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[ NNSquad ] Cable Ops Brace for Online Video


http://www.nytimes.com/reuters/2009/03/30/technology/tech-us-cableshow.html

 - - -

I would especially note these quotes from the linked item:

     The largest U.S. cable operator, Comcast Corp, is making plans to
     roll out a service called On Demand Online. For the cable
     operator, the service will be an extension of its existing video
     on demand service.

     ...

     The service really makes a difference in the quality of the video if
     you're trying to watch an HD show," said Mitch Bowling, Comcast's
     senior vice president of online services. "It decreases the buffer
     time and if you're downloading the video, it's a much faster
     experience.

 - - -

This suggests -- as I had anticipated -- that these "extensions of
exiting VOD services" will be exempt from the bandwidth caps to which
competing content providers will be subjected.  This puts ISPs,
Comcast in this case, in the position not only of determining how and
when bandwidth caps will be applied, but also who they will deal with
for "most favored content" status free of those caps.  Given that most
ISPs seem to be planning *much* lower caps than Comcast, the potential
anticompetitive impacts are obvious.

--Lauren--
NNSquad Moderator