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Xbox Boosts On-Demand in the UK

Posted by Andrew at 3:42 AM on October 7, 2011

Earlier in the week, Microsoft gave the Xbox a big push in the race for HDMI 1 with Steve Ballmer announcing Xbox TV and partnerships with over 40 content providers. Jeffrey Powers has already covered the main announcement on GNC but I wanted to add a little bit of UK spin.

In the UK, additional programming boxes such as the Roku, Boxee or Apple TV are very rare. Most of my friends would enjoy their gadgets and technology but I don’t know a single one of them who has an extra box. However, many of them would have a games console and there’s a fairly even spread of Xboxes, Playstations and Wiis. Consequently it’s no surprise that the race to provide on-demand content is taking place on the consoles.

Most people in the UK are using the availability of on-line TV to catch up with programmes they missed when they were originally broadcast. What typically happens is that you go into work and some says, “Did you see…..last night? It was brilliant” and you watch the programme through the various free on-line services. The BBC’s iPlayer is very popular.

Reviewing Microsoft’s press release, here are the organisations that will provide on-demand content available in the UK on the Xbox. I’ve ignored the standard social networking sites, such as Facebook and YouTube, but have added the organisation’s background so that non-UK residents can get a feel for what’s happening.

In terms of the numbers, the traditional terrestrial and satellite broadcasters have the greatest presence and there’s only one major UK broadcaster missing from the list, ITV, which is a conglomeration of regional broadcast companies.
LOVEFiLM is owned by Amazon, Crackle is a Sony property and blinkbox is 80% owned by Tesco, one of the UK’s leading supermarkets.
The challenge will be to get consumers to pay for the on-line film rentals. Here in the UK, there is lots of good free programming which was originally broadcast but is now on-line through the broadcaster’s portals via tools similar to iPlayer. It will be interesting to see how the paid-for market develops and if the games consoles are key to the transition. It’s certainly where the media companies need to be for the UK market.