catallaxy files

catallaxy in technical exile

Googzilla 1: Google vs The Video Download Market

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Google’s announcement at CES that it was going to offer an online video store is probably going to be one of most talked about topics in IT circles this week. The Google video market puts Google in competition with Apple’s video iTunes, as well as well as a multitude of other VoD and IPTV offerings that are (or soon will be) available throughout the world.

Initially the premium video content (such as CBS tv shows, NBA replays & Sony music videos) will only be available in the US. This mirrors the situation with iTunes and is perhaps isn’t surprising given Google has had to deal with ‘old media’ companies for this content.

However it does represent a bit of a missed opportunity. Google had the chance to really change the content market and would no doubt have won a lot of fans outside the US if it had made this content available to all comers. Who knows – it may even have gone some way to reducing the illegal downloading of tv shows in countries outside the US by offering a legitimate way for fans to get access to their favourite shows.

On the up side for the Google offering is that it looks like being a genuine video market place for all content producers, rather than just a store selling content from the big tv networks and movie studios. Google is giving content creators the ability to set their own prices for content, control wether the video is sold or rented and decide what DRM (if any) gets applied. In return, Google is taking a 30% cut of the revenue.

Encouraging and charging for user generated content isn’t exactly new – Three have been doing it in the UK since late last year. However Google is giving users a lot more control, access to a much larger market – and the opportunity to earn a whole bunch more than the 1p per download on offer from Three. It will be interesting to see then just how quickly this niche of the Google store grows. Anyone want to buy an episode of Catallaxy TV?

Written by Admin

January 10, 2006 at 7:46 am

Posted in Uncategorized

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