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Re: OnLive, Netflix, etc.

I wrote about this earlier and Tom mentioned it in the podcast as well – it seems to me that we can all envision the “end game” of media distribution, it’s just that the technology and (especially) the infrastructure are not yet in place to make it a reality.

It just makes sense to move virtually all storage of linear content and even a large portion of processing power to massive central servers out on the web. Then, each user simply “accesses” the content. That’s exactly what ventures like Netflix and OnLive are promising, but the experience is not yet fully enjoyable because of the limitations of our internet infrastructure.

I have zero faith that OnLive will be able to deliver a seamless streaming videogame experience. There are just too many variables and too many limitations (currently) to overcome.

My question is: what will be the tipping point? When will the online streaming experience become “good enough” to overtake locally stored and processed media? It seems clear to me that locally played media will maintain a significant quality advantage for quite a long time to come (as in Full HD 1080p resolution with lossless audio and zero lag). But consumers have proven time and time again that quality is not the top priority. For some of us, quality trumps all, but we are the minority. The masses have embraced lower quality mp3 and seem perfectly happy with DVD or even slightly lower than DVD quality audio and video. For the masses, convenience is higher on the list.

For the time being, locally played media maintains both a quality and a reliability/convenience advantage. When streaming videos stall, lag or appear in VHS quality, even the masses go unsatisfied. But the point will undoubtedly come when streaming quality is not as high as Blu-ray/dedicated videogame consoles, but other than the resolution, the streaming experience is reliable enough that it will present greater convenience.

The final consideration is that even if the technology and infrastructure are in place, it is ultimately up to the content providers. They are the gatekeepers who determine not only what is available via streaming, but when. The simple fact is that the studios will never open their full content libraries to streaming until they are certain that they can make more money using streaming than they can using traditional media distribution.

I, for one, look forward to the day when I can hang my TV on the wall, have it connect wirelessly to the internet and literally be done at that point so far as connections to media are concerned. If every movie, every TV show, all web content and every videogame are stored and processed out on the web, this incredibly simple setup ought to be feasible.

Rob I do the Playon/PS3 thing and do enjoy it. My wife does enjoy the Netflix/CNN of it, I the Hulu, but I must say I hope this streaming stuff doesn’t take off. Like you said the Masses don’t care about quality. I’m afraid that studios will listen to the masses. But man do I enjoy my Transformers/The Incredible Hulk on blu-ray when I have friends over. The new 007 and Bolt sounded Awesome!! To tell you the truth, I feel that my speakers have jumped up in price/performance, when ever I watch a good blu-ray. I sure hope the Studios don’t figure out a way to make too much money out of the web base content. I like it just how it is. Like consumer-joe out there I don’t like change (though I did welcomed Blu, into the HT).

Oh Tom congrats on passing your THX test!!!!!

(how about a calibration lol)

Patrick Duffy is not Joe Isuzu:

Joe Isuzu was a fictional spokesman used in a series of television advertisements for Isuzu. Created by the Madison Avenue ad agency Della Femina, Travisano, and Partners, the segments aired on American television in 1986-90, reaching their zenith in 1987 after the character was featured during Super Bowl XXI. Played by actor David Leisure[1] (Empty Nest), Joe Isuzu was a pathological liar who told outrageous and overinflated claims about Isuzu’s cars. (One commercial even cast him as the Boy who Cried Wolf.) The campaign was resurrected briefly in 1999 and continued until 2001 to promote several cars such as the Isuzu Axiom.

See Joe here: http://www.youtube.com/watch?v=oDK8BYS2d9s

I know you like Star Wars and that your kids favorite baseball team is Star Wars, so when I saw this I thought you might like it.

http://www.thinkgeek.com/stuff/41/tauntaun.html