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March 2nd, 2004 – Viodi View

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Quick Jump Menu to this Issue’s ArticlesMarch 2nd, 2004 OverviewMarketing RulesCopps at the American Film Market

THE VIODI VIEW

by Ken Pyle ([email protected]), Viodi, LLC

In this Issue: Marketing Rules, Copps at AFM, Tying & More…….


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March 2nd, 2004 Issue

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The spring 2004 tour got underway with stops in Nashville and Minneapolis. This really is a great deal, as not only is it “free”, the sponsors buy lunch. Seriously, I am finding it to be a great exchange of information. The telcos that I have been meeting with are a varied group– some have deployed video and some that are still determining their bundled service strategy.

The interesting thing is that the number of people participating in the technical track has greatly outnumbered those participating in the marketing track. It seems that the focus is primarily on the technology required to deploy a bundled service package. Granted, technology choices are never easy given how many choices are possible. The technology decisions, however, must ultimately be built upon a strong foundation of what a particular market requires.

Thus, the theme of my comments as moderator of last week’s USTA webinar was that telcos need to be market-driven companies. Unfortunately, I received feedback suggesting that my voice sounded distorted on this webinar. I think this is continued fallout from my recent Vonage experience. So, for those of you who are interested in reading the comments I wanted to make, please click here.

The other panelists had interesting insight. Eric Presworsky of Zhone provided an overview of Internet Protocol Television, in the context of telephone companies. Gerhard Greiner of BearingPoint discussed the state of the market in Europe. He also focused on the success of the Italian CLEC, FASTWEB. One of the interesting things he pointed out is that in Italy, the insurance companies provide discounts to consumers who subscribe to video surveillance services. Fred Arcuri showed the way in the US of A with the success SureWest is finding as a provider of bundled services.

The webinar is archived and you can access it by clicking here.

So, while I was jetting around the heartland, Brian Stevenson was in Hollywood at the American Film Market. Brian managed to listen in to FCC Commissioner Michael J. Copps and hear his concerns about the challenges independent film makers have getting their product distributed. Click here to get his scoop on these important comments.

Another valuable event that I missed was the California Telephone Association’s annual meeting in Monterey. One of the speakers at that event was California Public Utilities Commissioner, Susan Kennedy. She apparently gave a rapid-fire speech in which she suggested that regulators need to adopt an approach where they ask the question, “Is this regulation really necessary”, when considering whether or not to regulate a new technology or business. To see the transcript of her presentation, please click here.

Service Bundling or Tying:

One tidbit that has not had much press lately is the ongoing dispute between Viacom and EchoStar Communications (Dish) over network carriage. Seems EchoStar wants to be able to pick and choose what Viacom networks it carries, while Viacom is requiring EchoStar to take a bundle of networks. EchoStar is accusing Viacom of anti-trust violations and the case is currently being heard in an Oakland court. Although the judge is considering asking the FCC for their guidance on whether tying is allowed, this case will most likely be settled before any groundbreaking legal decision can be made. Click here to read an article from yesterday’s San Jose Mercury News about this courtroom drama that could have interesting potential implications for independent telephone companies.

The Korner: Back to School

I always look forward to feedback on any of the articles posted in the Viodi View. For instance, I have been surprised and, somewhat relieved, by the number of people who have had similar experiences as I did with the Vonage service. I also appreciate any comments regarding my mixing of metaphors or other misuses of the English language.

Someone pointed out to me my incorrect use of the term, “inflection point”, a few weeks back. Fortunately, being a pack-rat I had a college math textbook handy so that I quickly confirmed that an “inflection point” is essentially that point on the curve where the growth is starting to slow down. Whoops, I had used it as if it meant that rapid growth was just about to start.

So, please feel free to point out any of my other errors. I don’t know if I have enough web space to publish all of the suggestions, but I will definitely take them to heart and, hopefully, improve my writin’.

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In this on-line publication, we share our analysis, opinions and direction on the interactive television news and views that we believe will be of interest and use to our friends associated directly or indirectly with independent telephone companies. For more information on Viodi’s efforts to unite the independent telephone company’s interactive television efforts, please send an email to [email protected].

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The Viodi View [Viodi, LLC] and its associates used their best efforts in collecting and preparing the information published herein. However, the Viodi View [Viodi, LLC] does not assume, and hereby disclaims, any and all liability for any loss or damage caused by errors or omissions, whether such errors or omissions resulted from negligence, accident, or other causes.

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