Cynopsis: DIGITAL
04/26/10

Good morning, it’s Monday, April 26, 2010, and this is your first early morning digital briefing.

Windowing is clearly emerging for the rental video market – you have go to Blockbuster (and pay extra) for new releases but you can watch them for cheaper via Redbox or Netflix if you’re willing to wait a month. Just in time for the release of Avatar, Redbox has reached long-term agreements with 20th Century Fox and Universal Studios to make DVD and Blu-ray titles available via their 21,000+ $1/day kiosks, 28 days after the studios’ home video releases. The deal mirrors the one struck with Warner Bros. earlier this year. As part of the agreement, which will also bring an end to the long-standing lawsuits between the start-up and the studios, Redbox has agreed to destroy DVDs and Blu-ray discs following their lifespan in the rental kiosks.
 

 
HD on demand movie service Vudu, acquired by Wal-Mart last month, is hoping the release of 20th Century Fox’s Avatar will help drive interest in its new “HDX” video format. The movie downloads in HD (also available via Sony’s PlayStation network) for $24.99 with promotional materials not typically available in a download, according to a Vudu blog post. (Fox has made it clear that the materials are available elsewhere on the web and are not to be confused with DVD extras.) Vudu began to move away from its set-top-based business early this year to transition to a licensing and app platform model.
 

 
Twitter has acquired the start-up Cloudhopper, a web infrastructure company that manages large-scale text or short media messaging campaigns around the world. Because of its 140-character-or-less format, Twitter has become one of the world’s leading generators of SMS messages, generating close to a million SMS tweets per month, according to the company.
 
Mobile video sharing platform Thwapr launched a program with NHL team the Phoenix Coyotes delivering team, game and player news and interviews directly to mobile phones.  Fans can text “coyotes” to short code 757575 or sign up on the Coyotes website to start receiving mobile updates after each home game, can share the clips directly with other mobile users or post them to their Twitter and Facebook pages.
 
Early web video star Ze Frank is the subject of a new documentary “Ze Frank: Creative Inspirations” available on the web via online learning site lynda.com.
 

 
Household products marketer Reckitt Benckiser has completed a global $40 million online video buy according to a report in AgAge ­- a new high water mark in the medium. RB’s new agency Zenith Optimedia has managed to achieve CPMs as low as $2 or less by buying in bulk across a multitude of sites including YouTube. Premium video sites such as Hulu can get as much as $30-$40 per 1,000 impressions.
 

 
Colorado-based Level 3 Communications struck a three-year deal with ABC News to install its Managed Video Network Services platform in each of the 3 ABC News Bureau locations in New York, Los Angeles, and Washington, D.C.
 
FCC commissioners Julius Genachowski, Robert McDowelll; FTC Chairman Jon Leibowitz; and Sharon Gillett, Chief of the FCC’s Wireline Competition Bureau will be among the speakers appearing at regulatory-themed sessions at The Cable Show next month.
 

 
Peak or “prime time” for video game play mirrors that of TV’s prime time hours but advertisers should utilize this trend to target players who are engaging with both mediums, according to a new Nielsen study conducted with Microsoft‘s Xbox LIVE platform. Measuring game play around LIVE’s “1 vs. 100” game show, Nielsen found that the game’s live version featuring host Chris Cashman providing commentary and real prizes averaged 87 minutes of live play per user during a 13-week trial study – compared to 70 minutes for the packaged “Extended Play” version of the show. The 18-34 demographic is the sweet spot of the platform, making up 45% of the Xbox audience with males of that age also the largest audience for the 1 vs. 100 interactive game.
 
Ave Age of Xbox 360 User
Age     % of audience
2-11      13%
12-17    31%
18-34    45%
35-44      7%
45-54      3%
55+         1%
Source: Nielsen Game Play Metrics
 
1 vs. 100 Player Profile
Demo           % of audience
Male 2-17         27%
Male 18-34       44%
Male 35+           4%
Female 2-17       6%
Female 18-34    11%
Female 35+        8%
Source: Nielsen People Meter
 

 
A new offering from Hands-On Mobile will allow Oprah fans to connect with her from a variety of smartphone platforms including the iPhone, BlackBerry, Palm Pre and Google Android. The $1.99 Oprah Mobile app features video clips and previews from “The Oprah Winfrey Show,” exclusive weekly polls, audio clips, articles and photo galleries from Oprah.com, O, The Oprah Magazine and Oprah Radio. The app will also send alerts when show tickets become available for the 25th and final season. 
 
The Google Maps web application has begun to add local search suggestions, offering up the location of local businesses with its maps. Type in a kind of service or restaurant in the “Search Maps” box and the location of several businesses in the area you are looking for will pop up. Sign into your Google account and the site will keep track of display suggestions from past searches. The feature is now available in China, Brazil, Canada, Czech Republic, France, Germany, Hong Kong, Italy, Netherlands, Russia, Spain, Taiwan, the United States and the United Kingdom.
 

 
YouTube put its toe in the water of the on demand movie rentals market earlier this year in a deal with the Sundance Film Festival and now the site is expanding the program with a new online Storefront. With tools such as the PayPal-like Google Checkout at its disposal, it was a relatively easy transition. The initial offering included just five independent festival entries, priced at $3.99 for 48 hours of access. Now you’ll find a growing selection of mainstream, indie, manga and Bollywood titles including Oscar winners “Precious” and “The Cove” and revisionist Western “3:10 to Yuma.” Many, such as the new much talked about Roman Polanski documentary Wanted and Desired, are priced at a more reasonable $1.99. The interface is typical for YouTube – minimalist and no-nonsense – but there are some useful features. For instance, you can browse what becomes a substantial list of “studios” because the portal includes works from its Producers Program. Just like viewers no longer distinguish between broadcast and cable networks, younger audiences don’t want independent creators’ work separated from higher budgeted fare – it’s all content that should have a chance to stand on its own. Such early efforts are important in that they continue to train audiences to pay for viewing online content. The Tribeca Virtual Film Festival is also expanding upon the idea this week, offering 8 features, 18 shorts and access to live panels, Q&As etcetera for a flat $45 fee.
 

A CYNOPSIS MESSAGE FROM THE ACADEMY OF TELEVISION ARTS & SCIENCES ™

Later – Wayne
Wayne Karrfalt for Cynopsis: Digital
wayne@cynopsis.com
04.26.10

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Mike Farina – Sr. Dir/Business Development & Sales – 203-218-6480 / mike@cynopsis.com
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