Despite recent efforts to bring more American TV to Canadian computer screens, insiders close to the recent online launches of Deal or No Deal, Survivor: Cook Islands and The O.C. note that the emerging broadband platform is still in its infancy and, with no working business models in place, that securing online rights to American fare requires complicated negotiations.
Online distribution deals are negotiated on a one-off basis and differ with each network or studio with respect to what content is available, and under what terms.
‘We’re in a period of experimentation and we’re working through various business models, but at this time there is no definitive model,’ says Greg Treffry, VP of business development for Global Television. ‘It takes a lot of work to ensure all the rules being established for each individual studio or network are being adhered to.’
A top priority for the Americans is digital rights management – ensuring that their content is restricted to Canadian audiences, through Internet tactics such as IP blocking, so that online deals north of the border do not cross wires with any online airings in the U.S. or elsewhere.
‘Digital rights management is very important,’ says Treffry. ‘It’s one of our top priorities.’
Other ongoing challenges include how to promote online programming, determining the types of programming online audiences are looking for, and developing advertising models that work best with the emerging platform.
One advantage for the advertising side, tracking online audiences can reveal more specific information about unique users than traditional ratings.
Global became the first Canadian caster to provide Internet access to a U.S. primetime show in September, when NBC’s hit game show Deal or No Deal started streaming at globaltv.com.
It added CBS’s Survivor: Cook Islands and NBC’s new game show,
1 vs. 100 with host Bob Saget, in October. Online episodes of each show are available following broadcasts.
Global’s sister CH network runs another U.S. game show, ABC’s Show Me the Money hosted by William Shatner, on air and at www.canada.com/chtv.
According to Treffry, Global is committed to building up its inventory of American broadband. ‘From a CanWest perspective, we’ve been aggressively pursuing [online] rights for quite some period of time,’ he says.
So far, Global’s online U.S. programming is game show-heavy, but it has not targeted the genre specifically, he says. ‘It was just the openness of those individuals to do something first.’
Building a library, which includes top U.S. shows, is also a priority at CTV, according to VP digital media, Kris Faibish.
‘The next biggest hurdle for us is acquiring a saleable library, or inventory, of programming that is going to be consumed on broadband,’ she says.
CTV recently aired two episodes of Warner Bros.’s The O.C., with the season four premiere streaming on its ctv.ca broadband site on Oct. 30, three days before its television broadcast. The next day, episode two was available via broadband, a full week before it aired on conventional.
Episodes of The O.C. mark the first time Canadians have had access to a U.S. network drama on broadband, though American speciality fare has been streaming on the MTV Overdrive site, another CTV sibling, since March.
According to Faibish, streaming episodes of The O.C. was a successful trial for CTV, but it is still in the process of determining how best to structure business arrangements with U.S. distribution partners.
‘It’s not as simple as cutting a cheque. There are a lot of sensitivities. We work with our distribution partners and are very sensitive to their concerns about, for example, security.
‘This is a brand new world in that all of these platforms and the rights for each of these platforms at the moment are having to be negotiated in one-off cases,’ says Faibish.
Telefilm competition’s got game
Telefilm Canada is offering up to $2 million in funding to video game developers by way of The Great Canadian Video Game Competition, intended to help Canadian developers become world leaders in the $20-billion gaming market.
Ten companies will receive up to $50,000 for development of a game. Four of the 10 will go on to receive up to $250,000 to create a prototype, and one big winner will receive up to $500,000 to bring the game to the marketplace.
Eligible game development companies are asked to register at www.telefilm.gc.ca/game by Dec. 15.