AT&T backs a la carte TV channels

Company says it's willing to let customers pay for only the TV channels they want.

The story "AT&T backs a la carte TV channels" published December 2, 2005 at 6:02 AM is no longer available on CNET News.

Content from Reuters expires after 30 days.

[amosxmos]

AT&T Ebay Channel

Don't forget their deal with Ebay for the Ebay channel. No people will be able to vegitate on the sofa and bid, bid, bid...instead of having to sit in front of the computer.

http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&item=8239236611&rd=1&sspagename=STRK%3AMESE%3AIT&rd=1

[mj_junglemungle.com]

A la cart...

I don't want a la carte... I just all the channels at a reasonable price. Which for the moment is fine.

mj
http://www.junglemungle.com

[ppdeagle]

Government intrusion is *not* the issue...

------------------------------------------
A National Cable & Telecommunications Association spokesman declined to comment on AT&T's statement but said the government should not interfere with programming deals.

"We don't support unnecessary government intrusion into private marketplace negotiations," NCTA spokesman Brian Dietz said.
------------------------------------------

Government intrusion into "private marketplace
negotiations" has nothing to do with the issue.
Convergence is the driving issue. (see http://my-video-blog.com for details).

Those companies that deliver video entertainment are being forced to change as a result of the growing internet-delivery mechanism. Companies, like Brightbox (http://mybrightbox.com/ppdeagle), permit the viewing of TV and Internet programming in the most convenient place in the home, the couch.

Cable and TV providers need to get on board, as AT&T has, before other advances, such as high speed internet and Fibre To Home (FTH), cause them to fall behind the power curve.

In the Corporate world, playing catch-up is not a good position to find oneself in...

[RevCOAL]

Funny, the cable companies clamored for government intrusion...

...when the telcos first announced their plans to enter into the television market....

The cable companies set up quite a hew and cry, trying to get various government agencies to force the telcos to get approval from each local market like the cable companies have to....

Seems the cable companies were very willing to have "government intrusion" in that situation...

[RevCOAL]

Will "a la carte" eliminate "niche" channels?

I would hazard a guess that if history is any measure, then the exact opposite will occur...

Imagine yourself back in 1950; the major media sources of information that year would have been the daily newspaper, radio, and a handful of weekly information magazines such as Look, Life, and The Saturday Evening Post.

We still have daily newspapers, albeit with much reduced circulation; while they are similar to what you would have seen in 1950 they HAVE added more "niche" content to encourage readership.

The big changes were in radio and magazines; in 1950 you had a handful of AM stations, even in major cities. FM was almost non-existent and was limited to 1 or 2 classical music stations in major metropolitan areas. On the AM spectrum you had a variety of entertainment and news -- but EVERY station presented this variety, a smorgasbord of news, soap operas, game shows, dramas, comedies, horror shows, music...the idea of one station devoted to just one format was inconceivable...

The major magazines like Look and Life followed a similar format: one or two "hard" news stories, a fair number of "soft news" stories, filled out with entertainment, fashion, sometimes cooking or "how to" articles.

There *were* some "niche" magazines back then: National Geographic, Field & Stream, Popular Science, Ladies Home Journal, to name a few. But Look, Life, Saturday Evening Post, were *the* magazines, with the largest circulation.

TV killed radio and magazines. At least, that was the popular lament throughout the late 1950s and into the 1960s. Most of radio's programming made the transition to TV, and magazines like Look and Life could not remain solvent as publishing costs rose and their subscribes lapsed, the public relying on TV for the information that such magazines had supplied.

But of course neither radio nor magazines died -- just their old formats. AM radio found new life, first by providing all-music formats and then, when FM exploded in popularity, by switching to all-talk. AM is nothing *but* "niche" programming now, one station providing conservative political talk shows, another providing liberal political talk shows, another providing all-sports, etc. What music you *do* find on AM is also aimed at "niche" markets: ethnic/cultural music, oldies music, etc.

FM radio is also all "niche" programming: all pop music on one station, all classical music on another, all country-western on another station, oldies on another, all Spanish on yet another.

And as for magazines, well just go to the magazine section of Barnes and Nobles, and look at the racks and racks of "niche" markets that each have many different magazines devoted to their specific interests. Music magazines, electronics and computer magazines, gaming mags, magazines for doll collectors, model train enthusiasts, joggers, Rvers, cooking, Japanese anime enthusiasts, historical reinactors...the list can go on and on.

There are HUNDREDS more magazines being published today than in 1950, just as there are now hundreds more radio stations...all devoted to "niche" markets.

There is no reason to believe that the same market forces won't come into play regarding "a la carte" TV programming: where a need or desire exists, and there are those willing to pay to receive it, then a forum WILL be created to serve that market. Rather than forcing out "niche" programming, "a la carte" selection should instead lead to MORE such programming being available to those who are willing to pay to receive it.

[RevCOAL]

Will "a la carte" eliminate "niche" channels?

I would hazard a guess that if history is any measure, then the exact opposite will occur...

Imagine yourself back in 1950; the major media sources of information that year would have been the daily newspaper, radio, and a handful of weekly information magazines such as Look, Life, and The Saturday Evening Post.

We still have daily newspapers, albeit with much reduced circulation; while they are similar to what you would have seen in 1950 they HAVE added more "niche" content to encourage readership.

The big changes were in radio and magazines; in 1950 you had a handful of AM stations, even in major cities. FM was almost non-existent and was limited to 1 or 2 classical music stations in major metropolitan areas.

On the AM spectrum you had a variety of entertainment and news -- but EVERY station presented this variety, a smorgasbord of news, soap operas, game shows, dramas, comedies, horror shows, music...the idea of one station devoted to just one format was inconceivable...

The major magazines like Look and Life followed a similar format: one or two "hard" news stories, a fair number of "soft news" stories, filled out with entertainment, fashion, sometimes cooking or "how to" articles.

There *were* some "niche" magazines back then: National Geographic, Field & Stream, Popular Science, Ladies Home Journal, to name a few. But Look, Life, Saturday Evening Post, were *the* magazines, with the largest circulation.

TV killed radio and magazines. At least, that was the popular lament throughout the late 1950s and into the 1960s. Most of radio's programming made the transition to TV, and magazines like Look and Life could not remain solvent as publishing costs rose and their subscribers lapsed, the public relying on TV for the information that such magazines had supplied.

But of course neither radio nor magazines died -- just their old formats.

AM radio found new life, first by providing all-music formats and then, when FM exploded in popularity, by switching to all-talk. AM is nothing *but* "niche" programming now, one station providing conservative political talk shows, another providing liberal political talk shows, another providing all-sports, etc. What music you *do* find on AM is also aimed at "niche" markets: ethnic/cultural music, oldies music, etc.

FM radio is also all "niche" programming: all pop music on one station, all classical music on another, all country-western on another station, oldies on another, all Spanish on yet another.

And as for magazines, well just go to the magazine section of Barnes and Nobles, and look at the racks and racks of "niche" markets that each have many different magazines devoted to their specific interests. Music magazines, electronics and computer magazines, gaming mags, magazines for doll collectors, model train enthusiasts, joggers, Rvers, cooking, Japanese anime enthusiasts, historical reinactors...the list can go on and on.

There are HUNDREDS more magazines being published today than in 1950, just as there are now hundreds more radio stations...all devoted to "niche" markets.

There is no reason to believe that the same market forces won't come into play regarding "a la carte" TV programming: where a need or desire exists, and there are those willing to pay to receive it, then a forum WILL be created to serve that market.

Rather than forcing out "niche" programming, "a la carte" selection should instead lead to MORE such programming being available to those who are willing to pay to receive it.