Stop Defending Old Business Models
Posted on May 20th, 2008 in Digital Living |

Here it is, direct from the horse’s mouth, a message from News Corps. President Peter Chernin telling cable companies (and media companies) to stop their obstructionist ways. Watch the video on AdAge Whether every day individuals realize it or not, we do control the marketplace and it’s beginning to show.
I’m sure I’ve already harped on the fact that Alaska’s communication and entertainment businesses don’t “get it”. The fact that News Corp.’s president is outright telling the cable companies that they’re toast only further solidifies my opinion and belief that GCI, ACS, MTA and even AT&T need to be more nimble and responsive to the consumer.
Sure, GCI has a monopoly on the cable TV business here in Alaska, who cares. While cable has its place, the demand for content when and where I want it - is directly in opposition to the current cable TV model. While the big media companies struggle with DRM (digital rights management), union contracts, licensing and all the other clutter that comes with the megacorps - the rest of us have already moved on. People will find more entertaining things to watch or listen to via a podcast or some other video sharing site. Beside that, all TV has to offer us today is American Gladiator and Dancing with the Stars which can’t be terribly profitable (and it’s certainly not innovative).
I can’t reiterate enough how all our Alaska companies need to wake up and smell the Internet. Selling long distance, cable TV and local phone service is a losing game. Give us the $100 bundle with unlimited cellular minutes and at least 5 Mbps broadband connection with no usage restrictions. Bingo!
While researching and cruising the Internets I came across this nugget. Maybe GCI has been innovating and I missed it! It seems they are now in the T-Shirt business. I can’t imagine that selling T-shirts is really that lucrative, but then again, what do I know?

C’mon GCI, get serious. I know it sounds like I’m always bashing GCI, but this is just plain stupid. This cutesy marketing ploy of a dude wearing underwear over his jeans has most people annoyed - not interested. And… don’t even get me started on the Yellow Pages.
Enough said. The point is, even inside the “industry” the call is going out to innovate or die. I couldn’t agree more.
/KK
