Satellite TV and VOD: Putting Viewers in Control

Video on Demand (VOD) systems are revolutionizingto tape shows/movies even while watching another
home television viewing for consumers. Such systemspre-recorded show. Recorded content of course, can
personalize the viewing experience by allowing usersbe copied onto videotape or DVD for archiving if
to create their own schedule of their favorite moviesdesired. Other features include the ability to pause,
and programming, freeing them from schedulesrewind, and fast forward live TV programming. The
created by networks and channels. The most recentDish Network DVR allows the viewer to skip
JD Power & Associates survey however,commercials by selecting a 30 second "skip" option or
indicates that consumer use of VOD has not yetto instantly replay scenes by selecting a 10 second
reached its current capacity, as only 21% of viewers"skip back" option. In addition, the DVR gives viewers
indicated that they had ordered a VOD service inan on screen program guide complete with program
2005. Lack of awareness about the benefits anddescriptions, times, and titles.
availability of Video on Demand and perhapsDVR equipment is approximately the size of a VHS
consumer comfort with the concept are possiblerecorder and prices average from $450-$750
factors in the limited use of this technology.although some cable and satellite companies offer the
Video on Demand systems can be offered viaequipment at no additional charge when initiating
"streaming" or download to a digital video recorder.services. The Dish Network service, for instance,
Streaming takes up a tremendous amount ofoffers their DVR free with their programming
bandwidth and is most often used by cablepackages and offer the DVR/VOD type service free
companies. Downloading to DVR is more commonlywith their America's Everything Package. Other Dish
offered via satellite television. Both systems allowNetwork packages offer the DVR/VOD service for
users to choose when to watch selected$5.98 per month.
programming so that a racing fan in Illinois forClearly the necessary technology and equipment for
instance, doesn't have to get up at 4:00 a.m. to viewvideo on demand is readily available in the US and the
a race being broadcast from Japan.benefits for home viewers seem impressive,
A digital video recorder (DVR) may also be referredhowever, are all viewers ready for this service?
to as personal video recorder (PVR). These devicesPerhaps not quite yet for some but that is expected
encode video data in MPEG format and store theto change quickly. For younger consumers who grew
data on hard drive. A digital video recorder offers aup playing videogames and attaching mobile devices
number of advantages to the consumer giving themto their bodies, the concept of pushing buttons and
greater control over their television viewing. First andtaking control over their entertainment, their
foremost, it allows users to record live TV shows tointeractions, and so forth is an expectation not just
hard disk in digital format; no tapes required.an option. As all Americans become more
The DVR offered by Dish Network, for instance hastechnologically savvy VOD services will begin to
a 120 gigabyte hard drive capable of recording 100realize their full potential.
hours of programming in digital quality. It allows users