Media distributors or media content providers dilemma?

Publié le par Arnal

Media distributors or media content providers dilemma?

It is the dilemma telcos are facing to. On one side, it is tempting for telcos to add content to their provisioning business, and vertically integrate the media markets, but the drawback is that it is not their expertise. What telcos should be feared is that content could become a sort of commodity product available on most platforms, irrelevant of the technology used to distribute them, and therefore differentiation cannot be made there. The content industry is well developed and organized and fighting with them could be damageable. BT Entertainment said “We have learnt not to do content". On the other side, user demand is on value-added bundled services, simple user interface, installation and support, and cheap payment options; so the offering value is based on a valuable mix of different contents (Internet, voice, data, video, radio, etc) and customer care, something telcos are used to do. What telcos have to do is to remain a trusted media distributor in the home. So content partnerships will be vital to the success of telecoms operators in the IPTV space. It is likely the way most telcos have chosen to follow.

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