Eric Berner
CCS 313
HBO's Jump To Online Streaming
Article: http://www.theguardian.com/media/2014/sep/13/hbo-go-without-needing-cable-welcome-to-the-future-of-television
In a recent press conference held by Goldman Sachs, CEO of Time Warner Cable Jeff Bewkes announced that HBO's online streaming platform was looking into pursuing subscriptions based on online purchase only. This is a major development for those defined by Brian Moylan as "cord cutters" in his article covering the announcement. Moylan's description of cord cutters are people who have abandoned cable television altogether, consuming all television through platforms such as iTunes, Netflix or Hulu. Moylan describes HBO Go as the cord cutter's holy grain, as it was a means for the cord cutters to access some of the highest quality and award winning material available on television today online. The catch? Barring begging a friend for their parents password, HBO Go subscriptions could only be obtained by having a cable subscription to the HBO network which still tied the traditional cable model to this streaming service.
During the conference, Bewkes also claimed that HBO was "seriously considering the best way to deal with online distribution." HBO's history as a visionary channel has been one that lead it to some of its greatest successes. Shows like Game of Thrones take a huge budget nearing movie level production, thankfully the results of the resources spent and the weeks surrounding a Game of Thrones season produce a mania most notably seen on the internet. This mania surrounding some of HBO programming such as The Wire, The Sopranos and Game of Thrones helps display the concept of phenomenal television that Lotz refers to. These shows build their own cultural forums, that transcend the current format of cable television and calls back to the dominance of network television. Instead of being shows aimed at niche audiences, the original content created by HBO is often phenomenal, creating discussions beyond the television.
Given its reputation for innovation and visionary tactics in creating content and challenging standards of broadcasting, it would make sense for HBO to be one of the first networks to take the plunge into an online platform. Platforms after all, Bewkes writes are what will determine hegemony in the future of television broadcasting. Instead of a future where cable television and streaming services continue to coexist similar to the current state of television, Bewkes views the future of broadcasting essentially as one big on demand service. In this sort of delivery system, viewers will not have to wait for their show to air or their DVR to record, but just simply select whatever show they'd like to watch at that given point in time. This is an interesting take on the future of the delivery system of television, as referenced in the Jenkins reading. While Moylan certainly has an idea on the future of the delivery of television, he makes no predictions of television as a protocol in the future, aside from the complete control of television from the viewer. This concept itself is interesting, as it shows how important the audience has the ability to become.
But before any of this can happen, Moylan points out that the "cord cutters" of the world need to unite and take over. Moylan writes that only 2.9% of cable subscribers plan on cutting the cord themselves and abandoning cable television for online platforms. This also, is only up .2% from the previous year. In order for television producers to see value in pursuing online subscriptions, the number of cord cutters clearly needs to be larger. The numbers of cord cutters may vastly increase, as a more tech savvy generation becomes the consumers of television. Moylan claims that 49% of cable subscribers aged 25 to 34 are considering cancelling their cable television services a stark contrast to the 2.9% who actually do cut their cords. It seems that before HBO Go and other networks approach internet streaming options it is a major matter of demand and abandonment of the current cable television model. Perhaps it is just a matter of time until the on demand, streaming generation of consumers mature, but it certainly has become clear that the internet is a necessary addition to modern television consumption.
Given its reputation for innovation and visionary tactics in creating content and challenging standards of broadcasting, it would make sense for HBO to be one of the first networks to take the plunge into an online platform. Platforms after all, Bewkes writes are what will determine hegemony in the future of television broadcasting. Instead of a future where cable television and streaming services continue to coexist similar to the current state of television, Bewkes views the future of broadcasting essentially as one big on demand service. In this sort of delivery system, viewers will not have to wait for their show to air or their DVR to record, but just simply select whatever show they'd like to watch at that given point in time. This is an interesting take on the future of the delivery system of television, as referenced in the Jenkins reading. While Moylan certainly has an idea on the future of the delivery of television, he makes no predictions of television as a protocol in the future, aside from the complete control of television from the viewer. This concept itself is interesting, as it shows how important the audience has the ability to become.
But before any of this can happen, Moylan points out that the "cord cutters" of the world need to unite and take over. Moylan writes that only 2.9% of cable subscribers plan on cutting the cord themselves and abandoning cable television for online platforms. This also, is only up .2% from the previous year. In order for television producers to see value in pursuing online subscriptions, the number of cord cutters clearly needs to be larger. The numbers of cord cutters may vastly increase, as a more tech savvy generation becomes the consumers of television. Moylan claims that 49% of cable subscribers aged 25 to 34 are considering cancelling their cable television services a stark contrast to the 2.9% who actually do cut their cords. It seems that before HBO Go and other networks approach internet streaming options it is a major matter of demand and abandonment of the current cable television model. Perhaps it is just a matter of time until the on demand, streaming generation of consumers mature, but it certainly has become clear that the internet is a necessary addition to modern television consumption.
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