Two Year's Later, Google Still Can't Deliver YouTube Without Stuttering & Buffering

It's been just over two year's now since Google acquired YouTube and while the debate rages on in the industry about how YouTube will make money, few people are discussing the quality problem Google continues to have with delivering YouTube videos. While we know the sheer volume of bits that Google is delivering for YouTube content is massive, you would think that by now they would have figured out how to do it without all the buffering, stuttering and terrible user experience.

And I'm not talking about the quality of the video in terms of the production value of how the video was shot. I'm talking about simply being able to deliver a video without having to wait 15, 20 or 30 seconds for it to start up. Most of the videos on YouTube are short-form and only a few minutes in length. Yet regularly, I have to wait 20-30 seconds for a clip to buffer, even though the clip itself might only be 30 seconds in length. And to make matters worse, for all the people that say "YouTube streaming", YouTube is not streaming. All YouTube content is delivered progressive download, via HTTP, and is not being delivered from a Flash Media Server (FMS). Delivering and scaling video via HTTP is much easier and cheaper than using a streaming media server and streaming protocol. So what's Google's excuse?

It's not as if I am the only one who has this problem. So many people do Google searches regarding the topic of YouTube buffering issues that a short little post I did on my blog a year and nine months ago entitled "Is Google Having Problems Delivering YouTube Videos?", continues to be the number one post on my blog in terms of traffic. As you can see from the comments with that post, this is a constant problem for YouTube viewers.

For all the talk of how YouTube is going to monetize publishers content or what ad model will work best, Google seems to be forgetting that none of those questions matter if you can't even deliver the content with reliability. With such a terrible reputation for video delivery, how does Google think YouTube will ever make money? Viewers only watch so much YouTube content and put up with the poor experience because the content is free and has no ads. Try getting someone to watch a video that takes 15 seconds to buffer and then delivers them an ad before the content. It won't happen.

While I don't know all the details surrounding how Google delivers YouTube content, I know that the vast majority of it is delivered by Google themselves, without the use of any content delivery network. Based on the size and scale of what Google is already delivering, it would make sense that done correctly, Google could deliver the video cheaper than a CDN could offer. But when does Google take into account the quality factor? Why don't they care about the user experience at a time when they are trying to figure out how to make money? YouTube is the quintessential example of how simply having tons of traffic and eyeballs does not guarantee you a business model or sustainable revenue. Quality also plays a role.

While I asked Google for details on why YouTube videos buffer so much and why video delivery is still such a problem, no one from Google would comment. The same way no one from Google ever comments when asked about their bandwidth or delivery costs. And why Google is under no obligation to say how much it costs to deliver YouTube videos, Google should feel an obligation to explain to their users why they have such a bad user experience. YouTube would be nothing without all the people who supported it and made their traffic go through the roof and as a result, enabled YouTube to get bought by Google in one of the worst deals, in my eyes, the online video industry has ever seen.

Netflix Player By Roku Nearing 100,000 Units Sold: 1% Of Netflix's Subscribers

In an article I wrote for GigaOm.com yesterday entitled "Content Offerings Only Reach a Few Million TVs", I broke down of the number of non-PC related products like the XBOX 360, Roku, PS3, TiVo Series 3 and VUDU devices that are really capable of getting movies and other online video content. For my sales estimate of the Netflix player by Roku, I estimated that to date, Roku had sold 10,000 units.

Since publication of the article, I've now learned that the accurate number of units sold is closer to 100,000. While it surprised me the number was that high, it does seem possible, as that would equal about 1% of Netflix's 8.2 million customers. Considering the price point ($99) and the fact that the product's marketing is very focused, to a targeted audience, Roku's penetration rate would be higher than the average product that has only been on the market for eight weeks. Plus, once you have the Roku box, the content is free.

At this rate, it will not take too long for the Roku box to outsell Apple TV. Apple TV has been on sale for 20 months now and based on published reports, has sold a bit less than 400,000 units. Roku has sold nearly a quarter of that in only 2 months time. And with the promise of the Roku player being capable of getting more than just Netflix content down the road, this little device has some real potential to make a real impact in the market.

Pure Digital Announces It's New Flip Video Mino Camcorder

Today, Pure Digital Technologies announced a newer, smaller version of the widely popular Flip Video camera. Called the Flip Video Mino, the unit comes in at 40% smaller than the original Flip and has rechargeable batteries. Retailing for $179.99, the new unit weighs just over three ounces and is being targeted primarily towards teenagers.

Unfortunately, the new Mino only has 2GB of on-board flash memory and captures up to 60 minutes of TV-quality video, which are the same specs as the original Flip. The Mino has new touch-sensitive buttons to record, fast forward, rewind, pause and delete and the new internal, rechargeable lithium ion battery recharges whenever the camcorder’s USB arm is connected to a computer and provides more than four hours of recording time on a single charge.

I'll have a review unit in a couple of days and will do a follow up post with some videos.

Online Video: Should Content Creators Get a Cut?

At the Streaming Media East show on Wednesday May 21st, Eric Rosser Eldon from VentureBeat.com will be leading a session entitled "Online Video: Should Content Creators Get a Cut?". Last year, writers in Hollywood went on strike against movie studios and television broadcasters, in part because they demanded a share of revenue generated by the digital media they helped to create.

Meanwhile, the largest video site in the country, YouTube, barely pays its content producers anything. Some venture capitalists sense an opportunity, and are moving south from Silicon Valley to create new entertainment companies that in many instances put the writers—and directors and actors—in control. Learn what the role of content producers is in digital media, and how working with them can help your business.

Confirmed speakers include:

• Moderator: Eric Rosser Eldon, Writer, VentureBeat.com
• Gordon Castle, Sr. Technology Fellow, Turner Broadcasting Systems
• Justin Day, Co-Founder, CTO, blip.tv
• Bobby Tulsiani, Analyst, Media and Internet Video, Jupiter Research
• Kelly Rodriques, CEO, Blowtorch Entertainment

Have a topic or question for any of the speakers you want to see addressed? Submit it in the comments section and we'll add it to the Q&A portion of the session.

Registration is still open and you can see all the various pricing packages, including a one-day ticket on our website. Six years since we took over the StreamingMedia.com business and we've still managed to keep the conference very affordable for everyone to attend. A full two-day conference ticket is only $895.

Lifecasting: The New Broadcasting Platform

At the Streaming Media East show on Wednesday May 21st, community social media guru Chris Brogan will be leading a session entitled "Lifecasting: The New Broadcasting Platform". In the early days of television, live was the second choice, because of potential pitfalls, cost of production, and a host of other problems. And yet, in the world of Internet video, lifecasting—using Internet video to share moments of our lives or to broadcast personal events and happenings—is the new hot thing.

With platforms like Kyte.tv, Zannel, Mogulus, Stickcam, and many others now available, lots of new options and opportunities exist. Come see some of the hot and upcoming mobile lifecasting options in action and learn if lifecasting will become just a fad or the next big thing.

Confirmed speakers include:

• Moderator: Chris Brogan, VP, Strategy and Technology, CrossTechMedia, co-founder, PodCamp
• Scott Monty, Consigliere, crayon
• Sarah Austin, Founder, Pop17.com
• Brad Hunstable, Founder, Business Development, Ustream.tv

Have a topic or question for any of the speakers you want to see addressed? Submit it in the comments section and we'll add it to the Q&A portion of the session.

Registration is still open and you can see all the various pricing packages, including a one-day ticket on our website. Six years since we took over the StreamingMedia.com business and we've still managed to keep the conference very affordable for everyone to attend. A full two-day conference ticket is only $895.

Majority Of Independent Content Producers Will Never Make Money

With all the talk of online video advertising and the projections people are making, one of the biggest downsides to it is that just about every independent content producer thinks they should be making money. But the reality it, most of them are not making any money today and never will, even year's from now when there are more eyeballs online.

Monetization is now the word that seems to be used in every discussion and in every article, yet rarely do we hear or read about any content producers who are making money from their content. We know of the success that some major broadcasters and those with very unique brands and content like MLB are having, but aside from those, there are very few content creators making any money.

One of the biggest reasons for this is that much of the content on the web today stinks. Not all content, but much of it is really bad, poorly produced and quite frankly, will never make any money no matter how much this industry grows. Content creators think that just because they can create content it must be worth something. When I speak to content creators I use the analogy of TV content. Lots and lots of shows are produced for TV yet many never make it. Only a small fraction of content on TV lasts and makes the networks any money. Now I know many will say that does not apply since the costs for TV style production is so much different than content produced for online, but the principle is still the same. Not all content is something people want to watch, let alone pay for.

Having a discussion with a content producer earlier in the week they said, "Media reviews of our site and customer feedback is very positive. Everyone thinks the idea is wonderful and they love the quality of the videos. We give website visitors two free views of the videos of their choice and then prompt them to sign up for a subscription. However, when it comes time to haul out the credit card to purchase a subscription the enthusiasm wanes."

The questions we need to be addressing are is the subscription-based approach working for anyone, or is sponsorship/ad-supported the only potential option for generating a reasonable ROI? Is the ad-supported model generating revenue for small producers who don't have tens of thousands of viewers per month? Does this revenue amount to anything more than pocket change? Must the small producer partner with a platform provider, e.g., Brightcove, in order to have a chance of success, or is it feasible to "roll your own" website realizing that most small players don't have ad sales staffs and experience in selling ads?

In the long run, the small content producer is still going to struggle to make any money from their content. Viral marketing, syndication and other forms of promotion can help, but not for the majority of those making video. Putting all of the business models aside I still think the biggest problem facing the industry is that there is not enough quality content on the web today.

The comments section is open and I'm sure many have their own take on the subject, so feel free to get the conversation going.

How To Monetize And Aggregate Niche Video Content

Over the next six weeks leading up to the Streaming Media East show in May I will be highlighting some of the speakers and sessions we have confirmed for the show. This year we have a lot of content producers, aggregators, new independent content studios and lots and lots of content demos.

One of the sessions I am personally interested in seeing is entitled "Monetizing And Aggregating Niche Video Content". The bottom line is that content creation is important but if the content is not promoted and does not generate revenue of some kind then this whole business model is broken. This session will show examples of ways to develop niche vertical sites without having to hire tons of new personnel and will discuss how to reach audiences on social networking sites like Facebook and others. Confirmed presenters are:

• Moderator: Steve Safran, Senior VP, Media 2.0, Audience Research & Development, AR&D
• Jim Louderback, CEO, Revision3
• Alex Blum, CEO, KickApps
• Herb Scannell, CEO, Co-Founder, Next New Networks

Six years since we took over the StreamingMedia.com business and we've still managed to keep the conference very affordable for everyone to attend. Registering before April 25th gets you a full two-day conference ticket for only $795.

Broadcast TVs Demise More Fiction Than Fact

Considering I am in the online video industry, some may say I am crazy for not wanting to follow the bandwagon that wants to shout from the top of their lungs that TV is all but dead. Yes, I get the impact online video is having on traditional broadcasters on many fronts, but when folks like the NY Times publish articles proclaiming that "TV is becoming obsolete", then the industry is setting everyone's expectations incorrectly. TV is anything but obsolete.

Online video is having a huge impact on the way content is created, marketed and consumed, but distributing video online is not replacing traditional broadcast programming. I know some are under the impression that one day your computer will become your TV, but that's not going to happen and we all know the Internet can't even support those kind of numbers when it comes to viewers all watching a show at the same time. For all the talk of the writers strike and some of the data that has been put out saying that more people have gone online for videos, that does not change the fact that most of the content on TV is not available on the Internet.

I have over 60 season passes in TiVo. Going through all of them yesterday, more than 90% of the shows I watch are not available online anywhere. And the ones that are, like content from CBS and NBC, do not show up right after they are broadcast and typically take days if not longer to appear on the web. And in the case of something like 60 Minutes, one story alone is chopped up into 10 different video segments on their website and encoded at a pretty low bitrate. And sports, well forget that. No NFL games are available on-demand the next day online and while the MLB games are, it requires a subscription.

The demise of the TV is overrated and many in the industry keep saying the same thing as if they have to say it just to be cool. I keep hearing people in our space says things like "I don't even need a TV anymore, I'll just watch all my video online". Or, "there was nothing on TV last night so I went online to watch video". Nothing on TV? I don't know about you but I have hundreds of channels and can always find something to watch. I don't have hundreds of channels on the web of professionally produced content. It reminds me of the time when people in the industry had to use the word "convergence" or "broadband" in every single sentence they used as they were convinced that others would think that since they used those words they must "get it".

No one is throwing out their TV. And those who don't watch TV, probably never really did to begin with, as opposed to people who want to use them as an example and say that online video is the reason. The TV is not going anywhere and way too often in our society people want to talk about one thing replacing another, instead of being a compliment to it. The TV did not replace the radio. Internet video is not going to replace the TV. P2P delivery is not going to replace all CDN delivery. These things are all complements to one another. We should see the TV for what it is, just another way to get different kinds of content for various viewing experiences.

Conference Session Preview: Streaming Media East Show Agenda

I've been a little slow in blogging as of late as I'm hard at work on finalizing the advance program for the Streaming Media East show taking place in May. We will have 36 sessions at the show and the first third are now confirmed with moderators.

This year I have decided to use the blog to post the conference agenda before the advance program is even printed so everyone can see the kinds of topics and subjects that are going to be discussed and the kind of demos that will be shown. Please keep in mind, this is just the first 1/3 of the program, there is a lot more to come.

If you see a session in particular you are interested in possibly speaking on you can send in a speaking request, but since the deadline passed more than two weeks ago, those who sent in speaking requests on time get first priority.

Effective Business Models For Short-form Video Marketing
Some advertisers see user-generated video sites as a free way to distribute their message, however this has rapidly evolved into a significant paid business, where sites charge based on video placement and search keywords. Learn the relative ROI of going to a major site (i.e. YouTube) vs. a smaller site (i.e. Metacafe) vs. a plethora of tiny sites. Learn what methods are successful for getting viewers and the importance of content vs. placement. This panel will discuss and show video examples of effective business models for both advertisers and publishers.

LifeCasting: How Fast and How Real Can We Get?
How did lifecasting videos get so hot? In the early days of television, live was the second choice, because of potential pitfalls, cost of production and a host of other problems. And yet, in the world of Internet video, lifecasting - using Internet video to share moments of our lives or to broadcast events and happenings - is the new hot thing. With platforms like Kyte.tv, Zannel, Mogulus, Stickcam and many others now available on the market, lots of new options and opportunities exist. Come see some of the hot and upcoming mobile lifecasting options in action and discuss is lifecasting will be become just a fad or the next big thing.

Best Practices in Enterprise Streaming for Communications and Learning
Use of online video in the enterprise has evolved well beyond the special occasion of rudimentary talking head videos that characterized early adoption. Today, innovative organizations take a holistic view of all their online communications, seeking to extract as much value as possible from any infrastructure that involves video. Whether webcasting executive briefings across the globe, or capturing and archiving rich media presentations for training, marketing, sales, and compliance, a growing number of organizations are capitalizing on the ability of Web 2.0 technologies. This session will show firsthand examples from Fortune 500 organizations of best practices in integrated online video for communications and learning.

CDN Pricing: The Going Rate For Video Delivery
With more CDN players in the market than ever before, trying to figure out what you should pay for delivering video can still be quite complex. This presentation will offer real pricing numbers from large, globally focused content delivery networks and show you the average going rate when you outsource delivery to a third party. The session will also cover some of the variables that determine the final price, how you should accurately compare the delivery services of one CDN to another and gives you a list of providers in the market today.

Monetizing And Aggregating Niche Video Content
This panel will discuss the new ways content owners and site developers are aggregating content and distributing it on the 2.0 web. We will give examples of ways to develop niche vertical sites without having to hire tons of new personnel and discuss how to reach audiences on social networking sites like Facebook. Learn about some of the new emerging platforms for niche video distribution and learn best practices of ways to increase your changes of making money with your content.

Focus Group: Young People's Attitudes Towards Online Video
This special session, a panel of high school and college students will discuss their online video consumption habits. Learn what types of online video content they like, what sites they get their content from, the devices they are playing it back on and how they interact with video advertising. Find out what their perspective is on pay media, portable content and what they think the future holds for the next generation of viewers on the web. Bring your own questions for a lively Q&A session with the students at the end of the session.

Live Broadcasting Over Mobile And WiFi Networks
While big media tests the waters of mobile broadcasting, many web video producers are already out there doing it live from the street, with a cell phone. Others are joining in and experimenting with two-way broadcasts via streaming video over cellphone networks and via WiFi, wherever they are. Viewers can chat while the broadcast is going on and affect and sometimes even direct the coverage of the content being produced. Come to this session to hear Steve Garfield talk with other pioneers in the live broadcasting space about their experiences on the forefront of this new technology for sharing their stories over the web.

The H.264 Convergence
Over the past year, more and more streaming media players are utilizing H.264 and providing support for the technology. Adobe's recent support for H.264 in their Flash player has sparked industry discussions amongst major broadcasters and online video producers about the role H.264 will play. This session will explain why H.264 is getting so much exposure, what recent announcements have put it into the spotlight and whether it can really be the one codec that the industry can all converge on. Attendees will also see real-world examples of sites and services that are utilizing H.264 today.

User-Generated Video in Education
The online video revolution has been embraced by students, teachers, instructors and researchers, many of whom are producing video for class assignments, teaching purposes and other uses. Learn what kind of content is being produced, where is it being posted and how user-generated content fits into the overall strategy of educational institutions. This panel of experienced educational media professionals will discuss the many ways your school, college or university can maximize the value of your user-generated video, and how you can assist faculty and students in making it better.

How Old Media Is Embracing Online Video and New Media
Led by the National Academy of Television Arts and Sciences, this session will discuss how converging media technologies are redefining traditional distribution methods; how interactive and on-demand services are changing and how entertainment and news video is being consumed. Come hear from some of the leading publishers, broadcasters and advertisers about the impact that video and new media is having upon their business models.

Codec Comparison: VP6, H.264 and Windows Media
Choosing the right codec involves lots of factors, including quality, player install base, costs, and server related features. This session will compare the video quality of the big three codecs; VP6, H.264 and Windows Media. It will also include a comparison of the primary H.264 codecs including Apple, Sorenson, Main Concept and Dicas. The session will present attendees with the latest published penetration figures for the H.264 compatible Flash 9 player and Microsoft's Silverlight player and provide usage statistics among major broadcasters and corporations. Attendees will also learn how to compare relevant server and player related features, and costs associated with adapting and using each platform.

Delivering Media For Microsoft Silverlight With Windows Server 2008
This session will cover how to take advantage of the new Silverlight media serving features in Windows Server 2008. Attendees will learn about the new capabilities of IIS7 Media Pack including bit-rate throttling and playlist options for progressive download content. The session will also demonstrate the enhanced capabilities in Windows Media Services 2008, including scalability doubling and appliance-like cache/proxy deployment for edge networks specific to streaming.

Free Product Giveaway: MediaGate Wireless HD Media Player

UPDATE: Guillaume Courouge was selected as the winner using a random number picker website.

The nice folks over at MediaGate sent one of their MG-350HD Wireless HD Media Players for me to review, but with the holidays and other deadlines I am under, I won't have a chance to do a product review anytime soon. I did however find a really positive product review on the unit over at HomeTheaterBlog.com

Since I won't be able to review the unit, they have nicely said I can give it away to a reader of my blog. All you have to do is leave one comment on this post with a working e-mail address. I will pick one user at random a week from today and ship it out to the winner at no cost.  

If any company is interested in getting exposure for their video related product on my blog and is willing to give away the product, contact me. I will post pictures of the product, link to the company website and either write a product review or link to other reviews on the web. It's great exposure on a blog that does over 300,000 page views a month.