wireless content delivery and its implications

¶ … wireless content delivery and its implications for sport broadcasting rights fees?
 
Over the last several years, a technological revolution has taken place in the field of consumer electronics. This is occurring through rapid shifts in the way information is provided, delivered and the formats that are available. At the heart of these changes, are the shifts to wireless devices. This is when various game consoles, computers and cell phones have the capability of performing a variety of applications. This is transforming how consumers are receiving and watching different kinds of TV programs and movies utilizing the Internet. The basic idea is to provide consumers with a more interactive experience. (Kerschbaumer, 2011)
 
Commenting about these changes is John Revie (the Senior Vice President of Samsung’s Consumer Business segment) who said, “We expect sales of wireless devices with ‘Smart TV’ functionality to surpass 9 million this year, a 300% increase. Our app store has already found success, with than 1.5 million applications downloaded this year. More than 300 apps are available, and the list continues to grow everyday as developers create new offerings, thanks to version 2.0 of the Samsung development kit. The key is relevance to content, and we are setting a path for the right ones to be created. We are rallying the developer community around these solutions.” This is showing how the field of consumer electronics is continually evolving. (Kerschbaumer, 2011)
 
These changes are having an impact on the way everyone stays informed about sports related events and how they are watching this kind of content. For example, the below table is highlighting where most people will watch and learn about this programming. (Bain, 2010)
 
The Primary Format Consumers are using to Stay Informed about Sports related Content
 
Provider
 
Percentage
 
Google
 
62.5%
 
Viacom
 
11.9%
 
Disney
 
10.5%
 
HULU.com
 
10.2%
 
(Bain, 2010)
 
This is illustrating how consumers have changes in the way they are viewing sporting events and teams are shifting. (Bain, 2010) (Blackshaw, 2012)
 
As a result, these transformations are leading to adjustments in sports broadcasting rights and fees. The way that this is occurring is different kinds of sports are charging additional fees to view their content through various applications and devices. For instance, a sports broadcast that is sent out to consumers will have a national focus for television audiences. (Bain, 2010) (Blackshaw, 2012)
 
At the same time, they will charge users and media providers with additional fees for accessing this information (using 3G and 4G technology). These are having implications for sports broadcasting by transforming how this content is accessed and what is considered to be free vs. pay per view programming. Over the course of time, this is leading to a reduction in free content with more organizations requiring consumers to pay these costs (in to have access to this information on their wireless devices). (Bain, 2010) (Blackshaw, 2012)
 
References
 
Bain, E. (2010). Sports over IP. MIT. Retrieved from: http://cfp.mit.edu/publications/CFP_Papers/Blain_Emmanuel_Thesis_final.pdf
 
Blackshaw, I. (2012). Sports Marketing Agreements. New York, NY: Springer.
 
Kerschbaumer, K. (2011). Connected TVs. Sports Video.org. Retrieved from: http://sportsvideo.org/main/blog/2011/01/07/connected-tvs-offer-promise-but-business-challenges-loom/

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