In the digital era, television is a constantly evolving business. Television networks are, in some sense, in a forced change-or-die situation. Certainly, the old model of TV production, advertising, and distribution are no longer relevant or sustainable.
But major television companies around the globe aren’t willing to be left in the dust. Over the length of the 20th century, the entertainment industry and the infrastructure of telephones, television, and the internet became intertwined and interdependent.
Cable companies did not climb to the top by ignoring trends. As reluctant as they may be to give up their veritable oligarchy over television content, they recognize the necessity to change, and are trying to co-opt the movement towards streaming to the greatest extent possible.
One way to do this is to bundle Netflix and cable options, thereby treating Netflix as a premium cable channel of sorts, much like HBO.
The UK-based telecom company British Telecommunications is hip to this trend. BT is offering a deal for new subscribers. The UK company’s new cable bundle comes with all their basic amenities, with one added bonus – it includes a Netflix subscription.
But at its core, it’s a win for both companies. Netflix is winning more subscribers and getting more eyeballs on its content, and BT is co-opting the latest and greatest in streaming technology to attract and keep customers.
It’s an interesting approach, a new “both…and” approach to replace the “either/or” model that pits cable and Netflix as mortal enemies destined to fight to the death for the soul of entertainment.
This is the first such major test case for this approach. It’s an attractive deal, although users may be turned off by the price increases later down the road. In the United States, Netflix and Verizon have teamed up for a limited trial of a similar deal, only available in New York state. If it works, this may be a common thing to be expected farther down the road.
Everybody loves to say that Netflix and cable are bitter enemies. The fact is, both remain heavily invested in each other. You can also enjoy free premium accounts via downloading the Netflix MOD APK in your mobile (Android & iOs)
TV studios make millions selling syndication rights to Netflix, and Netflix spends the money because it hooks in new subscribers. As antagonistic as it may be, the relationship is still mutually supportive. Each needs the other to function, as is so often the case.
Netflix, of course, would like a greater degree of independence from television. That’s why they’re working on producing their content in-house, from original TV shows to major movie deals. But to the greatest extent possible, Netflix would love to continue to straddle the line between “premium TV” and “TV substitute.”