Transcript Net-Enhanced TV Web TV Interactive TV

Sofa Surfing
Alicechandra Fritz
Meghan Laurs
Lainie Motamedi
Agenda

Introduction

Technology overview

Key players and industries

Outlook for the future

Closing remarks
Definitions
 Internet-enhanced TV
• WebTV
• @Home, RoadRunner
• WorldGate
 Interactive TV
 Personalized TV
Internet-enhanced TV
 Set-top box
– WebTV relies on phone lines
 Cable modem
– @Home and RoadRunner -- like AOL, but on TV
– Bundled with cable service
 Alternative technologies
– WorldGate
Overlapping Technologies
Key Players: WebTV
 1997 Microsoft purchase
 Hardware + three types of service at varied
price points
 Recent deal with EchoStar for satellite
 Emphasis on ease of use, positioned as ISP
 800,000 subscribers
 Moving into personal TV technology
Key Players: @Home
 Controlled by AT&T, merged with Excite,
affiliated with TCI and Real Networks
 High-speed service over existing cable
infrastructure
 500,000 subscribers and growing
 Pricing structure varies by region
 Alliances with cable companies and
network partners
Key Players: RoadRunner
 Joint venture of Time Warner Inc. and
MediaOne Group; Microsoft owns 10%
• MediaOne subject of bidding war between AT&T
and Comcast
 High-speed service over existing cable
infrastructure
 250,000 subscribers and growing
 Planning IPO
Smaller Players
 WorldGate -- Utilize 55M existing boxes
• Service delivered via cable lines to digital settop boxes; work through cable providers at a
lower price point than AOL or WebTV
 Wink -- 120,000 Wink-box viewers
• Agreement with CBS to provide enhanced TV
through cable or satellite set-top box
 WebSurfer -- Cornering Canadian market
• Partnered with Intel, Netscape, Batra Group
A Web of Industries
HW
Consumer providers
SW
Elect. Mfg.
providers
Content Providers
(Web, TV, music,
film, etc.)
OSPs
ISPs
NetTV
Advertisers
Telcos
Commerce
Cable Distributors
TV Broadcasters
Opportunities for
new players
How it works
Future Outlook

Key Areas for Advancement of Internet TV
• Better bundling of product
• Convergence of technologies and industries
• Ease of use and speed
– Interactivity, Branding, Customization, Costs, Experience
Should Consumers Care?
 Enhanced television features
• Time shifting
 E-commerce Opportunity
• Simplification of purchasing
 Community Building
• Games, etc
• Education
Trends
 Users told spend 2 hours a day on WebTV -
the numbers are climbing over time

57% sought out entertainment Web sites 56%
want weather information.

53% seek news beyond broadcast channels
 49% of them purchased at least
one product online in the last 12 months
-TV Online 4/99
Predictions

Audiences will be fragmented
• Who is the customer?

Digital cable will be the norm
• Direct competitor to satellite (EchoStar, DirecTV)

Infrastructures potentially stressed
• Cable, Internet

Web of industries become more tangled
• Integrated bundling
Questions