Google Threatens Future of TV Operators, Distributors

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Google is preparing to launch an online television, according to mainstream media sources. The company is reported to try to offer traditional programming to web users with it.

The Wall Street Journal informed that the technology giant is not simply working on the service, but it even gearing up to release it. Insiders share that Google is currently discussing licensing matters with a number of media companies.

Although there is not much information on the topic, it is known that Google’s Internet TV service will stream television programming which is also showed by regular pay-TV operators. In addition, the WSJ even claims that the company has already demonstrated its service to a limited number of people. Despite that Google, refused to make comments on the news.

This isn’t the first time in which the company is attempting to enter the TV field. About two years ago, Google was preparing to launch a different TV platform. However, the service never saw realization because the media companies refused to make an agreement with the giant.

Nevertheless, today things are different. The market is transformed and paid web TV services may actually be a good formula. That is proved by the fact that many other technology companies are also developing similar services, including Apple, Sony and Intel.

The big question here is how will these platforms encourage users to make the switch from traditional TV to online stream TV. Both services will offer the same channels and channel packages. According to experts cited by the WSJ, however, unlike TV operators, technology companies have the resources and the ability to create interface and features.

Online video platforms have been around for some time. Websites like Hulu and Netflix enjoy great popularity today. However, they support Internet video players. Now, the trend is moving to conventional channels provided by services that offer a cable-like experience.

But would happen if these platforms manage to impress consumers? Well, pay-TV operators will be in great trouble. They will need to compete with web services, which will almost certainly enjoy a large financing.

However, it is too early to rush in conclusions and predictions. Media companies may actually refuse to give license to technology giants, including Google. That is because they may choose to stick to their lucrative deals with distributors.

The rumoured online TV service is probably part of Google’s strategy to increase its online video and TV presence. The company has created a software called Google TV, which can be installed on cable TV set top boxes. Also, the company launches a Google Fiber cable service in Kansas, US and original programming on YouTube.

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