The Future of OTT

While there is frequent discussion that studios and other rights holders will eventually take their content directly to consumers through over-the-top distribution paths and threaten content distribution platforms, there continues to be a myriad of signs suggesting traditional distribution channels like MSOs will continue to have a major role in content dissemination.  Arguably, the tie between MSOs and rights holders is strengthening as many studios develop second-screen approaches that leverage the MSO-customer relationship.

Disney recently announced the launch of several apps that will provide VOD and linear content to Comcast subscribers.  As George Winslow makes note,

The launches are notable because they highlight the ongoing shift in business strategies towards TV Everywhere deals where the digital distribution of content are tied to larger multichannel deals that give subscribers preferred access to content.

Rather than use the apps to sidestep the traditional MSOs, the studios are using apps to reinforce the relationship between the studios and the MSOs and subsequently the MSOs and the consumers.