS about this??? Is your meter broken?

I don't know if you're being sarcastic or serious but hey maybe this antenna board is also powered by their brand new patented free energy thingamajig that you can invest in for the low low price of $9,500.

I hear 5 out of 5 Nigerian princes recommend investing in it.

sfields3010

@supervalu.com

Interested in service

I would be interested in the service in the Richmond VA area. Currently the "paid" tv suppliers do not carry all the local channels. Would be nice to have.

cmarklive

@sbcglobal.net

they should

they had a web site for people to vote on I would join .

cmarklive

@sbcglobal.net
they had a web site for people to donate I would . I would fund there battle with a five dollar donation...

morbo
Complete Your Transaction

join:2002-01-22
00000
I would sign up today if this was available to me.
silbaco

join:2009-08-03
USA
There are only a few reasons I could see this service being useful. Other than that, it is essentially charging you money for something that is freely available and needlessly chips away at people's caps. I don't see the point.
Wilsdom

join:2009-08-06

Re: Agreed....

A few years ago no one would know what you meant when you said "caps"...
elefante72

join:2010-12-03
East Amherst, NY
Reviews:
·Time Warner Cable
·Verizon FiOS
·voip.ms
OTA is freely available too, but 100 million people PAY for cable.

My family outside of netflix/amazon, etc watch about 90%+ TV (which is very little) of which is broadcast. The other 10% is a show or two, which if I really wanted could buy on itunes.

So if you use this as a cloud DVR (you could watch remotely), supplant w/ Netflix and the like you could have a good deal 90% of your programming for $20/month. Once you have to pay $2 an episode, you may think twice about how good it is.

For this to work it has to support GTV, ATV, and Roku. Maybe they make a deal w/ Samsung or the like. Tablets is the other method.

So for those who have caps (I do not) this may not be a good deal if you have 5 people streaming in the house.

So the limit is caps, not need. The point is if they use this as a cloud DVR, then there is no reason they couldn't add regular TV on there also and make a deal with cableco...

If you think about it a network DVR is going to set you back $20/month or more anyways, and that is for zero content....
MyDogHsFleas
Premium
join:2007-08-15
Austin, TX
kudos:5
I find myself not that interested in local broadcasts (ABC/NBC/FOX/CBS/PBS) at all, and I can receive them all OTA at home. With the exception of major sporting events.
25139889

join:2011-10-25
Toledo, OH

Re: For my own part...

to expand outside of that- they have to go and battle prices with the content owners- Disney-ABC, Viacom, etc.
MyDogHsFleas
Premium
join:2007-08-15
Austin, TX
kudos:5

Re: For my own part...

ummm.. what? I don't understand the point you are trying to make or how it relates to what I said.
covfam

join:2012-03-05
Black River Falls, WI
id love to have aero in west centeral wisconsin, i cant get OTA here at my house and 80% of everything i watch is on CBS,NBC,ABC&FOX the rest is on TNT &USA wich i can order on amazon prime.
Kearnstd
Elf Wizard
Premium
join:2002-01-22
Mullica Hill, NJ
if they did this then you could say.. even without a DVR catch a show 3hrs later when its broadcast in LA. If for whatever reason the baseball game on local network is blacked out, pull in another feed and watch it anyway.

things like that would give it a bigger draw.
--
[65 Arcanist]Filan(High Elf) Zone: Broadband Reports

johnnie125

@verizon.net
This is how all the cable companies started. They found a loop hole (retransmitted broadcast tv; marketed by offering a solid/strong/clear signal and picture then bunny ears), exploited and created the billion dollar business it is today.

All I see are people saying that they offer just local channels. Well yes that is true now, but the future ESPN or CNN could create a deal to add their channel on to Aereo and boom you start to see true competition to the cable company's lousy/current business model.

As well Aereo is a way more modern experience then the cable companies provide.

Wednesday, 22-May 11:21:58 Terms of Use & Privacy | feedback | contact | Hosting by nac.net - DSL,Hosting & Co-lo
over 13.5 years online © 1999-2013 dslreports.com.