Television remains and always has been one of the most powerful communication mediums throughout modern times. Since it’s birth into the wide public in the 1950’s, television has dramatically evolved into a very powerful communication tool, capable of more than just existing as the traditional one-way medium. We have entered (or at least in Australia’s case, entering) a third generation of television, according to Perse and Ferguson (2003) who have divided the television era into three generations: TV1G, TV2G and TV3G.
The first phase (1950-1980) contained a limited number of channels broadcasted thus the audience was quite limited in their viewing capabilities. The second phase (1980-1999) introduced a wider variety of channels, therefore creating more options for the consumer. Devices such as the video cassette recorder (VCR), remote control devices and cable television only added to their options. Now, with the introduction of digital television replacing the old analogue devices, we are entering a new phase where digital broadcasting is more than just providing a one-way message. TV3G (1999-????) possess these elements:
Just as VCR’s were initially seen to dramatically change the face of television viewing, digital storage capabilities have been the centre of wide debate since introduced to the North American public. Though they go by many different names such as a digital VCR or digital video recorder (DVR), these digital television storage devices are commonly named the personal video recorder (PVR). While these PVR devices are more or less an upgraded digital version of a VCR, they are able to provide so much more freedom, interactivity and opportunity for the consumer. Although depending on what brand and the preferred price package the consumer pays for their PVR device, the capabilities are essentially the same. Since its introduction into the North American marketplace, many brands and types of PVR have spawned out, but the most well known are TiVo Technology and ReplayTV by SONICBlue.
The PVR device is a small black box which is either placed as an embedded set-top box (STB) on the television, or as a stand alone box with chords plugged into the television and other into the homes’ phone line socket. It is composed of a hard disk drive and contains the software capable of recording programs. The phone line serves as an access to an up to date electronic television guide, in which they’re able to program their favourite shows with the simple click of the remote. The PVR unit allows the consumer to pause, playback, rewind and fast forward, “live� television. This technology has revolutionised how consumers watch television, with “almost a quarter of PVR owners don't watch any "live broadcast� TV, and 51% of them only watch 1-5 hours of it each week, stuff like morning news and weather.� (http://www.emerging.com/viewpoint/grill_7.18.02_pvr.shtml, Accessed 8 August 2004)
One major feature and possibly the most controversial is its ability to skip commercials with a press of a button, with some units completely cutting out or blacking out the commercial breaks on playback. “74% of PVR owners always (27%) or frequently (47%) fast forward through the commercials.� (http://www.emerging.com/viewpoint/grill_7.18.02_pvr.shtml, Accessed 8 August 2004). Ramifications from ‘advert skipping’ have caused a huge outcry from advertising industry, which in turn effects the television networks as most revenue is recuperated from the placement of commercials. A complete overhaul in tactics must occur in the advertising industry and already, the idea of product placements is on the rise. Grill (2002) suggests PVR companies integrate an “advertainment� scheme, whereby an external company works in conjunction with a PVR company to provide some bonus material incorporated with advertising material. Roberts (2004), worldwide CEO of Saatchi & Saatchi says, “It’s actually creatively exciting because you have to make things watchable. You can no longer bludgeon people with bland advertising.�
The ability to easily duplicate high quality digital content is another area of PVR use which has been raised as a key issue. Using the case study of SONICBlue ReplayTV 4000 is a prime example of intellectual property issue, with their lawsuit of 2001 filed by Disney, NBC, Paramount, Showtime and Viacom corporations. This PVR version allowed users to instantly delete commercials on playback, but also send the digital content onto another user. The companies cited that the device was an "unlawful scheme" that "attacks the fundamental economic underpinnings of free television and basic nonbroadcast services." (http://news.com.com/2010-1071-281601.html?legacy=cnet, Accessed 8 August 2004)
In operation, the PVR unit must be plugged into the users’ phone line because when entering the allocated program, it then remembers their viewing habits in future will continually record their programs. This has been a concern of privacy issues because this connection is a two-way relationship. While the consumer is able to dictate what their favourite program, in turn the PVR company is able to read and analyse their consumer’s viewing habits. “The PVR could become the centre of this two-way traffic, transforming the TV into a media hub capable of telling broadcasters and advertisers a lot about who’s watching and why.� (http://bulletin.ninemsn.com.au/bulletin/EdDesk.nsf/0/db06fdfa0f377dda4a256bc800147e0e?OpenDocument&TableRow=1.1.10, Accessed 8 August 2004) Furthermore, the ability for hackers remains a concern.
As mentioned earlier, these devices are yet to enter the Australian public, however they have been available to North American audiences for the past few years now, as well as the United Kingdom (UK) and Japan. Initially, the popularity of the units has not exceeded the expectations of PVR companies, given their immense viewing capabilities they provide. In fact Replay TV went bankrupt in 2003, though the PVR service still exists as the company was sold off. Research conducted by Paxton of In-Stat research (http://www.instat.com/press.asp?Sku=IN0401238ME&ID=968, Accessed 8 August 2004)
uncovered that while there has been a slow movement in the movement of PVR technologies, this would soon drastically improve in the years to come due to changes with how the PVR is packaged and distributed.
The way PVR technology has revolutionised the way consumers view television has just been phenomenal, despite all these major key issues of advertising, privacy and intellectual property. Although Australia has only just started to embrace the digital television revolution, according to Foxtel Digital, a similar PVR device will be made available on the Australian marketplace within the next 12 months (http://www.foxtel.com.au/236_381.htm, Accessed 8 August 2004). This will be an interesting development in how Australia handles the introduction and possible popularity of the PVR unit, given at the consequences in North America.
See also:
Linda Wong 15:53, 9 Sep 2004 (EST)
