The Internet, Web Audio and Web Video Chapter 6
The basics• How would you define the Internet?• Biggest use: interpersonal communication• Effects on other electronic media: music and movie industries, television and radio• Effects on entertainment: video sharing, gaming and social networks• Effects on news• Effects on promotion and marketing• Mobile Internet
Effects on other media• File sharing services• iPods• iTunes music store, a la cart purchasing model• Decline in CD sales has led record companies to change their business model
Effects on other media• MPAA estimates more than $5M lost annually due to piracy• Netflix: more consumers are using streaming services• TV: 8% of people regularly tune in to programs online only• Radio: Internet radio/streaming services compete for the at-work audience
Effects on entertainment• Recent research has shown people relying on social networks for diversion rather than the entertainment industry• Americans spend an average of 3-4 hours a day on the Internet• Video games: MMORPGs, motion- sensor systems (Wii, Kinect), online live gaming (XBOX Live)• Trend: multitasking social media during other entertainment, e.g. Tweeting from a concert, on Facebook while watching TV
Effects on news• More than 60% of Americans get their news online (Pew 2011)• Viewership of traditional TV news is down, cable news is up• Traditional news outlets have devoted more resources to their web presence• Social media has become part of the reporting landscape (breaking news on Twitter and Facebook)• Reliance on citizen reporters• Blogs
Effects on Promotion and Marketing• Cross-promotion• Glee: TV show, website, apps, concert tour, DVD sales, downloads• News and Radio: available for podcast
The Mobile Internet• More than 20 million laptop computers in the US; more than 50 million cell phones connecting to the Internet• Tablet computers represented 10% of all computer purchases in 2011• Pew Research Center predicts by 2020 mobile devices will be the primary tool worldwide for connecting to the Internet
The Mobile Internet• What are people doing?• Looking for news and info, play games, watch videos, check Facebook, Twitter, trade stocks, access bank information, check out movie times• Future of mobile TV: many TV channels have apps, HuluPlus, MobiTV, etc.
Audio & Video on the Web • Teletext was a type of early information service • Ceefax was developed in Britain in 1973, used TV for content delivery • 1970s: newspaper companies tried to develop videotex, using the telephone • Minitel was developed in 1980, a videotext system using telephone terminals
• The U.S. Government developed ARPANET, but access was limited to those with proper military clearance• 1978, William Von Meister started a home computer information service called The Source• Eventually AOL and Compuserve would take the lead as home service providers came about in the 1990s
• Post 2000, AV changed on the web with the advent of new codecs (MP3), the growing availability of DSL speeds, and media players (RealAudio, Windows Media Player, iTunes)• College radio stations were among the first to start experimenting with online stations• Podcasting: the idea of sending personalized syndicated broadcasting right to a persons MP3 player
• Streaming was the key to growth for internet video• Streaming vs. downloading?• In 2004 the "Numa Numa" video was viewed more than 2 million times in three months, making it the first "viral video"• YouTube debuted in 2005
• Established media companies recognized the potential of web video: CNN started Pipeline, ABC offered episodes of their shows, ESPN added video• The rise of internet stars: Lonleygirl15 (later revealed to be fictitious, film making project meant to exploit "going viral")• Hulu• Streaming boxes & internet ready TVs
Types of Online Radio Stations• Online stations that are affiliated with a broadcast station• Aggregators• Choice-based sites• Format-specific, internet only stations
Online Radio Examples• Affiliates of broadcast stations: usually offer live stream, podcasted content, cross- promotion with station events• Aggregators: Sites that link to thousands of stations• Choice-based: allows users to program their own stations• Format-specific Internet stations: play narrowly focused genres of music (example: batanga.com)
Monetizing Online Radio• Online radio makes money by selling advertising space, user subscription fees (or a combo of both), or from direct selling.• They also sell email lists of subscribers to third parties• Types of ads include banner ads on a site, audio ads as part of the stream
Audiences and Content• More than 60 billion people listen to internet radio at least once a week• 80% listen to the internet counterpart of a terrestrial station• Those listening to AM/FM streams are listening longer than online only listeners (2.5 hrs/day -> 1.4 hrs/day)
Types of Online Video• Most online sites fall into four main categories:• Commercial video: Netflix, Hulu, CBS.com• Video-sharing sites: YouTube, Vimeo• Corporate Video sites: for the purposes of training and orientation, sales and marketing, public relations. Example: GCC VNR• Microcasting sites: streams targeted toward a very specific audience. Example: Viva Las Vegas Weddings
Monetizing Online Video• Advertising, subscription fees• Subscription model: viewer pays a fee, is allowed access to a program (Netflix, iTunes, MLB.TV)• Ad supported: Online receives only 6% of total advertising revenue
The Future of Online Audio and Video• There will be MORE of it (as cameras become more ubiquitous, software is easier)• It will become easier to find (advanced search and cataloging techniques)• Much of it will come with a price tag (per episode fees, subscriptions, apps)• Much TV viewing will be done via the Internet (move to an “on-demand” model)• Internet radio will be the preferred method of listening in the workplace
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