Originally Posted by ExDilbert
In order to keep its market position, Netflix is also reported to be investing $6 billion in new, original programming. Other OTT services are also reported to be spending large amounts for original content.
This is a good thing.
Compare TV today to TV ~10-15 years ago. Frankly, there was very little superhero content to be had. We had the occasional Marvel movie, and "Heroes" on NBC.
TV shows have improved dramatically in both quality and quantity. The fact that companies like Apple, Netflix, and Amazon are all investing lots of money into creating content means that TV viewers have plenty of choice of high quality scripted TV content. Ten years ago, traditional TV networks were scaling back their high quality content production in favor of "reality TV" - stuff like The Bachelor and The Apprentice.
1 - Much more high quality content available to consumers. I don't have even close to enough time to watch all the great content that I want to watch.
2 - Many more opportunities for content creators to "get funded". More jobs for actors, more jobs for writers, etc.
3 - The Internet provides all this entertainment for very little money (compared to cable), and lets you only buy the content/services you want. This was something that BDUs said was impossible to do (for years!), although it seems easily done by OTT providers. Funny how that works.
4 - You can enjoy this content without buying expensive, proprietary hardware from a BDU. In many cases, you can enjoy it "on the go" because companies like Netflix are providing a legal way to cache this content on your device. In the past, if you wanted to watch your recorded content on a trip, you had to break some laws.
To put points 3 & 4 in perspective, Netflix costs $14/month for their premium plan which provides 4K content. My local Cable TV provider (Shaw) wants $15/month to rent their BlueSky TV box, plus $5/month for each "portal" client device. Worse still, the BlueSky TV hardware doesn't even support 4K video resolution
! And that's just hardware rental. You still need to pay for cable channels above and beyond that.
- Disruption of traditional networks will mean that people will lose jobs, and business models will be destroyed.
To be fair to Shaw, I should mention: if you sign a 2-year contract and have their highest tier Internet service (150mbps), then Shaw discounts the BlueSky box from $15/month to $5/month. Portals still seem to cost $5/month each according to their contract. If you really want the "4 concurrent streams" experience that you get from Netflix's premium plan, you would need a BlueSky box + 4 portals, which would be a $25/month fee in the 2-year contract scenario.