Online Home Video Delivery - Who Will Win? Part 3 - Sony
By David Walker |
January 28th, 2008
Comments (0)
No matter what technologies come along, our fascination with television shows and movies is virtually endless. Whether it’s the acting, stories or visual eye candy that grabs us, there’s no denying that we’re as fascinated with video as we’ve ever been. As we enter 2008, the ability to get to that video is becomingly increasingly easier. Several key players are entering the online video delivery marketplace and though choice is growing, it’s going to be important that consumers pick the provider that suits them best and that has the best long-term potential to get them the content they crave. Over the next few days, we’ll be taking a look at the major players, what their capabilities are and ultimately, who we think has the best shot of winning in this space. Today, we take a look at Sony.
What They Have
Sony’s best opportunity to get online video into the living room rests with the Playstation 3. Sony’s Blu-Ray console is uniquely setup with both network access and a standard hard drive in every console. Considering the Playstation 2 has sold over 100 million units worldwide, Sony’s got a good chance of putting the new kid in quite a few hands. Also, unlike Xbox Live, Sony’s online service is free of charge. All you need is an active internet connection to get to Sony’s online service. Finally, Sony has access to a great library of movies through its own movie studio.
Advantages
For starters, the Playstation 3 is the best valued and featured Blu-Ray player that’s currently available. Even though it’s entry pricepoint of $399 is a good bit higher than stand-alone online players, you get a tremendous amount for the money. A cutting edge gaming console and possible Linux PC make the PS3 a value for those looking for those features. Also, since Blu-ray appears to have won the format wars, it looks like Sony’s PS3 is poised for some explosive growth in the next few years.
Disadvantages
Interestingly, Sony’s biggest disadvantage is its own goals. For the past few years, Sony has been determined to make Blu-ray the next-gen format of choice. It hasn’t been until recently that the “war” has been declared all but over. Even though Sony has a great opportunity in the PS3, their own internal goals fly in the face of online video delivery. Truthfully, Sony hasn’t even indicated that they intend to compete in this space, although you’d think they’d realize that online video delivery is going to be key in the next few years. What’s even more interesting is that Sony Pictures has agreed to distribute their movies in DivX format on DivX certified devices, which the Sony PS3 is. It is as if the right hand doesn’t know what the left hand is doing.
Outlook
Sony is an interesting dichotomy. They have the hardware. They have the content. But, they don’t appear to have the desire. Even though the PS3 is a device fully capable of delivering online video content, Sony is more intent on selling Blu-ray discs than they are delivering movie and television rentals and purchases. However, companies can change direction quickly and should Sony decide this is a space they need to compete in, they have a unique combination of hardware and content expertise that can very well make them a prime competitor.
Previous Articles:
Part 1: Apple
Part 2: Microsoft
Simon Mackay – 1 minute 4 seconds ago