If at first you don’t succeed, try try again.  But if “Plan B” doesn’t work either? Then what? Do you call it a cautionary tale? Chalk it up to the nature of the game? Or do you try a new course yet again?  For the once high flying internet video startup, Joost, which has been spiraling toward trouble, it’s door number three.

On Tuesday, the company announced in a corporate blog that it will restructure its business model to incorporate a white-label service aimed at providing video distribution technology. (The video site will remain but no longer be the company’s singular focus).

Joost cited the economy as a key factor in its decision.  On the company blog, CEO Mike Volpi wrote that it had become “increasingly challenging to operate as an independent, ad-supported online video platform…. We have built a solid technology platform that there is demand for in the marketplace, and look forward to this new chapter for our company. At the same time, we’ll continue to operate Joost.com and its associated video applications.”

While the challenges of earning a living off advertising had to figure into the calculus to shift focus, Joost’s problems run deeper and have been apparent for a long time. Simply put: the company’s service never matched up to the demands and behaviors of the consumer marketplace.  Timing, programming, and concept never fully came together.

Cycle back the calendar to May 2007 and Joost was a hot, hyped peer to peer video platform still in an invitation only beta.  The founders were coming off of huge success in the creation and sale of Skype. (more…)

Log in to Netflix and rate a movie you watched on a scale of one to five and Netflix’ computers will try to suggest other titles you’re likely to rank the same way.  This algorithmic pairing process has been marketed as a key differentiator between Netflix movie rental service and that of competitors.  It’s been touted as an achievement. 

For two and a half years, Netflix challenged the public to try and create a better mousetrap.   A million dollar prize was dangled as bait for the first person (or team) to create a program capable of beating Netflix’ Cinematch algorithm by a margin of ten percent or better.   Nobody succeeded.  Developers inched close but couldn’t quite hit the mark. Seven percent, eight percent, nine…but not ten.  The so called "Netflix Prize" went unclaimed. Until now, that is.

On Friday, a group created from a combination of four independent teams that had been vying for the prize submitted a solution that they claim resulted in a 10.05% improvement over Netflix’ Cinematch ranking algorithm.

(more…)

Go back a few years ago and companies pushing net video streams out to proprietary applications were all the rage.  IP TV had the hype of a key convergence technology.  It was the next new thing. With companies like Joost there was massive venture funding, and talk about how their plans would change the face of TV distribution.

That didn’t happen. The buzz faded, staff left  and many of the companies that were yesterday’s darlings have faded from tech culture stardom (at least for now) like the backup singer to a one hit wonder.  Two notes hummed and forgotten.

The problem may have been timing, or programming, but it was also in no small part because the offerings required a change in consumer behavior.  They required applications downloaded to a desktop when consumers were used to (and comfortable) working within their web browser. 

It’s ironic given that, that today’s web video stars, companies like Hulu that have gained audience traction with browser-based video distribution are exploring stand alone players. (more…)

It was a case of now you see it, now you don’t.  Last fall, Real Network’s then newly launched DVD copying software platform, RealDVD, went from controversial to contained in the blink of an eye.  Just days following the program’s launch, with litigation already filed by both sides,  U.S. District Judge Marilyn Patel issued a temporary restraining order blocking all sales of the program pending a broader review of the software’s legality.  The program has yet to resurface and now the ongoing copyright litigation is poised to expand.

Designed to enable consumers to create digital to digital archival copies of DVDs, the program was intended to allow owners to store DVDs on a computer for viewing, or backup, without the need to have the disc in the drive.

(more…)

You don’t have to look far to see the overlap between Hollywood and the video game industry.  Game companies have bought movie effects shops and traditional movie studios have expanded into game development.  Tomb Raider and Resident Evil started as games and had box office (and DVD) success.  Star Wars and other series started in theaters and found added success in  gaming.    Famed directors from Spielberg and Peter Jackson to up and comers like Zack Snyder have signed game development deals.  Game studios even have Hollywood agents.  These days, whether it’s animated, family friendly, action driven or effects laden – chances are there is crossover or could be.

It’s not exactly a mouth opening surprise.  All the synergy, marketing efficiency and business buzzwords aside there is much common ground. Both mediums share a foundation in their methods of visual story telling.   Both share costly and long development processes.  Both market (often) to similar audiences. Both need blockbusters to offset the lost causes of bombs. In a way, interactive video games are the choose your own adventure equivalent of Hollywood’s visual story telling tradition.

But just in case all the references and obvious points of confluence aren’t enough evidence of the increasing convergence between the two, add Jerry Bruckheimer to the list. The mega producer whose credits include films from Top Gun, to Beverly Hills Cop, and Black Hawk Down or Pirates of the Caribbean announced a partnership with MTV Games in December of 2007.  And now after 18 months of silence, that gaming adventure is officially moving ahead.

Jerry Bruckheimer Games announced Tuesday that it hired two industry veterans to lead its organization and chaperon the company’s entry into the marketplace. 

(more…)

Leading a busy week of entertainment industry earnings reports that also includes News Corp and CBS, both Marvel Entertainment and Disney reported today. The quick facts, by the numbers:

(more…)

After months of rumors, it’s official. Disney has hopped on the Hulu bandwagon.  Subject to regulatory approval, Disney will take an equity stake in the video aggregrator/distributor alongside News Corp, NBC/Universal and Providence Equity Partners (which bought its stake in 2007).

In exchange for the equity, Disney will give Hulu the rights to broadcast full length programs from ABC’s catalog including Prime Time hits, and classics. Access will span the ABC Family, SoapNet, ABC and Disney Channel brands.

The deal will put three major networks (NBC, ABC and Fox) side by side in a joint video distribution platform.   When it comes to online distribution of feature length TV content, the deal will make Hulu, “Network 1.”

That may not bode well for YouTube (more…)