1. The Internet, Web Audio and Web Video
Chapter 6

2. The basics
• How would you define the Internet?
• Biggest use: interpersonal communication
• Effects on other electronic media: music and movie industries,
television and radio
• Effects on entertainment: video sharing, gaming and social networks
• Effects on news
• Effects on promotion and marketing
• Mobile Internet

3. Effects on other media
• File sharing services
• iPods
• iTunes music store, a la cart
purchasing model
• Decline in CD sales has led
record companies to change
their business model

4. Effects on other media
• MPAA estimates more than $5M
lost annually due to piracy
• Netflix: more consumers are using
streaming services
• TV: 8% of people regularly tune in
to programs online only
• Radio: Internet radio/streaming
services compete for the at-work
audience

5. Effects on
entertainment
• Recent research has shown people
relying on social networks for diversion
rather than the entertainment industry
• Americans spend an average of 3-4
hours a day on the Internet
• Video games: MMORPGs, motion-
sensor systems (Wii, Kinect), online live
gaming (XBOX Live)
• Trend: multitasking social media during
other entertainment, e.g. Tweeting from
a concert, on Facebook while watching
TV

6. Effects on news
• More than 60% of Americans get
their news online (Pew 2011)
• Viewership of traditional TV news is
down, cable news is up
• Traditional news outlets have
devoted more resources to their
web presence
• Social media has become part of
the reporting landscape (breaking
news on Twitter and Facebook)
• Reliance on citizen reporters
• Blogs

7. Effects on Promotion
and Marketing
• Cross-promotion
• Glee: TV show, website,
apps, concert tour, DVD
sales, downloads
• News and Radio: available
for podcast

8. The Mobile Internet
• More than 20 million laptop
computers in the US; more
than 50 million cell phones
connecting to the Internet
• Tablet computers represented
10% of all computer purchases
in 2011
• Pew Research Center predicts
by 2020 mobile devices will be
the primary tool worldwide for
connecting to the Internet

9. The Mobile Internet
• What are people doing?
• Looking for news and info,
play games, watch videos,
check Facebook, Twitter,
trade stocks, access bank
information, check out movie
times
• Future of mobile TV: many TV
channels have apps,
HuluPlus, MobiTV, etc.

10. Audio & Video on the
Web
• Teletext was a type of early
information service
• Ceefax was developed in Britain in
1973, used TV for content delivery
• 1970s: newspaper companies
tried to develop videotex, using
the telephone
• Minitel was developed in 1980, a
videotext system using telephone
terminals

11. • The U.S. Government
developed ARPANET, but
access was limited to those
with proper military clearance
• 1978, William Von Meister
started a home computer
information service called The
Source
• Eventually AOL and
Compuserve would take the
lead as home service providers
came about in the 1990s

12. • Post 2000, AV changed on the
web with the advent of new
codecs (MP3), the growing
availability of DSL speeds,
and media players
(RealAudio, Windows Media
Player, iTunes)
• College radio stations were
among the first to start
experimenting with online
stations
• Podcasting: the idea of
sending personalized
syndicated broadcasting right
to a person's MP3 player

13. • Streaming was the key to
growth for internet video
• Streaming vs. downloading?
• In 2004 the "Numa Numa"
video was viewed more than
2 million times in three
months, making it the first
"viral video"
• YouTube debuted in 2005

14. • Established media companies
recognized the potential of web
video: CNN started Pipeline, ABC
offered episodes of their shows,
ESPN added video
• The rise of internet stars:
Lonleygirl15 (later revealed to be
fictitious, film making project meant
to exploit "going viral")
• Hulu
• Streaming boxes & internet ready
TVs

15. Types of Online Radio
Stations
• Online stations that are
affiliated with a broadcast
station
• Aggregators
• Choice-based sites
• Format-specific, internet only
stations

16. Online Radio Examples
• Affiliates of broadcast stations:
usually offer live stream,
podcasted content, cross-
promotion with station events
• Aggregators: Sites that link to
thousands of stations
• Choice-based: allows users to
program their own stations
• Format-specific Internet stations:
play narrowly focused genres of
music (example: batanga.com)

17. Monetizing Online
Radio
• Online radio makes money
by selling advertising space,
user subscription fees (or a
combo of both), or from
direct selling.
• They also sell email lists of
subscribers to third parties
• Types of ads include banner
ads on a site, audio ads as
part of the stream

18. Audiences and Content
• More than 60 billion people
listen to internet radio at
least once a week
• 80% listen to the internet
counterpart of a terrestrial
station
• Those listening to AM/FM
streams are listening longer
than online only listeners (2.5
hrs/day -> 1.4 hrs/day)

19. Types of Online Video
• Most online sites fall into four main
categories:
• Commercial video: Netflix, Hulu, CBS.com
• Video-sharing sites: YouTube, Vimeo
• Corporate Video sites: for the purposes of
training and orientation, sales and
marketing, public relations. Example: GCC
VNR
• Microcasting sites: streams targeted
toward a very specific audience. Example:
Viva Las Vegas Weddings

20. Monetizing Online
Video
• Advertising, subscription
fees
• Subscription model: viewer
pays a fee, is allowed
access to a program (Netflix,
iTunes, MLB.TV)
• Ad supported: Online
receives only 6% of total
advertising revenue

21. The Future of Online
Audio and Video
• There will be MORE of it (as cameras
become more ubiquitous, software is
easier)
• It will become easier to find (advanced
search and cataloging techniques)
• Much of it will come with a price tag
(per episode fees, subscriptions,
apps)
• Much TV viewing will be done via the
Internet (move to an “on-demand”
model)
• Internet radio will be the preferred
method of listening in the workplace