Why, oh, why, Steve Ballmer, can’t you make this more simple?
Following up on my ideas about how Microsoft could revolutionize TV with the Xbox…
Something I didn’t say in that post, was that the Xbox would also need to provide DVR (i.e. Tivo-like) capabilities. Technically this is not an issue, and cost-wise it might add another $50. Honestly, it blows my mind that the Xbox doesn’t already have this baked in.
Last night, I was over at my brother-in-law’s house, and he was showing me his brand new video setup. His setup is awesome, but it is also mind-blowingly complicated. And, it’s all Microsoft products, to boot!
- Upstairs he has an HP All-in-One computer with about a 30-inch screen. This computer runs Windows Media Center, so he has Comcast cable plugged into the back of it, and he uses it as his DVR. He primarily uses this as TV, and light web browsing…definitely not what we think of as “computer usage”.
- Of course, the upstairs computer is connected to his home network. I say this casually, but 99% of people have no idea how to operate their home network. If you’re one of the people who I refer to as the “friends and family IT guy” then you know exactly what I mean.
- Downstairs he has a sweet 50-inch TV. No reason to get into the specs on this, but let’s just say I do have some TV envy.
So, he explains, how content is streamed from his upstairs computer through his home network, downstairs to his TV. ”Cool,” I said, “so, your TV is connected to your network too, and can read from Windows Media Player?”
“No, I have to run it through the Xbox,” he replies plaintively. ”And,” he says with a little irritation, “let me tell you, it took a lot of time to setup.”
URGH!!!! This is so frustrating to hear. Why, oh, why, Steve Ballmer, can’t you make this more simple?
Look, an Xbox is just a computer in fancy clothes. So, by the way, is a DVR. All of them are just a computer on the inside. A plain old computer, just like the one I’m typing this on.
Why, then, does Microsoft make the user buy two computers, do a bunch of fancy networking and such nonsense, when it’s not necessary? Why can’t they make it easier for us?
The obvious reason would be to say, well, Microsoft is able to sell twice as many computers, so they’re making more money. If that’s the case, fine…I dislike it, but they’re choosing to leave a market opportunity open for others to exploit at their own risk.
I tend to be more inclined to think that this is a case of Hanlon’s razor.
Yeah, I stream everything from my laptop to my xbox using third party applications, and although it’s great that I can do it, it almost always comes with headaches when things suddenly don’t work for no reason.
I would argue that Microsoft doesn’t want easy DVR or streaming on the xbox, because a huge part of their business model is selling tv shows and movies to xbox users on the platform’s Zune marketplace.
Adam Dorsey
19 Oct 10 at 10:32 am
Scott – I couldn’t agree more. Thus far no one has come close to being successful when it comes to integrating online entertainment with your personal TV. I think Google is the first to be on the right track with their Google TV product. What do you think? People want to stream content, not download it (this is why I think iTV by Apple will fail again), and they want to view it on their living room TV’s. Here is my blog post regarding my thoughts on Google TV. I’d love to hear your opinions.
http://alexpepperl.blogspot.com/2010/08/whats-in-store-for-google-tv.html
Alex Pepperl
19 Oct 10 at 10:36 am
Alex,
Great blog post!
I think GoogleTV is on the right track, but I also think that Apple and Microsoft are better positioned.
In my view, Microsoft is the best positioned due to the Xbox. Using that theory, Sony or Nintendo might be well positioned as well, but they don’t have the other essential consumer items–phone, tablet, music player.
Apple is in a better spot because of their iPhone/iPad user base, and they already have some experience with a TV product. But, Apple doesn’t have the game console.
Google may end up ahead (and, I hope so, because I’m long GOOG). But, the problem to me is that it seems like Google doesn’t have they physical pieces in people’s hands and homes in the same way that Apple and Microsoft do.
Microsoft is the only player with all the puzzle pieces.
scottporad
19 Oct 10 at 10:49 am
Good point, Adam.
But, don’t you think that buying TV shows is going the way of the Dodo bird? Won’t it all end up being subscription streamed over the Internet? Sort of like cable is just subscription streamed over the coax wires?
For example, my understanding is that you can get ESPN on the Xbox (see: http://www.xbox.com/en-US/kinect/entertainment.htm). Isn’t it just a matter of time before the content creators, that is, the TV networks, start saying to the cable providers, “hey, Xbox is gonna give us a bigger piece of the subscription, so we’re going with them.”
Once that happens with enough networks, don’t you think that they’ll all come over to the Xbox?
scottporad
19 Oct 10 at 10:54 am
Thanks Scott! Content is also a huge issue though. Keep in mind that Apple’s content on their iTunes store is very limited when it comes to programs (I believe only Disney/ABC has an agreement with Apple, as Fox, NBC and Viacom opted out). I have also heard the iTV has a few bugs with formatting. The content can be offset with a $9.99/month purchase of Hulu Plus, so it’s not a huge issue. However, I think Google stands to benefit with its friendly UI and the popular YouTube brand. Nevertheless it is still complicated. If viewers want a full menu of programs they will have to purchase Hulu Plus as well as a Netflix account, and this still doesn’t include sports. I know ESPN’s online player, ESPN3, can be integrated with XBox, but I’m not sure if it can be with iTV or Google TV. Each viable option has its pros and cons now. I’m guessing at this time next year we will have a more stable option.
Alex Pepperl
19 Oct 10 at 11:02 am
Another wrinkle here is that the cable industry has made it difficult to easily add cable tv functionality outside of their crappy cable boxes.
CableCard (FCC-mandated-technology for cable customers who want to use their own set top box) was stillborn, partly because few devices supported it and partly because the cable industry had no real incentive to make the technology work.
Adam pretty much nailed it when he said Xbox doesn’t want to jeopardize sales of television show and movies by incorporating DVR capabilities. Microsoft, Apple, Roku, Boxee and others see the cable industry, an industry is largely disliked by its customers, as an industry ripe for disruption. Globally, cable brings in about $68 billion annually. Adding cable card to their product doesn’t do a whole lot to advance cable’s demise.
Finally, from a user experience perspective, all DVRs have issues. TiVo and Windows Media Center, the best of the best DVRs, still periodically fail due to schedule mishaps. Even the cable industry sees DVRs as a short term solution. Comcast, for example, touts their extensive on-demand catalog as a primary reason to use their service.
I could go on, but IMHO the future looks like this:
1. non-sports programming will go completely on-demand
2. sports programming will be sold directly from the MLB, NFL, etc
3. it’s gonna be complicated for a while
Randy Stewart
19 Oct 10 at 12:33 pm
Alex – Apple TV has content from ABC/Disney and Fox for rental. You can buy and stream content from most other content providers on your iDevices or your computer and stream to AppleTV.
Randy Stewart
19 Oct 10 at 12:35 pm