NAB: AT&T, Verizon Execs Discuss Content Challenges

Also caught in the local content conundrum, AT&T seems to be more focused, at least in comments on the topic in the panel discussion on how to offer it.

“We’d look to do it nationally and keep it on video-on-demand as opposed to tying up a linear channels, said Dan York, executive vice-president of programming for AT&T and its U-verse TV-driven bundle.

Perhaps AT&T is still dealing with content carriage and licensing fee deals with content owners, looking first to deal with the content it already has, and wished to add beyond the local area. “Content owners tend to want to take a year and a half just to negotiate an extension to a current contract,” said York, when asked to name his biggest content challenge.

York also mentioned competition for content for U-verse as an ongoing issue, claiming it competes with the four largest U.S. cable operators for programming, and ironically, with the two satellite-based operators - DISH and DirecTV - whose video services it resells in areas it can’t compete cost effectively with using landline facilities.

Verizon also resells video services from a satellite-based operator, noting that is how it got its first experience in the market.

Both telco TV providers realize that more local content can open the door for local advertising.

Asked if AT&T is considering/would consider stealing a page from its cable competition and actually buy and fully own content, York stopped short of a detailed reply.

“We’re looking at all our options,” said the AT&T exec.

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