It seems that cable companies are finally getting tired of competing with all the free TV shows that are streaming over the Internet. According to an article in AdAge.com, Time Warner Cable’s CEO Glenn Britt said that they do care when TV networks put their full-length content online and essentially bypass cable TV.
This is a fight that’s been a long time coming. Hollywood studios and networks are finally realizing that they want to reach the most number of people as possible and not be constrained by traditional broadcast TV models. For example HBO has hosted many full-length shows online, as have ABC (Desperate Housewives, Lost), NBC (Hereos) and others.
Studios are embracing this new “Hollywood 2.0″ mentality that they want wider options for their content, and different mediums rather than trying to keep everyone tuned into their TV sets. In fact, a Time Warner cable spokesperson said they are prepared to withhold some subscriber revenue from the networks.
“Our point of view is that there is a segment of our audience that is living more primarily online than they are living on other platforms,” said Erik Flannigan, exec VP-digital media of MTV Networks’ Entertainment Group. “As some of our actions have made clear, the consumer will have many places they want to consume content. As long as we’re putting forth that experience and getting the lion’s share of the advertising, everybody wins.”
I don’t think that it will come to that, however. Cable companies are scared, and are trying to say and do anything to make people understand that they feel threatened by the Internet. Broadcast TV is being threatened–by DVRs, Internet delivery and even DVDs. But any major change to the established broadcast cable TV systems won’t happen for many years.

Some cable providers, like Comcast, have embraced the Internet and have developed web properties (like FanCast.com). It seems that other TV providers will have to learn how to adapt in the face of the growing Internet menace.
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