Oct 5, 2009
Internet TV Widgets Are In your Future
Most consumers say they want their
primary television set to be capable of connecting to the internet.
When that happens – and it almost certainly will – the television
business model will undergo tremendous turmoil.
A study from Ernst & Young's Global Media & Entertainment Center
looked at what might happen if the same kind of widget applications
people increasingly use on computers and mobile devices become readily
available on the living room television receiver.
The results will likely challenge basic concepts of the television
business. “Advertising issues are inevitable: As TV viewer attention
migrates from programming to TV widgets, broadcast ratings and
advertising rates may follow. Most consumers say they want their
primary television set to be capable of connecting to the internet.
When that happens – and it almost certainly will – the television
business model will undergo tremendous turmoil.
A study from Ernst & Young's Global Media & Entertainment Center
looked at what might happen if the same kind of widget applications
people increasingly use on computers and mobile devices become readily
available on the living room television receiver.
The results will likely challenge basic concepts of the television
business. “Advertising issues are inevitable: As TV viewer attention
migrates from programming to TV widgets, broadcast ratings and
advertising rates may
need to be protected against further erosion.” It notes that widgets will likely enable split screens and simultaneous viewing of multiple programs, another conflict with the traditional video model, particularly things like exclusivity.
E&Y speculates that until such issues are resolved, “TV widgets will likely be
restricted to marketing trailers for example, potentially preventing consumers
from experiencing the wealth of content offered through TV Widgets.”
Regulatory agencies are expected to be very busy sorting all of this out.
Also expected to feel shockwaves are the underpinnings of the television news
business. Competition for programming and content will also rise to a new level.
E&Y believes that the television will not be an adequate replacement for a
desktop or laptop computer.
"TV widgets present content providers with an immediate opportunity to
strengthen their relationships with consumers," said E&Y’s Howard Bass. "Content
and technology companies that respond to consumers' need for a simple and
elegant user interface will likely have the most success with TV widgets."
In conclusion, E&Y writes, “TV widgets will likely allow content companies to
reinforce their brands and promote their programming. Long-term, consumer
adoption will ramp-up and advertising and pay-for-play will prove significant.
When this occurs, content companies and advertisers will finally be able to
strengthen their relationships with viewers/consumers through Web-enabled
television.”
Source: TVBR .com