Technological improvements in mobile video players that stream multimedia content over the wired and wireless Internet are rapidly changing mobile communications, broadcasting, cable and satellite TV, marketing and advertising. The Roku player is a recent example of potential mobile convergence. The price for Roku and Netflix together? Less than $15 a month.
Roku Digital Video Player Description
For the benefit of anyone unfamiliar with the device, let me briefly describe how Roku and similar devices could drastically change multimedia delivery and mobility.
The Roku digital media player is a network IP-based device about the size of a pocket book that streams audio and video over the Internet to computer monitors, TV sets and audio/visual systems. On the back of the device are component, S-Video, and HDMI video and composite and optical audio ports.
High Resolution Video and Dolby Stereo
The quality of video and audio is dependent on your Internet connection speed. As download speeds increases, video and audio quality improves. While testing the Roku/NetFlix service in the past month, I experienced very high quality resolution, including HD and Dolby stereo, using a Comcast broadband connection (15Mbps to 20Mbps), an Apple Airport Base station streaming wirelessly at 54Mbps, a Samsung HD TV and Denon audio/video system, connected with HDMI and optical audio cables.
The quality of the video and audio is exceptional. In fact, audio and video clarity is better than my Directv DVR and service which I have since suspended for six months. Naturally, Roku video and audio quality is lower than a DVD’s, but not significantly.
Why Cable and Satellite Service Providers are Worried
The Roku player is very similar to digital video recorders provided by cable and satellite TV companies. Roku customers can pause, fast-forward and rewind, although it’s not as smooth as a DVR. The main difference is the lack of a hard disk. Audio and video downloads from Roku with media content supplied by its service providers–NetFlix, Amazon On Demand and MLB, an online baseball game service.
Similar to your “always on” service connection, content is available 24/7. Roku differs from traditional services by not storing downloads on a local hard disk, reducing your electric bill. Instead, programming is stored on Roku’s servers and pushed to the Internet cloud on demand when you request it, not when it’s available from cable and satellite providers.
Cable and satellite providers now realize the appeal of on demand programming. Even if you own a DVR, you must still wait for programs to air before watching them live or recording to your DVR. Therefore, the only advantage of a DVR is allowing you to watch TV content at a later time. Using Roku, however, you don’t need a DVR and you don’t have to wait. The Internet delivers content when desired.
On Demand MultiMedia Similar to Amazon’s Kindle and Sony’s Reader
The online service is provided to all NetFlix customers, along with mailed DVD’s at no additional charge. Customers select movies and older TV shows on NetFlix’ website and order current movies and TV fare using the Roku remote from Amazon Video On Demand and MLB. It’s similar to owners of Amazon’s Kindle or Sony’s Reader. A vast library of books, magazines, newspapers and other text is stored on computer servers waiting for you to buy and download them. With Roku, however, you pay one monthly fee for NetFlix. Amazon and MLB charge extra for 24 hour movie rentals or sports events.
Paying for Channels You Don’t Watch: “More is Better”
If you look at your cable or satellite TV monthly bill, you may ask yourself: “Why am I paying for channels and content I never watch? Two marketing strategies used by cable and satellite providers is choice: “Receive more HD channels” and “record two shows while you’re watching a third.”
The “more is better” strategy is ludicrous. No one could possibly watch 250 TV channels–HD or not. And while recording multiple programs simultanteously appears beneficial, when would you have time to watch the shows?
If you review cable and satellite pricing plans, you soon realize the only reason for the “get more” pricing strategy is to charge you higher rates regardless of your usage. If you own or rent a DVR with HD service, the monthly cost difference between the cheapest programming package and the highest is $20 or less. Cable and satellite providers may advertise $30 per month for local station “basic” service, but it costs extra for HD channel access, DVR rental and additional HD channel packages.
Mobile carriers use the same strategy with their “buckets of minutes” and “unlimited data plans.” If you don’t use your purchased minutes or download little data, you pay the same price. Would you pay your Internet service provider more if you downloaded more data by the megabyte? Clearly, you wouldn’t.
What About Local and Other Channels?
My biggest concern when suspending Directv was losing local TV stations and a few programs I enjoy on Sci-Fi and other channels. However, after viewing full-length movies and television series with Roku–programs I’d never heard of or watched before–I became very satisfied. Besides, many television networks and stations, including PBS, now stream current shows over the Web. Plus there’s plenty of Internet news and information (plus reading three newspapers) to keep me informed.
No Advertising
One of the refreshing experiences during my month’s test of Roku, especially watching TV series, was 0 commercials. Each 45 minute episode of an hourly program was stripped of interruptions by advertising. Very nice.
Pricing Strategy
Is this a viable, sustainable pricing strategy? Will it keep Roku, NetFlix, Amazon On Demand and other programmers in business? I think so. While the “use all you want” strategy for less than $15 a month is low, Amazon, MLB and other program providers charge $3-$5 for each movie or television show. To me, that’s an acceptable “pay what you use” plan. A video store would charge me the same or higher.
Amazon, by the way, gives you the option to purchase and store your videos. You never have to worry about losing a DVD or having your dog destroy it playing Frisbee. Amazon keeps the video on its secure servers and you can watch the DVD anytime.
The Ultimate Mobile Multimedia Device
Because the Roku Player is so small and light, it’s portable and mobile. Disconnect the audio and video cables, stick it in your backpack or purse and view videos in your queue wherever you have an wired or wireless Internet connection and a computer display or television. Try doing that with your DVR.
And…in the not too distant future…Imagine a mobile phone with an HDMI port running on a 4G wireless network with an app called “Roku Mobile Player.” The ultimate in mobile multimedia device for your iPhone, netbook or laptop.
The mobile and portable journey has just begun.
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Roku SoundBridge R1000 Radio Network Music System


{ 3 comments… read them below or add one }
This is a great appliance, easy to install, and does everything they say it does. BUT…there are no outputs so it can not be connected to external speakers or to a music system.
The Roku Player has HDMI, component and composite video outputs as well as optical and analog audio ports. Good luck selling your cables.
Roku just announced ten new channels that integrate social media and other multi-media services such as Pandora Internet Radio. It’s a free software update for Roku owners:
http://www.roku.com/roku-channel-store?utm_source=newsletter_nov_textlink&utm_medium=email&utm_campaign=newsletter_nov_textlink
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