T.J. Prebil

The Content Wars

Wednesday, February 2nd, 2011

Eight tracks to cassette tapes, groovy! Cassette tapes to CDs, totally awesome! CDs to MP3s, phat! VHS to DVDs, dude! Standard cable to HDTV cable, rock on! Paperback to eBook, I’ll bring the French onion dip to the next book club meeting!

DVD to Blu-ray, whatcha-talkin-about, Willis? HDTV to 3-D, really?

With the growing popularity and impending ubiquity of streaming content, we’ve arrived at the final frontier of media formats. Why would anyone upgrade to Blu-ray when six months from now they can stream any movie anytime for a fraction of the cost? From this point forward it’s winner take all in the Content Wars.

Odds favor Apple – that sleek company that designs its products in California but manufacturers them in China – as the big winner. And with their i-everything – iTV, iPad, iPod, iPhone and iTunes – seamless integration and off-the-charts brand equity, it’s tough to bet against them.

Of course, Apple’s not the only player. Sony, NBC, Google, Netflix, Microsoft and scores of lesser-known concerns are scrambling to find a chair before the music stops.

If I had to hedge my bets on a frontrunner, however, I’d double-down on Amazon! Putting aside the company’s distribution might – a undeniable ingredient to their success – Amazon has a leg-up because they’re purposely not trying to create a walled garden (RIP AOL) around content.

Want to watch a movie on your computer, no problem! Want to stream the movie to your TV through Ruko, done! Want to read a book on your Kindle, easy! Want to read that same book on your laptop/desktop, iPad, iPhone or Android-enabled smartphone, pie! Want to download a song or album to play on your iPod, computer or other device (not sure such a device exists), checkmate!

Soon consumers will demand the ability to purchase/rent/download/stream movies, books and music from any type of device – regardless of manufacture. If this prediction holds true, Amazon will win the Content Wars.

Tablet Mania

Tuesday, January 12th, 2010

If last week’s CES conference in Las Vegas was any indication, 2010 is going to be the year of the tablet. Though these book-like computing devices have been around for years, they have yet to gain significant traction in the marketplace. Yet with rumors of such a device being introduced by Apple, the frenzy around tablets has reached an all time high.

Case in point, at CES alone, Lenovo, Sony, ViewSonic, ICD, HP, Entourage Systems, and Plastic Logic, all revealed tablet-like devices, with varying degrees of functionality. It’s clear that no one wants to be left standing without a chair when the music stops the same way they were when Apple launched its iPod, or iPhone for that matter.

The trouble is that even with all the hype, there’s still no clearly defined need for such a device. Sure, Sony, Barnes & Noble, and Amazon have had success with their respective digital reading devices, but is there any specific consumer need that is not already being met by laptops and mobile phones?

My guess is that Apple’s tablet, if it’s unveiled, will basically be a larger iPhone (I don’t own an iPhone) with the ability to watch movies, listen to music, surf the internet, download apps, purchase digital content (books, newspapers etc), and even control household devices. Given Apple’s knack for design and ingenuity, I’m sure the device will be a hit among Apple enthusiasts.

Unfortunately, I don’t believe the same will be true for the other companies competing in the tablet market because 1) Apple already has an enormous advantage with iTunes and its app store and 2) because the market for tablet devices to date has been lukewarm at best.

Do consumers really need seven, eight, or more tablet options? Time will tell.