There was quite a disagreement at an OMMA video panel talking about end-user control of the video experience.
The comment by Karin Gilford, vice president and general manager, Yahoo Entertainment underscores the problem with web video at this time. She said that the major problem with online video growth for media companies was "Not being [platform] network agnostic."
Depending on which media company you're talking to, the reason why her comments are a problem is because they're not proven or true in some cases.
Take Fox Interactive Media (NWS-A) for example. They're having fantastic growth that Ron Berryman, senior vice president and general manager, Television Stations, said is over 100 percent a quarter.
Another example is Disney (DIS) which has done really good also. Rick Mandler, vice president, Digital Media Advertising, Disney-ABC Television Group said, "We want to syndicate our player. We want a consistent player experience." Mandler added that the company streamed 107 million full-length shows since the middle of last September.
The point is that many people are wanting to create the world they want with online video, in spite of the fact that major media companies are finding ways to make money in a big way online with their video.
What's different here than say with the music industry is people are immediately gravitating toward the professional content offered by traditional media companies, and are willing to view commercials in the process. It hasn't been proven that the end-user control will impact professional video the way it has user-generated video.
I would stay on course with the professional media if I was running the company operations as well. I've said it here a number of times that online video is in its infancy, and nothing has been proven or worked out in any way at this time; especially with professional video.
The introduction of the upcoming News Corp./NBC Universal video site will be a big test to see how consumers respond to it. Disney and Fox have already shown that millions are willing to consume their products as they're doing it.
This doesn't mean that it won't change sometime in the future, but that has yet to be proven whether it will need to be or not. It's way too early to tell the best direction to take long-term. At this time the big media companies have something that is working great and consumers are responding to.
They're also montizing it in a way that YouTube and others haven't been able to. They have a business model that works. To change it because someone else in the industry wants them to doesn't make any business sense yet. It's growing great, and they have time to look over the online video landscape while they continue doing what they're doing now.
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