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SWORDF1SH said:
MoHasanie said:
RenCutypoison said:
MoHasanie said:
The TV industry is suffering from netflix, hulu, and people recording shows on their DVR. People just aren't watching TV live anymore. The X1 actually promotes live TV viewing, so I guess MS deserves the award.


Is this sarcasm ? Please be sarcasm =(

 

OT best technology and engineering in a VCR ever

Its not sarcasm. The TV industry relies on advertising revenue. Advertising rates are based on the size of the audience watching a show live. Renewal and cancellation decisions are based on the size of the live audience + those that watch the show on their DVR within 3 days. 


Don't Netflix and other film/TV streaming app pay those TV companies money to stream their shows/films? Don't those companies also have to come to some sort of financial agreement in which the company allows them to stream thier content?

You are making it sound that TV is being strangled when that is far from the truth. The quality of TV hasn't changed over the years. Live audiences might have been lowered but so would of the viewing targets for it to get commisioned. They will have some formula that works out from the viewing figures how much money they will get from DVD, streaming etc.

Lower live viewing figure hasn't effected TV but rather the they way they predict how much revenue they pull in.

Many people have this misconception of TV ratings. 

There are 2 cases for TV shows. One where the TV network airs the show and also owns the studio producing the show. The second case is where the network airs the show but pays a studio to produce a show. In the first case, all revenue from DVD sales, Netflix, syndication etc. goes to the owners of the studio who are also owners of the channel airing the show. In the second case however, the channel airing the show only makes money from advertising revenue from the show's live airings and any repeats. So ideally every network would want to produce their own shows but this is not the case.  

Also advertising revenue from a TV show makes the vast majority of revenue for networks (even those that own the studio producing the show), so that is why live ratings are so important. 



    

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