Atlas On Demand's Ferris says a widely
accepted estimate for annual VOD ad revenue is between $50 and $75
million. (7/23/07 Article)
Report: One-third of TV watching could be video-on-demand by 2012. (Article)
An estimated 28 million U.S. homes
representing about one-fourth of all households are VOD-enabled.
(7/23/07 Article)
The Video on Demand
Dictionary and Business Index™
Video
on Demand –
(VOD) - (In terms of Interactive Television)
- (May be known as TV-based VOD, VoD, On-Demand Television,
Movies-on-Demand,
Content on Demand, On-demand Programming, VOD on the Web, VOD on Cable, Pay-As-You-Go,
PAYG, All
Day Movies, Live-streaming
Video &
On-demand
Streaming Video, Internet-on-Demand Video, IP-based Video, IPTV
Broadcasting,
Internet HDTV, Internet Video, Web Video, Video Webcasting, Webcasting,
Broadcast Internet, IPVBI, TinyTV, Switched Digital Video, SDV, Video
Dial Tone, IPVBI, Sports
on Demand, Application on Demand, Entertainment on Demand, Information
on-demand, News on-demand, On-demand Services, Television on-demand,
Switched-on
TV, Anything-on-demand.)
- The Internet, intranets and a
multitude of other networks can be used for Video on Demand. Content
can be viewed using many different electronic devices, including
phones, PCs, media
centers, media
center PCs, set-top
boxes, certain portable
media devices, etc. VOD allows viewers to select video and
its accompanying content, then have it sent for viewing to
their set-top
box, PC, mobile
phone,
etc. If the VOD is to be viewed on a TV, the program might be stored in
the customer’s DVR.
In that case the customer would watch it off of that
DVR's hard drive. (This is more often the case with satellite TV
and Internet distribution scenarios.) Or, in the case of
cable television and IPTV,
the customer typically can watch it
directly from the network's head-end
(which is the network operator's operating, distribution and storage
facility). (See Network
DVR.)
VOD is a form of Timeshifting.
Typically those watching VOD on a TV (TV-based VOD) can pause, fast
forward, rewind, etc. as if
they were watching the program on a VCR, DVD, or DVR.
While in the past this was often known as Interactive Video on
Demand, now it's become standard operating procedure. Typically
a
digital set-top
box or media
center
is required to get TV-based VOD but one can download VOD programming to
other media devices such as video iPods, game consoles such as Xbox, Digital
Media Receivers (such as Apple TV,) Digital
Media Adapters and Media
Extenders. Digital
Media Receivers, Digital
Media Adapters and Media
Extenders (and devices that have this technology integrated into
them,) connect one electronic device,
such as your Media
Center PC, desktop PC, Home
Media Server, etc. to your TV, or another display device.
TV-based Video on Demand has come a long
way, and fast. Up until
literally the last few years, many in the television world would
readily categorize it as "Interactive Television". But as it has
developed the industry ended up separating it from Interactive
Television by giving it it's own category. There is no doubt that it is
a form of Interactive Television but at a "lower level". Earlier this
decade a significant number of TV-based VOD systems required the
subscriber to call the network operator with their programming and time
of viewing choices.
Cable and telco networks, due
to having larger
bandwidth capacity than most satellite TV providers, are currently in a
better position to offer Video
on Demand for
television, as well as Network
Digital Video Recording (nDVR). Telcos are incorporating IPTV
for VOD.
http://www.charter.com/services/ondemand/ondemand.aspx
The
studios are restricting the number of titles available for VOD for fear
of programming being copied, as well as a perceived lack of profit.
Movie
studios
generally won't allow movies to be available through VOD until 45 days
after
the DVDs go on sale. At the time of this writing (spring, 2006,)
studios typically
earn only $1 or $2 from each movie rental but can make $12 or more from
each DVD sale.
VOD
advertising is often sold
on a cost-per-impression basis. The problem with doing business based
on impressions is that programmers arrive at the count in different
ways. An impression could mean an ad has been viewed in its entirety or
only in part. VOD advertising is expected to experience a lot of growth
in 2007.
TV-based Video on Demand is
often available
in these formats:
- Free
VOD, which
includes Basic or
Family Packages.
- Subscription
VOD, where a separate regularly re-occurring fee is
charged for a plurality of VOD programming. (Examples are Showtime On Demand
and HBO On
Demand).
- Pay-per-view
VOD, (Transactional VOD),
often used to
deliver individualized programs on demand. With
PPV VOD, often the customer can watch all he/she wants in a 24 hour
period. Special boxing matches are an example.
Typically
each of the above operates the same.
Each
offers play, pause, stop, fast-forward, rewind, etc.
----
VOD may be
(or have been) categorized as follows:
- Interactive
Video On Demand
- True Video on Demand
- Near Video On Demand
- Subscription Video on Demand
- Free Video on Demand
- Quasi Video on Demand
- Impulse Video on Demand
- Exclusive Video on Demand
Interactive
Video
on Demand
- (IVOD) - This is the standard type of TV-based VOD today (though it
wasn't when this dictionary was first written.) VCR,
DVD and DVR
type functions, such as fast forward, rewind, and
pause are offered. An IVOD system can have three components: (1)
the
user's "set-top
box",
or equivalent (and it's components,) (2)
the network it's
connected to,
(and it's distribution components) and the (3) servers with
archives of programming. Typically the subscriber's set-top
boxes are how they communicate with the VOD
servers. The interactive functions that the VOD user has at
their disposal can include:
1.
Play/Resume - Start a program/movie from the
beginning or resume after temporarily stopping the show.
2.
Stop -
Temporarily or permanently stop the presentation of the show.
3.
Pause - Freeze
the picture.
4.
Jump
forward - Jump to a particular time in the
presentation (movie) in a forward direction.
5.
Jump backward -
Jump to a particular time in the presentation
(movie) in a backward direction.
6.
Fast Forward
(FF) - Browse through the movie in the
forward direction with picture and sound on.
7.
Slow Down - Going
forward at a lower rate than normal but
with picture and sound.
8.
Reverse - Playing
the movie in the reversed direction with
picture and sound.
9.
Fast Reverse -
Browse the presentation in
the backward direction with picture and sound at a faster speed than standard reverse.
10.
Slow Reverse:
Go backward at a slower speed, with picture and
sound.
11.
Other
interactive features include the ability
to avoid or select advertisements, to investigate additional details
about news events and to browse, select, and purchase goods.
True Video On Demand
- (TVOD) - (Now just known as Video on Demand) -
An older antiquated term for video
on demand
(VOD) service where individual users would get immediate responses when
interacting
with the VOD
system. With TVOD, the user could order the
program at will and be able to do any VCR-like commands on the VOD
system with the same
quick response time as when working a VCR. This increased speed
of
the response time can significantly increase the cost of operating the VOD
system. An alternative is Near Video
on Demand
(NVOD) as it reduces the cost by increasing the
waiting time. TVOD is more often just known as VOD (Video on Demand) as
it is the standard form of VOD in television.
Near
Video On Demand
- (NVOD) - A particular program/movie
is advertised to start a regular intervals over a particular
channel. You pay your money electronically and select what
time
and day you want to start watching the program/movie. A small portion
of the
program/movie may be sent and stored on your DVR/set top
box buffer or
hard drive, most of the program/movie is viewed from (off of) the
server of
the network operator offering the NVOD service.
Typically you can fast
forward, rewind,
pause, etc. with NVOD as you're able to do with TVOD.
http://etvcookbook.org/glossary/nvod.html
Subscription
Video on
Demand - (SVOD) - (Subscription-based Movies and/or
Programming) - Generally movie/programming packages are scheduled
events; SVOD can make it possible, for a fixed fee, for subscribers to
have unlimited
access to movies/programming during a specific time period, such as a
month. The
opposite would
be Free Video on Demand
(FVOD) where a subscriber pays no special
fee for the programming.
Free
Video on Demand - (FVOD) - (a.k.a. Free
On-demand, FOD, FVOD,
Free Video on Demand)
– Video on Demand programming that a network
operator makes available as part of a basic content package.
FOD (FVOD)
can make it possible for subscribers to have unlimited
access to movies/programming offered during that time period. The
opposite would
be Subscriber Video on
Demand (SVOD) where a subscriber pays a standard
reoccurring
fee for programming that may have no, or limited advertisements.
Quasi
Video on Demand
- (QVOD) -
Same as Near
Video on
Demand except that the show
(programming) only
will be presented if a minimum number of subscribers
sign up for it.
Impulse Video on
Demand – (Impulse VOD) - Though
now-a-days it's typically all just referred to as "Video
on Demand"
but in the past, this term often referred to the
ability to order TV-based Video on
Demand programming, without having
to first phone in your order to the network
operator.
Exclusive
Video on Demand - (EVOD) -
When a particular TV-based VOD
content provider (most likely your network operator) offers a function,
service and/or program that no other content provider has (or very few
have), it might be called Exclusive
Video on Demand.
¤¤¤¤¤
Two major types of VOD are
streaming video and
non-streaming video. Streaming video (sometimes known as HTTP Streaming
video or Progressive Download)
is when the video is
compressed and sent over a network, such as the Internet.
It’s then decompressed
by the receiver (set-top
box) for displaying on your screen.
Typically the file begins displaying before it has completely been
delivered to your set-top box (to
save transmission time and bandwidth.) Literally the
programming plays
as it's being downloaded. The non-streaming variety of video
needs the downloaded files to be completely sent before they can be
played.
Important also are the system’s video servers. Video
servers are a computer system capable of storing large
quantities of video and
serving it (sending it) to user's TV systems. Also important is
the Conditional Access
System. Conditional
Access is an encryption/decryption management
method (security
system) where the broadcaster controls the subscriber's access to
digital and Interactive
TV
services. This can ensure that the person is who
he/she says they are (authenticity) and provides security for
purchasing
and other transactions. The end-users (subscribers) have a
receiver (set-top box) that allows him or her "Conditional
Access" to the
services available through that service. "Smart
cards” (or the equivalent) may be
used to access the system by the end-user.
¤¤¤¤¤
TV-based Video on Demand is revolutionizing the television
viewing experience. Why? Because in time you'll be able to view most of
your
favorite programming (shows) in this manner, and not just movies and/or
special events.
Imagine
at any time of the day or night, searching interactively through your
TV
and finding your favorite sit-coms listed by episode. Click
interactively on an episode’s electronic button, in the same
manner
that you would on a Web page and up comes what
that episode is about and other pertinent information about it.
Want to watch 10 episodes in a row of that sit-com, even if
it’s
midnight? No
problem, you make your own viewing schedule with Video on Demand.
(Chances are good you'll need a digital TV package).
One of
the major reasons for implementation of VOD is to
cut down on “Churn.” Churn denotes subscribers that
start and stop
their subscription faster than the network would prefer, a process that
adds to the business cost of networks. The assumption is that if more
options are available for the customer, they will be less likely to
stop receiving the service.
Developments such as improvements in VOD servers, better codecs,
better
ethernet, and Passive Optical Networks (PON) etc. technologies
replacing the older, slower technologies such as asynchronous
serial interface (ASIs) connections, have been essential. Click
here for a great article on broadband developments.
Microsoft’s US-based Video Marketplace, which launched in November of
2006, as of mid-2007, has around 2,100 hours of movie downloads
available to Xbox 360 owners. It's introduction to Europe is set for
August, 2007. (Of course we all know about iTunes' success as a
download service.)
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