Today’s Wall Street Journal has important implications for a la carte entertainment solutions and consumers.
“Dish Network Corp. DISH -0.18% Chairman Charlie Ergen said a new ad-skipping feature that has infuriated major broadcast TV networks is a “competitively necessary” response to the explosion of cheap Internet video. That Web video threatens the pay-TV ecosystem, he added, and it is partly caused by the TV networks themselves.”
WASHINGTON—The Justice Department is conducting a wide-ranging antitrust investigation into whether cable companies are acting improperly to quash nascent competition from online video, according to people familiar with the matter.”
Clearly, entertainment distributors are facing Clay Christiansen’s “Innovators Dilemma”. Their strategic responses will remake the landscape of media economics for net video consumers.