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State of the art livestream technology has some serious issues. It's hard to do, the pricing is complicated, and it doesn't scale like traditional over-the-air broadcast television, which cuts into broadcaster margins. At the same time, viewers are looking for alternative modes of consumption, moving heavily to consume more on mobile devices, for example.
Today, every additional viewer incurs additional cost for the broadcaster, but a distributed solution based on peer-to-peer technology can change that, and bring a model for monetization to online live broadcast that looks like traditional television.
3. How Consumers Spend Media Time (HH:MM) Each Month
133 HRS 49 MIN
ON LIVE TV
27 HRS 3 MINS
USING THE INTERNET
ON A COMPUTER
34 HRS 17 MINS
USING BROWSERS/APPS
ON A SMARTPHONE
13 HRS 12 MINS
WATCHING TIME-SHIFTED TV
[ +9:52 ]
[ +1:42 ]
[ -2:44 ]
[ -1:54 ]
+ CHANGE SINCE 2012 - CHANGE SINCE 2012
4. BitTorrent, Inc. | NAB For Internal Presentation Purposes Only, Not For External Distribution .
Why This Version of the Future Won’t Scale
4.6MM Servers
5500 MW of power (5-10 nuclear plants)
$5B monthly CDN bill
Avg. household TV viewing = 66 ExaBytes
Online distribution would require...
8. Challenges with Live Provisioning
Big events = massive infrastructure
Can’t scale to viral popularity
Complicated pricing
Insane overage rates ($0.20-0.50/viewer hr)
9. The Goldilocks Paradox
of live provisioning
Provision too
much
Wasting money.
Provision too
little
Distribution failure.
Provision just
right
Still spend too much
money and resources to
set up infrastructure with
incremental costs per user.
Often cannot know the
right amount because of
the nature of live
broadcasting.
10. You don’t want to fail
right when things are
getting good
21. CDN Distribution
Costs scale linearly with
audience size.
Peer to Peer
No incremental cost for
additional viewers.
Delivers margins like
distribution of traditional
television broadcasting.