- by Anthony Frausto-Robledo, EIC anthony{at}architosh{dot}com
- 27 Sep 2007
-
Will
AppleTV Pay Off in Era of New Net Media: Prominent
VC says AppleTV Experience Amazing
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Not Just Quarterlife and shows like it but
in the way in which this "new media" will be
consumed in the very near future is on topic in a NPR
piece that mentions the AppleTV device.
Last week a NPR
radio show spotlighted the expansion of
new media headed to the Internet rather than just the
TV, and in some cases forgoing the TV altogether. The show
was noteworthy for Apple watchers because the Cupertino company's
AppleTV device was brought up in the discussion several times.
In fact the discussion, led by NPR On Point show
host Tom
Ashbrook, seemed to strongly suggest that Apple's strategy
for leading all media to the big screen TV in the living
room -- via the AppleTV device -- was a solid play.
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Prominent VC Says AppleTV Right on Target
Show guest Mark Kvamme, a partner at Sequoia Capital, a
leading VC firm in Silicon Valley, strongly
suggested that regardless of the growing ways in which people
will both find and consume new media, all these new media
avenues will not change some underlying fundamentals about
how people see media and how the big screen TV is still
the dominant landing point for consumption.
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Kvamme mentioned that the average adult spends four hours
on TV viewing per day. If you really want to have a big commercial
impact you need to make it on the big screen.
Kvamme remarked on the show: "I had
my son install an AppleTV,
which kind of links YouTube videos, my music, my family photos
onto my big screen in my living
room -- and I would have said before that this is going to
be a different environment -- but I gotta tell you that when
it is all integrated together it is an amazing experience.
So I think it's going to be really hard for folks to say
this is an online situation or computer situation, this is
on
my television, this is on my radio -- whatever it happens
to be."
"What is really happening is that
all these media are blending together."
iFlop or iSuccess?
Whether or not all these new media are blending together
isn't the central question at Apple. Ever since the first
iMacs Jobs has been talking about the computer as the "digital
hub", as end users produce, organize, play and share their
digital movies, photos and music. Now growing on top
of this is an array of other media, including YouTube videos
and the music videos, television shows and movies downloaded
from places like iTunes and elsewhere on the Net.
The question for Apple right now is whether or not the AppleTV
is going to be a successful device in merging all these media
together and bringing it to the big screen TV. Or is the
AppleTV really an iFlop as a recent Forbes
article suggested?
Kvamme's "amazing experience" comments and Forbes' article
couldn't be in more contrast in regards to the AppleTV.
While the Forbes article is clearly stirring the water more
than it needs to, citing NBC's walkout on iTunes for instance,
it does raise several long held complaints about the AppleTV
device. Chief among these is the lack of the ability to record
TV shows on the AppleTV's hard drive. But an even bigger
reason why AppleTV has failed to really take off is perhaps
not discussed enough: the inability to rent movies via Internet
download.
The latest TiVo boxes and devices by rivals now enable
movie fans to sit back and download movies over the Internet
without leaving the couch. Apple clearly needs to catchup
in areas that are essential to the success of media merging
devices.
New Web Media
Quarterlife may
be the start of the next big thing: hit television-style
shows produced by big names in Hollywood
but foregoing the traditional television channels of distribution.
If so, Apple has more opportunities for success with the
AppleTV than the Forbes article is mentioning.
The On Point episode
noted that if you have a broadband connection, you will
spend 34% of your leisure time watching TV and 32% of your
time
online.
This is being reflected in continuing shifts of advertising
dollars towards the Internet and away from other media
avenues.
Forbes'
critique of Apple's device might be too skewed towards
traditional views of media consumption. While one can talk
on and on about the three letter studios and the big six
movie production
houses and their influence, the Millennials (or The
Internet Generation) don't even consume media with the
same habits as Baby Boomers and even
Generation
X.
In fact, Millennials are more apt to be instant messaging
and Facebooking while watching TV in the background if watching
it at all. The trending going on now is about integrating
the broadcast with the Net experience. And there are other
ways in which the Net experience is being integrated into
the traditional broadcast, especially with regards to sports.
A significant challenge and opportunity going forward will
be in this critical area of Net to broadcast integration.
And whenever a tech industry
is challenged
when it comes to the integration of diverse things and
the way in which they are found and consumed, it would be
ill-advised
to count Apple out of the game so quickly as Forbes seems
to have done by calling the AppleTV an iFlop.
If even half of the trending discussed in the On
Point
episode comes to light,
the real flop in this picture isn't going to be
Apple's AppleTV and iTunes, but rather
the decades-old traditions of media consumption.
Article Feedback: info@architosh.com
Article References
NPR
On Point: "TV Online" - September 19, 2007. (Listen
here and also available on iTunes.)
Forbes: The iFlop
paidContent.org - How Did Apple Get iTV So Wrong?
Architosh Forums: Will you get an AppleTV? (Poll)
Quarterlife.com
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