GLG News by Video Compression Experts

Steven HarnsbergerPrincipalFreestyle Digital Media

Hulu Stuck Between a Rock and the Entertainment Industry

January 28, 2011

Analysis of:Hulu Reworks Its Script as Digital Change Hits TV - Hulu Online Cable Move? | online.wsj.com

Hulu is trying to reinvent itself as a paid service, either as a SVOD provider  or a replacment cable service .  Because of conflict between the Board of Directors and its management, there is little chance that Hulu will ever be able to offer a subscription TV service like the one discussed in this article.

Steven HarnsbergerPrincipalFreestyle Digital Media

$30 Premium VOD is the Biggest Loser

November 17, 2010

Analysis of:Let's adapt to changing dynamics - Hollywood's answer: $30 Premium VOD | www.appmarket.tv

Studios are getting squeezed by torrid growth of kiosks and NetFlix, so they are trying a new $30 premium VOD windows.Its simply a bad idea and threatens to undermine the theater owners while alienating consumers.   The recession has driven consumers to find lower cost entertainment options, this one won't work.

Steven HarnsbergerPrincipalFreestyle Digital Media

Hollywood Internet Movie Download Sites - Still Looking for a Business Model

November 6, 2009

Analysis of:(Hollywood) Industry Slowly Embracing New Media | www.hollywoodreporter.com

Good article - the ugly truth about digital movies on the web is that no stand alone digital video content service makes money today, not CinemaNow (Sonic Nasdaq SNIC), Amazon, Vudu, or BlockBuster.  The business model is missing, the revenue share small and the demand absent.Many have tried and failed including: Intertainer, MovieLink, Akimbo, Moviebeam - even CinemaNow was sold because it could not make money. The digital movie business model is broken....

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

CDN Highwinds Raises $55 Million, Targeting Resellers

April 14, 2008

Analysis of:CDN Highwinds Raises $55 Million, Targeting Resellers | blog.streamingmedia.com

In March, Highwinds announced it had raised $55 million from General Catalyst Partners and Alta Communications. Highwinds plans to use the capital to do additional build out of their network named "RollingThunder" which includes a CDN offering.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

CDNs Getting Ready To Benefit From Higher Bitrate Content

April 14, 2008

Analysis of:CDNs Getting Ready To Benefit From Higher Bitrate Content | blog.streamingmedia.com

Of all the calls I do with analysts, money managers and others tracking the content delivery market, rarely do those I speak with ask about video birates. For me, the growth of the content delivery market and the very success of the CDNs relies heavily on the trend we see developing for increased bitrates. Most think CDNs can only grow their business by signing new customers or growing their existing customer base. But increased video birates has a huge affect on any CDNs bottom line and 2008 is the year that the bitrates of old finally turn the corner.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

P2P Vendors Struggling, CDNs Not Interested In Adopting

April 14, 2008

Analysis of:P2P Vendors Struggling, CDNs Not Interested In Adopting | blog.streamingmedia.com

About six months ago, I was really convinced that P2P might start to get some traction in the new year and that we would see some content owners commit to the technology. But aside from the Pando Networks and NBC deal, as we enter Q2 not much has transpired from the end of last year. P2P networks are still talking up a storm in every interview I read about how much cheaper their pricing is as compared to CDNs and leading with price as the major value proposition. Most P2P companies are still missing the point that cost is not the only thing customers care about and if it was, then P2P networks would have a ton of business by now, which they don't.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Akamai, Limelight and The Writers Strike: What It Really Means

April 14, 2008

Analysis of:Akamai, Limelight and The Writers Strike: What It Really Means | blog.streamingmedia.com

Limelight put out earnings this week and once again, many analysts are unfairly comparing Limelight and Akamai numbers and data. Why is it that so many analysts and reporters are willing to make very specific statements about CDN providers, but do so using general terms? Sounds confusing just saying it but I'll prove my point in a second.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

JumpTV Selling Their CDN: Shows It's Too Expensive To Operate Your Own Network

April 14, 2008

Analysis of:JumpTV Selling Their CDN: Shows It's Too Expensive To Operate Your Own Network | blog.streamingmedia.com

Last week, JumpTV announced that it was looking to sell its content delivery network and would be "refining its strategic focus toward high-value sports and Hispanic broadcast content." This is a great example of where trying to own and operate your own network specifically for the delivery of video does not makes sense. In the release, JumpTV said "The content delivery network is currently a significant cost center for the company, and the Company believes its sale will enable it to lower its ongoing operating costs."

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

CDN Survey Data: 52% Have No Commit Contracts, 63% Use One CDN Vendor

April 14, 2008

Analysis of:CDN Survey Data: 52% Have No Commit Contracts, 63% Use One CDN Vendor | blog.streamingmedia.com

The StreamingMedia.com survey on CDN pricing and trends has now been filled out almost 1,000 times. I'll be keeping it open for another week or so and then we'll start to compile all the data and give away the free iPhone. Taking a look at some of the preliminary data that has been collected reveals some great data points which I will be showcasing all this week on the blog.

Dan RayburnPrincipal AnalystFROST & SULLIVAN, INC

Yahoo! Buys Maven Networks: Revenue Multiple Too High

April 14, 2008

Analysis of:Yahoo! Buys Maven Networks: Revenue Multiple Too High | blog.streamingmedia.com

As I'm sure you've read by now, Yahoo! announced earlier in the week it had acquired Maven Networks for approximately $160 million. While I see some of the synergy of the deal, I think Yahoo! paid too much. Based on the price tag, Yahoo! paid about 11x the sales revenue that Maven had in 2007. It's a good deal for Maven shareholders, but for Yahoo!, that's a high evaluation in my eyes in today's market.

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