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Mark Cuban – HDnet Chairman & Co-Founder May 27, 2009

Posted by stewsutton in D7 All Things Digital.
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mark-cubanWhere is the consumer electronics money being spent today?

We don’t care or know when new PC’s are coming out?

When are the new TV’s coming out – how much are they? When can I put one in my living room? Is the resolution getting better in the next model?

Internet video is where Mark Cuban got his start… Internet Video has come a long way (from the 10-years ago experience of Broadcast.com)  Mark was lucky enough to make billions on Internet video during the Web 1.0 bubble, and smart enough to cash out before it burst.

Anybody can create and distribute for close to FREE.  There is no limit to the cost of how much people will spend to market content – that is the thing will differentiate content that generates revenue.

Without the HUGE subsidy to the Internet provided by Advertisement (channeled by companies like Google) we would NOT have Internet video, photo sharing, etc.  Even the social services like Facebook and others would need to radically change their business models.

Moving from the docsis std to the current Java-based application client architecture that we see inside the current cable boxes gives rise to the concepts of Yahoo widgets that can sit inside your cable box and that you can interact with from your hidef TV in your living room.

Where is TV going?

TV can be defined in many different ways.  Cable TV is alive and well because they have a foundation of subscriber fees.

The Internet now is a simple utility.  Twitter is as simple as it gets.  Facebook is just an evolution of what was there before.  We are at the stage where there are no “revolutionary” new applications but instead “evolutionary” applications.  Where the action is now is on the mobile platform.  The movement of these applications with the sort of interfaces that need to be formulated is moving to iPhone, GPhone, Blackberry, Nokia N97, etc.

When can I buy something that is really “random access” when I can pick the show I want to see at EXACTLY the time I want to watch it?

Don’t be looking at the “same spot” (not the Internet) -If everybody is looking at the Internet, look in a different location to innovate.

Yahoo, Google, MySpace, Facebook, etc. – all are 1-hit wonders living off their gravy train.

Infinite bandwidth (or the appearance of that) is the online equivilent of the Internet Buffet. One fat kid at the front of the buffet line is OK but a whole family of fat kids is going to mess it up for everyone.  So the pricing for content is not properly tied to the consumption of that (bandwidth) resource.

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