5 Tech Predictions for 2013

Zimedia's 5 Tech Predictions for 2013

5. Second Screen takes off – The second screen takes on the big screen.

The second screen is taking over. Users are splitting their time between the main screen and a second screen – companion devices and apps. For live shows, users turn to Twitter. For movies and streaming content, users stick to GetGlue to check-in and provide live commentary. (If you're into streaming video like Netflix and Hulu Plus, you'll want to check out GetGlue.) In November, GetGlue was acquired by TV-loyalty service Viggle for $25 million in cash and 48 million shares.

AirPlay-like devices also allow users to stream media from a tablet or smartphone wirelessly to a television set. It opens up content from apps or the web and makes it playable on a user's TV. Apple AirPlay on Apple TV is one of the first and best. More are on the way in 2013.

4. Facebook loses market share– due in large part to audience fragmentation.

Facebook has an enormous lead when it comes to audience share among social networks because it's always one step ahead of the competition. The same changes that infuriate some users are the ones that keep others wanting more. MySpace lost users because it was stagnant. Facebook doesn't want to suffer the same fate.

But users will begin to explore other options in 2013, including LinkedIn, Google+, Foursquare, Path and others, all of which have adopted the "Newsfeed" layout. Users will spend more time on these sites, which means less time spent on Facebook. Foursquare, for example, has de-emphasized its leaderboard and put more focus on the newsfeed and its "Explore" feature. 

3. Mobile Payments become mainstream –  Square launched in 7,000 Starbucks coffee houses in November of 2012. Today, Square is processing $10 billion in annual mobile payments. In 2013 mobile payments will become mainstream.

Joining Square in the mobile payment race are competitors Google Wallet, PayPal, Intuit, Visa, Mastercard, American Express, VeriFone, among others.

2. Free city-wide Internet – Public Wi-Fi gets closer to the streets in 2013. Already available at many restaurants and stores, more hotspots are on the way. 

But more than just hotspots: Google has been working on a city-wide Wi-Fi network for some time, with the first attempt around 2007. It's Google Fiber project seems to have taken the spotlight, as the company rolled out the high-speed broadband network in Kansas City, Missouri, in 2012. 

We feel like now is the time to break some ground on city-wide Wi-Fi. 

The Tel Aviv municipality announced in December of 2012 that it would be deploying a city-wide Wi-Fi network in Israel, headed by Motorola Solutions, that includes 80 relay stations for free wireless access. Watch for a similar service to hit the United States in 2013.

1. Big Netflix Competitor– We predicted it for 2012. Redbox Instant by Verizon launched in Beta in December of 2012. Could it be the Next Netflix? Others are rumored to be teaming up for a service. Amazon Instant Video is gaining steam, though is part of a much larger plan for Amazon. It will take a lot of financial backing which is why we’ll likely see businesses teaming up on this one. Hulu is handcuffed by its owners (Comcast's NBCUniversal, Disney and News Corp.).

Whether it’s Redbox and Verizon, Amazon or another new service, watch for it to take off in 2013. 

5 tech predictions for 2012

Read last year's 5 Tech Predictions here.

Zimedia TV 1: Apple wants The Fancy, Google Fiber, New Digg, Turf App, YouTube's I-Files and Web TV

Zimedia TV 1: Apple wants The Fancy, Google Fiber, New Digg, Turf App, YouTube's I-Files and Web TV

Get Ready for TV 2.0

Streaming television services like Netflix and Hulu Plus are gaining momentum, moving along the adoption curve – working their way through the early majority – still years ahead of technological laggards.

Editor's Note: This article first appeared on StateCollege.com as a guest column by Eric Zimmett. Click here to view the original column. 

A Nielson study revealed that about one-third of Americans have streamed a TV show or movie through a paid subscription service like Netflix or Hulu Plus. And a majority of Netflix users have the service connected to their TVs.

Streaming TV is the biggest threat to the pay-TV model since TiVo, poised to make prime-time television irrelevant and turn the pay-TV model upside down.

Two years ago this month I cut cable and moved into the streaming TV world. Which at first was a bit rocky, but is now a more intuitive TV experience than ever.

With Netflix and Hulu Plus, when I want to watch a particular show, I watch the show. Whether it's 7 p.m., 9:36 p.m. or 2 a.m. The Colbert Report; Saturday Night Live; Lie to Me; 30 Rock; Weeds; American Pickers; MasterChef; Mad Men; The Office; SportsCenter and ESPN on Xbox 360; or even NBC News, CBS, ABC on Roku Newscaster.

As well as older TV shows like Arrested Development, a new favorite of mine even though the show concluded in 2006. I had never seen it. But with streaming TV, I started with season 1, episode 1 to the last. Netflix announced in November that it is resurrecting Arrested Development in an exclusive deal featuring new episodes of the critically acclaimed series, which was canceled by Fox.

Streaming, on-demand, content increases the shelf-life of television, therefore increasing the benefit to the show and its advertisers. What this means: more viewers for the content and the advertising. An almost unlimited shelf-life. Streaming TV puts the entire television experience – Movies, News, Sports, TV shows – on the user's schedule, not the network’s. It’s like everything has been TiVo’d for you.

TiVo released data that revealed only 38 percent of viewing by its users was live TV. The rest was recorded video and online streaming content like Netflix, which is now available through the TiVo Premiere box. It won’t be long before streaming content overtakes recorded content, like the two have done to live TV.

Most Netflix and Hulu Plus users are between the ages of 18-34 – dubbed Generation C – according to the Nielson study released in February. The second largest group is users between 35 and 49, then 50 to 64. Which mirrors the adoption curve developed by Joe M. Bohlen, George M. Beal and Everett M. Rogers at Iowa State University in the 1950s. The curve illustrates the adoption of new products and innovations through five stages: Innovators, Early Adopters, Early Majority, Late Majority, Laggards.

Netflix has more than 20,000 titles available to stream instantly and is working to increase its number of television shows, an area in which Hulu excels. Hulu is jointly owned by Comcast’s NBC Universal, The Walt Disney Co., News Corp. and global private equity investment first Providence Equity Partners.

Netflix has inked exclusive content deals including Lilyhammer, which debuted Feb. 6, featuring Soparanos star Steven Van Zandt. Horror series Hemlock Grove, scheduled for early 2013. Orange is the New Black, a comedy project from Weeds creator Jenji Kohan. As well as House of Cards starring Kevin Spacey. To acquire House of Cards, Netflix outbid HBO for the series.

And now dozens of devices are available to stream content, including Blu-ray players; video-game systems like Xbox 360, Playstation 3 and Wii; Boxee Box; Apple TV; Google TV; TiVo Premiere; and Roku. Read my review of the Roku streaming player here. In most cases, users buy the streaming boxes; versus renting a box from cable or satellite TV companies.

Subscription streaming services like Netflix, Hulu Plus or Amazon Instant Video provide unlimited streaming content for a fixed monthly price. Some cable companies have now started to offer their own streaming content as a companion to subscription offerings, like Time Warner On-Demand, Comcast On-Demand alongside a subscription to their services; or premium cable like HBO GO and Showtime On-Demand. Strictly video-on-demand (VOD) services like Vudu are essentially today’s Pay-Per-View, with each movie available to rent or purchase.

This doesn’t mean an end to live TV content, however. Live TV will be delivered through the Internet and available on-demand after it airs.

Comcast, the largest cable operator, announced in May of 2011 it would begin testing IPTV or Internet Protocol TV. The same content, only, delivered through the Internet.

Comcast began testing IPTV at the Massachusetts Institute of Technology (MIT), and in February introduced XFINITY Streampix, a Netflix-like video service offered as a companion to XFINITY TV.

IPTV can be used for live video, streaming and delayed programming like a DVR. The same technology used by Netflix, Hulu Plus, Roku, live-streaming services like U-Stream and Live Stream.

What IPTV will one day mean for advertisers: data. Think Google Analytics for TV.

The writing is on the wall.

Netflix and its competitors will force cable, satellite and premium cable companies to overhaul the formula and their pricing structure. Turning the entire landscape upside down. Lower prices, more content, delivered IPTV-style.

It’s a monumental time for TV. If cable and satellite TV are scared now, this could very well be the calm before the storm. They’ll be forced to change or fall into obscurity. Like a stagnant MySpace, ignorant to the startup that would become Facebook.

Streaming content has transformed the way I watch TV and will soon change TV forever.

The cable and satellite networks can fight all they want. TV 2.0 is coming. Their efforts are only delaying the inevitable.

Getting Started with Internet TV

Swapping pay-TV for Internet streaming services like Netflix is the latest trend for tech savvy consumers looking to cut rising cable costs in a tough economy. But for those new to Internet TV with little or no knowledge of the streaming landscape, things might look a little confusing.

That's why most haven't taken the leap. Too many options. And no clear way to get started. What are the best services? Is Netflix the only option? How do I get the content to my TV? How many TVs can I connect it to? Does the video content get old? How often do they add new content?

For all of those questions and more, I'm happy to introduce the first edition of Getting Started. Getting Started with Internet TV.

Getting Started

What you'll need:

1. A streaming service.

Netflix is the top dog in on-demand movies for $7.99 per month for unlimited streaming (and no DVDs by mail). Netflix is also rapidly increasing the number of television shows on its roster and has even signed a deal to bring House of Cards exclusively to Netflix, beating out other bids from HBO and others.

Hulu Plus is to TV shows what Netflix is to movies. Hulu Plus is also $7.99 per month. Beyond Netflix and Hulu Plus, the competition drops off. Among the next tier of performers is Amazon Instant Video ($79/year) that also includes free two-day shipping on Amazon.com; Ustream (free); Crackle (free), PlayOn ($5 per month); among others. Most subscriptions are month-by-month and can be canceled at any time.

Once you've selected which service you'll use, go to the website and sign up online. Most services offer a trial period of either one week or one month. Once you've signed up, just jot down your username and password. We'll need that later when we connect it to your TV.

2. High-speed Internet.

At least 3 megabits per second (abbreviated 3 Mbps). The faster the better. You can connect your device to your TV through an Ethernet cable or wirelessly through your home network. To set up a home network, you'll need a wireless router. However streaming quality is better if the connection is hard-wired with the Ethernet cable.

3. A streaming device.

A Roku XDS. Roku recently introduced the Roku 2. Check the specs for each device to compare features and connectivity options to make sure your device will work with your selected service.

Hundreds of available devices are ready to connect your TV to Internet video. Take your pick. Blu-ray players; Video-game systems including Xbox 360; Playstation 3; Nintendo Wii; and streaming boxes like Roku, Boxee, D-Link, WD, Apple TV and hundreds more. Just check the box -- or online -- to ensure it connects to Netflix, Hulu Plus or other Internet channels.

Everything will be clearly labeled. If it's not on the box, look online. Just make sure your selected streaming service is available on the device. If we want Netflix, we're good to go with the Sony BDP-S570 Blu-ray player pictured below.

Packaging for a Sony Blu-ray player, showing Netflix as a featured partner. If it's not clearly labeled on the box, check online before purchasing.

Most devices connect to at least Netflix and Hulu Plus. Some devices feature different channels, like Ustream or Crackle by Sony. Few channels are exclusive. Some TV sets also come with channels like Netflix, Hulu Plus or Crackle built-in. As well as Blu-ray players. Purchasing a Blu-ray player that connects to Netflix or Hulu Plus is a great way to bring high-quality Blu-ray content into your home as well as thousands of on-demand offerings.

Hooking it up

A step-by-step guide

1. Connect device to your TV.

HDMI is best but some devices allow RCA connection for older television sets. After the device is hooked up, then it's as simple as changing the video input like you would for a video-game system or DVD player.

2. Connect to the Internet.

Connect your device using either a wireless network or wired setup using an Ethernet cable. Connecting your device via Ethernet is the quickest way to get set up and also offers the highest quality streaming. Once the cable is connected to both your modem and your Streaming Device you'll be connected. For a wireless connection, you'll need to search for the wireless network and sign in.

3. Sign in to your account.

Launch your Streaming Device and select your desired streaming service, i.e. Netflix. Use the username and password you selected when you signed up online.

You'll need to verify your device with your streaming subscription. You'll be given a code that you'll need to enter online to link the device and service. You'll only need to do this once. It's used to verify your subscription and link the device to your account.

You'll be able to use your streaming account on any number of televisions; the subscription is not tied to any single TV. If you're adding a box to another TV in your house, you'll use the same login info. You'll just have to verify each streaming device with your subscription using a new code, supplied when you launch the service for the first time on each TV.

You can also connect multiple accounts to your streaming device, i.e. Netflix and Hulu Plus.

4. Enjoy your content.

The most compelling difference between content on pay-TV and Internet TV is cost-vs-content. With pay-TV, you pay more for additional content; with Internet TV, you get increasingly more content for the same low monthly price. Netflix is signing new deals and bringing new content to its service on a monthly basis. Same goes for Hulu Plus. The rest are playing catch-up. Which is a win for the Internet TV consumer and the competing services. Increased competition will only expand the amount of programming and the quality of content deals.

Internet TV gains support from Comcast, testing IPTV

The dividing lines between Netflix and its cable competitors were blurred even further when Comcast, the largest cable operator, announced it will begin testing an IPTV service, a method of delivering content through the Internet.

Comcast announced on May 25 that it will start testing IPTV, an acronym for Internet Protocol Television, at the Massachussetts Institute of Technology, MIT, in the coming months.

IPTV can be used for Live Video, On-Demand Video (VOD) and delayed programming like a DVR. The technology is already in use today. Netflix, Hulu Plus, Roku, live-streaming services like U-Stream and Live Stream, as well as AT&T's U-Verse TV, are all using the Internet to deliver video content straight to our television sets.

The National Cable & Telecommunications Association held its 60th annual Cable Show last week in Chicago's McCormick Place. The Cable Show is a three-day event that displays the latest technology and innovations in cable. From delivery methods, to content, to advertising and promotions.

Comcast displayed its Xcalibur guide -- which uses the cloud and features a comprehensive search engine and social media components -- through an IPTV connection.

[youtube=http://www.youtube.com/watch?v=KBnLCbzMR9Y&feature=player_embedded#at=48]

Comcast also recently announced a partnership with Internet-video-conferencing service Skype, again utilizing IPTV. More on that in a future post, but here's a quick video from NCTA, showing Skype on Xfinity TV:

[youtube=http://www.youtube.com/watch?v=wY-NugyWSN4]

If it wasn't obvious before, it should be now: the future of television is through the Internet. And Comcast is proving it won't sit back and let other Internet services push it aside.

Comcast is fighting back with the introduction of its own IPTV delivery and partnership with Skype in an attempt to fend off rivals like Netflix and maintain its position as one of the largest media conglomerates in the world.

"We want to deliver video everywhere people want to watch it," Comcast's president of converged products Sam Schwartz  was quoted in The Wall Street Journal. "We have to do a better job getting people to realize what they are paying us for."

Media Ownership, the real-life "Owned"

Owned was a popular Facebook game that allowed you to buy and sell your friends virtually through the application. It all came down to who was willing to pony up the most Facebook cash.

Real life works that way too. Except it's for, like, real stuff and not students' photos from spring break.

So here we'll take a look at who owns what, a real-life Owned, among some of the largest media companies.

What was once referred to as The Big Six, may now be Seven after Comcast's purchase of NBC Universal from GE in January.

Recent moves: NBC Universal to Comcast

In late January of 2011, the nation’s largest cable TV company, Comcast, purchased NBC Universal from GE, which included stake in Hulu.

Hulu is now jointly owned by Comcast's NBC Universal, The Walt Disney Co., News Corp. and global private equity investment first Providence Equity Partners. In the sale of NBC Universal to Comcast, GE had to relinquish its decision-making power and 32% stake of Hulu.

The NBC Universal-to-Comcast deal gave Comcast 51% control of NBC Universal, now labeled NBCUniversal (no space and no peacock). Previously, GE owned 80 percent. Prior to the sale, GE purchased the remaining 20 percent stake from Vivendi Universal. GE’s stake in NBCUniversal is now 49 percent, though according to USA Today the company plans to completely remove its shares over the next eight years.

The Justice Department and Federal Communications Commission included provisions in the deal that prevent Comcast from blocking NBC programming to other providers. As part of the deal, Comcast agreed to let NBC programming air on its rivals networks including Netflix.

THE MEDIA OWNERSHIP TREE

Showing the Big Seven and noteworthy properties and services. A work in progress, this will be updated as I dig deeper into the companies and their subsidiaries. This is not meant to be a complete list, but rather a quick look at ownership and any connections between companies, joint ownership, and subsidiaries.

OWNERSHIP AMONG THE BIG SEVEN

The above tree, spelled out. This is a work in progress and will be updated and/or revised throughout the year. This is not meant to be a complete list, but rather a quick look at ownership and any connections between companies.

General Electric

"General Electric media-related holdings include television networks NBC and Telemundo, Universal Pictures, Focus Features, 26 television stations in the United States and cable networks MSNBC, Bravo and the Sci Fi Channel." freepress.net

GE: CNBC, USA, A&E MSNBC, NBC, NBC UNIVERSAL % (COMCAST %), HISTORY CHANNEL, WEATHER CHANNEL %

THE WALT DISNEY COMPANY

"The Walt Disney Company owns the ABC Television Network, cable networks including ESPN, the Disney Channel, SOAPnet, A&E and Lifetime, 277 radio stations, music and book publishing companies, production companies Touchstone, Miramax and Walt Disney Pictures, Pixar Animation Studios, the cellular service Disney Mobile, and theme parks around the world." freepress.net

Disney: DISNEY, DISNEY CHANNEL, SOAPNET, LIFETIME, ABC, ESPN, A&E TELEVISION NETWORK %, NFL.COM % (CBS %), HULU %, WALT DISNEY PICTURES, TOUCHSTONE, MIRAMAX, PIXAR

NEWS CORP.

"News Corporation’s media holdings include: the Fox Broadcasting Company; television and cable networks such as Fox, Fox Business Channel, National Geographic and FX; print publications including the Wall Street Journal, the New York Post and TVGuide; the magazines  and SmartMoney; book publisher HarperCollins; film production companies 20th Century Fox, Fox Searchlight Pictures and Blue Sky Studios; numerous websites including MarketWatch.com; and non-media holdings including the National Rugby League." freepress.net

News Corp.: FOX, FUEL, FX, 20TH CENTURY FOX, HULU %, MYSPACE, NATIONAL GEOGRAPHIC, SPEED, BIG TEN %, WALL STREET JOURNAL, NEW YORK POST, ASKMEN.COM, PHOTOBUCKET.COM, IGN, AMERICANIDOL.COM

TIME WARNER INC

"Time Warner is the largest media conglomerate in the world, with holdings including: CNN, the CW (a joint venture with CBS), HBO, Cinemax, Cartoon Network, TBS, TNT, America Online, MapQuest, Moviefone, Warner Bros. Pictures, Castle Rock and New Line Cinema, and more than 150 magazines including Time, Sports Illustrated, Fortune, Marie Claire and People." freepress.net

Time Warner: CW%, (CBS %), HBO, CINEMAX, TRUTV, TNT, CNN, WARNER BROS, CASTLE ROCK, NEW LINE CINEMA, CARTOON NETWORK, AOL, HUFFINGTON POST, ENGADGET, TIME, SPORTS ILLUSTRATED, PEOPLE, TMZ.COM, PGA.COM, PLAY ON!, FORTUNE, TIME WARNER CABLE

VIACOM

"Viacom holdings include: MTV, Nickelodeon/Nick-at-Nite, VH1, BET, Comedy Central, Paramount Pictures, Paramount Home Entertainment, Atom Entertainment, and music game developer Harmonix. Viacom 18 is a joint venture with the Indian media company Global Broadcast news." freepress.net

Viacom: MTV, VH1, COMEDY CENTRAL, PARAMOUNT, DREAMWORKS, CMT, TV LAND, SPIKE, BET, NICKELODEON, IFILM.COM (when I visited ifilm.com, it redirected me to screenjunkies.com, which is owned by Break Media. Trying to figure out if Viacom owns Break Media or if there was an acquisition I am not aware of. I've sent an inquiry to Break Media and I'm awaiting a response.)

CBS CORPORATION

"CBS Corporation owns the CBS Television Network, CBS Television Distribution Group, the CW (a joint venture with Time Warner), Showtime, book publisher Simon & Schuster, 30 television stations, and CBS Radio, Inc, which has 130 stations. CBS is now the leading supplier of video to Google’s new Video Marketplace." freepress.net

CBS: CBS NEWS, CBS SPORTS, CW % (TIME WARNER %), CBS RADIO, CLICKR, CBS COLLEGE SPORTS NETWORK, SHOWTIME, MOVIE CHANNEL, FLIX, CNET, LAST.FM, MP3.COM, GAMESPOT, TV.COM

COMCAST

Comcast is the largest cable operator in the United States. The company owns a number of media properties including E!, PBS, CSN, AT&T, Style, G4/TechTV, Golf Channel, a percentage of Hulu in its majority ownership of NBC Universal, which it acquired in late January. GE still owns 49 percent of Universal.

Comcast: NBC UNIVERSAL % (GE %), HULU %, E!, PBS, CSN, AT&T, UNIVERSAL PICTURES, G4/TECHTV, STYLE, GOLF CHANNEL, CABLE, INTERNET, TELEPHONE SERVICE

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Update: Warner Bros. Home Entertainment, parent company Time Warner, announced Wednesday, May 4, that it is acquiring popular movie-discovery app Flixster and movie review site Rotten Tomatoes. The company reportedly plans to develop a VOD service as part of the acquisitions.