* Moves afoot at DirecTV, Cisco, Google
Today, we highlight another three unrelated stories that have a common theme -it seems that everybody is still trying to get into everybody else’s business. Or perhaps, if we look beyond the surface, they are just trying to expand what seems to be a natural reach into their existing customer base.
First, let’s take a look at DirecTV. For years, DirecTV and Dish have enjoyed being part of a triple play as the video component to a triple-play package offered by traditional telephone companies. But as companies like AT&T and Verizon start up their own cable television services, it sounds like DirecTV may be looking to fight fire with fire. According to recent reports in Business Week, DirecTV is considering ways to get into the broadband business, including the option of using WiMAX to add both Internet access and voice services to their satellite portfolio.
Our comment: As we noted in the last issue, technology may be helping to push price competition for triple play services. It looks like DirecTV wants to be an active participant in helping to make our predictions come true.
Second, it seems that Cisco may not be content with its consumer electronics market share; the company already owns Linksys, and intends to acquire cable set-top box maker Scientific Atlantic. A recent Reuters story reported that in an interview with the Financial Times, Cisco’s Chief Development Officer, Charles Giancarlo, said, “Consumer electronics companies have been able to compete on a stand-alone device, but the dynamics of the market are changing … The Internet and new networking requirements are enough of a disruptor for us to enter a new market.”
Our comment: As we noted last week, the artificial wall between business and consumer access services seems to be crumbling-and companies like Cisco seem to be re-writing the rules about the artificial barrier between business and consumer service infrastructure as well.
And finally, Google has announced a product that puts it in play as a mobile phone’s Internet portal. In its statement, Google noted that the “Google Personalized Home for mobile devices…enables users’ access to their personalized Google homepage on their mobile phones and PDAs. With Personalized Home, users on-the-go can view the information they access most frequently from one screen on their mobile device.” More details about the Google portal can be found here.
