Tv Contest

In a presentation to advertisers, Ted Harbert, the chairman of NBC, expressed his distaste over using DVRs to skip commercials by saying, "This is an insult to our joint investment in programming, and I'm against it."

Harbert is expressing an industry-wide phobia among broadcast networks, but what do you think?

Will increased DVR use cut into TV advertising revenue?

impact of DVR use on television advertising.

           The pattern of technology in the modern age moves in the concept of that its always available for sale online for the honest minority, who have the means to purchase, but the majority are most likely clamoring to steal it. The problem with the Internet is that the masses think they are entitled to have everything they want for free until they get caught and have no choice then to pay. With the recent crackdown of music sharing giant Megaupload people are now wising up to the fact that all their free music and entertainment could just disappear one day. There is no question this new mentality has negatively affected commercials. Money is still being made regardless if people are supporting fast forwarded commercials or not.

            Ads are the life’s blood of most TV shows and the Internet, they pay for most content available and if people can skip commercials then it will encourage them to stick to television instead of other mediums. More children today use the Internet then watch TV and if skipping commercials makes it more appealing, I don’t see how executives should be against it. The Telecommunications Act of 1996 forged an atmosphere of media consolidation and there’s no difference between online and TV content, they are of the same entity.

            The convenience to be able to skip commercials is very satisfying, but when you think about all the billions that are being wasted by viewers fast forwarding commercials, does it really make you want to side with network conglomerates that are losing money in one avenue but still thriving in all others? Why should a person who is trying to avoid the overpriced entrapment's of cable feel sorry for billionaire companies, who just want to market to potential customers and become richer? According to Andy Vuong, a case was brought to the House Communications and Technology subcommittee. Dish Network chairman Charlie Ergen’s argument to install AutoHop (click link), a device that allows Dish subscribers to skip commercials serves to protect children from beer and junk food ads. This is only based on TV watching, commercials are still available on Iphones and tablets and everywhere else where there is no censorship.

            This is when the Internet becomes a class war battleground. The main reason the DVR was invented was to give people the option of not having to stay up late and catch their favorite shows, one of the advantages was not having to suffer through commercials. It also becomes a conservative marketing issue to want to protect children from persuasive advertising. This tug of war between cable and those that want the benefits of cable (through various streaming pirate sites) and instant service companies is moving in the same pattern as music file sharing has. The bottom line is that Internet users feel entitled to receive everything for free, regardless of who secretly pays for it. They also don’t want to give more power to executives who merely want to exploit them. The Internet harvests this type of mindset and behavior. To the executives it’s a controversial issue but they can make their money from ads regardless.