Evaluation Suggests Netflix is the Best Streaming Option for Now

  • A comprehensive comparison between Netflix and other streaming services shows that, even after the recent criticism regarding the split of its businesses, “Netflix is still the champ, but only if you count both its the streaming and DVD mailing services.”
  • In his evaluation of current offerings, David Strom of ReadWriteWeb examined services such as Amazon Prime, Hulu Plus, Vudu.com and Justin.tv.
  • “Overall, once you leave Netflix you will find fewer choices and searching won’t be as easy to find something to watch,” he writes. “Netflix has a great search engine that won’t just look for movie titles but also check for actors and other principals involved in the movie itself, something the other services don’t do as well at.”
  • Another upside to Netflix is the ability to use devices such as the iPad or TiVo box to stream movies. While of the services enable streaming to your Windows or Mac Web browser, they’re not all compatible with other devices.
  • “So while you might be upset about paying for two bills for your video rentals from Netflix, unless you are willing to spend more time searching for content, you are probably better off sticking with the service for the time being, at least until the others catch up with their content licenses,” Strom concludes. “Or if you already have a cable TV subscription, investigate whether it offers something similar to Comcast’s Xfinity and see what their coverage is there. Ironically, that might be your best alternative to Netflix after all.”

Will the Kindle Fire Help Amazon Take on Netflix? Content Will Decide

  • Amazon’s launch of the Kindle Fire tablet may have an impact on Netflix, since the new tablet will make it easier for users to watch streaming video content via Amazon.
  • “With its $199 price point the tablet could sell like crazy this Christmas,” reports Forbes. “Users will be encouraged to buy Amazon Prime in order to speed their Amazon purchases and Prime just happens to come complete with Amazon’s streaming video service.”
  • The decision for consumers between Amazon Prime and Netflix will likely be based on pricing and variety of content offerings.
  • Amazon Prime beats Netflix on price, set at $80 a year ($6.67 per month), while Netflix streaming costs $8 a month.
  • Netflix, however, has more variety of content with 51,000 titles currently available for streaming, compared to Amazon’s 11,000.
  • Amazon may soon be able to compete in this regard with added content from Fox and CBS deals. Netflix has similar deals with Fox and CBS and a new DreamWorks Animation deal, but it will lose movies from Sony and Disney with the loss of Starz.
  • Both companies may press Hollywood to license more content for streaming, but continuing to pay more for films could potentially break Netflix, while Amazon has other sources of revenue to cover costs.

Spotlight on Spotify: Facebook Integration, Radio Feature, Impact on Piracy

  • Spotify has been drawing a great deal of media attention this week, more so than the growing number of other streaming music services.
  • Since the company announced its partnership with Facebook at the recent F8 event, Spotify has gained more than one million new users, despite the public outcry from those who question limiting the service’s signup to Facebook users only.
  • In response to concerns regarding Facebook’s media-sharing philosophy, Spotify released a new update that enables users to access the Facebook app without sharing their listening habits, reports Digital Trends. This may be good news for subscribers not happy with the recent announcement regarding Facebook integration — and could potentially serve as a model for how others offer access to services via social networking.
  • In related news from The Hollywood Reporter, Spotify recently released a radio feature in the U.S. that has long been available to European users. Radio will be accessible on the desktop client, but not on the Spotify mobile app. The add-on is reportedly in no way a Pandora killer, due mainly to its lack of mobility and attention to detail.
  • Additionally, Digital Trends reports that Spotify may be having a significant impact on music piracy. Illegal downloads in Sweden have reportedly dropped 25 percent since Spotify launched there in 2009. “Here in the U.S., Spotify isn’t the only option — and it may not even be the best, depending on user preference. Pandora, MOG, Rdio, Grooveshark — the list goes on,” indicates the article. “We don’t yet have numbers to show how these services are affecting music piracy in the U.S. But we’d put our money on them having a similar effect as Spotify is having in Sweden.”

Viewership on the Rise: Online Video Ads Reach 50 Percent of U.S. Population

  • American consumers cumulatively watched about 2.5 billion minutes of online ads in August, according to a new report released by comScore.
  • The report indicates that 86 percent of U.S. Internet users watched at least some online video content last month, and more than half of that content was accessed via YouTube.
  • Also worth noting: Facebook, already the largest photo site on the Web, was the third largest video site in terms of unique viewers.
  • The rankings “find Facebook retaining third position in August, with 51.6 million unique viewers, trailing VEVO in second (with 62 million) and Google Sites (i.e. YouTube) at 162 million,” reports TechCrunch.
  • According to comScore, video ads accounted for 13.4 percent of all videos viewed — and Hulu generated the highest number of video ad impressions (996 million in August alone), compelling figures for advertisers when you take into account that Hulu does not allow you to skip over videos.

Hulu Hopes to Join Social TV Movement with New Facebook App

  • Hulu has proven successful with providing TV content online (the service is second only to YouTube in terms of viewer engagement), but the video platform has yet to effectively break into practical social offerings. That may change with its new Facebook app, which strives to make the Hulu experience more social.
  • The new app will enable viewing of content directly within Facebook, will allow you to see what your friends are watching (with approval), and will provide options for having conversations about shows and leaving comments.
  • “The coolest part? As you’re watching Hulu content, be it a full show, clip, or film, you can leave comments on particular moments within the video. Oh yes. SoundCloud-style,” reports TechCrunch. “And, naturally, once you leave a comment on a particular moment, you can then blast it out to friends to let them know how clever you are — on both Hulu and Facebook.”
  • Hulu Plus users can access their entire library in Facebook. And you can elect not to share what you watch with friends, via the share settings or privacy settings on Hulu or Facebook.
  • TechCrunch is enthusiastic about the app: “We welcome you, Hulubook. Facebulu.”

Dish Network Launches Blockbuster Movie Pass: Bad Timing for Netflix?

  • Dish Networks has announced its Blockbuster Movie Pass service that will offer streaming video; DVDs, Blu-ray discs and games by mail; and a satellite subscription service with on-demand movie channels.
  • Launching October 1, the service will initially be available to Dish subscribers and offered to others at a later date.
  • Movie Pass will include more than 100,000 movies and TV shows by mail, 5,000 streamed movies to TV and 10,000 to computer, and 3,000 games by mail. Users will have access to 20 premium Dish movie channels and the ability to exchange discs in-store at Blockbuster locations.
  • Current Dish Network subscribers will pay $10 per month for the service, while new Dish subscribers will have an opportunity for a free introductory year.
  • While the streaming capacity of the Blockbuster Movie Pass is not yet that of Netflix or Amazon, users will have access to movie offerings through Dish movie channels about a month earlier than other services. Also, Movie Pass touts “one company, one bill and one connection,” something that Netflix no longer has after splitting its streaming and mail-in services.

Are There Key Ingredients Missing from Facebook Music Sharing?

  • Following last week’s F8 developer’s conference, and the news that Facebook is making a significant shift into media sharing, Wired offers an interesting take on possible missing elements to successfully sharing music via the social network.
  • “Yes, Facebook will facilitate legal music sharing — something the industry has been trying to do ever since Napster electrified (some would say “electrocuted”) the music business over 10 years ago,” suggests the article. “But as important as it is, Facebook’s music initiative is missing five key ingredients, all of which are within its grasp.”
  • According to Wired, the following are the missing ingredients…
  • True Music Sharing: Facebook should allow people to listen to each other’s music using whatever music service they want. Instead of using the service that the friend is using, you should have the option to select which platform you would like to use. They’ve started doing this (somewhat unfairly) for Spotify with a “play in Spotify” link in shared songs on other platforms, like Rdio.
  • Real-Time Group Listening: “Why didn’t Facebook music launch with the ability to join other listeners on a station in real-time, so that people can chat about what they’re hearing…?”
  • Music Tab in the Ticker: With all the new information coming to Ticker through automatic updates in Open Graph, it would be nice to have a music filter to separate music updates from other things like adding friends.
  • Apple: Apple, iTunes and iCloud were not included in the media system and would be beneficial to users.
  • Independent Developers: Facebook just needs to “stay out of the way” of independent app developers that build third-party players atop their catalogs — apps that could offer a range of interfaces, platforms, designs, features, and more to programs like Rdio or Spotify.

Turner Looks to Google TV for Next Wave of TV Everywhere Initiative

  • Turner is working with Google TV to launch apps giving users who authenticate they are pay TV subscribers access to full-length episodes of TBS and TNT shows.
  • Turner is already doing this on the Web and through iPad and iPhone apps. The broadcaster confirmed it will offer the new apps, but did not say when they’d be available.
  • The next version of Google TV is expected in a few weeks. “The second iteration of the platform will be based on Android 3.1 (a.k.a. Honeycomb) and have access to the Android Market,” reports GigaOM. “Dedicated apps as well as authentication features could possibly convince other TV networks to embrace the platform as well, but it’s unclear how this would be received by consumers.”
  • Consumer interest in Google TV had been initially tepid but is showing some signs of improvement. Logitech, for example, was forced to drop the price of its Revue set-top box from $250 to $99 in July, but then the companion box to Google TV “made a brief appearance in Amazon’s list of the ten best-selling gadgets last month,” indicates the article.

YouTube Announces Three New Additions to its Video Creator Tools

  • YouTube added several new tools for video creators this week, as part of its “ongoing goal to foster the creation of great video content,” explains the company’s Broadcasting Ourselves blog.
  • The first tool, currently in beta, converts 2D video content into 3D. YouTube admits you’ll get better results with a 3D camera, but this is at least an option for those without one.
  • Second, you can now upload videos longer than the current 15-minute limit allows, and the advanced uploader is no longer required for larger files. However, the feature is restricted to users with “a clean track record who complete an account verification and continue to follow the copyright rules set forth in our Community Guidelines.”
  • Finally, YouTube gives creators the ability to add effects and text using Vlix, and adds Magisto, which will automatically take your unedited video and create a short clip complete with music.

Netflix Teams with Facebook to Offer Social Movies (But Not in the U.S.)

  • Netflix announced a partnership with Facebook to allow members to share what they are watching on Netflix with their family, friends and associates via the social networking site. However, this feature will NOT be available in the U.S. (only in Canada and Latin America) due to a 1988 law that makes sharing that information illegal.
  • The Video Privacy Protection Act (VPPA) was created to prevent “wrongful disclosure of video tape rental or sale records (or similar audio visual materials, to cover items such as video games and the future DVD format).” Congress passed the law after Robert Bork’s video rental history was published during his Supreme Court nomination.
  • “Unfortunately, we will not be offering this feature in the U.S. because a 1980’s law creates some confusion over our ability to let U.S. members automatically share the television shows and movies they watch with their friends on Facebook,” explains Netflix Director of Government Relations Michael Drobac. “The good news, however, is that some forward-thinking members of Congress have introduced legislation, H.R. 2471, that would allow you to make this choice… If you want the choice to share with your friends, please email Congress to urge them to pass this modernizing legislation.”
  • According to Wired, Netflix currently has 24 million subscribers inside the U.S. and only a million subscribers internationally.

Xbox TV to Launch: Microsoft Wants to Change the Way People Watch TV

  • Microsoft confirmed it will launch Xbox TV this holiday season. CNNMoney reports that the service will be similar to services offered in other countries which allow Xbox users to stream Sky TV in the UK, Canal Plus in France, and FoxTel in Australia.
  • At Microsoft’s recent financial analyst meeting in Anaheim, CEO Steve Balmer confirmed the company is working with “dozens or hundreds of additional content suppliers.”
  • Xbox TV will use Bing to search for content and use Kinect for voice or motion commands. Microsoft will also seek to create a social experience for TV shows and movies around its 35 million Xbox Live community.
  • In related news, Comcast and Verizon are reportedly in talks with Microsoft to enable cable subscriptions through the Xbox 360. “The tech giant’s gaming console, which already streams content from sources like Netflix, Hulu Plus and others, could in effect become a cable box if Microsoft manages to strike a deal ahead of its upcoming release of Xbox TV,” suggests ReadWriteWeb.

Will Licensing Deals Help Turntable.fm Compete with Pandora and Spotify?

  • Turntable.fm, a rival music service to Pandora and Spotify, is negotiating with the four major music labels to license content. Turntable.fm is a social media site that allows people to share songs with friends and other online users.
  • The New York-based startup is looking to create a deal that would be unique and allow users to legally stream music internationally, but CEO Billy Chasen has not disclosed the details of the proposal.
  • “Both sides are super eager to get this done, and we’re getting closer,” Chasen said. “We take very seriously the music labels and publishers, and we want to make sure they’re with us.”
  • Turntable.fm, which launched earlier this year and requires users to log in via Facebook, currently has about 600,000 users. The startup recently raised $7 million from investors including Union Square Ventures, First Round Capital, Polaris Venture Partners, Benchmark Capital, Lady Gaga’s manager Troy Carter, and Maverick Records co-founder Guy Oseary.

Will Sony Streaming Player Have the Juice to Take on Roku and Apple TV?

  • Sony will offer its SMP-N200 set-top box next month in the U.S. for $99. The player, introduced at IFA in Berlin, is the successor to the company’s Netbox.
  • The device has been upgraded to support 3D and live content streaming. It can be controlled with an iOS or Android smartphone.
  • “The original featured then-impressive support for local media playback and streaming, but does the Blu-ray-less wonder does it have what it takes in 2011?” asks Engadget. “If it has a UI refresh and access to comparable sources thanks to Sony’s now streamlined Video Unlimited/Music Unlimited media approach then this could play well as a one-two punch with a connected PC, phone or tablet.”
  • The SMP-N200 features DLNA capability and an array of connection options including composite, component, HDMI and Wi-Fi.
  • “The Streaming Player is ideal for consumers who want to upgrade to a connected television, but are happy with the TV they currently have,” said Charles Speidel, vice president of Sony’s Home Audio and Video Group. “Whether using it in the family room or on a secondary television in the house this new set-top-box offers access to the full complement of streaming content available from Sony, without committing to the cost of a new Bravia.”

Netflix CEO Admits Mistake: Will Reed Hastings Regain Your Trust?

  • On Friday, ETCentric provided an update to recent stock activity based on the negative customer reaction to Netflix splitting its services. The company cut its domestic subscriber forecast by 1 million, suggesting it no longer expects growth for its U.S. customer base this quarter. “News of the 4 percent cut in its subscriber outlook knocked 16 percent off Netflix’s share price, sending the stock to its lowest levels in 2011,” reported The Wall Street Journal. “Netflix, though, continued to defend its recent pricing change.”
  • Shortly after, ETCentric staffer Phil Lelyveld submitted a paidContent report that put the stock decline at nearly 19 percent and suggested “the honeymoon period with Netflix may be over.” The article includes a compelling visual that illustrates consumer viewing habits. According to Phil: “The most interesting part of this story is the chart. The chart breaks down how consumers acquire the movies that they watch, and how often they acquire them.”
  • Yesterday, Netflix CEO and co-founder Reed Hastings responded to his subscribers via a blog post, that started with “I messed up. I owe everyone an explanation.” ETCentric staffer Dennis Kuba was quick to publish the news: “Hastings explains his reasoning for a decision to create separate DVD and streaming businesses and websites. His customers react negatively to his blog posting (see more than 600 comments following Hastings’ post).”
  • “We feel we need to focus on rapid improvement as streaming technology and the market evolve, without having to maintain compatibility with our DVD by mail service,” writes Hastings on the Netflix blog. “So we realized that streaming and DVD by mail are becoming two quite different businesses, with very different cost structures, different benefits that need to be marketed differently, and we need to let each grow and operate independently.”
  • According to Hastings, the new DVD business will be named “Qwikster” and will add a video game upgrade when it launches in a few weeks.
  • “A negative of the renaming and separation is that the Qwikster.com and Netflix.com websites will not be integrated,” he explains. “So if you subscribe to both services, and if you need to change your credit card or email address, you would need to do it in two places. Similarly, if you rate or review a movie on Qwikster, it doesn’t show up on Netflix, and vice-versa.”
  • Hastings concluded: “Both the Qwikster and Netflix teams will work hard to regain your trust. We know it will not be overnight. Actions speak louder than words. But words help people to understand actions.”

YouTube Unveils New Video Editor: Skateboarding Dogs Rejoice

  • YouTube introduced a new video editing tool this week that allows users to make basic changes to uploaded video content without losing the video’s URL, view count and comments.
  • In addition to basic trim edits to make up for shaky camerawork, the new editor includes features such as picture rotation, contrast and color adjustment, and image stabilization. There is also an option for reverting back to the original video at a later date.
  • “YouTube has joined up with photo-editing website Picnik, both Google owned, to offer some striking color treatments of videos, including Lomo-ish, cross process and thermal,” reports Digital Trends. “Whether YouTube will later offer Picnik’s premium color treatments, for a fee, remains to be seen, although no doubt it’s something they’re looking into.”
  • The post includes an interesting video introduction to the new editing options.