Why IPTV is bad for the customer
IPTV has been making a lot of news lately with Verizon FiOS being one of the fastest available connections in the US and AT&T subscribing customers like rabbits make babies in spring. But I was thinking about IPTV and why it may not be the best thing for the consumer after all. Just to be clear I am talking about real IPTV and not Hulu, Netflix streaming etc. The IPTV I am talking about is the service you pay for that replaces your traditional satellite and cable connections for viewing TV. Here are a few things you may want to think about before you go ahead and sign up for a IP based TV service.
1. Proprietary set top boxes with a proprietary signal
Unlike “normal” cable and satellite boxes there is no standard for how the content is delivered to your house. Cable uses ATSC/NTSC/QAM etc. and if you didn’t want to use their cable box you can most likely plug your TV right into the wall and pick up at the very least the basic local channels and in my experience most basic cable channels too. Satellite is a bit more of a pickle but they are still regulated by FCC to at least give you a firewire connection upon request so you can use the signal however you want. For the less adventurous you can even buy a Tivo with cable card support and just use that in most cases. IPTV on the other hand uses whatever the provider sees as the best for their needs. Short of a HD PVR from Hauppauge I don’t know if there is any other way to use a separate PVR than what your provider gave you. And if you don’t like it…tough.
2. Bandwidth, bandwidth, bandwidth
How many times have you been angry at your provider for their less than stellar service? I recently upped my internet package up to the fastest my provider can give me and only then did I start to not complain. I still find times that slow down and I just have to make sure I kill any downloads if I am trying to watch Hulu on my TV through Boxee. But what happens when you are always using your internet connection to steam your TV. I guarantee you that video is no small package to send down any pipe. Sure there is a good amount of QOS managing things but I will never accept that you will be able to watch 3+ HD shows in your home and not see your ping go up when a boomer slimes you and your partners in Left 4 Dead and the zombie hoard closes in. And if you think 3+ HD shows is absurd just wait 2 years and come read this again. With cell phones and PSP’s creeping closer to HD resolution I think if you arn’t recording the show you will be watching it on something (even if it is a HD YouTube video). My only question is if TV will be the place that has the most compelling HD content in 2 years.
3. Router choices?
Have you seen the monstrosity box that FiOS installs? Not even including the boxes they have to install in your garage just to get the service into your house. I know you need these things for the connection, but what ever happened to just having a modem you connect your own choice of router to? I bet the first thing “tech” support is going to have you do is disconnect your “non-supported” router and make you use their p.o.s. while they trouble-shoot why your WoW ping is 8 quadrillion. Cable and DSL stop at the modem and that is how I think it should be. I don’t want to use AT&T’s bargain bin wireless chip to stream my HDHR to my kitchen. As a matter of fact, I don’t even want that box taking up a two foot spot on my rack. But without it, there is no service so I can’t get around it.
4. Bundle deals on TV and internet
Ever try to get the U-Verse internet speeds without getting the TV service? How long did it take before the representative on the phone said they had to be sold together? I hope they didn’t keep you on hold for long while they played solitaire. I know Verizon is a bit different and they have select areas that only have the internet service and not TV but everywhere I have check with AT&T it is all or nothing only.
5. Single outage = total outage
In the summer of 2008 my internet connection was down for about a week. My basic cable worked plugged directly into my TV but my modem and set top box would never connect to Time Warner like it was supposed to. I would call every day after work to see what the hold up was and every day they would tell me they are working on the problem. Turn out the outage only lasted about 6 hours but the customer support didn’t read the notes that the problem was fixed and send the updated signal to my modem. I can’t even image going a week without internet or TV. I do have a decent queue of TV shows downloaded and there is always Netflix but I would not be a happy camper with no connection when I got home.
Let me know what you think about IPTV and if you really think it is the right move for the consumer.
You can make most of the arguments above against VoIP, yet VoIP is a much more convenient and more economical than landline phones.
I’m not saying your arguments don’t have merit, but most of them can be solved. Most VoIP today uses SIP (Session Initiation Protocol) standard. One can see when IPTV gets enough traction in the future, there will be demand for a a standard and it will be created.
Bandwidth is also a temporary issue. Of course in rural areas, it’s going to be a much longer issue, but in most major cities, bandwidth is expected to increase rapidly. Just a few years ago, we were stuck in the 1-2Mbps. Nowadays, most major cities are capable of supporting up to 15-20Mbps.
I don’t any much experience with FiOS nor their router box (besides knowing they provide you with one), but it sounds more like an issue with their equipment and policy, more than an argument against IPTV. Certainly they don’t need to bundle a router or give you large equipment.
You’re single point of outage does raise a good point. I mean I’ve always considered getting a slower/cheaper backup plan in case my regular cable internet service went down, but in regards to your remark, it’s not really something against IPTV. If your cable TV signal went down, it’s also a single point of failure. Also, I believe many are stuck in the way TV should work, meaning TV shows are scheduled at particular times and if you miss it or forget to record it, too bad. With the introduction of Hulu and other similar services, it has shown that TV CAN be delivered in a more friendly way. Watch TV on my schedule, not the broadcasters.
Then there’s competition, no longer will you have to be stuck with a cable monopoly in your area. How many cities do you know that actually have more than 1 way to get non-OTA (over the air) TV.
Just my 2 cents.
Thanks for the comment. You make a good point about VoIP. I remember when everyone said the quality would be horrible and it would never work. I think the main thing that drove VoIP though was the price. You could call anyone in the world for a flat rate, and that flat rate was still $20-30 cheaper than most basic local calling plans. While FiOS internet service is relatively cheap where I am (~$30) the TV service is still >$40 which doesn’t make it stand out at all compared to other service providers in my area (southern California)
My experience when my cable went out was more to show that the satellite/cable method of getting your home entertainment is probably the better way to go. But that isn’t IPTV specific, that is more just saying you shouldn’t put all your entertainment needs in the hands of one provider.
I didn’t write this article cause I hate IPTV. I wrote it because I wanted people to think about IPTV and what you are actually getting when you sign up for it.
I actually already have a draft for a future post on things IPTV providers can do to rock the rest of the home entertainment providers out of business. Sorta how Vonage is killing land line phones from Time Warner and AT&T with just a lower price.
My whole concern with IPTV is, like you said, bandwidth. I still can’t see it happeneing any time soon. If I were to get IPTV I would want to be able to watch a full 1080i/p with 7.1 audio with NO blips, artifacts, or any kind of signal degredation. And right now, I don’t think our bandwidth is up to the task. This is also why I think everyone who says blu-ray will fail because of online streaming is wrong. Out available speeds here in America are just not up to it as of yet. Oh and that would be on just 1 TV too. What if I wanted to watch that same setup on multiple TV’s? I don’t see it happening.