In the mean time Netflix started with 3 CDs per month plans and when they began streaming on 2007 we didn’t use it at start because we assumed that it would cut out of the 3 movies allotment. So we were scared to use it for a while. Yet we used it regularly - because unlike the cable service, streaming didn’t have ads. And ads were massive massive abuse and waste of time for consumers. You can benchmark the level of abuse by the types of ads in the super bowl: Alcohol, crypto, gambling, cars…
The reality is that cable was a paid premium service, unlike broadcast TV, which was free and littered with ads. Mix the two and you lose the golden goose.
That said, the bravado of that executive stuck with me since then.
So I think the biggest question is, what form of entertainment will eventually supplant streaming services? Whatever it is (or will be) will almost certainly be disregarded by most people.
The reality is, most cable channels had ads from day one. Less ads than most broadcast stations (which made up most of the channels you had on cable at the start anyways) but still a lot of the first cable-only channels had ads from the start. WTBS had ads on cable in 1976. MSG/USA had ads on cable starting in 1977. CNN had ads on day one in 1980. MTV had ads on day one in 1981.
HBO Go and HBO Now - simultaneously, for some reason
Then HBO Max
Then Max
Now back to HBO Max
How many committee meetings did it take to get this strategy?
It's frankly amazing WB Studio and HBO quality has survived this insanity.
Time-Warner and its incarnations is whatever the opposite of synergy is (the parts are worse because of the whole)
What they find - what they’re designed to find - is more of the same. Which is only “more things I like” in à very, very shortsighted sense.
In the '00s they still had no real ads, only promo spots for mostly other Disney shows on the channel, and the occasional tie-in with some other Disney property. I think today they have some normal ads but I'm not sure.
Unfortunately, I think the best competition to streaming already exists. And it's already owned by a concentrated player.
For example, if indie AI generated content is the next big thing, it probably shows up on YouTube.