Originally Posted by 512ke
I doubt the networks will go for it unless the shows include commercials. They just found out that people who Tivo still watch almost half of the commercials. It's the major revenue stream worth a lot more than $30/month.
And if there are going to commercials, then why pay for what you can get for free simply by clicking on Hulu.com etc?
I don't see the business model for this personally.
I actually think Apple should be offering the "Next Generation" of Free (commercial!) TV, like Hulu has been trying. Let people download a TV show and then add a small number of commercials customised specifically to the viewer (their interests, location etc).
Give us a choice to
# watch our shows, for free, with commercials
# a cheap subscription to reduce to just a couple of commercials in the whole show
# a premium subscription, or rental, or purchase - for no ads.
If the Boston NBC affiliate (for example) doesn't go for the model, then Apple can always put in EVERY Boston commercial as if it was a regular DVR (and let people skip those ads like a DVR too).
This kind of thing
* keeps the advertisers in the loops
* minimises wasted advertising of tampons to men, etc.
* allows a show to start "immediately" by showing a pre-loaded 30second ad while iTunes caches the show.
* gets new viewers to older series
* helps TV networks keep viewers who leave arc-based shows by showing episodes in order
* has immediate ratings feedback for advertisers, including click-thru and interactive marketing to people who click "tell me more".
* allows ads for shops in the local area (<2km etc) which are normally impossible in a big market
* and most importantly - 1/4 the ads but still free, immediate, convenient.
I think there's a huge business model for it - but it's a difficult step from current models to this one.