Posted by mobile phone:
Suranga Chandratillake, CEO of video search company Blinkx yesterday told the FT of his plans to launch an online television service by March next year.
They are entering a crowded market, and their planned service is superficially similar to Joost and Babelgum, in that it will be free to the consumer, depend on highly targeted advertising to make the business model work, and use P2P protocols to get the video stream to the desktop.
The Blinkx service has two key differentiators from the competition which I think give them a good chance of success. One is technological and the other is strategic.
The technological advantage lies in their video search and profiling capabilities. Blinkx claims to be the wrlds biggest video search engine, delivering 4.2m searches per day, and Suranga believes they will be able to leverage this position to deliver on the oft promised aspiration of highly targeted advertising.
The different strategy choice Blinkx has made is to focus on the mid-tier of programmes. That saves them from having to compete for expensive content deals, and will hopefully give them enough niche content that isn’t readily available on mainstream TV to get people off their couches and watching on their PCs. I think that this is what it will take to unlock the market anytime soon.