Will telcos control content?

Will telcos control content?

Telcos are everywhere refocusing on higher-growth telecoms services such as broadband and TV to offset the decline in traditional fixed-line voice traffic. Up to now, telcos were likely making deals with broadcasters or content providers, to gain access to content. For example, BT says operator needs to have access to content but not to own it, and signed deals with BBC, Paramount or Warner Music to provide programs, films and music on-demand. KDDI also said it will follow this scheme and form business tie-up with broadcasting stations. But, a new strategy is arriving with NTT DoCoMo that invested in 3%- stake in Fuji TV for about €155m, making the cellular phone giant the first telecom firm to invest in a TV network. It could be the sign of a different approach, as telcos are often torn between just transporting a stream (voice, data, image), as they were used, and adding / controlling content that needs additional expertise they don't currently have. It will be interesting to look at similar deals in the future, to say if it is a main trend or just a one-off capital operation.