NBC: ‘Apple’s got it wrong’

rocr69Broadcaster sings familiar tune about public be damned ‘pricing flexibility'[…] Thanks to rocr69 for providing this nice story on Digg.

What other users say about this:

777twist: I can’t believe I’m going to say this, but I think I may see NBC’ point.

And I’m totally opposed to them bailing on Itunes, I think it’s a dumb move no matter which way you slice it.
But if I’m to really think about it…how much money does the content creators (NBC, etc…) get compared to say the content providers (Apple through Itunes)… I mean, at 2 bucks an episode, I would think the creators are getting a bulk of that money…to the point where Apple may be just getting like 10%. The reason is that without the content the device wouldn’t matter.

But I guess we do sort of have a chicken and an egg situation, because if you didn’t have the device would the portable content be necessary?

Anyway, my point is that I could see where the content creators would be pissed if Apple was getting too much of that 2 bucks. Because lets face it, they are in the market to sell their Ipods, iphones and computers…so it doesn’t make sense for them AT ALL to raise the price.

That all being said… I don’t think a higher price will work. At 2 bucks per episode, you are talking about 44 dollars per TV show season…and that’s more than what the DVD’s would cost when they come out. If I had to pay more than that, I would ONLY buy episodes that I missed for some reason. Actually looking at it, 2 bucks seems too much too… But it’s probably the highest amount I would pay.

wazzadoin: I think people were reacting too much, me included. But now we will be able to watch The Office off of NBC.com.

themadscientist: Dear NBC,

You are Old, Greedy and Stupid.


Almost Everyone

idannyb: NBC-U is reeling under a PR nightmare. Apple’s Press Release (response to NBC-U non-renewal on iTunes) just passed 4,800 diggs with many hundreds of comments running 9 to 1 negative on NBC-U. NBC-U’s subsequent counter-response claims “we never asked to double the wholesale price of our TV shows”
Just for fun, here is a bit of role-play (conjecture) re the recent NBC-U/Apple iTunes contract negotiations:
NBC-U: Here’s the deal Apple, we want to bundle show offerings on iTunes and bump the price-point to $4.99
Apple: But you’re taking hit shows and packaging them with turds. We understand that you’d like more revenue and this is one way to twist the consumer’s arm … but it’s not pro-consumer and will only cause NBC-U’s share of iTunes revenue to drop. Dramatically we might add.
NBC-U: Our pricing model shows this will not hurt our iTunes share. Quite the contrary.
Apple: Who’d you hire to do your modeling?
NBC-U: The Enderle Group and Forrester Research.
Apple: (collective roll of the eyes) Oh I see. Did Enderle and Forrester also consult on your new Hulu.com venture?
NBC-U: Yes … But that’s none of your business.
Apple: Okie dokie … I think we’re getting a better picture now.
Here’s the deal. We’ll offer your proposed bundles … any combo you’d like for that matter … and at any price point … $4.99 or $5.99 or $59.99 for all we care … BUT regardless of any bundled offering you propose, we are adamant that we give consumers a true choice … So iTunes will keep the individual shows at a stand-alone $1.99 per episode. That way the consumer can compare your bundled offering and decided whether they want the package for $4.99 or just the one show they are interested in at $1.99 … Okay, sounds fair and reasonable … Doesn’t it? We’ll let the consumer decide.
NBC-U: Sorry Apple, we don’t see it that way. Our packages are designed to give the consumer an excellent value of content at a discounted … Blah, blah, blah … cough … BS… spin… and more BS. So “No” we will decide how shows are packaged and that means that some shows will NOT be available unless the consumer buys the full package. Hey, you (iTunes) already do this with selected songs on albums. “This song is available only with purchase of the album.”
Apple: Not the same thing … The songs were all part of an original album and by the original artists. You are talking about packing completely different shows tied by some sort of nebulous theme.
NBC-U: Look, you have our position on this matter. You’ve seen our proposed packaging and pricing … were not asking for permission … In fact, we are hereby giving you the requisite 90-day non-renewal notice. As you know we have plans for streaming videos through our own Hulu.com website … we think it’s going to be a compelling offering and so do our distribution partners. Again Apple, we are not asking for your permission.
Apple: You’re gonna get triple-B buzzed.
NBC-U: What’s “triple-B”
Apple: BitTorrent. Boom. Buh-Bye!

chukd: I like the story post but dugg down because you should of used the originial Bloomberg site.

mpancha: You can’t believe what you read on the internet, or what you hear on the news. You take all the information, and deduce.

Personally I think Apple is a bit more to blame for the NBC – Apple fallout. If NBC’s shows are selling like crazy, then you begin to listen to your partner… which isn’t like Apple to do. Apple’s policy is always Apple first, everyone else, consumers included, last. As much as I like Apple’s hardware… if there was another option of equal design (note I did not say quality, I said design), then I’d go that route. But unfortunately, they have what I want, and they end up getting my dollars. Hopefully sometime soon either they will open their eyes a bit, or I’ll have another option.

Mships: I made my living making synth sounds (www.Pro-Rec.com) most of my life. My basic policy / outlook was simple: I want as many people as possible to enjoy and benefit from using my sounds. I obviously loathe and discourage copying. The main thing is to make sure that I never lose a potential sale from copying. There will always be people who are going to copy. That’s pretty much the norm in software sales. The point being, the main thing is to focus on sales you might have lost, rather than on frustration generated by the fact people copy. Those people were never going to pay anyway. The RIAA seems to be just another backward organization, like the strange PC kooks who predicted apple’s total demise just from launching the iPhone, as if that were even possible… So the war continues among people who make sense, and backward people who always point the gun in the wrong way, at the wrong target and insist loudly that everyone else is wrong. The thing about music is we want to create and enhance the VIBE. When people are worried about being sued and petty $3,000 suits against college kids who simply downloaded a track listened once and did it anyway on a lark. There really is no upside, so I suppose that’s why they go in that direction, only reaffirming their backwardness and inability to hone in on anything that actually created something of value, or makes a genuine impact. They’re just asserting their dominion over a shrinking industry that lacks the kind of talent and supergroups that made the industry in the first place, focusing on the petty rather than really building something and creating songs that we hear playing everywhere, out of car windows in passing, that are so popular we can’t escape that people are motivated to buy simple to have then now. Cribs and other pimp daddy home shows show that a lot of rappers get paid but often don’t create anything groundbreaking, same with many vocal groups. It bedazzles me to wonder why some artists don’t receive even basic criticism to correct faults that really don’t become top level artists, but apparently pass, these days.

cambrown99: How to destroy your business:
Step 1. Obtain gun.
Step 2: Aim gun at foot.
Step 3: Shoot yourself in the foot.
Step 4: Repeat.

Mships: It’s just sad how much PARSING there is going on. Clever use of words to obsure genuine meaning, the absences are telling, yet not enough that we can determine anything. See a pattern, anybody? Why has life devolved in this way? Theories, anybody? People are proud of their creative obfuscating and artful dodging. Most of those people reveal they aren’t creating or contributing anything of genuine value to society. The genuine person really wants to tell the truth, cause it works to their advantage, reflecting the quality of their character. Perhaps there would be a way to immediately gong people who are obviously “tricky,” especially, say, the white house press secretaries? They seem, proud, even gloating at their success at withholding from those who pay their salaries, our country. It’s a strange time in history, one worth examining, half of the world, apparently run by ZOMBIES.

Macgyrl64: Go Steve Go!!!

brilliantdays: Well, NBC is behaving like dinosaurs. Old, old dinosaurs. And I’m sick and tired of being told that I’m a criminal. Let me buy the stuff, and I’ll buy it! The management of NBC is behaving like they are 80 years old. I still can’t buy ANY NBC content legally in Europe? What’s the matters with you guys? You don’t want customers????

Somebody should get fired…

HairyPoter: Let me see if I got it right… That guy in Russia was selling (read my lips, I said SELLING), cheap music illegally and built himself an empire of music selling in eastern europe. The assholes of RIAA and other crap, moved heavens and hells to shut down the guy. So, if the guy was SELLING and not distributing for free and was successful, he is a proof that music can sell online and has a big potential, so, when will those assholes realize they can sell if they turn down the prices? instead of hunting pirates and guys sharing music. These guys are hopeless.

mnewhook: What piracy of tv shows anyway? I’m willing to bet most of the downloaders already pay for NBC content in one way or another through the regular TV networks. I know I do.

Gir9000: Apples response to NBC is justified. If the content is to expensive then no one is going to buy it… why even offer it.

Also did i get a hint of NBC wanting a cut of iPod sales?
NBC: “[W]e asked Apple to take concrete steps to protect content from piracy, since it is estimated that the typical iPod contains a significant amount of illegally downloaded material”

Good for Apple for not even blinking and sticking to their guns… NBC is going to loose revenue because of this.

swazo: fuck nbc.

its apparent now they don’t give a shit about their consumer base.


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