Buying Your Internet TV From Tesco

Competition in the technologies underlying the internet TV industry is becoming overwhelming. Although demand for bandwidth is growing rapidly, prices are falling faster, and with the market's largest customers such as Google and Microsoft becoming self-sufficient, the actual size of the commercial market is not experiencing the kind of growth that the boom in HD internet TV might indicate.

Likewise, there are now hundreds of companies offering video management and video player management platforms, with Brightcove yet again lowering prices after raising them around a year ago (a clever strategy, but the market is familiar with their tricks by now).

Even the customer supply market is suffering from a glut, with retail giant Tesco now announcing that it is ending the domestic broadband provisioning market.

The result of this is that there will be the inevitable mergers, bankruptcies and price wars.

Companies like Tesco, who are used to 'piling them high and selling them cheap' will benefit, as will providers like Level 3 who own the infrastructure and can therefore underprice at will.

Differentiating is going to become more and more important and who wouldn't bet against Tesco offering Internet TV sometime in the future ? After all, they already sell the boxes, the content and now the broadband.