For more than a decade the traditional media has been on notice about the changes to be faced because of developments in the digital media market. So far it has failed to take decisive action, partly because it was afraid of cannibalisation and partly because its business models do not cater for swift business action. This has brought about a decline in revenues but, far more importantly, it has failed to seize a share of the new market which is now dominated by relative newcomers such as Google, YouTube and Facebook.
The National Broadband Network is the next stage. Again the media has largely been absent from this debate, but the National Broadband Network will create new changes with new options. The traditional media players can take a leadership role, looking at the trans-sector opportunities the National Broadband Network has on offer – or they can simply copy their outdated models onto the National Broadband Network, perhaps by using the wholesale services of a telco.
Initial indications are that they are looking at more of the same rather than moving towards media innovation. The media companies do have strong brands and millions of customers, but how can they utilise this advantage?
Number of pages 13
Last updated 16 Jun 2014
Analyst: Paul Budde
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