People are throwing money at online media they can get for free (The 3:59, Ep. 329)
People are throwing money at online media they can get for free (The 3:59, Ep. 329)
2017-12-07
welcome to the 359 I'm Roger Chang I'm
Johnny Salzmann 2017 was all about
information overload but for media there
was a silver lining
it was a year where people started
paying for subscriptions of services
like Spotify or The Washington Post Joe
you wrote about this this trend is this
what's going on with this and why are
people actually started pony up for
things when really a lot of this stuff
has been free for so long well I think
that you would as you would see in any
sort of underlying tectonic shift and
how you approach the Internet there's a
lot of factors going on with all these
things one of them at least particularly
for news is this thing called a Trump
bump where in publication whatever could
you mean publications that are either
publications that are specifically
criticized by President Trump as being
fake news might see a spike in
subscriptions or people of both are you
know of any political persuasion are in
this state of needing to know what the
heck is going on because it's a it's an
administration marked by a lot of change
and a lot of kind of an unusual level of
chaos and it definitely all I think
dealing with information overload at
this point they're just headlines that
flash constantly there's a new
development not just with Trump but just
in general the world it it's interesting
that people are now paying for folks who
actually sort of cut through the noise
and give you yeah what actually matters
so those factors and then other factors
are contributing to people feeling like
it's worth my money to spend on what I
could be finding for free and it's
younger folks right you found that
younger folks were actually it crosses
it crosses all age groups but younger
people are more likely if you have if
you have more subscriptions it's likely
that you're younger just interesting I
thought they were spending all their
money on it yeah Joe's exactly it kind
of runs counter to what some people
would think you would think that older
people who have more discretionary money
to like throw around maybe getting into
subscriptions but it seems that younger
people tend to either want to have their
money go to a system they support that
is you know not some sort of corrupt
whatever but rather directly to a
creator that they think is great
or they're just more used to paying for
subscriptions they're used to having an
elephant Netflix subscription they're
used to other kind of so that is just a
huge change from when I was in college
right we were both in college
next up Timo was at it again bashing
Verizon for its plan to offer 5g as a
home broadband service this issue was
kicked up with John ledger on Monday
when he called up Verizon for missing
its goal of deploying 5g broadband
services this year that's what they
actually had told me exclusively a few
years ago that this was their big big
goal was to get a commercial deployment
out this year didn't happen they're
shooting now for the second half of next
year in Sacramento is the first market
it's just again it's just more drama a
lot of it is you know obviously five to
serve t-mobile calling attention to
itself and just sort of make making a
bigger deal than it is but it's it's
kind of interesting because it's they
have these very conflicting views of
what 5g looks like at least early on
right like t-mobile sort of sees it as a
traditional cell network walk around you
get cool 5g service verizon thinks that
it can get to replace your home
broadband with 5g and it thinks it could
do it faster than anybody else can get
5g out there do you think the hue and
cry over these timelines do you think
that makes a difference with people who
they choose to subscribe our choose to
no I mean okay I think it's it gives
t-mobile convenient punching bag but I
think the supers don't really care cuz
5g so it's so out there such an
out-there concept that people I think I
don't think people are like disappointed
that Verizon somehow missed their target
because it was it was ever it was always
gonna be some sort of limited deployment
anyways so lastly we wanted to touch
upon center now Franken confirming that
he would indeed resign in the next few
weeks following allegations of
inappropriate touching you know the
reason why we covered it was Franken was
a huge proponent of net neutrality one
of the most high-profile figures in the
issue and so you know for in terms of
like the net neutrality cause it is a
bit of a blow so alright those stories
and more chickens I seen it on Roger
Chang I'm Jenny Sussman thanks for the
sing
all right thanks everybody that's a
conclusion of the recording of the audio
portion of the podcast which you can
subscribe to later and for free in the
Mauritian scription in the meantime I'm
gonna try to not screw up anything else
and go into the chat they got some good
questions and comments man I tell you
it's like we've talked about this before
when I have a bad day I have a bad I
wanted to bring something up with you
Roger off the not necessarily for the
audio portion but after you wrote your
story about this morning non ledger
tweeted your story
oh dude even though your story is
basically about his tweet it's like an
echo chamber oh yeah yeah so you wrote a
story about John later suite which he
retweeted and wasn't like punched the
bag that is Verizon a little bit more
yeah it was just like he was hanging up
the pinata just more extra whacking he
actually retweeted my original story a
few days ago I didn't even yeah I didn't
realize it till after that but you were
truly the story that I wrote I think it
was like in 20 yeah way back machine
hop in there hold up this little story
yeah and I remember like it was a big
deal when Verizon came out two years ago
I was like we're gonna do this this
thing and there was a lot of there was a
bit of criticism from rivals that
basically said you know you basically
just sort of obscuring the issue that
you're losing customers and you owe on
top of five G because five g's like the
brand spanking new thing and its new and
shiny you know to some extent some of
that this is kind of true like Verizon
did start losing customers shortly after
that but I mean the five the money and
the investment they're putting into 5g
is real and I and I know that like the
technology is really finicky and hard to
play with so I don't know I I don't
necessarily give Verizon too much fluff
like missing there I get because it's I
mean it's like a theoretical thing and
customers weren't really banking on you
know cutting their cable line and we're
facing with the Verizon 5g like that
just wasn't gonna happen anytime soon
yeah but yeah I know I saw you did
between you know a lot less uh he's
tweeting me a lot less recently what's
happening to the bromance
is gone never there no Ryan do every
questions why moving on I'd like to jump
in to discuss about the the subscription
packages yeah
wholly topic I myself I've always said
you know give me a reason give me give
me an excuse to pay for this because
what bothers me the most and what we
potentially might see with the loss of
net neutrality has so many things stuck
behind so many complicated paywalls and
so Alec Hart and while a la carte was a
great idea on paper a few years ago I
was dreaming like oh I can just
cherry-pick exactly what I want the only
channels you want and then they turn it
up and then I but then they start
grouping them in weird ways right and
now I gotta be subscribed to like 18
different things to finish one single
series like that's what I'm waiting for
you if you when you read comics for
example you know when DC does a big
event kind of thing you got to buy
Batman 162 and then you got to buy
Action Comics yeah story continues in
the Specter 47 do that like every year
and they do lots of that and that's what
I'm afraid is gonna start happening with
streaming media to an extent I mean I
don't I mean I don't think neither
Jali's gonna be the cause of that
no but if I mean no I've seen a lot on
it I said comments about like fears of
bundling different services and I don't
think that's gonna happen especially
like like like weird groupings of like
you have to your social media package or
your like video package I don't think
that's really gonna happen yeah seems
kind of unfeasible but this is my
deepest darkest fears no no but I I've
always said you know give me an excuse
to pay for this and sometimes when like
an HBO show is stuck behind a very
specific it's easy to find alternative
ways to get ahold of that content if you
would stop being a butt-head and just
make it more globally available I don't
want to have to pay a cable subscription
to get access to the on-demand I'll pay
you a portion of that just to have the
on-demand but I don't have cable so I
can't get a lot of things and then I
know that's that's the whole point of
supply and demand that's commerce for
you right but I mean I have better
distribution methods now which is that I
would
shifting like you don't necessarily need
a cable TV subscription now to get a lot
of content like it's but you still do
you do for a lot of it well I mean a lot
of it but the same lifetime media
medical odeon really hmm yeah it's it's
we're still not at this point yet where
every channel has its own streaming
option like HBO now but there are
options like sling TV and yeah that
offers some of these bundles maybe not
every channel it's of course it's always
gonna be changing especially right now
but the idea that's like okay so if I
really want to watch this show I have to
pay a hundred and sixty dollars a month
to subscribe to Time Warner Cable
broadcast and then apply to get in to
the on-demand whatever the service
streaming thing after the fact but I
still have to pay for a bunch of
everybody else's crap that I hate just
to get this is one thing screw you screw
you yeah I mean there's a reason why
this story that we wrote doesn't really
get into television streaming and that's
because it doesn't really fit into the
same trend because it's locked up in
this legacy model where everything's
bundled together and you have a couple
gigantic distributors and that's the
only way you can get it and that's been
a really lucrative way to make money for
programmers and for distributors for a
long time and you know as the Internet
has been able to disaggregate all kinds
of different media it's also
disaggregating channels with things like
like the Disney streaming service to be
forthcoming and HBO now and when you can
get whatever channel that you want a la
carte totally out of card so let going
back to that my original point about how
comic books kind of give you all over
the place yeah yeah Tami's pointing out
that some TV shows already do that if
you look at the like the DC TV universe
you have the big crossover episodes yeah
yeah now picture this now that Disney is
acquiring Fox Entertainment Tonight oh
well that's yeah that's allegedly yeah
but I'm just you know I'm putting a
perfect storm on the table here so we've
got a Netflix original show that is a
Marvel based show let's say it's dead
yeah and then Disney buys these
properties and then launches their own
service whereas the original ones stay
on Netflix if that linear story arc
continues you now have to subscribe to
Netflix and Disney necessarily he's not
making any more after like they're not
gonna make any more with Netflix like
those are never gonna they're not gonna
be leaving Netflix and then right but
that's wouldn't it be I honestly in this
situation I think it'd be smarter if
they did move them all into the same
platform quits now I have to pay to
subscriptions to have all of these
available to me right I'm a rewatch er
habitual yeah got you there yeah but I
don't know I mean you're you could also
say that you're making the case for like
a Big Brother mega Media Corporation
where it's all all the nerd stuff is
collected into one place and that means
yeah that's what it is if there's need
yeah it's kind of that fit now because
he's not buying Netflix though that's
yet oh yeah yeah yeah yeah Disney could
afford Netflix yeah Disney can afford a
lot of stuff all right doesn't it good
by me
well yeah you're not yeah not that much
cheaper though you're very valuable guy
all right so let's take some questions
sure enjoy is the trend of subscriptions
and effect of the surge of cloud storage
and media in a vast quantity of cloud
storage of media I'm saying the idea
that it's more like it's more available
online being then let's say in the last
10 years you've just seen a dump mega
dump of stuff just starting to exist on
Lobby yeah I think the general trend of
like having stuff be available for
streaming I mean yes makes I think it
makes it more attractive yeah I don't
I'm not sure I have a good answer for
that yeah I don't I don't see a real
correlation between the two
but I just haven't really thought yeah I
think it was idea well the more basic
idea that if it's because the stuff is
all online it can be moved around easier
and thus you could have these kinds of
business models I guess that's but
that's a fairly basic concept of me yeah
I think I see
where he's getting out with this though
it's yeah more just about the sheer fact
of the wealth of the information rather
than the organization or any kind of
strategy to it there's a mass pile of
crap and you're sifting through crap I
think most of the time maybe and having
a service involved to do this event for
you curation yeah and I mean I think
about the the generation right now
that's growing up with YouTube as like a
primary media provider right and the
noise that's here on YouTube like really
bad noise this show excluded of course
but I mean that's they're raised in this
limelight where they're not limelight
that's the wrong term within this
concept where you know screw those guys
on the big screen TV I like this kid he
gets me and it's just another kid you
know the the PewDiePie's of the world
that's what a lot of kids are growing up
admiring now it's like they did it
themselves I want to do it myself
and then they get motivated themselves
to be creative as well and I don't know
that's probably a double-edged sword in
there somewhere but I feel like we're
getting away from the premise of the
question maybe we are sorry it's a lot
the thing about this is an interesting
topic to me personally just because yeah
where we work yeah and what we do I mean
it's definitely interesting from the new
side like seeing like the Washington
Post and The New York Times as well yeah
like actually thriving largely because
of this Trump bump but I mean these are
traditional services weren't really
especially when I was you know the last
whatever decade we weren't really into
the idea of paying for news right
because there's supposed to be free
online everything's free but now people
are actually paying for it right I know
we worked we both work for The Wall
Street Journal I was one of the few
publications back in the day they had a
paywall
but it's interesting to see that more of
these publications are putting up a
walls and they're actually succeeding
like they're actually getting people to
pay mm-hmm when if there is some kind of
like mental justification for customers
to say well if I pay for it it must be
better quality as opposed to dude like
yeah I would say there's probably some
sort of level of like justification
there right yeah yeah if you're if
you're charging for it it's gotta be
worth whatever
paying like it's one of the one of the
factors that weighs in when you're
trying to filter out the fake news and
they always say you know is it a trusted
brand is HTTP that kind of thing right
but like did you have to throw a buck at
it probably better off yeah yeah I mean
that's the argument from a tech side
that Apple makes you know for his
product its products versus Google right
like Google photos is free well yeah
because they've got all your information
like you have to pay for our service
book we're not you know you're not the
cut like your information isn't the
product you're you know our part of the
product so it's kind of the same
principle
you're paying for this and that's thus
you have you should have some sort of
level security for your information we
are getting down a meta rathole right
now let's take a couple more questions
Josh Buddha at what point does cord
cutting cost more than cable by having
to subscribe to Netflix HBO Amazon Prime
oh yeah I'm getting close to that myself
well can be right I mean that's the
thing about the cable bundle is like
people love to complain about your cable
providing your satellite provider
but ultimately you get to pay a lot less
for a lot considering how much content
you get with a cable system do you get
you have to pay a lot but you get tons
and you know when you have to break it
down into those little little itty-bitty
pieces you realize that it adds up
really quickly and it really depends on
how much they charge you for just like
if you're just getting internet access
yeah good
that's the vary greatly yeah is getting
your they know like the phone I mean at
this point phone service is essentially
free they practically pay you yeah but
that internet especially if you want to
get higher speeds it's yeah it gets
pretty pricey
yeah all right one last question before
we call today matthew dacher says who
will replace franklin now I don't think
we need to go into who was actually
going to take up his seat in the house
yeah but Senate sorry Senate but I think
I want to reform that question and - I'm
sorry if I'm mixing up your words here
but who's going to be replacing Franken
as far as the proverbial poster child
for net neutrality representation
that is a fantastic question I would say
like brian schatz for a senator from
Hawaii has been really vocal about
trying to start net neutrality as a
movement a lot of there a number of
Democrats really want to push the idea
of legislation control mentality or
basically introduce more modern
regulations but he became a mascot of
sorts being a guy who came from
television originally yeah yeah I mean
it was easy for him to become yeah this
is lightning rod for it because he was
he's recognizable exactly a celebrity
before I don't know why because you know
in a different way there's no way he was
gonna more politically fueled
seat I think is a better question so
more of tons of celebrities that bark
about it yeah yeah somebody who actually
can sign papers right yeah the issue is
that while there are plenty of Democrats
who want to introduce legislation
legislation they're not in the majority
and so they don't really have control of
the Senate or Congress and also they
really don't have any options at this
point but to his to dachas question I
believe the governor of Minnesota is
going to appoint someone to replace
Franklin at least until I guess special
elections or something I don't really
know how to react but I was told that
whoever because the governor is also a
Democrat like whoever gets remember
replaces him will most likely also be an
energy alley supporter likely I mean
that's just statistically speaking but
will they be the same kind of iconic
loud speaker will they probably not well
can they get to that place right on
their own without that vehicle
personally I like as a journalist like I
disappointed that enough said discipline
his behavior but I'm disappointed that
he's leaving because in terms of he was
on the Intelligence Committee
he talked when he grilled Facebook and
Google and Twitter overall that Russian
fluent stuff he was one of the most
animated most liked quote worthy guys
out there like he was really laying into
those companies not every senator was
like that and so it's it's kind of a
blow for a lot of issues because he
seemed very knowledgeable about a lot of
the tech and media issues stuff that we
care about yeah he was a good resource
for you guys to just write about
yeah so you're nagging have to go
digging and you know he's you know he's
got a showmanship he's he's he knows how
to work his words yeah that's true
unfortunately he didn't know how to
control his hands yeah yeah but I'm
alright I think I terrible note sorry
come on oh it's true that was solid yes
good I'll file it for later all right
well this is the last show of the year
for me that's true
oh god I'm like yeah my circle this is
relatively close to the evacuation zone
not close enough that needs to be
evacuated yet but we'll see well see
well anyways have a good trip it's been
a good 2017 we've had fantastic shows
with you yeah no no I'm looking forward
to it and we will have shows next week
as well as special pre-tape segments
during the last two weeks of the year
yes since we will have a hiatus coming
up due to the holidays and in NCS and
then we'll see you back live from CES
we're still not sure how that's gonna
flesh out when the show is gonna happen
in the days block but scene that's gonna
be live all day every day at CES so yeah
all you got to do is kind of peek at
YouTube and you're good to go yeah well
follow obviously follow us on Twitter
we'll give you updates on one the show
we'll be back what time mm-hmm is it's
gonna get a little weird the next couple
of weeks between CES the Detroit Auto
Show right yeah we'll be down during a
decent block in January as well but
things will be pretty much back to
normal by late January early February
theoretically we'll see yeah we'll see
don't worry we're not actually going
anywhere we just got to do the shuffle
right all right if you liked anything
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alright everybody have a fantastic
weekend some of us will be back on
Monday
you
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