Joost gives up on TV streaming

Joost gives up on TV streaming

joostIf digital delivery is really overtaking physical formats, someone forgot to tell Joost, who gave up on delivering repurposed content through their online streaming service earlier this week. Instead, Joost will be focusing on delivering third-party video content.

Joost is restructuring their company, including letting go 100 employees. Ad supported content online hasn’t been realizing real profits compared with traditional media delivery through broadcast, cable, satellite and on physical discs. It is especially difficult for Joost who isn’t owned or affiliated with the major broadcast networks, who own both Hulu and TV.com.

The CEO of Joost, Mike Volpi, is stepping down (while remaining chairman of the board). He commented, “In these tough economic times, it’s been increasingly challenging to operate as an independent, ad-supported online video platform.”

Advertising budgets have been cut across the country in this recession, and this is also not helping matters.

I think the future of on demand content will be provided through the established cable and satellite companies. Programs will be available when you want them through the set-top box connected to your TV. I just hope the revenue will remain high so the quality of the shows won’t suffer. But I do think physical media will remain popular for full-length feature films.

About Steven Kippel

Steven Kippel has worked as a systems designer for a leading high-end audio/video custom integrator in Southern California since 2003. He is responsible for researching new technologies and integrating them into existing systems and new construction projects. He has designed several high-profile systems for discriminating clients on the cutting-edge of technology. When he is not hard at work, Steven is spending time with his wife, playing with his band or promoting concerts and bands in the Inland Empire. His favorite bands include The Cure, U2, Eisley, Living Sacrifice and DragonForce.

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