Android Phones

Google TV suffers first setback in hesitant networks [Rumors]

August 18, 2010 | by Andrew Kameka

Android Devices, Google, Google TV

google-tv

Uh-oh. Google TV is scheduled to hit the market in a few months, but Google’s new television platform may have trouble securing important participation from U.S. broadcast networks.

According to a report from the Wall Street Journal, unnamed sources say that television networks are weary to sign-on to Google TV for fears of their content being less valuable on the platform. Some network executives fear that GTV would not generate the money required to justify the risk of diminishing profits in their current ad-based, live broadcast models.

Google has been in talks with ABC, CBS, Fox, and NBC, according to the Journal’s sources, but executives aren’t chomping at the bit to get involved. That shouldn’t surprise anyone as television networks, like their peers in the music and movie industries, have struggled mightily to adapt to technological advances that disrupt traditional business models. Hulu proved to be a successful way to deliver broadcast content on the web, but it generates millions, not billions of dollars that networks desire. Google TV represents yet another potential revenue stream, but networks fear it also represents something that could tread on the standard model.

The Journal reports that its possible networks who opt not to participate in GoogleTV will take it one step further and actively block GTV from accessing its content. The same way Hulu prevents certain programs and devices from viewing its video, networks could develop tools that block GTV set-top boxes and televisions from viewing their videos.