Saturday, May 17, 2008

HBO and iTunes...cable operators must be $#@^%&!!


HBO on iTunes. OK, so whats going on? HBO typically premieres 4-6 new movies a month. These are first-run movies that have ended their DVD and PPV window premiere and slide into 'pay-tv' land. I used to buy HBO for these films, but now can get them any number of ways including buying them on a one-off basis on PPV. And now, HBO has non-movies, i.e. (shows like Entourage, Sex and the City, etc) that I like to watch too. Now I can do that and more with their shows on iTunes. The cable operators must be pissed. This certainly takes some incentive away from cable subscribers to plunk down $ 12.95 a month or more for HBO. HBO built its core audience and business on the backs of the cable industry. Operators have screamed for years about the encroaching PPV window creeping into the pay window. Now, they have the internet to contend with AND a nice, consumer friendly platform in iTunes (other than the annoying DRM/portability issue - and its more portability than anything else).

The easier this becomes, the more people will get their programs like this, the more sites will eventually offer these shows and voila! They all become a commidty - something like airline seats are today. One site trying to undercut the other for the sale. Remind you of something today? How about the music business online? So, stay tuned and if we are all lucky some of the HBO shows might appear on Hulu, (with a few spot ads) and then I can unsubscribe from my monthly HBO, get free original shows on Hulu and buy an occasional film from iTunes when I have the time to watch.

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