Jan 4th, 2008
Netflix and Libraries: Electronic Content Delivery begins with Internet TV?
Hooray! Libraries, library staff and most importantly, library patrons are accessing content with tools like youtube. And Joost. And others. This is important. And libraries are in that loop. Woo hoo!
But…what about the oceans of content that just isn’t “free” and/or centrally located and is distributed more and more via electronic means? What about the content in the long tail that only for-profits are doing a successful job of distributing (aka selling in most instances). In libraries there is inter-library loan of course. And there is eBay and Amazon and a host of others that have cut into library business to some extent (not necessarily a bad thing at all, right?). But there is Netflix. Netflix (just for fun, why not check that link out and think about it in terms of what libraries do. Some startling concepts may stand out.), just keeps popping up on my radar over and over again. Brightly. Here’s the latest instance:
“US DVD rental firm Netflix is to release a set-top box which will let subscribers download movies and other programmes over the net.”
*link*
So what does this indicate for the future of content access in libraries?
Granted, there have been a small slew of set top boxes designed to specialize in content delivery in the last couple of years. But with Netflix participation, for me at least, the implications for libraries and content delivery futures grow in significance and immediacy. As these services exist now, and as they are shaping up, libraries are cut out of almost all of this business. Influencing or being included in this sort of content delivery model would take significant investment from larger (or combinations of larger) library related business or organizations (including non-profits and even government agencies potentially).
True, “Netflix has spent about $40m on the development of its streaming service during the past year.” and that of course surely does not include licensing and revenue related math for the studios, etc. True also that money talks, eh? Still, given the mission of the library (particularly Public Libraries) it seems worth noting that:
As an industry, within the larger library-centric institutions that could make important impacts:
-We are not researching this kind of content delivery in any truly significant way.
-We are not planning to, in the future, provide specific deliverables based around his kind of content delivery.
-We do not have organized, direct or significant relationships with the companies that own the largest collections of popular content and manage it’s distribution to approach them as a potential distribution channel.
-We do not have the legal and negotiation teams that would be required to get our patrons access to the content controlled by companies mentioned above.
While the above list is a bit intimidating, is it insurmountable? I keep thinking about the last interview I read with Reed Hasting, CEO of Netflix. It concluded with the question “What is the future of Netflix?”. His answer, was “there is a reason we are named Netflix and not DVDflix”. Obviously and wisely they are eyeing content delivery. And so are libraries? Certainly there are hundreds of other companies doing so, many of which have an eye on (inadvertently I’m sure) further reducing our market share and value. This is all fine and well. But it makes one again wonder: are libraries at large doing the work necessary to be positioned in the content delivery market? What about libraries??? Will we care more when our DVD circulation drops? Or when Netflix becomes NetLibrary (serious point and little inside joke there too)? Interestingly, someone once said to me that “the most valuable asset NetLibrary really has is the name NetLibrary”! Wow. In light of what Reed Hastings said in the interview I keep recalling, it gives pause.
Netflix hasn’t changed their name. Yet. But their mission, and the missions of other content delivery centric companies seems clear. And it is threatening to libraries. And I am concerned that this threat is not being surfaced and dealt with sufficiently across our industry. If we were all watching the Netflix business model evolution closely we might talk about (and work on) this more. Perhaps when Netflix changes their name to NetContent or NetAV..or NetLibrary, more aggressive action will be taken in our industry?
I REALLY wonder what you think though.
And now for something completely different! Me being a dork with my new XO laptop. Woo hoo!
Libraryman + XO = Supercool
I think libraries are moving in this direction with services like Overdrive. http://phoenix.lib.overdrive.com You can download movies and music as well as audiobooks and e-books. The movie and music selection need some help, but I know overdrive is moving in that direction. Furthermore, once there is a standard for ebooks so that any device can read what is available from overdrive is when you will the library market explode. We are at the tipping point in offering this type of content that will appeal to our digital audience.
Great post. Important topic. Would love to see more discussion of this.
To Jeff’s point, Overdrive is trying, as is NetLibrary with a decision to pause video release until they are more clear about a few things (my necessarily vague explanation of my understanding of that decision). Perhaps it is an attempt to be somewhat applauded, but not something that could be considered deeply significant thusfar.
To this point, video is really an artificial distinction in almost all regards. Video, audio, still text, or whatever people are trying to access and libraries are in the business of providing is simply CONTENT. My professional philosophy is centered around the equation that Content+Community=Libraries.
So in my mind this is not a video discussion. It is a content delivery discussion. And content delivery is something our industry, an industry based on sharing content, is woefully behind
When I do presentations I often show a screen listing companies on the net trying to be in the video content deliver business. That collection of hundreds of logos fill the screen. The next screen I show lists Overdrive and NetLibrary and then has shots of what those serivces offer. iTunes alone just blows it out of the water.
As far as ebook readers go, I really do agree. I do different presentation that includes a great big section on device evolution. The technological developments totally support your stance here in my opinion. And if that same e-content device did what the Vudu (linked in the article) does, well, where is the library in that transaction. It sure won’t be free.
There are lots of angles to take here and I appreciate the comment very much. You too Marilyn!
Oh, also, please check out the comments on the kindle pic I uploaded to flickr a few weeks back. Wow! Great flurry of comments, opinions and debate. Check it out:
http://www.flickr.com/photos/libraryman/2048264201/
Part of the problem is content producers are beginning to pull back on the original deal with libraries. We purchased a book/item and we let people use it again and again. In the digital world, they call that piracy. As a result, the next wave of content is tightly controlled. My fear is more that we will get locked out of the market. However, it seems we can work as a consortium to push these vendors to provide the content we want. Publishers know the power and reliability of a public library to buy their stuff. They won’t want to cut us out as it means billions of dollars annually.
Overdrive is a fine product - unless you own an iPod, THE dominant digital audio player on the planet. Jobs and Gates need to get over themselves and work cooperatively on something other than MS Office.
For those not familiar with Overdrive they have an interesting sales model: libraries buy a “copies” which check out like other library material. When copies are all checked out, customers have to wait in a reserve queue.
This is a model that content distributors could get on board with - it guarantees a limited number of users per sale [thwarting piracy] and provides the tight control Jeff spoke of. A clever distributor would, like Overdrive, offer to host the “copies” for a small annual fee.
Now all we need are universal formats and devices. You may say I’m a dreamer, but I’m not the only one.
Now, a year after the original discussion, what is happening in the library community? How have we moved into the world of digital content delivery for dramatic video and audio productions? I’m late to the conversation, but still interested.
I’d have to say no, we haven’t moved into the arena. Though some of us are still working on ways to expand these services and connections that can make things happen. It is certainly easier to blog about than it is to do in real life, that is for sure. Still, I am just as hopeful and I am concerned.
Hey Michael,
There was an interesting discussion that took place on Hacking Netflix, ‘Should Libraies Outsource DVD Rentals to Netflix?’. The comments show an awareness by patrons of the ideas you are expressing here. The business model presented may need some work, but I think it would be a great partnership. On the down low I have heard of public libraries use Netflix to provided DVD rentals to patrons, but this is prohibited in the Netflix Terms of Use.
http://www.hackingnetflix.com/2006/10/should_librarie.html
wonderful issues altogether, you just won emblem new|a new} reader. What may you recommend in regards to your submit that you just made some days ago? Any sure?
I like this website very much, Its a very nice post to read and receive info.
This was a fantastic post. Really loved reading your weblog post. The information was very informative and helpful.
7The big guns of French pret-a-porter such as Chanel Sandals climaxed their respective collections for Spring-Summer 2012, offering styles that were minimal at first glance but maximum in fabrication, color and details.
It’s actually a great and helpful piece of info. I am satisfied that you simply shared this useful info with us. Please keep us informed like this. Thank you for sharing. comment recuperer son ex
I am so glad to hear that practical activities about water issues, environment friendly agriculture and many other matters will be set.
Very nice, gives me a lot of inspiration being right in the midst of a redesign. It’s all in the details and comment forms are definitely overlooked more often than not. Time well spent on this post. This is a very good idea! Just want to say thank you for the information, you have to share. Just continue to write such a position. I will be your faithful reader. Thank you again.
Neat website! A design like this one would definitely make my blog stand out. Please tell me the place you bought your theme. Thanks a lot!