Is The Next YouTube?

from the dept

With online video being so hot this year, one company that’s getting attention is MLB Advanced Media, better known as, the official site of Major League Baseball. The league’s done far more to use the internet than have the other major sports, and it boasts an impressive number of users who pay for live streaming of games and stats packages. It claims to have revenue of $195 million in the last year, and its success can be attributed to a combination of an early start and a good job identifying what consumers want. A few years ago, there was some discussion of taking the company public, and with the big money showered on YouTube, there seems to be renewed interest in it. The league believes the property could be worth close to $5 billion. But this number seems based on the same kind of relative thinking that prompted one analyst to value MySpace between $10-$20 billion. Other than the fact that they both stream video, is nothing like YouTube. YouTube offers a fresh way of consuming and sharing video, whereas simply tries to replicate the TV experience over the computer. That may work fine for now, but it’s going to keep having battles like the one against Sling as people seek to consume the content in different ways. For the site to thrive, it can’t get comfortable with its early success; it needs to keep experimenting and trying new things, just as it did when it first launched.

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Comments on “Is The Next YouTube?”

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Michael says:

Not trying to replicate TV

The MLB.TV market is limited to big baseball fans, but the idea that it is just trying to replicate TV is off base. The key difference is it allows someone to watch ALL games, where TV only shows specific games. This is a big difference for people following their team where geography doesn’t allow (Red Sox fans not in Boston, etc.). I don’t know how big this market is, but whose only current competition is expensive cable/satellite annual subscriptions and NOT Slingbox or TV. Given the huge contractual limitations of local and national TV deals, I don’t see regular TV being able to compete with MLB.TV at all.

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