Xbox and television – Money image (press release) (blog)

For decades the business model has been to transmit television signals to viewers unidirectional consuming packaged with advertising guidelines to constantly interrupt programming content. On cable or satellite, except premium channels like HBO, it is the same: the subscriber receives a signal that is packaged with commercial messages that continually interrupt their programming. However, in several markets, including Mexico’s business model has been transformed through video on demand over the Internet and individual online subscriptions to channels of companies like Televisa in Mexico, and as HBO, CBS and Showtime in the US .

So, the television networks have been expanding their sources of income for multiple platforms over the Internet with the call cord cutting .

In addition to therefore are retransmission fees that cable television operators and satellite must pay these chains by copyright. This was the traditional model in Mexico even before the Reform of Telecommunications and Broadcasting and declarations of dominance, when it was decreed back these free signals up as there was no effective competition on the market.

In America a more competitive market, these fees remain relay, but not without problems to new technologies.

Last year, the US Supreme Court decided an open filed by the major television networks demand ( CBS, NBC, ABC, FOX and PBS) against Aereo, a company that recorded broadcast TV signals and relayed on demand for users who rented their service. Aereo not pay broadcasting rights to these chains, which generate about three billion dollars a year for this item.

As in Mexico, the broadcasters argued that the service violated copyright what was confirmed by the Supreme Court of that country.

However, perhaps in a confirmation that technology is advancing faster than laws, yesterday Microsoft announced that its console Xbox One will be able to record broadcast television transmissions. Aereo The difference is that this service will be free, but the line remains tenuous it. Will this be a case in which Microsoft or the Xbox One must pay royalties for broadcasting rights? It will be interesting to see the reactions of the major broadcast networks.

What certainly opens the space for debate is that the avalanche of technological platforms and services is placing significant pressure on regulations and laws made to other realities technology.

Perhaps this could be interpreted only as an issue of income generation and the loss of such income by the chains. However, it also brings a deeper issue about the paradigm shift in various platforms that are owned by content generators. With multiple devices and platforms it will be a debate increasingly resorted to.