The Cable Industry is going through a transformation which is undeniable, viewed from a sense of where operators are metamorphosing from a traditional Cable TV platform into a (connected technology platform) within the last couple of years. Even the nomenclature of its current name, which depicts a historical reference to a compilation of linear TV channels, does not accurately represent where the industry is today. A cloud transformation is on the horizon.
R & D
From strong Internet Service Providers to connected-home video distributors, Cable TV is no longer just Cable TV. With the help of CableLabs, the industry’s think-tank of technology delivery, the non-profit is currently testing Tru2Way delivery of whole-house connectivity with the consumer. Through its (Digital Living Network Alliance) DLNA, its partners include some of the true heavy weights of networking device manufacturers such as Cisco, Motorola, Samsung, and Sony. Recently, these partners demonstrated the connectivity which will be realized within consumer homes that will connect devices through home gateways sharing content throughout that system. See (CableLabs® Tru2way® Home Networking Interop Demonstrates Premium Content Sharing among Home Network Devices)
Since OTT (Over-The-Top) content distributors like Netflix, Apple TV, Boxee, and Google TV have garnered much attention from most media as the (new-darlings) of a perceived cord-cutting phenomena, Cable Operators have succinctly began developing their own versions of alternative distribution services, such as TV Everywhere, and now connected-home delivery. This becomes a natural progression of that much needed transformation from just a Cable TV provider into connectivity for the 21st Century. The advantage that incumbents like cable have over rivals is the tremendous infrastructure developed over the years allowing them to cross-pollinate a variety of service offerings, like Broadband, IP Telephony, Video Distribution, Unique Programming, Wireless, and now Device-Connectivity. See (Cord Cutting & OTT: Threat or Opportunity for Cable MSO’s)
Challenges for cable operators moving forward continue to be delivery and package based solutions that enhance their program offerings and transform them into (device-connected/unique packages) which appeal to a wide audience from a price-point perspective. While demands from programmers enjoying hefty fees by delivering multi-channel content to huge audiences continues to hold operators hostage from flexible consumer packaging and pricing, the true solution to any sort of cord-cutting demand will be the flexibility of operator OSS/BSS capabilities. Also, being able to intelligently offer unique content and billing infrastructures based on IP solutions going forward, is of utmost importance. See (Cable Gets Serious About IP Video)
Cloud as a Transformer
The Cable Industry has to move forward toward a cloud solution. That is, the amount of connected devices seeking large amounts of content and information will continue to grow at astonishing rates as consumers demand more content on these devices, while needing them connected together, will continue in a upward graph of an inexplicable and undeniable proliferation. Delivering real-time content instantly to consumers via the cloud is paramount in staving off any sense of cord-cutting for future competitive advantages. And back-office mechanics of that delivery and pricing must be transparent and consumer flexible to realize the potential that cable operators have at their disposal. It will continue to demand CAPEX to drive last-mile infrastructures to next generation opportunities. See (The disappearing Set-Top)