CBS Launches Online Streaming Service

That's right, you heard me. CBS is the first broadcast network to create a stand-alone streaming option for viewers.

It's been a good week for television fans. On Wednesday, HBO announced that their streaming service will be available to people without their pay-TV subscription starting 2015. On Thursday, CBS announced CBS All Access, a new streaming device for $5.99 a month that includes current and previous programming. That's right, kids. You no longer have an excuse to not watch The Good Wife.

“CBS All Access is another key step in the company’s long-standing strategy of monetizing our local and national content in the ways that viewers want it,” CBS President and CEO Leslie Moonves said in a statement. “This new subscription service will deliver the most of CBS to our biggest fans while being additive to the overall ecosystem. Across the board, we continue to capitalize on technological advances that help consumers engage with our world-class programming, and we look forward to serving our viewers in this new and exciting way.”

This is huge, because CBS is the largest broadcast network. The Big Bang Theory, one of CBS's programs, was the most watched television show of last season, and had more than 18 million tune in for the Season 8 premiere last month. CBS All Access will also include special programming, like the Grammy Awards, the Academy of Country Music Awards, and the Victoria’s Secret Fashion Show. There will be ads for current programming, although commercials will run between 9-12 minutes, as opposed to the 12-16 minutes of advertisement on television. Another big plus is that previous programming, like Twin Peaks (which seriously all of you need to watch if you haven't already), will not have advertisements.

My only complaint is that CBS All Access will not include the NFL games. Hopefully they add those one day. Speaking of adding onto the service, CBS All Access will initially only be available in major cities, including New York City and Los Angeles, of course. The network, however, said it plans to expand.

The Evolution of Netflix

Over the past several years, Netflix has revolutionized the way people watch television.  As with most fledgling companies, it took Netflix several years to carve out a niche in the video rental industry. In 2000, only three years after Netflix was founded, video rental behemoth Blockbuster turned down the opportunity to purchase the company for a mere $50 million. However, as the 21^st century progressed, Netflix emerged as a viable contender to companies like Blockbuster. Unlike many of its competitors, Netflix embraced emerging technology that made provided more convenient ways to view movies and television shows. As brick and mortar stores diminished and streaming became popular, Netflix flourished while most of their competition diminished.

Although they started solely as a video rental service, Netflix quickly evolved into an unprecedented medium of media. A significant part of this evolution began in 2011, when Netflix announced that it would be acquiring original content for its streaming service. In 2013, House of Cards became the first original series to stream on Netflix, receiving critical acclaim. In many ways, Netflix’s new business model models that of HBO’s pay-tv model. Interestingly, in October of this year, Netflix passed HBO in the number of paid U.S. subscribers.

With thousands of older television shows and movies alongside original series, Netflix has caused some individuals to leave their cable providers. Along with the ability to binge watch series, Netflix is changing viewer’s expectations for watching television.  However, the television industry isn’t the only industry that may feel the effects of Netflix’s business model. Just last week, the company is considering releasing films on Netflix and in the theaters on the same day. Although such a plan is likely years off, its repercussions would be huge. With movie attendance already seeing a decline, Netflix is in a unique position to change the future of the industry.