The economics of TV have largely remained the same since the quiz show scandals of the 1950′s. Just as the internet disrupted the music industry, television is entering a murky transition period. Nobody seems to know how to charge for and distribute content to a generation who has grown up online. All the proponents shouting “just put it on the web!” haven’t followed up with “…and here’s how it makes fiscal sense for the networks.” Some of the most forward thinking offerings like HBO GO and ESPN 3 are still tied to stagnant, buffet style, cable subscriptions.
If we’re going to have a serious conversation about cutting the cord, we need cost effective solutions that compensate content producers. Going direct to consumer is possible, and it opens the door for unique opportunities in process.