Tuesday, August 15, 2006

Comcast: Online Video Aggregator

Ad Age reviews Comcast's latest plan to monopolize online video content.

Ad Age:

"Online ad spending is expected to grow 15.2% compounded annually to $25.5 billion in 2010, according to PricewaterhouseCoopers. Spending on Comcast's core internet business -- broadband access -- is expected to rise 9.6% compounded annually to $30.8 billion.

"For us to be successful online, you have to believe that people will still want to come to a single source for much of their online-video entertainment," said Warren Schlichting, VP-new business strategies at Comcast. "That's the basic underlying philosophy. We think there's a role for somebody to work with many content providers."

"It's smart to look to build an entertainment portal online to complement what they're doing on the TV set," said Greg Verdino, director-emerging media, Digitas. "But the members-only cable model flies in the face of the history of the internet. Trying to import the walled-garden approach from TV to the internet is a mistake."



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