http://www.tvweek.com/blogs/tvbizwire/2011/03/showtime-responds-to-growing-t.php
According to Reuters, by mid-year 2011 Showtime will have removed many of its highly successful original series from the Netflix streaming library, in particular Californication and Dexter. After trying different windowing strategies to maximize value, Showtime has come to the conclusion that these series are best reserved for Showtime subscribers.
Showtime's CEO Matthew Blank recently noted that his company is "more conscious now" of over-the-top video distributors such as Netflix, and wants to be sure consumers understand they must subscribe to Showtime in order to enjoy its content, regardless of the medium or the enabling device. And that is precisely the memo now being circulated by premium cable networks like HBO and Showtime, as well as "basic" PayTV franchises like ESPN (a list that will only grow as "TV Everywhere" efforts gain steam).
VideoNuze's Will Richmond wondered if Showtime was essentially "circling the wagons" - Showtime admitting to itself that the only people they can trust in this 'new video' world are those "within the circle"; the PayTV operators who have brought it this far. But "circling the wagons" has another meaning: an admission of failure, a desperate final cry grounded in the frightening reality that one may not come out of this alive. Which definition applies? Check out Will's piece to see his take - I hate to give away good endings.
More generally, doesn't Showtime's memo directly challenge Netflix's innocent mantra that it does not wish to replace incumbent services but only augment them? Doesn't this mean Netflix is playing nice?
Sly by half, I'm afraid, as content owners are wising up to its authentic motives, made all the more apparent by its recent $100 million, 26-episode commitment to an original series.
I think the peace pipe is no longer in the tepee, what do you think?
ShareThis