|
While some film studios may be hesitating at the edge of the video-on-demand pool, other video content providers are jumping in.
That includes A&E Networks, which oversees the A&E Channel, Biography Channel and the History Channel. Having already developed a prosperous home video distribution business, A&E recently signed a deal with Internet-based VOD provider Intertainer to provide its programming library beginning in February.
"We recognize that VOD right now-especially with the content for the basic services-is really in its infancy," says David Zagin, senior vice president of affiliate sales for A&E Networks. "We're looking for this as a play right now that, we don't expect great returns initially but we do think as VOD is deployed throughout the industry on a much greater basis that it provides revenue opportunities for us."
Zagin admits there remains some trepidation among content developers about the new technology. "This industry is in its infancy, and nobody knows the direction that it is going to go," he says. "We developed this partnership with Intertainer, and quite frankly are very confident we are going to be working with other VOD providers as well, because we thought this was an excellent way to take our brand and expand the distribution of it. (But) none of us can sit here today and know which direction VOD is going to take."
Despite the uncertainty, Zagin says A&E also is looking at deals with other providers. "We're excited about our relationship that we've developed with Intertainer - we think it is going to be terrific for us," he says. "But it will not be an exclusive arrangement with Intertainer. This platform certainly has a long way to go, and we certainly want to partner with as many companies as we can to make it a successful business."
Then there's AtomFilms, the leading online short-format film distributor. It recently signed a distribution pact with iN DEMAND to distribute popular shorts from its 1,500-title library to the pay-per-view provider's fledgling cable VOD service beginning in March. That includes individual works such as "Waiting for Woody," "Stalker Guilt Syndrome" and "Love Child" as well as compilation packages such as "Definitely Not Hollywood" and "Paranoia."
Brian Burke, Atom's director of new business development, said that from the start the online film portal's strategy included VOD. "We own the rights to all distribution channels for our content," Burke says. "When we started this company, we right away acknowledged that video-on-demand was one place where we wanted to have our content, so we specifically acquired those rights."
It also isn't much of a stretch for AtomFilms, which essentially operates an Internet video-on-demand service now. Adding the cable distribution via iN DEMAND puts emerging short-form entertainment in front of more eyeballs.
"We have always commitment to promote short-form entertainment, and we are always exploring new distribution partners while providing our filmmakers incredible exposure and visibility," Burke says. "We see the video-on-demand platform itself and the distribution channels as an emerging technology that we hope will be a standard in the future."
As such, it is important for AtomFilms to gain a foothold even if VOD distribution is limited right now. Burke says this will not be the last deal AtomFilms signs for extended distribution. "The video-on-demand experience I believe is a next-stage platform for how people are going to experience and personalize their entertainment experiences," he says. For Burke, the recent deal between Blockbuster Inc. and Enron Corp. to create a VOD delivery service is a good sign, and "I think it will take a while to roll out, but it sends a strong signal that people are investing in this platform and Atom wants to be a player."
"This is going to take time, but it is an investment for the future," he adds. The past two years of VOD adoption have been fairly slow "but things like this catch on. Our thought is that it is a new distribution channel for us. We hope that it will be a solid distribution channel."
|
