Chip Tarver's Digital Media Convergence News

Monday, February 27, 2006

Digital Media Convergence News - News Anytime, Anywhere

Story courtesy of http://www.jacksonsun.com/apps/pbcs.dll/article?AID=/20060129/COLUMNISTS03/601290306/1014


Our new offerings: News anytime, anywhere

January 29, 2006

Come Monday, The Jackson Sun is on TV.

Sort of.

Allow me to explain.

Monday is the debut of a connection between this newspaper and JEA's EPlus television. At 7 p.m., EPlus TV6 will present the "West Tennessee Parent & Family Magazine Show."

A long title, to be sure, but "Friends" was already taken.

As you know, West Tennessee Parent & Family is our free monthly parenting publication, with local people you know writing about local families.

Now, you get to see them on TV!

For the past several months, we have talked in this space about the need for newspapers to expand their audience "footprint." This means we want to grow our readership, and now our viewership and listenership, through a myriad of products under The Jackson Sun umbrella.

We have done that successfully with our daily newspaper, our two online partners, jacksonsun.com and CyHigh (our high school newspaper) and with Parent & Family. There now are numerous ways to get the information you need, and not just from the daily newspaper.

We've also gone talk radio, for goodness' sakes, with my weekly appearance Monday afternoons with WNWS-FM's George B. That's been a blast for me, and we'll soon be podcasting the show, so you can listen to it anytime you wish.

I think that's becoming our new slogan. It is "First in news," and has been for 13 years.

Now, perhaps it should be "The Jackson Sun: Anytime, Anywhere."

Monday, we take the first steps into television.

Partnerships between newspapers and broadcast media, while certainly growing now, are not new. Many folks in Jackson recall that the "TJS" in WTJS-AM stands for "The Jackson Sun." Those who watch Chicago's WGN-TV might not know WGN stands for "World's Greatest Newspaper," since it has long been owned by the Chicago Tribune Company. Well before anyone talked of media convergence, WGN radio had Chicago Tribune sports writers and political analysts on its talk shows. So newspaper-broadcast projects are not new.

But they are for us. We are, after all, print journalists.

Please know that we tried to get Oprah to host the show, but she's having her own difficulties with book authors these days. So we settled for the editor of our magazine, Jacque Hillman.

Jacque does a great job in the show's first broadcast.

Each month, we'll do and show and tell based on subjects in that month's magazine. Monday, Dr. Vernessa Davis-Tharpe provides tips for new parents on what to do when your baby cries at night. (My strategy was to tell my wife.)

(Just kidding.)

Union's Gene Fant talks about mealtime and its importance to families. Madison Academic teacher Becky Fly talks about theater workshop opportunities, our own Lisa Meals shows you how to make Presidents' Day crafts with your kids, and Amy Elizer gives some tips for the kitchen.

The JEA folks did a great job making our folks look good.

Next week, we'll also provide a Webcast of the show at jacksonsun.com. We'll break the show into specific segments, so if you want to watch Amy Elizer cook again, you can get the specifics. Or if you want to watch Lisa do crafts, you can do that as often as you like.

Anywhere, anytime.

JEA EPlus also will broadcast the show throughout the month.

We also know, and it's important for you to know, that in addition to working with us, JEA is an entity that has significant public interest. We certainly will not stop covering JEA and holding it accountable to the public. JEA's managers understand that.

Of course, once you've finished watching West Tennessee Parent & Family Monday, get ready for the 9 p.m. showing on 'BBJ of "The Bachelor in Paris" by going to our Bachelor Web site at jacksonsun.com. See what "Sarah from Tennessee's" friends are saying about her chances, and vote in our game to see who shouldn't get a rose.

The Jackson Sun: Anywhere, anytime about most anything.

Richard Schneider is The Jackson Sun's executive editor. He can be reached at 425-9654 or toll-free outside Madison County at (800) 372-3922, Ext. 654. Log onto jacksonsun.com and share your thoughts on this column.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Online Video Ads

Story courtesy of http://www.imediaconnection.com/content/7940.asp


Get in the Game with Online Video Ads

By Greg Verdino - January 30, 2006

ROO's Sr. VP of Sales and Marketing, Greg Verdino, offers tips and tricks to get your online video campaigns rolling.

If 2005 was the year online video advertising began to garner attention, then 2006 will be the year that it is truly embraced. The catalysts causing the media and marketing communities to sit up and take notice include bold moves by online media giants like AOL, Yahoo! and Google; online publishers' shift from traditional text-and-graphics content to more video-centric strategies and creative video initiatives by leading marketers.

What 2006 will also demonstrate is the continuing decline of television advertising and the realization that traditional internet advertising is breaking down fast. But don't start crying about it just yet. Online video advertising offers an effective alternative that addresses these industry ailments. This article discusses why you should create engaging and effective online campaigns using video, and suggests some useful strategies for doing so.

Putting it all into context
With all of the real world activity surrounding the holidays, you are forgiven if you missed one of our industry's most noteworthy studies-- eMarketer's December 2005 "Online Video Advertising" report. It definitively stated that online, in-stream video advertising is by far the most effective form of online advertising available to marketers today.

So what makes video so much more effective than other forms of online advertising? A big part of it lies in its contextual relevance.

Let's look at just one scenario: Perhaps you suffer from diabetes and turn to the web for information on how to manage your condition. You choose to visit a relevant destination site, click into their video section, surf their video channels and select one devoted to health news and information. Within the health channel, you initiate a specific video clip about living with diabetes.

Before your on-demand video plays you see just one 15-second commercial, presented in the video player, and it is an ad for a medication that treats diabetes. Chances are you will watch that commercial; you may even click for more information.

This scenario, typical of how we program advertising on the ROO network, works for many reasons. Here are some of them:

The content is compelling. Video is the most engaging form of content available on the internet, and it is the reason many consumers are upgrading to broadband. The web offers viewers access to video content that they cannot get anywhere else. And it is available on-demand-- viewers watch what they want, when they want to watch it. By associating your advertising directly with that content, you reach an active, engaged viewer who may already be pre-disposed to your advertising messages.

Ads are presented in context. In-stream ads are an integrated part of the content experience, and they are part of the process that consumers are familiar with from television. You don't need to resort to disruptive gimmicks to draw the user's attention away from the content.

Consumers are receptive to in-stream ads. Another eMarketer takeaway is that consumers are least likely to be "annoyed" by in-stream video ads. Generally speaking, online viewers understand and accept the trade-off between access to vast amounts of free content and the broadcaster's need to monetize that content through advertising. A receptive audience is a responsive audience, and the eMarketer study bears this out, as does our internal research at ROO.

The typical video advertiser can expect a two to three percent clickthrough rate; one recent ROO advertiser saw double digit response rates. When was the last time your banner or rich media ads delivered even a one percent clickthrough rate?

Online video advertising offers marketers the ability to leverage the impact of television's sight, sound and motion with the internet's immediacy and accountability, to establish a meaningful connection with engaged, receptive and responsive online audiences.

So if you're ready to get into the online video advertising game here are some simple best practices:
Keep ads short. Because most on-demand online video content is "short form" -- for example, the average clip in ROO's video library runs between two and three minutes -- shorter ads are better. If you have or can create a 15-second spot for use on the web, do it.

Create for the medium. Not surprisingly, most of the ads running as pre-roll today are simply repurposed television spots. All but a small handful of the advertisers that ran on the ROO network in 2005 used the very same ads that they created for offline television. This is certainly a reasonable first step, but for pre-roll to be its most effective, advertisers should create web-only video ads that leverage the unique features of the medium, including its 'click now' functionality.

Include a strong call to action. Direct marketers have long known the power of asking the consumer to "act now" and providing an incentive to do so. Internet marketers have always emphasized clickthrough rates as a primary measure of online ad effectiveness. On the flipside, most television advertising simply does not solicit immediate action. A strong call to action presented through an attention-grabbing video ad delivers what traditional television cannot-- the potential for real-time "one-click-away" response.

Be targeted. Targeting discussions quickly turn to demographics (and demos are important), but the real power of online video is the ability to match appropriate, targeted advertising to on-demand content. The healthcare example above can be extrapolated to virtually any category.

Online video buys should not be based on reaching the broadest audience possible with any given placement, but on reaching the right customers, at the right time, in the right place through user selected on-demand content that is contextually relevant for your brand.

Think beyond pre-roll. I believe that in 12 to 18 months' time, a lot of people will feel foolish for devoting so much brainpower to debating over where to spend their pre-roll video dollars, let alone whether they should be allocating any budget to pre-roll at all. Pre-roll is an on-ramp to internet video advertising.

Forward-thinking marketers are already moving beyond simple pre-roll placements to more immersive marketing programs that include sponsored video channels, branded entertainment, product placements and more.

As you can see, there are some straightforward guidelines to creating an effective online ad strategy. But don't stop here. This medium is still young, and creative approaches to getting your product's and brand's message across are out there waiting to be developed.

As ROO's Senior Vice President of Sales & Marketing, Greg Verdino brings over 15 years of experience in the online media and advertising industries to drive ROO's North American sales and marketing initiatives. In this role, Greg oversees strategic alliances, new business development with affiliates and content partners, advertising sales and marketing strategy.

He also represents ROO on the Interactive Advertising Bureau's Broadband Committee. Greg is a recognized expert on streaming media, internet broadcasting and media convergence and has appeared on CNBC and Fox News Channel, as well as in BusinessWeek, USA Today and The Wall Street Journal. Greg has also spoken at numerous industry events, including Streaming Media East as well as NAB, the Radio Ink Radio Internet Conference, the Radio Advertising Bureau Conference and many more.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Changing the Country

Story courtesy of http://www.alternet.org/story/31230/


Changing the Country, One Book at a Time

By Don Hazen, AlterNet - January 26, 2006

In part one of our two-part roundtable discussion, four leaders of the progressive publishing industry discuss their successes and failures since 9/11.

Editor's Note: This is the first of two parts of our Roundtable Discussion on Progressive Publishing. You can download the audio of this talk from AlterNet in two parts: Part One, Part Two. The second half of the discussion will be published on Friday.]

Introduction
In our world of fast-changing technologies, information overload, instant pundits and a relentless global 24/7 news cycle, books are, perhaps surprisingly, still vitally important. Yes, in the era of the Internet and media convergence on the web, Gutenberg's invention is still holding its ground, even though there is some decline in the number of books being sold, in a business sector that has its ups and downs.

There are many reasons why books remain a central part of many of our lives. One heartening reason is books represent deeper thinking than what we get in our day-to-day news scanning, and, happily, many people still want to dig and know more to make sense of our crazy and disconcerting world. And in some cases, book authors get enough respect and attention to jumpstart a national conversation.

Nevertheless, the trends in book publishing reflect media consolidation in other areas -- there are the big conglomerates and the little guys. As much as 80 percent of trade publishing is controlled by large publishing houses. Still, book sales are big business: Barnes and Noble, Borders and Amazon are all battling for market share. The Internet is helping to make many more books available than the brick and mortar stores can contain -- the so-called "long tail" that is supposed to strengthen small, independent publishers.

One might think that the smaller independent progressive book publishers would be thriving, especially in the face of the Bush administration's rampant unpopularity. But, surprisingly, political publishing is in the doldrums. The publishing boom of post-9/11 and the earlier Bush years have faded, along with the effectiveness of progressive activism. Is there a connection with books and the state of political engagement?

AlterNet invited four stalwarts of the progressive publishing universe to New York City to chat about the state of all things book publishing on January 11, 2006. Anthony Arnove is an author and editor at Haymarket Books as well as the literary agent for progressive heavies Arundhati Roy and Noam Chomsky. Dan Simon is the founder and publisher of Seven Stories Press, who has had some notable publishing successes -- currently with Kurt Vonnegut's "Akashic Books", published AlterNet's "The Five Biggest Lies Bush Told Us About Iraq" by Christopher Scheer, Robert Scheer and Lakshmi Chaudhry.)

Sarah Bershtel is the longtime associate publisher of Metropolitan Books, an imprint of Henry Holt and Co., where she has been the force behind notable political publishing including Barbara Ehrenreich's Nickel and Dimed" and her newest "Bait and Switch"; also on Metropolitan's roster is Thomas Frank's "What's the Matter With Kansas?" and many others.

The fourth participant was Colin Robinson, a dynamic Brit, who had major success at Verso Books before moving over to the New York City-based nonprofit New Press in 2001. New Press is considered the heavyweight of independent political publishing, given the number of books it publishes, and its creative titles and fundraising prowess. Robinson, as chief editorial operative, was seen as a compelling fit by many at the New Press. But, much to the shock of some of his fellow publishers, Robinson left at the end of the year do to editorial differences.

In Editor and Publisher, Diane Wachtell, executive director of the New Press, acknowledged the differences over running the non-profit publishing houses. "The New Press is an interesting hybrid and there's nothing written down on just how you go about making it work. We all care about it, but we don't all have the same vision on how to make it work," Wachtell said.

Robinson went into more detail. He cited differences on the nature of the New Press list -- "I want to do more radical, edgy books on politics and culture." Wachtell, Robinson said, is more interested in "progressive books. Books on public interest and on education." And he questioned the New Press's dependence on grants and foundation money. "Foundation support can affect the books. You can end up trying to please foundations and their support is unreliable." Many are looking to see where Robinson lands, as well as hoping that the New Press continues to play a powerful role in progressive and edgy publishing.

The roundtable was moderated by AlterNet's Executive Editor, Don Hazen. AlterNet has a long commitment to independent progressive books, regularly publishing excerpts, author interviews and reviews.

Don Hazen: Let's start by checking in on the big picture regarding the state of independent publishing. Where have we come, say since 9/11 and the success of the mini-Chomsky book? What's the trend line showing us? What are some of the big successes of the past couple years as well as disappointments? Colin, can you get us started?

Colin Robinson: For this discussion we need to make a distinction between independent and progressive publishing. There are a lot of independents, probably tens of thousands of independents who don't have anything to do with political publishing.

But if we're talking about progressive publishing, I think there was a period in the wake of 9/11 where a lot progressive publishers had a pretty good time of it. And that was for a couple of reasons; one, was that that they were much more fortunate in terms of being able to respond to the new politics of the situation. And obviously what Dan [Simon] did at Seven Stories with the little Chomsky pamphlet was a fantastic thing. I mean, how long did it take you to get that out, Dan?

Dan Simon: Greg Ruggiero and Noam worked about 22 drafts between late September and late October. And then we had the books out by the middle of November. It was astonishingly fast, and because the book was short, it was at a very high quality of production and completion. There was nothing rushed about it because of the shortness of the book.

CR: So I think the flexibility of the small independent progressive publishers was a factor there, The fact that they were able to realize so quickly what was important and to get it out there. And then following up on that was the fact that 9/11 did open up public discussion about the state of the world in a way that was very useful for progressive publishers. There was the whole question of why it had happened, and mainstream American politics never really addressed that. And that meant that there was a big gap that independent publishers were able to move into.

And I think particularly, say of Pluto [Press] in London, who had a couple of books, one on Afghanistan and another on the Taliban, which had been sitting on their backlist for a couple of years … they're the sort of books that would never have gotten published by a mainstream publisher. They just wouldn't have taken them on because they were too "marginal." But Pluto thought that they were important politically so they had them on their list, and when 9/11 came on, they absolutely took off. They sold fifty or sixty thousand copies of those books within a year of 9/11 happening. So that was a very good year for Pluto.

Sara Bershtel: And if I could add just one thing to that. I think it isn't just the new books that people came up with, but the books that a couple of us who were publishing political books, had on our lists. For us, the amazing story was Chalmers Johnson's Blowback," which we had published, perhaps a year before. Within a week of 9/11, the sales of the book went skyrocketing for the reason that Colin said, that people perceived: Here was some effort at trying to understand what had happened in some way.

DS: And just to connect the sales and publishing side to the larger public conversation that was going on, and I'm paraphrasing the author and playwright Barbara Garson here: If today the majority of Americans believe that Bush misled us into going to war, if the majority of Americans believe that we made a mistake in going to war, etc., etc., it's largely to do with the efforts of the progressive book publishing and other parts of the alternative media in the fall of 2001 and in 2002, when the public opinions of the country were ostensibly pro-war.

When we were publishing "[Chomsky's] 9/11, we came back from the Frankfurt Book Fair and everyone said, "Don't do it," because the country was so pro-war, and Bush's approval ratings were through the roof. And the progressive publishers -- Pluto is a great example -- because we're not marketing-driven, were publishing against the current. And did it for years and years and years. As other parts of the alternative media did. We did it throughout 2001, 2002, and part of the fruit of that is there being a kind of greater awareness out there today. It's something to be very proud of.

CR: The trajectory that I would trace is there was a period where there where a number of books that the progressive independent publishers were putting out, e.g., Tariq Ali's book "Clash of Fundamentalisms," which Verso published, sold in very large numbers. A lot of the books that were looking at Middle East politics generally suddenly got a big lift.

Then, and it's rather schematic picture, I would say that we moved into a phase where quite a lot of the independent publishers were doing very well with books that in shorthand you could call "Bush-bashing" books; and the fact that Bush polarized the country so much in the period after 9/11 was a good reflection of the left. I think if you look at The Nation, it went up from 90,000 to 150,000 in circulation. So the polarization of the administration did create new waves of support for progressive publishing. I think a lot of people jumped onto the bandwagon ... perhaps that's the wrong way of putting it. "Saw the market opportunity" and took it.

SB: Saw the market opportunity particularly for Bush-bashing.

CR: Right. A lot of books came out on Bush, and we're all ... I think everyone's a bit sort of sneering and fed up about all that, because it seems very easy. But at the time, it didn't seem like a bad thing to do. [Laughter]

DS: Spoken as a true Brit.

CR: We didn't do any at Verso or the New Press, and neither did any of you. But I don't feel that the people who did do those sorts of books were doing anything wrong. It was just that they got a bit same-y.

My feeling is that in the wake of that period, as you got into the last election, that political activism took quite a big hit in the United States. And actually in Britain, too. And if you look around at the sort of main loci of where political action might be taking place, you saw the anti-globalization movement, which everyone had said from Seattle onwards had this bright future, really losing its way. I don't think we need to have a discussion about why that was. But my own personal opinion was that it all became very activist-orientated.

It was question of "getting out there" and demonstrating; the state was so ferocious in countering demonstrations that young people going on those demonstrations really had to get into their heads: "How do we avoid getting the living daylights beaten out of us, and how do we stop ourselves from getting arrested?" There seemed to be less discussion about what was the movement that was actually being built by these demonstrations. And I think that made it a problem to get an ongoing organization within the anti-globalization movement.

And then the anti-war movement, after the war had started and after those fantastic demonstrations in the spring of 2003, which were the largest demonstrations that had ever taken place in the world, the war went ahead anyway. People got a bit demoralized by that. And the demonstrations started tailing off. The union movement … well, you know the AFL-CIO fractured along very complicated lines and I think people are very unclear about that; the black movement is really, I would say, in crisis. So it was very hard to see where any kind of activism was going to come from in the United States in the last two or three years, and I think that has affected progressive publishing.

Progressive publishing has a very close relationship with political activism, and maybe that's a really obvious thing to say, but it seems to me to be true. And the fact that the left broadly was in crisis organizationally, couldn't help but have an impact on radical publishing. I think the two books that really stand out as contributions from progressive publishing in the wake of the elections of 2004 were both attempts to explain how it was that in such a polarized country the Republicans could succeed: and they were the book that Sara published, Tom Frank's "What's the Matter With Kansas?," which I think was a fantastic book and prompted a really, really interesting debate, and sold a huge number of copies.

And the other one was the Chelsea Green book, George Lakoff's book, "Don't Think of an Elephant!" which I thought was a less interesting argument, really, it's argument that was very comforting for sections of the Democratic Party because it suggested that really there was nothing terribly wrong with the message they were putting over, but only the way that they framed it which I think … and it's just my view, is a facile and mistaken analysis.

DH: [laughs] George certainly wouldn't agree with that, and since I wrote the introduction to the book, neither would I. Framing is a far more serious undertaking than you describe, but let's save that for another discussion.

CR: Yes, he wouldn't, but the book did very well. I think that with the exception of those two books, that very much through 2004 and 2005, not very much was going on with independent publishing.

SB: I think it's exactly right what you say. Right after the election, actually, is when you could see a fall. I have no idea where it ends, but suddenly the conventional wisdom, that is what you hear in the hallways, what you'd hear from the chains, what you'd see in the reviews was that "political books are over, people aren't as interested." The orders for them were smaller … I don't know, does that have to do with the presence of political activism, or was the publishing of political books a kind of fad that everybody go into?

During those years, suddenly the bookstores were ordering huge amounts of copies of books that they would never had ordered before. I mean, Noam Chomsky, a hundred thousand in hard cover, a hundred thousand in paperback? It was really something.

Anthony Arnove: Though the Chomsky sold through.

SB: It absolutely sold through.

AA: A lot of other books didn't.

SB: A lot of other books didn't, but it was after the election that you felt that the bookstores weren't going to be ordering. I don't know where this begins, who makes the first decision, but similarly, my sense now is that you look at the New York Times Book Review and all the other review media, very few political books are now getting reviewed. It's now absolutely common for books that we publish, which are political books, to get no reviews.

AA: Or to be reviewed by the right wing.

SB: If that. But I think two years ago that would not have happened. Political books would have been perceived as "important interventions" in some kind of national debate; but I think now there's a kind of quiescence, and I think it's a problem, and it's something we have to talk about and to figure out what to do about it.

DH: Is that your sense, Anthony?

AA: Well, I think Colin's analysis is absolutely right. What I would add to it is I think that there was, in a sense, overproduction in the book industry that the first Bush-bashing book was quickly followed by 12, 15, 20 others.

And you could pick other topics where you could see look-alike books, the kind of same-y-ness that Colin was referring to. And I think, understandably, going into a Barnes and Noble, and seeing those book tables where there was a range of not only Bush-bashing books, but a range of the left-bashing, liberal-bashing books, it created a kind of jaded feeling among book buyers. I think it encouraged a kind of cynicism around politics.

That cynicism was reinforced by the pathetic nature of the political discussion during the election cycle. The narrowness of the debate around the war and occupation in Iraq, which the Democrats I think have a great deal of responsibility for. So given particularly the moment that Kerry became the front-runner for the Democratic Party, and you saw the anti-war movement give up its independence, give up its strength, give up the kind of potential that it had, and instead to mobilize for a pro-war candidate whose politics were so far removed from the kinds of politics that I think could have advanced the anti-war movement.

I think in that moment, the political debate narrowed and, therefore, there was a weakening in the discussion and interest in history and ideas and politics that Colin was talking about that had existed in this period after 9/11. So, there was both this overproduction of political books, the movement towards electoralism which I think in a way kind of dumbed down the discussion; it certainly narrowed the discussion. And then to be honest, there was some cynical publishing as well. I think some books that were published, you can question the political motivation for publishing them.

SB: People were trying to capitalize on the political situation.

AA: Yeah. People were trying to make a quick buck and it backfired. I think there was also a kind of desire for instant publishing. There's one kind of instant publishing, which was the example of the Chomsky book, "9/11," which was a political intervention. But that kind of book has a life -- people are going to be reading that book 20, 40, 50 years from now. You have to really look at the number of books that were published in the last year or two and ask, six months from now, a year from now, is anyone going to be reading this book?

Does it have any kind of sustained relevance, critique, analysis, or is it just trying to chase a fad, chase a trend?

I think one of the strengths of the New Press, where Colin has been the last several years, is that a number of the books that the New Press published, and also a number of the books that Seven Stories and Metropolitan have published, are books that make a sustained contribution that's going to outlast this particular political moment, and aren't bound to the immediate fad or trend in publishing.

DH: This is a good point now to step back a little bit and talk about the mission. Dan, maybe you can start that. What is Seven Stories in this business for? What are you trying to accomplish? Do you see your goals as consistent with your other fellow publishers?

DS: I think that our mission is primarily social and cultural. It is primarily for social justice and to do what we can to keep the cultural conversation alive. We're very aware of marketplace, but we essentially believe that we pay too much attention to the marketplace; it'll make us stupid. [laughter] Still, we pay a lot of attention to the marketplace, and we try to make our books succeed.

But there's always the percentage of the list that has the potential to thrive in the marketplace, and we want to work that as much as possible, and that's certainly less than half the list. More than half the list is going to succeed less well initially in the marketplace yet, and we feel it's our mission to love all our children equally.

Anthony's absolutely right in that the great concern of publishers must be always to take the long path because publishing is kind of a cumulative business. And as much as publishers are concerned exclusively with blockbusters, then we're denying the future. Howard Zinn's "People's History of the United States," which was not published by an independent house but which is a great contribution by an author who is very supportive of independent publishing. It sold a few thousand copies in its first year, and it was not noticeable for a decade or so. And now it's a blockbuster.

But the great books tend to start slowly. The great books tend to surprise and confuse people initially. And it's not for a decade or two decades or more that they establish themselves. Leaves of Grass" by Walt Whitman … almost any great book you would choose to name started out making almost no impression whatsoever. I can't think of a single book that had lasting importance that began as a blockbuster.

DH: Can you say a little bit about how pursuing the marketplace makes you stupid in the context of the Vonnegut book "A Man Without A Country" that you published that's a big success story?

DS: We certainly embrace the marketplace, and there are extremely smart and savvy people at, for example, Barnes and Noble, or Amazon; the book trade is not something to dismiss. There's a lot of knowledgeable, caring people there. And of course the great independent booksellers are still often trailblazers -- St. Mark's, Prairie Lights, City Lights, etc. still doing important work.

But when you get a book just right, the book marketplace will serve well as a conduit to readers who care a great deal and are looking for fresh ideas. So what we're all trying to do is get books just right, and there's very much a marketplace component. But none of us. I can't imagine a single example with Sara with [Tom] Frank's or us with Vonnegut or Colin who made a bestseller out of the "Communist Manifesto" of all titles. None of us sat down and said, "What can I do that's going to sell?" [laughter at Colin]

DS: Jokes aside, I think that, in terms of the mission, we're committed to being publishers. Which is to say to enter into the conversation of social justice and cultural importance, and then to do with as much as possible a savvy marketplace instinct. But the marketplace doesn't pull us by the nose, ever.

DH: Sara, is your mission different than Dan's?

SB: Probably not, but my situation is different; that is, I work in a kind of small imprint that's part of a larger publishing house that's part of a larger group of publishing houses that's part of a larger multinational.
DH: Can you name all those for the audience?

SB: I run an imprint called Metropolitan, which is part of Henry Holt, which is part of Holtzbrinck USA, which includes St. Martin's Press and Farrar Straus which has Macmillan in England and various publishing houses in Germany, all of which are part of Holtzbrinck. I had worked at a place called Pantheon before, and I think Pantheon was a very similar kind of construction; it was part of Random House.

And so the experiment of Pantheon, which is one that I think I'm trying to continue, is that to be a part of a larger machine, but to be the part that brings in certain books that you might've thought are "on the margins" but are not really. And you have to make that case, that they're not on the margins. And once you make that case, then what the larger publishing house has to offer is that they can really distribute; there's a tremendous amount of force that could be put behind a book.

So that's my mission, to bring these voices or these ideas and it's a press that's open to many countries and many languages; to take political ideas which are, frankly, left wing, and progressive in a whole bunch of areas, and to bring those to a larger audience than one might assume these books would have. That's the enterprise.

The thing that I'm noticing, and something we all have to concentrate on, is that there's an enormous amount of churning in the industry right now. It's very interesting that books don't stay on the bestseller list. The only books that are on the bestseller list are the books that were on the bestseller list two years ago or three years ago. All the things that the industry sort of lobbed up there this year stick for maybe like three weeks and they're gone.

And you have to understand that this represents huge investments of money. And it's a huge debacle when that happens. And I think people are seeing that. For years, people have been saying, "Oh, we see the writing on the wall, the readership is diminishing, something is happening." What I think is happening is that yes, we had larger readership after 9/11, and I think now we're actually going back to the readership we had for a long time.

I have great faith that the people that buy our books and read our books are the people that read books. Our books are not easily turned into a film or a television program, unfortunately [laughter], or anything like that, but this is our readership, We have to become ever more clever on how we get to them and not rely on the review media and not rely on -- I mean, Barnes and Noble is great, but we can't rely on them for everything, and I think that's the hard part.

AA: Sara, can I ask you a question here? Which is … you mention books that have been on the bestseller list and are coming back on, and "Nickel and Dimed" is still on the bestseller list. To my mind, the success of "Nickel and Dimed" indicates something healthy and political. Colin's absolutely right, the unions are in crisis. Here's a book about class, about workers, about what it means to be working class in this country, and month after month and week after week and now year after year, the audience for this book has grown. What does that say?

SB: I think that I told you that when this began to happen with "Nickel and Dimed" all these journalists would call up and say, "What explains this?" I would come up with some answer like, "Well, she's a good writer." [laughter] And they would say, "Yes, but what explains it?" And I would say, "Well, you know, it's because she's writing about something important," or "She's writing about people." "Well, what do you think really explains it?"

And I said to someone in exasperation, "Maybe people are fucking sick and tired of reading celebrity profiles, and they want to real something real, I don't know!" I think that also shows what makes books live in this country and that's school adoption, citywide reading programs.

DH: Colin, Sara's got her niche there at Metropolitan, but overall, do you think that the commercial publishing enterprise serves the public?

CR: No, no I don't. The American public, the public in Europe as well, are incredibly badly served by the mainstream media that relays news and culture to them. It's appalling, as are our political systems. People are much, much better than the societies that they live in, in my view. I think they're extremely badly served. And I think it's getting worse; the books are getting dumber and shallower and safer, and a huge wide swathe of opinion are not represented in mainstream publishing at all.

DH: And is the radical publishing effort that you have been a leader of, is it still on the margins or is it making progress? How do you see it?

CR: I sound a bit gloomy here -- but I think that it's more on the margins than it's ever been. If you look at the structure of publishing, in the United States or again, elsewhere in Europe, but in the United States especially, what you'll see increasingly is great conglomeration at the top to the point now where six publishing corporations are responsible for about 80 percent of trade.

And that's number is progressively falling, so enormous conglomeration at the top, and then at the bottom, an extraordinary panoply of tiny little publishing companies, some really good ones … some of them are small, and some of them are miniscule, but that's about the range of them.

And between those things, you have almost nothing. There's an almost completely empty center. You could think of maybe two or three exceptions in New York -- Norton, for instance is a good, serious medium-sized publisher which happens to be owned by its staff, so it's not susceptible to being bought out. There are a couple of others. Like Bloomsbury, for example, has just come in and opened up in the U.S. But really, there's almost no medium-sized publishing companies anymore.

The prospect of taking a small publishing company and making it into a large one doesn't exist any longer. That is not a viable option. Grove Atlantic would be another exception, very decent, serious, creative independent publisher which has managed to occupy that middle ground.

But there are very, very few, and that's a problem if you're running a little independent, progressive publishing company. I remember once I got the award for being "small publisher of the year" in London from the Sunday Times, and people came up to me for a year and said, "Oh, you're the small publisher of the year." [laughter] I remember thinking, "Well, I would really rather be the big publisher of the year …"

DH: What are the obstacles? Is not being able to get the books reviewed or the money for the advances? Is it just the conglomeration or are there other factors?

CR: I think it's the structure of the industry that it's very, very hard to get the distribution partly because a lot of distribution now … placement in bookstores is largely paid for.

AA: People don't understand what that means, Colin. You should say what that means.

CR: Well, if you were to take a Barnes and Noble, or a Borders store now, and Dan's right that there's plenty of very smart people working in both of those organizations, and some of them have very decent politics and have been very supportive of things that I've done. I remember talking with people in Barnes and Noble when we did the modern edition of the "Communist Manifesto," and they were very enthusiastic about it. In fact, even suggesting at one point that they could put it next to the cash register. [laughter] And they did! And it was absolutely terrific.

But if you look at a Barnes and Noble or a Borders now, it's actually what's effectively real estate, at least the front of the store is real estate, it is publishers buying little eight-inch by seven-inch blocks. They rent them for a month, and that's where they put their book, and that's how they put the book at the front of the store. If you want to promote a book in that way, it costs quite a lot of money up front.

Independent publishers find it very difficult to do that. It would be worth having a discussion about the promotion of books because I think that's changing rapidly, and I think that the review pages are often very difficult to get onto for a small independents. Maybe that's less of a problem than it used to be.

AA: To perhaps throw in a controversial point, that people will understand around this table, if you look at journals that consider themselves on the left, or progressive, or liberal, their reviewing practices are very similar to the reviewing practices of the mainstream publishers. So Adam Shatz has greatly improved the Back of the Book of The Nation, but if you were to do a survey throughout the year of how many books that are reviewed in The Nation are by independent publishers, versus how many are published by mainstream or corporate houses, I think you would find overwhelmingly the same bias that you see in the New York Times.

DH: And a female reader recently pointed out that in the Fall Books Review, 19 of the 20 of the books reviewed were written by men.

AA: Yeah, only one woman in that whole fall books review. There would also be a strong correlation between the books that are being reviewed in the New York Times Book Review and what's being reviewed in The Nation. It's not just The Nation; I'm just using it as an example. So it's not as if there's a place where you can go where the radical and progressive books are being reviewed. They're just not being reviewed anywhere. Or they're being reviewed on websites and magazines like Clamor or the International Socialist Review.

SB: Do you think they have anything against independent publishers? I mean, I don't think they're looking in terms of who's publishing, are they?

AA: I think that they should be looking at that. I'm not saying that we should never review books that are published by corporate houses or mainstream houses, or that we should never have "our take" on the books that are being debated and discussed in other journals. But I think there should be a conscious attempt to highlight and feature books by independent publishers and books by radical publishers.

Most of us at this table operate on the assumption now that we have to do books that will not get reviewed. And how are we going to deal with the fact that they will not get reviewed? And what do we do in place of getting reviewed? That's our starting point for the discussion.

This is the end of the first installment. On Friday, the roundtable will take up several controversial questions: Should prominent progressive authors who sell a lot of books publish only with independents?

Are these authors selling out when they go with corporate publishers?

Has the New York Times Book Review section gotten much more conservative?

Be sure the read the rest of this roundtable discussion tomorrow, only on AlterNet.

Don Hazen is the executive editor of AlterNet.

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NOTE: Google kept finding errors in teh links on this document, so I had to remove the links to get the article to be accepted by Google.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Cable and Convergence

Story courtesy of http://www.imediaconnection.com/content/7909.asp


Cable, Convergence and Consumption

By Jeanne Rogers - January 27, 2006

Contributor Jeanne Rogers examines if new content distribution points will kill cable.

Video IPOD, PSP, mobile phones and the home computer are collectively making easier ways to distribute digital content to consumers as new distribution points. Not new news anymore…however, I wonder how this new distribution will affect, specifically, cable VOD and ITV. Will cable TV companies lose control, as predicted by many?

The Consumer Electronics Show in Vegas just ended, and media convergence was announced frequently and across multiple manufacturers, foretelling the future of what is to come. This led to some follow up with a few folks who have been leading the way of cable VOD content and ITV.

A consistent voice in this realm has been Navic Networks. Navic has been developing ITV formats for some time for both satellite and cable operators with success, particularly with Time Warner Oceanic (since 2002) and now several others including Charter Communications. HyperGate, their core offering that supports a suite of Navic interactive applications, is an efficacy data transport technology. This enables operators to move data two ways between the headend and millions of digital set top boxes.

The cable television headend is a master facility for receiving television signals for processing and distribution over a cable television system. The headend facility houses electronic equipment used to receive and re-transmit video over the local cable infrastructure. Source -- Wikipedia.

Consumption, quality of viewing, convergence
According to Chief Technology Officer and founder of Navic Networks, Chet Kanoija, "the quality of content is strategic to the nature of cable ITV and VOD." Kanoija adds that these "new formats fill gaps in consumption, but they are not the whole experience or the primary form of consumption." In fact, he goes on to say that, "it is the quality of a multi-channel operator that is the cornerstone of providing service."

What are your thoughts on convergence in formats? Kanoija says. "There is a separation in the description of content in that some is informational versus entertainment." He further states that, "For short content and information, these new distribution points are ok but are not for long-form entertainment." Lastly, Kanoijia predicts that operators will gain alliances and partnerships and participate through those efforts in the mobility of content.

So, you are an enthusiastic consumer and you have invested in a home theater system with a plasma, big screen or HDTV quality television set, and your investment surrounds getting content from everywhere you can. How do you feel about not being able to direct that content to your home investment? The answers are coming-- soon.

I spoke with Todd Stewart, corporate vice president of national advertising sales and development for Charter Communications, and fear not-- there is more quality viewing to come.

These newer distribution points, visually speaking, have less quality simply due to the small format for viewing and reduced resolution. That leads to the opportunity for convergence. "Convergence will be complementary", says Stewart. "If we consider how consumers spend their time, then content delivery will be a competition for their time. However, the user experience hasn't totally migrated to these venues."

Operators can compete, holding ground simply by the fact that they are a preferred distribution point, are internet providers in broadband service and simply have access to upscale high-speed and digital cable customers. In fact, Time Warner offers Road Runner, their high-speed internet connection with all the benefits of the America Online service, their sister company. We should expect more from global offerings and integration efforts with other cable products. Most of the top operators are media conglomerates and are already combining various media products for top brands. We should expect more strategic partnerships and acquisitions to take place to fill the gap in new media and bundled services, specifically in wireless.

Furthermore, expect gains in technology to increase operators and their ability to converge and expand on ITV and VOD service. Some of the key elements currently available and in the early stages of deployment in VOD include Charter Communications' 'I Channels,' which enable news, sports and weather to be distributed by a local zip code or neighborhood. These 'I Channels' ('I' for independent) will allow natural relevancy and interest to take the consumer through banner ads with the ability to link to an RFI (request for information), marketer micro-site or a VOD landing page for long-form product viewing.

If we consider the 'where and how' of television consumption for the majority of viewers, are these new distribution points that appealing? And is it about the commercial free viewing more than the place of choice for viewing? iMedia Connection's Editor-at-Large, Masha Geller, recently shared how most television consumers, or 62 percent of responders in a specific survey effort, expressed their preference to watch ads in on-demand programming, rather than pay the $1.99 charged by Apple, Google and others for commercial-free video content.

As always, cable operators' move slowly compared to fast pace changes in internet technology and network programmers who, I believe, see new distribution as an opportunity to create brand loyalty. This may be simply because their additions in technology tend to be very expensive and deployment is cumbersome. However, their advance media efforts, according to Charter's Stewart, "match their core strategy, relevancy and measured results in the ad space and quality of service in the entertainment space."

Jeanne Rogers is a contributing writer for iMedia Connection. She has spent 11 years in local cable advertising sales and marketing and, most recently, internet new media sales and marketing. She is the creator of a new business model for cable acquisition and retention services directly related to interactive television, building subscriber loyalty. She has been a Cable Advertising Bureau (CAB) finalist three times, most recently in 2004 with a CAB win in 2002.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Nintendo

Story courtesy of http://www.nyunews.com/vnews/display.v/ART/2006/01/24/43d5bbb826c61


Nintendo starts Revolution

by Matt Buchanan - January 24, 2006

Of all the next-generation consoles facing uncertain public reception — even after having accounted for the 360’s arguably botched launch — Nintendo’s Revolution stands out in particular.

Those who trouble themselves to keep up with gaming — cold-blooded analysts aside — know that the PS3 is in a controversial state, with problems ranging from manufacturing troubles to high costs and an ever-changing launch date.

That said, I counted myself among the extreme few with solid faith in the Revolution for logical reasons, as opposed to blind Nintendo fanatics. Over winter break, however, I came to discover that the ranks of believers in the Revolution are not only larger than I suspected, but are solidly grounded in their reasons for supporting it. Cost accounts for much of the dissatisfaction with the 360 and PS3 since 400 to 500 bucks — the higher figure being PS3’s probable price point — is a lot of cash. After all, I can’t see Sony bleeding more than $200 a system.

The Revolution, on the other hand, is debuting at no more than $250, though I would say Nintendo’s shooting for no more than $200, and there have been whispers of it dropping to as low as $150. Moreover, Nintendo’s systems have a history of actually working upon launch — a history neither Microsoft’s nor Sony’s systems have matched, because it has taken two runs of a system in both cases to correct large-scale defects in the launch batch.

The Revolution’s other major selling point, and what most gamers are excited about, is the downloadable service for games from the NES, SNES and N64. I think it’s largely been underestimated as to how key this download service will be.

There are a couple possible models the service could follow. The first, and most probable, is an á la carte model, similar to iTunes. The major questions from this point are price, including whether or not pricing will be tiered, and, if so, how? Ninety-nine cents is obviously the magic number, one for which people have an affinity, and one that will sell 50 to 100 games to a sizable portion of Revolution owners, though I think that number can go up to $1.49 and still see gamers purchasing more than 50 classic titles.

This changes a bit with tiered pricing, which could be done in two ways. In the first option, demand would dictate price and popular titles would cost more. Another situation would price newer titles higher with, say, NES titles starting at $.99 and up to $5 for N64 titles. I see SNES and NES games sucking up a ton of bandwidth in the latter case, though I think those two systems will sell the most games regardless of price.

A subscription model would be far less likely. First, Nintendo has reiterated that the general online service will be free, and this would almost backpedal on that. Second, Nintendo is all about simplicity lately, and the complication of a subscription model wouldn’t jive with either their recent business practices or even historical precedence, which emulates Apple’s to an extent.

The download service partly addresses the other source of discontent with the other two consoles: lack of quality games. The 360 had no real killer apps at launch, and won’t have any until Halo 3 launches. The PS3 has no stellar launch titles announced yet, and, even then, the only critical game is Metal Gear Solid 3.

The Revolution’s riding not only a wave of nostalgia, but the promise of truly innovative and promising gameplay, which a significant portion of gamers have picked up on. It has even rode past glitzy promises of multiple-core processors, which big name developers such as John Carmack of Doom fame have knocked down a few pegs in recent interviews by citing the ever-growing technological complexity of games as an obstacle to creating great ones, not a boon.

Look no further than the DS and PSP to see what I mean. In raw horsepower, the PSP destroys the DS, which many derided as a gimmicky, doomed-to-fail system. The outcome? In Japan last week, the PSP beat the DS in weekly sales for the first time in months because the DS was sold out. Why? The games, great examples of which DS has in abundance. The PSP’s games — few as they are — may be better looking, but that doesn’t make them better.

The other major card in Nintendo’s deck is that even if the Revolution doesn’t go off as planned, it’s not nearly as screwed as Microsoft and Sony would be. Both of their consoles are essentially subsidized components of much larger schemes of digital media convergence, which both companies are heavily betting their futures on. It’s a bet that Nintendo smartly chose not to see them on, as it’s a bet that somebody’s going to lose.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Google, Yahoo, Local Search

Story courtesy of http://www.imediaconnection.com/content/7957.asp


Google and Yahoo! Move to Mobile Search

January 25, 2006 - By Noah Elkin

iCrossing's director of industry relations explains why the future of search isn't on the desktop.
It must be the former analyst in me, but I do find it gratifying when one of my predictions, however minor, comes true. Back in mid-October, I lamented the state of mobile search on iCrossing's Reverse Direct Marketing blog, musing that perhaps the right stakeholders had not yet connected and that what was called for was a dedicated search button on mobile handsets, similar to the navigation buttons now found on most PC keyboards. At the time, I said it was "not out of the question," but I didn't expect the call to be answered so quickly.

In the wake of CES, the right stakeholders, it would seem, are Motorola and Google. The resurgent phone manufacturer has teamed up with the world's leading search engine (whose offerings morph with every leap in the company's stock price and vice versa) and the result will be a dedicated Google icon on many of Motorola's upcoming mobile handsets.

Some may yawn at the news and say "so what?" After all, Google recently announced a partnership with Dell to offer buyers of the company's computers a personalized Dell-Google homepage, a move that represents yet another attempt to seize control of the desktop and browser (and, in the process, render competitor Microsoft an ostensibly irrelevant also-ran). However, this constitutes a new salvo in a much older, more mature battle, one that has seen skirmishes for control over first operating systems, then desktops, later browsers and now search engines and homepages.

By comparison, the battle for control of the mobile phone screen is far more recent. Traditionally, it has been the province of the carriers, but lately, as services, devices and content converge, the walls have been coming down, making the Motorola-Google announcement a small but significant step for mobile search -- for several reasons.

Part of what has limited mobile searching to date is the mobile infrastructure, at least in this country. Slow networks traditionally have been kind only to the most patient of WAP users. Infrastructure constraints, however, are beginning to recede as 2.5 and 3G networks become commonplace across all the major carriers.
Another complicating factor has been the user interface (UI) and compact number pads on most mobile handsets, which can prove frustrating to those used to the ease of full-size QWERTY keyboards and external pointing devices.

And finally, there are issues surrounding the output of a mobile-initiated search query -- how to make relevant results appear on mobile device screens that are far smaller than computer monitors and do not, unlike monitors, conform to any set of industry standards.

Undeniably, these challenges are significant. And in light of what remains to be done for mobile search (and mobile search as a gateway to the ever-expanding universe of TV, video, music and other audio content available in carriers' walled gardens, on the open mobile internet and on in-home media centers), the Google icon or button on Motorola handsets resolves just a fraction.

What it does, though, is put search directly in front of the mobile user, which is sure to boost usage (here's hoping that network and browser development will keep pace), and, in turn, bring mobile marketers closer to mobile users (who numbered 202 million in the United States as of the beginning of January, according to CTIA -- The Wireless Association).

Naturally, there is much more to mobile search than an improved UI on consumer handsets. Content must be organized and optimized for mobile, just as with PC-based search, what AOL Mobile Search Services recently referred to as "right-sizing" the internet.

That really is the "right" approach: Marketers who want to reach customers (and, in turn, enable customers to reach them) whenever, wherever and however they show interest, first should consider building a mobile presence optimized specifically for mobile devices and mobile search, and then plan on driving connections with interested customers by using a full range of mobile marketing tools -- everything from SMS and MMS messaging to mobile coupons to platform integration with other advertising media such as TV, print and outdoor.

It is a telling sign of trends in the search world that Google may have made the first move on the mobile UI front in providing the gateway to content (hence playing a role similar to the one it performs on the wired internet).

In contrast, Yahoo!, with its recently unveiled Yahoo! Go service, looks to be headed in the direction of platform integration across TVs, PCs and mobile devices for everything from email, personal information and contacts to photos and video. The service may only work on select handsets for now, but you can be sure that Yahoo! will quickly scale it to include a broader range of devices.

As far as this battle of giants goes, it looks to be one of branding (Google) versus retention (Yahoo!), although most observers seem to feel that Yahoo! has the stronger position due to its carrier relationships.

Fortunately, unlike in the battle over mobile network standards, both consumers and marketers stand to benefit here. We're still in the early days of media convergence, but the farther down that road we travel, the more important mobile search will become and the more emphasis we'll see on a mobile marketing model that comprises content creation, connection with interested customers, quantification of campaign results and refining campaigns based on analytics-based insights.

Search follows content wherever it goes, and it's going mobile.

Noah Elkin, Ph.D., is director of industry relations at iCrossing. He liaises with the analyst community, represents iCrossing at key industry events, contributes to proprietary studies and generates thought leadership as iCrossing expands its search offerings to wireless devices, interactive television and other emerging technology platforms.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Kent State

Story courtesy of http://www.ohio.com/mld/ohio/living/education/13689962.htm


Kent State to host lecture about media

Mon, Jan. 23, 2006

KENT - Media convergence will be the topic of a two-hour lecture by an assistant professor in Kent State University's School of Communication Studies on Feb. 16.

Gracie Lawson-Borders, formerly a reporter and editor at the Beacon Journal and two other newspapers, recently published a book on media and technology in the 21st century.

Her lecture will address theoretical implications and practical applications within several media groups.
The Distinguished Scholar Series lecture, which is free and open to the public, begins at 9:30 a.m. at the KSU Museum on Lincoln and Main streets.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Online Video and Ads

Story courtesy of http://www.clickz.com/experts/ad/lead_edge/article.php/3578701


Media Convergence: Online Video and Local Ads

By Sean Carton - January 23, 2006

We've been sold the digital living room dream for years now. Efforts to converge media in the center of the home have come from two directions: On one hand, cable companies are promoting interactive TV and fancy set-top boxes that would tie together the Internet and TV, offering interactive programming, video on demand, and Internet content (such as what TiVo's doing now with vlogs (define)). On the other hand, companies such as Microsoft are pushing "media center" PCs that allow consumers to control all their digital entertainment through a central computer server.

Neither effort has achieved dominance, and, for the most part, marketers have been sitting on the sidelines wondering how it will all pan out. The answer may have more to do with how people use their computers than the technology they use to entertain themselves.

First, both sides miss the point in thinking digital entertainment must come through the TV. Though all-in-one home entertainment devices jockey for position, the one all-in-one home entertainment device we all own, the humble PC, may be the place where convergence will really pop.

Apple led the charge with the opening of its iTunes video store. Other companies are quickly following suit and spending big bucks to bring video content to the Web. On the Internet side, AOL recently acquired video search engine Truveo; Google launched its video store; and MySpace.com is now offering video downloads. On the offline side, Bravo will launch its own broadband channels, E! has jumped into the game, and Sky TV announced its own broadband film download service.

All this is just the beginning. Demand for online video keeps growing, and the catalog of portable devices that play video (e.g., Apple's new iPod, Sony's PSP, and nifty new toys like Archos' AV 500) keeps expanding. It's tough to drive down a highway on a holiday weekend without seeing every minivan or SUV you pass loaded with kids glowing with some sort of portable video (even if most of that glow comes from low-tech DVD video). Apple sold over 1 million videos in its first 20 days of operating the iTunes video store. People want the video they want, when they want it, and where they want it.

That fact may be the key to the marketing opportunity represented by online video. Online video doesn't replace TV, it supplements it. Look at the kind of video people download (or stream) online: most of it is missed TV show episodes and news clips, and highlights of their favorite shows. Local TV station Web sites are enjoying growing revenues, implying people are returning to see content they may have previously missed or supplements to stories they saw on the local news. Of course, this is right on trend with the fact local online ad revenues are rising all over and are cutting into revenues of newspapers and other traditional sources of local content and classified ads.

The rise in local online ads and the rise in online video are really part of the same trend: consumers taking control of their lives and using their computer to achieve that control. Whether they want to catch a back episode of "Desperate Housewives" (a mere $1.99 on iTunes!), find a plumber through Google Local, learn more from their local TV station about that traffic snarl they suffered through on their way to work, or just locate an apartment via craigslist, their PCs allow them to do it. The big trend isn't video or local ads or online classifieds (though certainly they're all trends) but control itself.

If you're on the fence about convergence or trying to figure out how to work these changes into your marketing strategies, don't get too hung up on the tech or the hype. Instead, look to what kinds of things give consumers more control over their lives and head that direction. It's never about the tech; it's about what it allows us to do.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Raymond Snoddy

Story courtesy of http://www.brandrepublic.com/bulletins/br/article/537579/raymond-snoddy-media-channel-4-radio-will-hit-auntie-hard/


Raymond Snoddy on media: Channel 4 radio will hit Auntie hard

25 Jan 2006

Channel 4 radio is clearly an idea we are all going to have to get used to.

But is the extraordinary announcement by Channel 4 chief executive Andy Duncan of its plans to launch several digital radio stations another example of the expansionism of an organisation now being called 'TV's Big Bully'? Or are we at last seeing the outlines of proper commercial opposition to the BBC for the first time?
It is just a little odd getting your mind around the fact that Channel 4 is getting into radio. But that's undoubtedly old-fashioned thinking.

Nowadays it's a case of 'show me a passing platform and I'll jump on it', whatever the origins of a broadcaster's remit.

The channel's decision to apply for the second national commercial digital radio multiplex being offered by Ofcom is enough to give GCap Media boss Ralph Bernard a seizure. First he thought when he bid for Digital One, the first digital multiplex, he was acquiring exclusive territory. But never in his wildest dreams did the GCap chairman imagine he might face such a focused and well-financed rival as Channel 4. Andy Duncan doesn't just know about marketing; as a former BBC executive he will also understand the impressive power of TV/radio cross-promotion.

Feathers will undoubtedly be ruffled, but the balance of advantage to both the public and the market is clear. If Channel 4 succeeds in putting together a winning consortium, able to broadcast up to eight channels of branded digital radio, it will amount to the first real competition for BBC Radio.

GCap Media and others dream about taking on the BBC with a commercially-funded speech service. Channel 4 could actually do it. Until now the commercial radio sector has sailed in the wake of the BBC, which now has a 56% share of listening.

Duncan's BBC training shines through when it comes to opportunism. And it is difficult to fault his logic when he declares that 'the combination of the traditional role of radio in public service broadcasting, the complementary nature of radio and television and the importance of DAB to future media convergence and our audiences create an opportunity to make a real impact'.

It could also deliver a non-traditional audience to commercial radio.

ITV might even pay attention to how Channel 4 appears to be developing a coherent new media strategy.
The channel's radio strategy dominated reporting of Duncan's speech at the Oxford Media Convention, but the rest of it was quite jolly too. It is difficult too think of a time when Channel 4 has performed better overall.
Critical acclaim is coming at the same time as ratings success, and advertisers are even complaining that it's now Channel 4 that is acting the tough guy.

Its promotional spend has shot up to £50m, with programme budgets topping £500m for the first time. Revenue this year could near £1bn.

Naturally this is evidence of a deep long-term malaise, according to Duncan, as the internet becomes the next dominant medium and overtakes traditional television. So Channel 4 needs more help. This is emphatically not a case of the channel running around with the begging bowl; Channel 4 is absolutely not 'demanding' a public handout in exchange for the digital vision.

Instead, it is asking nicely for the allocation of 'additional gifted' digital terrestrial capacity and help with 'distribution rollout and capital costs as we approach switchover'. The channel also thinks that the government is immensely wise in keeping open the option 'of some element' of public funding for the future.
Andy Duncan clearly used his time at the BBC well. But let's hear a bit more about Channel 4 radio and a bit less about the begging bowl that isn't a begging bowl.

30 SECONDS ON ... CHANNEL 4 DIVERSIFICATION

- Former Capital Radio strategy and development director Nathalie Schwarz will spearhead Channel 4's bid for the national digital radio licence.

- Channel 4 already owns a 51% share of digital radio spoken-word station Oneword, which broadcasts on the Digital One multiplex via the Freeview, Sky and cable TV platforms.

- Channel 4's first podcast, produced by ITN and hosted by Jon Snow, was made available online last Friday. The first in a series looking at issues affecting young people, it will also be broadcast on Oneword.

- A broadband comedy channel, 4Laughs, is planned to launch this spring. It will provide a platform for individuals to showcase sketches that will be rated by other site users.

- Brooklands Publishing publishes licensed tie-in magazines for Channel 4 shows, including A Place in the Sun and You Are What You Eat.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Mobile Content Festival

Story courtesy of http://www.gamasutra.com/php-bin/news_index.php?story=7990


Round-Up: Mobile Content Festival, DOA4 at GNG, Epstein's Double Fusion

Simon Carless - January 31, 2006

Today's round-up includes information on a new mobile festival seeking game entries, a forthcoming New York-based Gamers Nite Groove event offering a major Dead Or Alive 4 online/offline tournament, and an important addition to the board of in-game ad company Double Fusion, as well as today's GameSetWatch articles, product news and Gamasutra job postings.- The DCI Mobile Content Festival, an event examining the effect of mobile devices on everyday life, is holding a call for entries.

The Digital Convergence Institute is seeking "mobile content submissions that explore the mobile lifestyle," the deadline for which is March 5th for applications and games, and March 1st for mobile device-formatted films. Those selected will be able to display their mobile content at the festival, which will be held in Austin, Texas on March 14th, 2006. More details for entry are available at the festival website.

The next Gamers Nite Groove event in New York City will host a Dead or Alive 4 tournament not just for attendees, but for anyone else who wishes to participate through the game's Xbox Live features. The GNG presenters will webcast video of the tournament after the night is over for those wishing to see the results, most likely at the Gamers Nite Groove website, where interested players can also register for the tournament. The physical aspect of the event will be held at the Globix building in NYC, starting at 8:00 PM on February 3rd.

Double Fusion, an in-game advertising company, has named Jonathan Epstein as an addition to its board of directors. Epstein was previously president of GameSpy, where he oversaw the gaming portal's growth and eventual merger with IGN Entertainment.

"In-game advertising has come into its own and will be an increasingly huge part of advertisers' mix," said Epstein. "With Double Fusion’s high commitment to security, measurement and scalability, and to ensuring that the in-game advertising business is built with the gamer first in mind, publishers and advertisers now have a trusted partner with which to explore new revenue-generating opportunities.”

Today's posts on Gamasutra sister weblog GameSetWatch include a new feature on digital distribution, info on the latest info with Prince Of Persia creator Jordan Mechner, and a rather cute Animal Crossing diorama story, among others.- Also updated today: product news including e-on Software's shipping of Vue 5 xStream, as well as the latest Gamasutra job postings from companies including Blizzard Entertainment, Blue Fang Games, Heavy Iron Studios, Irrational Games, Red Storm Entertainment and Retro Studios.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Camera Phone Scanner

Story courtesy of http://news.tmcnet.com/news/2006/01/31/1329404.htm


Will the Camera Phone Become a Metadata Scanner?

From Al Bredenberg's VoIP and CRM Blog: - [January 31, 2006]

ABI Research issued a fascinating release today, "The Camera Phone as Scanner: ABI Research Anticipates a New Information Market," based on their "Mobile Phone Imaging" study, which covers the expected drivers for growth of camera phones and mobile imaging.

ABI Analyst Kenneth Hyers suggests that camera phones will begin to act not just as devices to capture images but as scanners that can read metadata from real-world objects. Such metadata could be available through technology similar to that used for barcode scanning.

The release quotes Hyers: "Imagine walking through the park and aiming your camera phone at a data tag on a statue. It directs your phone's browser to a web page about a historic building that used to stand there, or a concert that played there last summer, complete with video clips."

The release also suggests you could "Aim your camera phone at a scene pictured in a magazine, and it could deliver a map or other information about the site. In a store, you could 'scan' a product's label and get the latest consumer report article about it. In the supermarket, you could retrieve a list of a food's ingredients to ensure they won't trigger an allergic reaction."

Some companies, such as scanR and Mobot, have developed proprietary technologies heading in this direction.

Would capabilities like these be likely to take off? Hard to say. Camera phones certainly have become ubiquitous, so the field seems fertile.

Something about this idea reminds me of the CueCat, a barcode scanning device that was tested unsuccessfully back around the year 2000. I believe the CueCat was developed by a company called Digital Convergence. Using conventional mail, they sent out gazillions of these kind of hoky-looking USB (or maybe PS/2) barcode readers shaped like cats. Then they placed barcodes on ads in magazines (I think I remember seeing the ads in Wired magazine); the ads were readable using the CueCat. If you scanned an ad, it would send your web browser directly to a web landing page related to the ad.

As I said, the test was unsuccessful and the project was abandoned. But the connection I see here is that the CueCat was an early effort to connect the physical world with the virtual world, something which is becoming much more feasible now through camera-phone technology.

Al Bredenberg is Web Editorial Director for TMCnet. Please follow this link to visit Al Bredenberg's VoIP and CRM Blog.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Korea

Story courtesy of http://times.hankooki.com/lpage/biz/200601/kt2006013013175911860.htm


Korea Leads World in Mobile Banking

By Kim Tae-gyu - 01-30-2006

Although Korean banks have reduced the number of tellers and local branches, few complaints have been made.

This raises a question: "Where are people making their financial transactions if they are not using bank tellers?"

The answer is via the Internet and cell phones.

According to the Bank of Korea (BOK), Internet banking including trading through mobile handsets overtook bank teller transactions last September.

Twenty major domestic banks saw Internet-based transactions reach 30.9 percent of total financial trading in that month while bank teller transactions accounted for 29.8 percent.

"This is first time that Internet banking nudged past banking with tellers. The gap is expected to further widen in the years to come," BOK official Kim Seong-mooc said.

Financial deals with mobile gadgets averaged roughly 306,000 cases in the third quarter of last year, up 18.8 percent from the previous quarter.

"Banking-on-the-move services are likely to continue to catch on this year thanks to its convenience though there remain headaches like security loopholes," Kim said.

"Korea appears to be in the avant-garde in facilitating new ways of banking thanks to its state-of-the-art infrastructures of the Internet and mobile phones," he added.

Korea boasts the world's greatest penetration rate of high-speed Internet with approximately 12 million out of the nation's total 15.5 million households hooked up to the always-on Internet.

In addition, more than 38 million people out of 48 million carry at least one cell phone.

Go-Anywhere Banking in Korea
Mobile banking is continuing to gain popularity in Korea and the rest of Asia in line with the exploding digital convergence trend.

For example, the number of clients using mobile banking in Korea, based on either integrated-circuit (IC) chips or the portable Internet, amounted to just 1.1 million in Dec. 2002.

However, the figure surged up to 10 folds in two-and-a-half years as more than 10 million customers use mobile banking-enabled handsets.

"Like similar services on the Web, mobile banking is proving to be a slam dunk. It will gain further momentum this year," said Jeon Sang-yong, an analyst at Meritz Securities.

Mobile banking can be defined as a fusion of mobile technology and financial services, which emerged after the advent of the portable Internet and smart-chip-embedded handsets.

The mobility-specific services enable subscribers to access their bank accounts and transfer funds anytime and anywhere via their handheld communication devices.

Despite having been launched only recently (Sept. 2003) mobile banking has already became widespread as trend-sensitive and tech-savvy Koreans resort to the offerings on a regular basis.

"What is the most convenient way to carry out account transactions to push the keys on your cell phone or visit the bank branches in person. The answer is easy,'' Jeon claimed.

In fact, financial services using cell phones were possible even before Sep. 2003 based on the wireless Internet that came much earlier.

Some argue that the wireless application protocol (WAP) provides mobile banking and, in that sense, many nations throughout Asia and the rest of the world already have mobile banking.

However, the early-stage mobile banking could provide the limited range of applications.

By contrast, genuine and full-blown mobile banking empowered by smart IC chips is currently being employed only in Korea and some other mobile juggernauts.

LG Telecom, Korea's smallest operator, stirred things up in Sept. 2003 by kick-starting the chip-based mobile banking through forming a partnership with Kookmin Bank, the nation's biggest lender.

The new chip-based offerings, named "Bank On'' were a big hit and the larger rivals of SK Telecom and KTF soon jumped onto the bandwagon to attract new customers or to hold on to old ones.

Currently, the sky seems to be the limit for the carriers' banking aspiration because the three operators are teaming up with most local banks, respectively.

Global Paradigm Shift of Banking
The paradigm shift from bank tellers to the Internet and cell phone takes place as the mobile phone is increasingly being recognized by banks and the public as a cost-effective way to deliver banking and trading services.

In addition to Korea, mobile banking is expected to expand into many untapped Asian markets, including China, where more than 300 million people own cell phones, but where mobile banking has yet to gain broad consumer acceptance.

The spread of mobile banking will not happen in the short term because the use of IC-outfitted cell phones must be widespread for mobile banking to take root.

Only a few Asian countries presently meet the prerequisite. But in the long term, experts predict the world will follow Korea's footsteps in embracing mobile banking as a way to make transactions.

"At the moment, only Singapore and Japan have the luxury of enabling mobile banking thanks to their leading-edge wireless infrastructure. For other countries, such financial services via handsets are not imminent,'' said Kim Kyung-mo, an economist from Mirae Asset.

But he added the financial services through mobile gadgets are a kind of mega-trend and Asia as a whole will be employing them soon.

"Mobile banking is an unstoppable global convergence trend and Asia will be riding the crest of the wave in the not-so-distant future," Kim expected.

Barriers Ahead
Although banking-on-the-road services clearly have a bright future with exponential growth potential, there remain some barriers such as security concerns and disputes over standards.

Usability, interoperability and security are major considerations in mobile banking. To secure interoperability and enhanced usability, versatile chips, which can interconnect several banks and carriers at a time, are a must.


Currently, one chip can accommodate mobile banking service for just one bank, which means customers are required to exchange chips specific to a certain bank every time they make a transaction.

To rectify this, mobile carriers led by SK Telecom are seeking to invent new types of chips that will include several credit cards and debit cards in a single smart chip.

The operators' commitment to the smart chip, however, aroused the ire of some banks who raised concerns regarding the security of the new solution.

"Banks seem to worry that mobile carriers will gain the upper hand if the smart chips that include customer information of many bankers are introduced by carriers," a Seoul analyst said.

"Banks think that then wireless operators will hold master keys to the smart chips and will exert sweeping clout over them," he added.

Security algorithm disputes and storage space shortages are other headaches to overcome en route to firmly establishing mobile banking.

"As players of the leading mobile banking nation, the two sides must find a win-win solution, putting the benefit of customers first. We should set the trend of the world as far as mobile banking is concerned,'' the analyst concluded.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver

Digital Media Convergence News - Europe at High Speed

Story courtesy of http://europa.eu.int/rapid/pressReleasesAction.do?reference=SPEECH/06/40&format=HTML&aged=0&language=EN&guiLanguage=en


Europe at High Speed: Growth and the Information Economy

Viviane Reding - 26 January 2006Fibre-To-The-Home CouncilVienna, 26 January 2006

Introduction

Ladies and gentleman, thank you for inviting me to address this Fibre-To-The-Home Council today.
The Commission has just adopted the first Annual Progress Report on the renewed Lisbon strategy on growth and jobs.

The worrying news is that Europe is faced with many challenges: slow growth, budget deficits, high unemployment, an ageing population and globalisation. If we want to be well off in the future, Europe has to get back on track as regards investment, innovation and productivity growth.

The good news is that it is possible to achieve these changes. The area I am responsible for – Information Society and Media – is a leading example of an area where we have a good starting position which will allow us to act.

1) Its official: ICT is the motor of growth.

What are the macro-economic headlines?

Today, ICT represents a modest, but growing, 6% of the EU economy. But this sector generates 25% of the EU’s growth and 40% of its productivity gains.

ICT is also transforming micro and sectoral level economics. Productivity gains at firm level through innovations such as e-procurement are transforming business performance. ICT creates new markets (and ways to re-energise mature markets). For example, last Friday the former Prime Minister of Finland, Esko Aho, submitted a report of a High-Level expert group to Commission President Barroso which identified digital content as one of seven key strategic areas for an Innovative Europe if Europe succeeds in finally overcoming the fragmentation of 25 different intellectual property right regimes.

Look also at the new services that are transforming existing business such as IPTV which is predicted to rise from 700,000 subscribers today to nearly 9 million by 2009.

New e-business web-services are predicted to be adopted by 90% of EU firms by 2010, up from the 20% we see today (IDC predictions 2004). This will transform the productivity of all firms down to the smallest enterprise and create many new market opportunities for e-business services in the finance, accounting, security, facilities management, logistics, etc....

I believe we are at the start of a steep curve of growth of demand for content-rich, networked services. And, as the economics of networks tells us, the more these services grow and interconnect the more value they will create from each other.

Let us not forget the cost savings in the public sector. It is estimated that widespread adoption of e-Procurement could save 19€bn per year for purchasers. While, another new report estimates that the German public sector could save up to €27bn a year through full implementation of e-government.

Let me give a pause for thought. This same German report suggests that consistent exploitation of ICT productivity potential in Germany alone could achieve extra growth by around 75bn€ by 2008. Just imagine the growth we could generate if we were resolute enough to do this at a European scale! We would really be on the way to a high speed economy.


2) Broadband is the infrastructure of the high speed economy

If we want to achieve a high speed economy we also need a high speed knowledge infrastructure. My i2010 initiative, which was adopted by the Commission on 1 June last year and received a very warm welcome from the European Parliament, all 25 Member States and in particular by Industry, identifies digital convergence as a key driver of growth. But to get digital convergence in Europe we need infrastructures that are fast; that can support rich content; that are interoperable; and that are secure.

The purpose of this conference is to discuss exactly how we can achieve a high speed infrastructure for the knowledge economy. Let me give two examples of the need for speed:

a) Rich content services - such as on demand video - will require a lot more bandwidth than we have today as take-up rises.

b) As demand for interactive video rises, symmetrical bandwidth will be needed that today’s networks cannot offer.

The latest data indicates that broadband subscriptions continue to climb in Europe. In the year to October 2005, it grew nearly 60% in the 25EU Member States. This is good news. But the penetration rate is still only 11.5% of the population and this still does not compare well to other parts of the world (the United States, Japan and Korea), where there is not only higher penetration, but much higher speeds.


3) What are we doing about it? i2010

My i2010 initiative lays out a strategic framework for promoting an open and competitive European digital economy.

“i2010” aims to address the challenges posed by digital convergence by aiming at the “Creation of a Single European Information Space offering affordable and secure high bandwidth communications, rich and diverse content and digital services.”

Television without Frontiers: Some important steps have already been taken, last year I presented proposals for a modernisation of the rules for audiovisual media services that will create a single market framework for all types of TV services irrespective of the technology used to transmit or receive them. This common framework will raise legal certainty for investments in innovative services and thereby increase the choice for consumers. It will also encourage new multimedia business models by allowing, for example, a video-on-demand provider in Austria to deliver his services to all 25 EU Member States on the basis of Austrian law only, and without the need to respect at the same time 24 other legal regimes.

The modernisation of the EU’s TV rules is necessary because old market structures are breaking down. Broadcasters are selling telephony. Telecom operators are providing television services. The market is evolving and the decisions we take today will shape the TV of the future. Now is the moment to stimulate innovative TV gives us new services, greater choice, lower prices and higher quality. This is precisely what i2010 aims to do.

Infrastructure: If the priority for i2010 last year was modernising the audiovisual rules, this year my attention will be mainly on the review of the e-communications framework, thus on the infrastructure of the Information Society.

Evidently we are just at the start of the debate and I am not yet taking a position about this process which is open ended. But I would like to indicate to you the steps ahead:

Currently, I am evaluating how well the framework has met its objectives and whether the legislation will need changing to reflect technological or market developments. A ‘call for input’ has been launched on the existing framework: I am glad that many are profiting from this opportunity, that more than 400 experts from industry, governments, regulators and other interested parties have participated actively in a public workshop on this matter this Tuesday in Brussels, and I invite also you to submit your comment and reflections before 31 January 2006.

In July 2006, I will report to the European Parliament and the Council any regulatory changes that could be required, and indicate also the options to achieve the required changes. A second round of stakeholder consultation will follow on this basis and I aim to bring forward concrete legislative proposals, as needed, towards the end of the year.

In parallel, the Commission will review the recommendation on the markets that are susceptible to ex ante regulation. Where competition has emerged sufficiently I will propose that competition law and market forces replace such ex ante regulation.


4) Telecommunication services development: a European process

In my work on the review, I am still at the stage of evaluation. I can not yet give you answers. But I can tell you what I want: I want to make sure that we get the best conditions for investment and growth in e-communications markets in Europe. And I want to build on the successes of Europe as the world leader in communications in technology, infrastructure and services.

It is essential to remember that telecommunications and e-communications markets are becoming more European; a process which the European Commission has always promoted. More and more companies from one EU Member State are starting to invest in other EU countries. This is positive. It promotes competition and investment; two of the main objectives of the EU telecom framework.

However, let me make one point crystal clear: In our European internal market for e-Communications, the decision to find the right balance between competition and investment can no longer be solely a national decision.

This is why the EU Member States and the European Parliament agreed on common rules, joint principles and joint procedures at the end of the 1990s, and again in the review of the rules in 2002.

The European Commission is currently looking whether further adjustments are required. It is absolutely crucial that we all understand that this is a European process, and that the European Commission cannot tolerate fragmented national approaches which may favour only the former national incumbents and could thereby block the development of a true European eCommunications market.


5) The review: four questions we must ask.

A) Is competition the enemy of investment?
The answer is a resounding no!

Economics tells us that robust competition is the best way to ensure the long term innovativeness and choice for consumers.

But more convincing for me than economic theory is the empirical evidence. Competition is a driver of broadband adoption. The highest penetration rates are seen where there is facility-based competition, with head to head competition between cable and telephone networks.

Significant progress in unbundling local loops has stimulated also markets. This especially encouraging where effective regulation is stimulating competition in triple-play services.

But, the success story of 2005 was a threefold increase in shared access lines. This was directly due to appropriate regulatory intervention in countries such as the UK, France and Denmark.

To move forward, we must build on our current success in promoting competition. In particular, we must ask to what extent the framework incites or inhibits strong and sustainable competition and investment.

What we have seen from the implementation of the framework is a growth of competition in services. This can be deemed a success of these directives.

But we also note that adoption is highest where there is infrastructural competition. Does the regulatory framework always provide the right tools for promoting such competition? I have fears that the “ladder of investment” is missing some steps!

And this may get more important. With the growth of Internet Protocol services, the crucial point of competition will be high speed connection to the user. All the other services will depend upon this access. This is the new locus of competition for e-communications. If we don’t have competition at this point there is a danger that we will have to regulate for ever – and this is certainly not my intention. I firmly believe that sector-specific regulation can and should be phased out when we have achieved efficient and sustainable competition on the relevant markets.

In my view, regulation should promote competition, not monopolies. What, for example, is the role of ex-ante competition on certain high speed networks when effective facilities based competition emerges? Let me remind you, I am not in favour of regulation when competition is delivering. But I want so see clear commitments of all players that they will move to competition, and not allow to go backwards in time.

So the first question we have to ask is: are there regulatory steps that we can take to encourage stronger more sustainable competition and in particular more facilities-based competition?

B) Where is the single market for e-communications?

The set of directives on e-communication are meant to provide a common legal framework for e-communications across the EU. This is certainly positive as it helps to provide legal certainty and helps regulators to learn from each other.

But, our real aim is to give consumers the benefits of a large single market. When I look at the market structure, I see relatively little evidence of a single market emerging. Rather we have a lot of players at national level, responding to quite different national circumstances. There are signs of market consolidation and cross-border investments. But these are rather slight.

In addition, we see very different interpretations of the law in different countries. To some degree this makes sense – national regulators can reflect circumstances on the ground. But there is no built in convergence path that might encourage scale efficient provision of services and the emergence of robust and sustainable competition.

So second question we have to ask is: can we do more to promote the emergence of a single market for e-communications?

C) Is the framework too complex and bureaucratic?

The framework is widely seen as intellectually sound. But, with the large number of markets for national regulators to analyse (18) and the need to demonstrate that there are competition failures the system is heavy to implement.

Many countries, not always the smaller ones, argue that this places a heavy burden on them. Some analysts also that say that in the not so distant future many of these markets will become steadily less important, as IP services take over traditional switched networks. Thus should we already be starting to think about simplifying the market analyses? Is there scope for cutting red tape, in line with one of the central thrusts of the Barroso Commission?

The third question therefore that we have to ask is: Can the regulatory overhead be reduced, particularly by streamlining the market analyses and other procedures?

D) Is technological neutrality still valid?

Adopting technological neutrality is sage advice. We all know the examples where politicians have taken strong promotional stances behind particular technological solutions and where these have been significant failures. Our watchword today is: Let the market decide. Investors and consumers are risking their own funds, let them choose.

However, policy cannot afford to be completely blind. The choices that confront consumers and investors are often not technologically neutral. They reflect the existing investments in technologies and services and it is very difficult for disruptive technologies to enter the market.

The subject of your conference is an example. Fibre offers the fastest connection speeds currently available. And, in the United States, companies like Verizon are already replacing copper with fibre. In Europe, meanwhile, operators currently prefer the deployment of very fast DSL, using copper for the local loop. Critics point out that speeds are low in Europe, that we are lagging behind and that we are in danger of missing the train of economic development.

But let me remind you that, where competition is effective, speeds are improving. France is a good example: in September 2005 a new entrant was offering 20 Mega Bits per second and 93 video channels at the lowest subscription price in Europe.

The issue is that we have to be aware not only of competition between incumbent firms and new entrants, but also between incumbent and new potentially disruptive technologies.

The fourth question we should ask, therefore: is the way we implement the technology neutrality principle of the regulatory framework slowing down the roll out of innovative networks?

This conference is interested in fibre, but we might pose the question about other wireless services and hybrid solutions of fixed and wireless.

In particular, is the framework flexible enough to keep Europe in its leading position in the development of communication technologies, markets and services? Is it time to rethink our concept of technological neutrality in order to stimulate innovation and investment in innovative networks?

We see these investments happening in other parts of the world and I really fear that Europe is being left with a late 20th Century infrastructure to meet 21st Century challenges.


6) Conclusions
This is my first set of questions as regards the review of the regulatory framework for electronic communications.

When I launched i2010 last year I made a pledge to use my mandate in order to modernise the European Information Society. Last year I made my first major step on this road with my proposal to modernise the audio visual regime to take account of convergence.

The review of the e-coms framework is the second big step in this process. It will be my main focus for 2006. As you can see I am open to rather radical proposals.

Now is the moment for us to think openly because the regulations we are talking about are the backbone of the knowledge economy in Europe.

We have an economic duty to think ambitiously, to consider all alternatives and in the end to get it right. I look forward to your help and support in this exciting year ahead.

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Lots more articles and reviews like this are at http://www.ipods-and-onlinevideo-reviews.com.

Chip Tarver