Thursday, May 3, 2012

Sony Delays OTT Plans because of Comcast Data Caps Policy

Last month Netflix' CEO, Reed Hastings, complained in his Facebook page that "Comcast no longer following net neutrality principles. Comcast should apply caps equally, or not at all".

This came after Comcast decided that "The Xbox 360 running our XFINITY TV app essentially acts as an additional cable box for your existing cable service, and our data usage threshold does not apply", creating an unfair advantage to Comcast content (here). In related news, 94% of AT&T stockholders voted against implementing Net Neutrality principles in the giant's wireless network (here).
Now Sony joins the protest, and even delaying its plans to launch a video OTT service.
Andrew Wallenstein reports to Variety that "Sony Corp. is pressing pause on plans to launch a rival video service to cable and satellite companies in light of a recent Comcast decision that inflamed net neutrality advocates. Michael Aragon(pictured) VP and GM of global video and music at Sony Network Entertainment, confirmed that his company is considering offering TV via broadband but is waiting for clarity on whether Comcast is allowed to provide consumers access to programming via its Xfinity app on the XBox platform without counting against the cable operator's bandwidth caps."These guys have the pipe and the bandwidth," said Aragon in an appearance Monday at Variety Entertainment & Technology Summit. "If they start capping things, it gets difficult".
See "Sony virtual MSO play could hinge on Comcast" - here

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