Robert Cringely writes:
The poster child for television 2.0, it seems to me, is a company like Grid Networks, which might be a new name to you. Like Bit Torrent, Grid has built a peer-to-peer distribution system. Like Mike Homer’s Kontiki, Grid has married Digital Rights Management and a business model of sorts to its Torrent-like distribution system. But unlike most of the others, Grid (no, I am not an investor but thanks for asking) most approximates what my Mom thinks of as TV.
Kontiki has been around for a long time, and are definitely first mover in the market. They adopted a subscription model (RSS+P2P=Video), but for that the videos have to be downloaded in entirety, and there really is no “browse, click, watch” functionality in their system (at least yet). It is certainly better than waiting 2 days for NetFlix at the mail box, but it’s just not quite user friendly enough in my opinion.
Grid’s system, on the other hand, accomplishes two things from the end-user perspective: it is point, click and watch; and it is very very high quality. Using p2p, they can afford to send 1.5Mbps – 2Mbps video over their network because it costs the same as sending 150Kbps-200Kbps video. I was shocked by the video quality, watching a DVD-quality movie at Starbucks on my notebook computer with virtually no waiting.