If Streaming Kills Cable, What About Content?
Netflix is not going to kill cable. Nor is Amazon Prime. Nor is the mythical Apple TV. Because if they do, they will essentially be sawing off the limb on which they have built their businesses: content funded by the very cable model against which they offer an alluring alternative. And wow, is it ever funded — programming is expensive, as you may have heard.
This article was originally posted on adweek.com
Bobbi Proctor
Cable is attempting to kill of OTA television and, unfortunately with the cooperation of the FCC, is doing just that. The cable industry was built using programming that was produced by and for broadcasters. Look back at the early days of cable and what did they offer? Their channels, usually twelve, were filled with local TV stations and possibly a weather channel with a few gauges that were scanned by a small camera. Without the stations for programming there would have been no demand for cable. Now cable systems do not carry many of the program services that OTA stations offer–primarily LPTV and the multicast channels. A lot of programming on cable exclusive channels has previously been broadcast. What is the difference between what has happened to the major networks and local stations and what is happening to cable?