To understand how much television could soon change, it helps to visit an Intel Corp. division here that runs like a startup.
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Intel's plans include a server farm to record every piece of programming aired—local, national and international—and store it for at least three days in the "cloud." With an Intel-designed set-top box, people won't have to own DVRs or even plan to record programs.
Switch on the TV in the middle of any show, and a viewer can simply go back to the beginning. "This is live TV—but you can rewind it," Mr. Huggers says.
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Intel's Mr. Huggers, who spearheaded development of a popular BBC content app called iPlayer, sees advantages in starting from scratch. For one thing, his developers can exploit Intel technologies such as new chips for servers and set-top boxes, configuring them to call up programs and change channels noticeably faster that other living-room hardware.
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The TV industry is undergoing a major innovation. Intel is in the mist of all these.
It has all the key technologies to be successful in this new and rapidly growing market segment: good hardware solutions for fast and quality content-delivery over the internet, from the servers' end to the clients' end; good hardware-built-in IP protection (protecting subscriber-only contents), etc.
Say goodbye to all the major content-distributors, like TWC, Comcast, Dish, etc...
Welcome the new players: INTC, GOOD, AAPL, Aereo, etc...
If so, it's not a very well run startup. For well over a year they promoted their camera-enabled-settop plan as a way to generate a new revenue stream to persuade content creators to unbundle their content. When the public complained that the camera was intrusive they said it was really there to support other apps like videoconferencing and gaming. The camera was an Intel patent looking for a problem to solve and a way to monetize consumer's behavior and there were issues with how the settop would select programming when multiple family members were in the room. Now we are to believe it took Intel over a year to figure out that it also doesn't work well in a dimly lit room. And the location of settop boxes in people's wall units wouldn't allow it to be useful for videoconferencing either.
Intel Media Group's first plan failed before it launched - and rightfully so. In the interim Aereo, Google and others already have a lead over Intel in getting low cost streaming services to market.