HBO is the prime brand in PayTV in the USA, and present in many other parts of the world. HBO has decided to go OTT, potentially bypassing its distributin through conventional TV distribution channels.
Is this the end for conventional TV: major Pay content bypassiong traditional distribution: hardly.Of course HBO won’t shoot themselves in the foot by competing with themselves. But they can put the squeeze on the conventional TV businesses. But primarily it is aimed at the cord-cutters; presenting them with OTT access to HBO. It also shows the growing power of content over distribution a sdistribution is less and less the bottleneck in the chain.
The article presents a nice insight into password sharing: used extensively on HBO Go. Sounds like a way to make the service popular without downpricing it before making it more difficult to use. Maybe there will be a 2nd tier offer to keep the sharers on board: it difficult to imagine cord currents paying high premium prices.
Analyst: HBO stand-alone changes landscape | Advanced Television.