Feeds

Optus CEO: Our ads pay for TV, so let TV Now live

Veiled threat or novel argument?

The Essential Guide to IT Transformation

Broadcasters should support, rather than opposing, Optus’ TV Now service, the carrier’s CEO believes, because Optus is a major TV advertiser.

The company has apparently taken AFL boss Andrew Demetriou’s advice to “think very carefully" about challenging the company’s April TV Now loss in in the Federal Court, and decided it’s worth a shot.

However, explaining the decision to the Australian Broadcasting Corporation’s television news yesterday (11 May), CEO Paul O’Sullivan advanced a novel argument: Optus, as an entity that spends around A$30m a year on commercial TV advertising already helps fund television sport broadcasts, and that its customers should not have to “pay twice” to watch sports.

“That advertising funds free-to-air broadcasts and, from our point of view, our technology is merely allowing Australians to record these free-to-air broadcasts to watch them at a more convenient time,” he said, in what sounds to El Reg like it’s also a veiled threat about its advertising spend.

Returning to a line more likely to play in a High Court appeal, he added that the service is “really just a modern version of the video recorder” – albeit one that can record and replay almost simultaneously, can stream to four different formats, and lives in a big server farm.

When sued by the Australian Football League and Australian Rugby League (with the support of Telstra, which had paid more than $150 million for exclusive rights to rebroadcast matches to mobiles), Optus had first won in the Federal Court, and then lost on appeal. Its first hurdle will be to get the High Court to accept that there are grounds for an appeal. ®

Boost IT visibility and business value

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.