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Home » Articles » Smart TVs Expand On-Demand World

Smart TVs Expand On-Demand World








Article Posted On Date : Wednesday, December 8, 2010


Smart TVs Expand On-Demand World
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 started the modern home entertainment revolution with DVR technology, allowing consumers to watch the shows they wanted, when they wanted. Appointment television � shows worth building a schedule around � was obliterated.

The ability to watch  at 6:30 a.m. can be nice, but what about a recent theatrical release that is not yet on any network schedule? What about older fare, like television episodes from years ago, or some forgotten indie film?

This is the world of on demand, powered by the confluence of the Internet and television. In recent years, Blu-ray players have offered Web connectivity to home entertainment systems, but it is only with the latest round of Internet-ready, or smart, televisions that device manufacturers have truly been able to build on the concept.

It is the all-in-one package, an out-of-the-box, single-plug device that gives users access to the content they want, when they want it, independent of programming schedules. Figuring out which one to buy, however, is a process entirely unlike television shopping of the past.

Once, brands like , LG and Vizio were limited to promoting various combinations of features and picture quality in their products. Internet connectivity is different, however, as the hardware is essentially the same across the board. Aside from the distinction between built-in Wi-Fi and merely being Wi-Fi-enabled (meaning an adapter must be bought separately), these televisions gain access to the Web in precisely the same way.

This has put manufacturers in a new position, in which entertainment options have become part of the hardware bargain.

For example, the Qriocity (pronounced curiosity) service from Sony, which was introduced in April, streams movies ($4.99 for HD rentals, $2.99 for standard definition) and music to those who go online via the company's Bravia televisions and Blu-ray players. It is an expansion of the company's PlayStation Network, which already offered thousands of streamable films.

"The idea is to offer more connected services and content," said Robert Rodriguez, a product manager for the Bravia line. "If you buy one of our TVs, even if you don't have cable or satellite, you have 40 channels built in, as long as you have broadband Internet. We recognize the changing of times. This is a viable source of entertainment."

Other manufacturers offer similar services through third-party providers, through apps that bring users directly to sites like video-on-demand service. Registration offers access to streaming video libraries, available with a variety of fee structures.

The televisions themselves range in price. Samsung's entry-level smart TVs start at about $900 and go up to the $3,500, The EX710 LED Bravia model from Sony ranges from $1,000 for a

This all may be new to the world of television watching, but it is hardly unusual fare.

"We're dealing with an audience and consumer who have lived through the smartphone wars of the last three to five years," said Eric Anderson, vice president for content and product solutions at Samsung. "When we introduce things like the application store, or activation, or downloads, or premium versus free, all these things are fairly familiar to a lot of people who have these TVs."

That familiarity equates to what Mr. Anderson estimates is as much as a 60 percent activation rate for those who buy connected televisions. The figure is surprisingly high for a category in which most sets are bought without regard to their Wi-Fi capabilities.

"People are still buying TVs primarily for the audio-video quality," Mr. Anderson said. "I'd say it's about 70-30 as far as purchasing decisions."

That 30 percent, however, presents the vast promise of untapped potential. What it does not represent is the people who want to stream content, but who do not want to give up their existing televisions to do so.

TRANSMISSION BOXES A significant number of Blu-ray players offer Internet connections through nonsmart televisions. By its very existence, of course, a Blu-ray player, which can now be had for less than $100, runs counter to the ethos behind streaming media. The future is not in physical products, but in information delivered seamlessly to the home.






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