Why TV Lost to the Internet

Came across a great blog post by a gentleman named Paul Graham a little while back. The article is entitled “Why TV Lost”, and is a great summary of the forces of change that the network has wrought upon traditional, one-way broadcast models. “Facebook killed TV” indeed.

I’ll quote a large snippet below, but definitely go read the entire article as the author continues to discuss how broadcast TV continues to wrestle with the problem… and is running out of time to change.

What decided the contest for computers? Four forces, three of which one could have predicted, and one that would have been harder to.

One predictable cause of victory is that the Internet is an open platform. Anyone can build whatever they want on it, and the market picks the winners. So innovation happens at hacker speeds instead of big company speeds.
The second is Moore’s Law, which has worked its usual magic on Internet bandwidth.

The third reason computers won is piracy. Users prefer it not just because it’s free, but because it’s more convenient. Bittorrent and YouTube have already trained a new generation of viewers that the place to watch shows is on a computer screen.

The somewhat more surprising force was one specific type of innovation: social applications. The average teenage kid has a pretty much infinite capacity for talking to their friends. But they can’t physically be with them all the time. When I was in high school the solution was the telephone. Now it’s social networks, multiplayer games, and various messaging applications. The way you reach them all is through a computer. Which means every teenage kid (a) wants a computer with an Internet connection, (b) has an incentive to figure out how to use it, and (c) spends countless hours in front of it.

This was the most powerful force of all. This was what made everyone want computers. Nerds got computers because they liked them. Then gamers got them to play games on. But it was connecting to other people that got everyone else: that’s what made even grandmas and 14 year old girls want computers.

After decades of running an IV drip right into their audience, people in the entertainment business had understandably come to think of them as rather passive. They thought they’d be able to dictate the way shows reached audiences. But they underestimated the force of their desire to connect with one another.

Facebook killed TV. That is wildly oversimplified, of course, but probably as close to the truth as you can get in three words.

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