How a Google-Powered Set-top Box Could Make a Splash

By JOSE FERMOSO
GigaOm.com

Published: April 19, 2009

http://www.nytimes.com/external/gigaom/2009/04/19/19gigaom-how-a-google-powered-set-top-box-could-make-a-spl-22723.html


It looks like Google’s search robot will finally be crawling its way to 
your TV. According to the chairman of Japan’s Open Embedded Software 
Foundation (OESF), several Android-based set top boxes will be shown in 
the fall at the CEATEC electronics show.

Set-top boxes (STBs) offering Android-type features are already popping 
up. Motorola recently launched the open Linux-based ‘au Box,’ with a 
focus on establishing a stronger bond between video and music content, 
mobile phones, and the web. The box takes recorded media and transfers 
it to phones (taking the place of the PC) but the key is that it’s 
managed by users through the TV and includes a web browsing portal. It’s 
another small step to acclimate people to the long-awaited union of the 
web to TV, while ingeniously tapping on the heavy influence of mobiles.

Motorola has denied reports it is working on an Android-based box, but 
who are they kidding? The reason why some mistakenly thought Motorola’s 
box was Android was precisely because it fits the profile of something 
Google would do. It’s a placeholder for what happens next.

Sure, a box that only serves as a middle-manager for media center apps 
for phones might seem limited, but if you put Android on a TV, it might 
have far-ranging implications. Let’s take a look.

Because TV is an ad-supported environment and mobile phones are not, 
Google could finally have a successful TV version of its ad platform. 
Before the recession, optimistic analysts predicted that a ‘Googlebox’ 
could bring in huge TV ad revenue, upwards of $130 million a year by 
2010. Though the struggling economy has lengthened that timeline, 
accessing web content through TVs is still the way of the future.

For example, widget web streams that live on a graphic layer at the 
bottom of a screen are on the verge of mainstream availability. Earlier 
this year, Yahoo and Intel moved into that space by unveiling an open 
SDK that helps developers create TV widgets, are customizable enough to 
open up the personalization of ads, and a umbilical-type connection 
between STBs like the au Box and users’ phones will push that further.

But Yahoo’s widget program is still just a sliver of the web placed on 
top of “real” TV programming. The way Android can succeed is by taking 
the programming infrastructure away from the cable operators and 
reshaping and enhancing it in the manner of Web 2.0. This means 
personalized channels, smart virtual machines, short-form social 
communications (i.e. Twittering), and robust search functions. If you’re 
watching baseball on TV, you could switch to photo web feeds from 
people’s cameras at the game and receive their tweets on screen, with a 
graphic showing GPS coordinates of their stadium location. Creepy, cool, 
and useful!

Yes, cable operators will resist by fighting for control of any ad 
platform and will create their own deals with content providers, like 
they always have. But this is a rare instance where owners of the 
content pipe might be at a disadvantage. In the last couple of years, a 
lot of popular TV content has become widely available without monthly 
subscriptions through web portals like Hulu. Since TV makers are in the 
middle of a massive downturn and are looking to sell new sets, they’re 
also bound to help web companies free their TVs from old UI 
restrictions. Case in point, most top TV makers have already jumped on 
board with Yahoo’s widgets program. Expect to see similar initiatives at 
NAB next week.

Android should take note of recent improvements to existing set-top 
boxes and game consoles, notably TiVo’s new, visually-rich search 
function, which gives users better show suggestions, and the Wii’s 
excellent menu, with its 47-channel customizable grid. A better path for 
Android OS might be to avoid the set-top box altogether and align with a 
TV manufacturer to create an affordable Google-branded TV. Better yet, 
Google could build the TV itself through a cheap OEM.

It’s important to note that in its short time (and despite many delays), 
the G1 phone has been fairly successful and the connection being 
developed between phones, PCs and the web might have stronger emotional 
pull for people than TVs in the near future. G1 sold more than a million 
units in a shorter amount of time than the iPhone. Plus, far more phones 
are sold throughout the world than TVs. And as we’ve noted previously, 
the best TVs are being overtaken by cheaper versions of themselves, so 
it’s not like customers are clamoring for “best-in-class” displays. If 
they feel a web-TV is more useful and offers the best convergence of 
technologies, especially with phones, that’s what they’ll choose.

We think the TV manufacturers probably need the web more than they think 
they do. They should give Google a call.

-- 
================================
George Antunes, Political Science Dept
University of Houston; Houston, TX 77204 
Voice: 713-743-3923  Fax: 713-743-3927
Mail: antunes at uh dot edu

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