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Dish Exec: Hulu Is Destroying The TV Industry
Which is odd, since Hulu largely IS the TV industry...
by Karl Bode 04:25PM Wednesday Nov 03 2010
You would think that making your content (and advertisements) more easily available to users in the age of broadband could be a good thing. However, according to Dish Network VP of Online Content Development and Strategy Bruce Eisen, Hulu's model of giving users access to TV shows shortly after they air is bad for the TV industry. If Eisen had his way, all online video content would be locked behind the industry's TV Everywhere initiative, with Hulu content only made available for free a month after it airs. Anything else, and you're apparently looking at the collapse of polite TV society:
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The model of sites like Hulu that make catchup content available immediately isn't benefiting the industry, he said, adding that broadcasters should instead reserve catchup episodes for authenticated TV Everywhere services, and only make them available freely after 30 days. "If people decide that they don't have to pay for pay TV, then one of the pillars (of the TV industry) starts crumbling," he said.
The problem? Eisen doesn't get a say in dictating how consumers want to consume entertainment. The overpriced, bundle-channels-you-don't watch TV model is not sustainable in the face of broadband -- and the TV industry's paywalled TV Everywhere effort is just an extension of their regular business model, shoehorned to fit the Internet age. As for the TV industry "crumbling," perhaps Eisen should examine why so many of their customers would love it to.

Meanwhile as we've recently been saying, Hulu isn't really all that disruptive. The company buckles easily to their broadcast owners, adds continually more ads, over-charges users for content, and blocks living room browsers from accessing their ads. They're even already implementing a thirty day delay on some programs. Hulu can't destroy the TV industry, because they are the TV industry.

If Eisen and fellow TV execs are this terrified of Hulu, a service that essentially does everything broadcast executives ask of it, imagine how much they'll love Internet video services down the road that are truly disruptive.

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