Straight From the Source
Following Neal’s comments earlier about direct distribution of content that could increasingly render middleman distribution channels unnecessary, CBS has done something similar with its famous "Survivor" reality show. Though CBS is a distribution channel itself, in this case it is cutting out the digital "on-demand" distribution channels that have recently formed for online content such as iTunes and the Google Video store.
Along those lines, NBC has announced that it will do the same thing with its new reality show — an "American Idol"-like music competition called "StarTomorrow" — by offering it exclusively on NBC’s site.
This is a young industry, so expect a great deal of experimentation with distribution strategies such as this. PaidContent reports on another online distribution model that is beginning to gain attention, which mirrors that of the offline broadcast world in that it relies on local broadcast affiliates. In this setup, such affiliates would offer downloads and streams of network programming on their Web sites.
In the offline world, local affiliates make sense because they can provide local news and broadcast towers. But online, these things are less relevant. So local affiliate Web sites need to prove a value-add to networks if they are going to use their content and profit from it. Local advertising and increased distribution of content (with a revenue share model) might be the answer.