This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Yahoo!, Not Netflix, Is the TV Industry Disruptor

Netflix originals aren't done differently than any other original programming, unless, of course, you astutely note that Netflix overpays for them and provides zero creative development (though Ted don't knock that chip off my shoulder Sarandos is hardly qualified to assist directors, producers and talent in their creative endeavors).

Netflix airs the same type of programming -- or the exact same programming -- as all others who came before it with maybe the exception of YouTube and related, typically smaller Internet-based endeavors. This is key -- Netflix has done little more than elevate the status of streaming. That's a big deal, but hardly the type of disruption big media cannot overcome.

OTOH, Yahoo! is on a track that portends not only real disruption, but an impressive opportunity grab by Mayer.

I think we continue to see Yahoo! feature the type of content -- via Yahoo! Screen -- that television should have been all over for decades.

Must Read: [video] Jim Cramer Quick Take: Coca-Cola vs. Pepsi

Because it's of intense interest to me, I like to focus on the live concert streaming opportunity, but you can imagine other areas where Yahoo! does and will take the lead and own (or, at least, co-own multiple spaces).

It's a treat -- a refreshing oddity -- to see a performance, from an actual concert, happening live right now on your television screen via a broadcast or cable network.

The other night, during the Grammy Nominations show, CBS (CBS) plucked Taylor Swift's performance of "I Knew You Were Trouble" from the middle of a show she was doing in Australia. In the past, I can recall VH1 airing live the first few songs from notable Springsteen shows. You see live concerts on television after natural disasters as a means to fundraise.

I'm not talking about a live concert made-for-TV. I'm talking about live concerts made for an in-person audience that the in-home television audience gets to peek in on (via high-quality broadcast or, in Yahoo!'s case, streaming). Tour schedules made available, via simulcast, at on-demand prices.

Why has television allowed this type of thing to remain a treat? Nothing more than a special event? At some point, it becomes something music lovers and even general consumers expect. And if television is unwilling to give it to them -- which they are -- folks who operate on the Internet, such as YouTube and Yahoo!, will.

I expect the acquisitions to continue. I expect Yahoo! Screen to get bigger and better.

Think big. Anticipate the future.

Don't get sidetracked by an outage that impacted a small percentage of Yahoo! Mail users. An event made for haters who like to hate, but one that will have absolutely zero impact on the increasingly positive trajectory of YHOO the stock and Yahoo! the company.

Marissa Mayer understands she's on the cusp of a multi-billion dollar opportunity in video. But she's not going to mimic what everybody else is doing and call it disruption. She's going to fill a hole television should have been serving for a better part of the last 100 years.

Part of that strategy, IMNSHO, will include opening the goldmine of live streaming entire concert tours of major acts from Swift to Springsteen to fill in the blank.

An on-demand price per show, monthly subscriptions, access to the archives, etc. -- it's about taking the excitement of the concert tour and bringing it to the music lover night in and night out. Rendering geography as a roadblock to accessibility a non-factor in one of the few remaining areas where it remains one.

Live concert streaming -- we're talking about a multi-billion dollar opportunity tucked within the larger windfall of streaming opportunity.

--Written by Rocco Pendola in Santa Monica, Calif.

Rocco Pendola is a columnist for TheStreet. Pendola makes frequent appearances on national television networks such as CNN and CNBC as well as TheStreet TV. Whenever possible, Pendola uses hockey, Springsteen or Southern California references in his work. He lives in Santa Monica.
3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
NFLX $117.63 0.00%
YHOO $33.14 0.00%
AAPL $113.29 0.00%
FB $91.01 0.00%
GOOG $630.38 0.00%

Markets

Chart of I:DJI
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 +1.21 0.06%
NASDAQ 4,828.3250 +15.6170 0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs