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Disney to Test Free Online Video-on-Demand Service

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Disney’s ABC was the first network with shows for sale on iTunes and now they look to be the first with a full range of shows available for viewing online, beginning with ‘Lost’ and ‘Desperate Housewives’ in May. For two months, the network plans to test free online video-on-demand with a range of shows, from the previously mentioned to ones from other Disney-owned channels. The shows will, of course, feature commercials, but not the ones you’d have seen watching your local affiliate. Disney has lined up special sponsors for its online experiment and you won’t be able to skip the commercials. You do get fast-forward, reverse and pause functionality, but they won’t work while the commercials are on. Disney is also launching a soap opera broadband network in April available only to Verizon subscribers.

It’s terrific that Disney continues to look at new ways for delivering content in multiple ways to meet different consumer needs. This is one of the bolder moves from any of the networks yet and, so far, Disney has shown that they’ve been willing to make an honest attempt to make things work well. Shari Ann Brill, vice president-director of program services for Carat USA thinks it may even “hurt the DVR model.” This is where I tend to disagree. I’m still not entirely convinced that most people want to watch television or movies on computers or iPods. To say this particular experiment will hurt DVRs is pushing it, I think. I wouldn’t be surprised, however, if they get a lot of traffic and decide to continue past the two month window they’ve announced.

Will online VOD eventually replace the need for owning a TIvo? Sure, but not until I have broadband direct to my HDTV with programming delivered at broadcast resolutions, not on my 17” PowerBook. Every so often, I might need to catch a show on the small screen, but I don’t feel it’s the best experience and don’t expect many other people will either. I have to admit though, it will be great to re-watch Lost the morning after while at work. We’ll call it research.

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