Tag Archives: Licensing

Digital Download: Content and License Transfer – Business Model In Jeopardy!

GameStop reminds me of Redbox and Netflix facing business model decimation as we transitioned from DVDs and Blu-Ray to streaming digital content. No more physical medium to borrow/rent, just streaming data from massive content libraries. Netflix pivoted early on and became a survivor and thriving revised business model.

GameStop’s pre-owned buy-and-sell business model is in jeopardy and has been for some time now. All of the major game consoles provide users with purchasing via digital download. There is no way to transfer that digital content and license purchase to anyone else. If there was a way to transfer the digital content and associated license for a game, maybe GameStop’s pre-owned business model might thrive again.

Securely Transfer Digital Content and License

There are several possibilities for implementing this transfer. One opportunity could be leveraging a large-capacity SD card, and the software on the console can push the digitally downloaded game onto the SD card along with the correlated license. The opposite should also be true. Pop in the SD card with a loaded game and license and that content could be transferred to any console of the same manufacturer.

Is this a job for Blockchain?

It should put software game designers at ease, leveraging several design features of Blockchain. Blockchain architecture would guarantee ownership, the uniqueness of a digital license, and associated digital game ownership. The content could be stored in the cloud, similar to NFT art and video content. This should NOT be confused with using ETH to purchase NFTs with cryptocurrency. In this scenario, we would exchange the SD card medium with Blockchain architecture.

So, why is this not implemented already?

The game console manufacturers don’t profit from trading and selling pre-owned games, so there is no push. GameStop should be leading the charge on this endeavor, offering to implement this module in all major gaming systems or outsourcing its implementation. Worst case, form an ADHOC committee to derive standards for implementing this module. The game console manufacturer market is a monopoly or, at a minimum, an oligopoly. Can anti-trust legislation be applied here to Microsoft Xbox, Sony Playstation, and Nintendo Switch?

Online, Gaming as a Service (GaaS) – Not Applicable

To state the obvious, online gaming or Gaming as a Service (GaaS) business models charging monthly or annual fees to access their game service do not apply to the one-time purchase of the game where the customer owns “the game.”

Netflix Is Testing A Way To Limit Password Sharing

r Netflix is testing a way it can limit password sharing, in what could signal a notable shift of the streaming giant’s posture toward users.“Is this your account?” an on-screen notification asks some of those trying to log on with credentials from someone outside their household, according to users’ screenshots. “If you don’t live with the owner of this account, you need your own account to keep watching.”Users can then enter their own information and create an account, which comes with a 30-day free trial in certain territories.“This test is designed to help ensure that people using Netflix accounts are authorized to do so,” a company spokesperson said in a statement.

Source: Netflix Is Testing A Way To Limit Password Sharing – Deadline

Two Factor Authentication verse Location-Based 

This measure is an ineffective approach at best, and a hindrance, worst-case scenario to those valid Netflix users who travel often and take their streaming service on the road.  Many other Internet Services, beyond content streaming,  are now implementing a 2-Factor Authentication (2-FA) approach.  With 2-FA, a user will log into the Netflix app, and then is sent an email or text message with an authentication code.  The code is then used to complete the login of the Software as a Service (SaaS).  This approach could be extended to VOD  streaming services, and for each account “Profile”,  there is a defined mobile number and email address where the access code can be sent.   Only the default account profile can unlock the security details for profiles, allowing the assignment of mobile numbers and email addresses.

How Will Consumers React?

The initial pilot solution seems like a half measure at the moment. I’m not familiar with how they will implement the location-based, “Outside Your Household” solution because of a legitimate use case where some people who have subscriptions actively travel, for example. Surely, these people who travel will appear to be in various locations, according to network topology. On the other side, if you apply a multifactor authentication approach, that’s bound to be more successful in inhibiting the “password sharing” issue. Netflix defines/reevaluates a maximum number of user-profiles per account. Will this help generate more revenue for the “fledgling” streaming service, or anger their audience who may take flight to one of the many other services offered. It’s not the cheapest streaming service in town. Let’s see.

Receive Ad Revenue from your Video Stream of Live Event Coverage

In the not to distant future, distribution rights holders of sporting events and concerts will encourage people to hashtag the event with a link to the event goers’ proprietary streaming video.   ‘External viewers’ of the event can pick up your stream, your coverage of the event.  The event goer providing their Unique Perspective video streaming coverage will receive Ad Revenue for their live stream, which will increase based upon viewership of their event coverage.

The exclusive distributor of the event content (licensee) provides a proprietary streaming application which has Digital Rights Management (DRM) built in so the ‘external viewers’ or subscribers of the event can select one of many view /  feeds, and the DRM prevents the copy of the content, except for the ‘licensee’ who can archive all the streamed content.

What do the “event goers” get who are producing this LIVE, ‘unique perspective‘ content?  Just like affiliate advertising networks, the content creators, and ‘in-part’ distributors would be able to derive revenue based on a number of factors, including  number of views, duration of views, etc.

The exclusive distributor / event licensee may curriate all content into a single platform, e.g. Event Smartphone / Tablet app, that enables those who aren’t at the event to see “ALL” streams in realtime, or after the event, On-Demand.

Also, don’t forget to stream those tailgate parties, and impromptu interviews.

Thanks goes to the New York Times regarding the NBC article and the exclusivity of their Olympic Coverage which sparked the neurons in my head to derive the idea.  Please also see the post: Freelance Streaming Video, Affiliate Advertising Innovation for more implementation details.