TechDisrupt :: The future of content, digitally
If Content is King, then last week saw the gentry discussing how best to serve their master. The other day Zeitgeist watched a fascinating roundtable from the TechDisrupt conference, where talking heads with varied interests discussed how content would be created, distributed and consumed in the future. The below are some of the more pertinent and interesting things we managed to peel from the chat.
Sarah Chubb, president of Condé Nast Digital, noted that Apple was lending a helping hand to the sales of the publishing empire’s magazines. Since the launch of the iPad (recently revealed to have sold 2m units in 59 days), Chubb states that the device has played a significant role in boosting sales. Regarding the iPhone / iPad split, she says 60% of GQ readers are accessing the publication through their iPad, 40% through the iPhone. For Vanity Fair, fully 90% is from the iPad, which is incredible after such a recent release and given that the iPad was only released outside the US in the last week or so. In related news, it was announced today that The Financial Times “iPad app has registered three times more downloads in its first two weeks since launch, than its iPhone app managed”.
Fred Davis, founding partner of Code Advisors, ruminating on how people perceive content now, makes the declaration, “It’s not about owning, it’s about accessing”. This is crucial. This is ‘I want my MTV’ for the next generation. As we have moved away from purchasing tangible goods like CDs – and to an increasing extent DVDs and books – the pleasure of owning content dissapates. People, however, still want to be able to use that content, and use it immediately. This is where, helpfully, cloud computing comes in. Perhaps this new type of demand makes the iTunes model – when compared to Spotify et al. – antiquated. Buying a track on iTunes is about owning content. It can be bought quickly and easily over your phone via a Wifi or 3G signal, but once purchased, the song is on your phone, it is not kept in the cloud somewhere for you to access at any time from any device. It is not easily shareable.
John Hagel of Deloitte talks of companies of the future having to make a choice between what they want to excel at: product development or customer relationships. In other words, product profitability or audience profitability. Is the company’s USP going to be “Come to us because we know your product” or “Come to us because we know you“? Zeitgeist ponders whether a company, GE for example, might not be able to manage both.
The IPTV service Boxee recently signed a deal with Google to make use of its Android OS, linking with Google TV. In related news, units that the OS operates on outsold iPhone for the first time this quarter. The CEO of Boxee, Avner Ronen, was also one of the speakers present at the conference. Taking an optimistic stance, Ronen stated that one of the benefits of increased fragmentation and availability of content was that, in a free market mindset, the more content published, the more competitive the environment and thus the better the content.
Of course, piracy is an enormous factor, and Davis pointed out that there is still a problem with people not equating downloading a song illegally off of Limewire with shoplifting from WalMart. Perhaps it is now too late for any efforts at education in this matter, as the MPAA seem to have singularly failed to educate the public. Chubb countered that people were now willing to pay for things in mobile that they wouldn’t normally pay for otherwise. This dovetails with the idea of paying not for the content itself, but for the instant access to it. The film industry, in particular, has combatted the threat of piracy in other ways. Now that international box office accounts for some 65% of a film’s total gross earnings, release windows are being narrowed for simultaneous releases. “Iron Man 2” was released at the end of April here in London, a full week before the US launch. The world premiere was supposed to have taken place in Leicester Square, but sometimes even savvy film execs come up short, especially against volcanic ash.
Ultimately, the way we interpret ownership is undergoing significant change. What we used to be possessive of, with the arrival of the mp3 we suddenly felt inclined to share. Increasingly we do not have need of the physical product, merely the ability to use it when we wish. This might easily be linked to the continuing vogue for ephemeral clothing that is besetting the fashion industry, where cheap clothing is made to be worn once then tossed aside like New York Times stock. Zeitgeist thought it fascinating to watch these people prognosticate on the future of content; they may all be completely wrong, of course, but then that’s the interesting thing about the future, isn’t it?
There was much more discussed, and you can see the whole video here.