Media: All About ... Broadband television

And any time they are tempted to ignore the dangers, someone will
probably remind them of the fate of the music industry, where the
internet seemed merely a small cloud on the horizon ten years ago - but
turned out to be a voracious swarm of locusts.

The web allows anyone with a computer and an ounce of gumption to get
their music for free - though the music companies continue to fight an
impressive rearguard action against the most blatant pirates in the
file-sharing business.

Now TV is on the verge of facing similar challenges. All of which makes
it hard to read the true intentions of the likes of Channel 4, which
last week made yet more positive noises about broadband.

Because, of course, Channel 4 has been a bit of a pioneer in this arena,
thanks to its determination to push Big Brother down as many conduits as
possible. For several years now, it has offered 24-hour streaming of
events in the house plus an archive of video clips. And over the years,
it has offered an ever wider range of material via the broadband zone on
its website - mainly trailers, clips and other promotional material but
also repeats of whole programmes too.

Now it's looking to accelerate this strategy - with the ultimate goal of
making the entire schedule available live on a streamed basis via
broadband internet.

This clearly won't happen overnight but Andy Duncan, Channel 4's chief
executive, says that this is more than just an abstract long-term
goal.

He states: "This is very much on our current agenda. When we commission
programming we look increasingly at what broadband can add in terms of
enhanced programming."

There is at least one major hurdle to overcome before anyone can
consider streaming the entire schedule. Much of Channel 4's programming
(especially US imports) is acquired on a UK-only rights basis. Making
all programming available via a website would effectively require it to
obtain extra rights (maybe even worldwide in some instances) from
programme producers. That could be costly.

But Duncan says: "We have a duty as a public service broadcaster to make
our programming available on as many platforms as possible."

1. Broadband internet distribution is set to become the main method of
streaming live-TV pictures to mobile devices. True, in the short term,
it would also offer opportunities to view at work and on home personal
computers. Neither of these environments is of long-term interest,
though.

Office viewing will always be, at best, furtive and as many home PCs are
situated away from the main "sofa area" in the living room, this is not
likely to account for significant amounts of quality viewing.

2. The BBC has been enthusiastic about broadband, though its main focus
for activity has been radio, where it offers access to a substantial
archive of recently broadcast programmes.

3. Most major broadcasters around the world offer a regularly updated
menu of video clips - for instance, news items or sports highlights. The
growing popularity of these is illustrated by the fact that there's now
a search engine called Blinkx dedicated to tracking down video
clips.

4. Some futurologists believe the internet could become the most
important platform for TV distribution. Microsoft is investing billions
on new software (for instance, Media Centre Edition 2005) that will help
persuade people to install PCs as personal video recorder substitutes in
their living rooms. As well as a prime platform for the distribution of
TV pictures to mobile devices, the internet could become the main source
of archived programming; meanwhile, subscription video-on-demand
services such as Home Choice also use internet switching technologies
for distribution.

5. Most of the internet service providers plan to introduce on-demand TV
programming services via set-top boxes.

6. Sky has also been active. Video clips are now available across all
mobile networks. It has also entered trials with BT and Virgin Mobile to
introduce live streaming of Sky News and Sky Sports News.

WHAT IT MEANS FOR ...

BROADCASTERS

- Internet distribution is a double-edged sword for broadcasters. On the
one hand, it offers the opportunity to reach new and different audiences
in new environments. On the other, it could be costly to obtain the
extra rights needed and difficult to develop a revenue model against
this programming.

- Public service broadcasters earn brownie points from Ofcom when they
show willing in this area.

- From a commercial standpoint, broadcasters need to experiment with
this. Those that don't will learn nothing and will almost certainly lose
out, one way or another.

PROGRAMME PRODUCERS

- Big production companies, such as Endemol, have already made it clear
they will demand to be paid internet rights.

- Some go further. They argue that internet distribution will eventually
make broadcasters redundant. All producers need do in the future is set
up their own websites and offer big name programming on a pay-per-view
basis.

- But broadcasters are expert at drawing on the strengths of their
channels as brands. Producers have no experience when it comes to
promoting new programme properties.

ADVERTISERS

- Broadband viewing is unlikely to help stem the decline in audiences at
the existing traditional broadcasters - and it will undoubtedly increase
fragmentation.

- But there could be an important opportunity for advertisers here to
develop new forms of advertising on broadband that are interactive and
accountable.