Verizon winning, Google losing in video competition

Apparently cord cutting is taking a beating--at least when it comes to Google TV (Nasdaq: GOOG)--while more conventional wireline-based TV entertainment competition is taking it to the cable industry.

Google TV, seen by many as the ultimate cord cutting experience because it combines Google's massive search engine to grab content with the television, is an early flop because Google apparently doesn't understand that broadcasters want more for their content these days. All one need do is look at News Corp. (Nasdaq: NWSA) and Cablevision Systems (NYSE: CVC) or Dish Network (Nasdaq: DISH) to understand that.

Currently NBC, CBS, ABC and even Hulu are blocking a lot of their content from Google because Google just doesn't, or won't, understand that "the ecosystem in TV pays for the content," a media exec told Mediaweek.

Meanwhile, on the other side of the video entertainment street, Verizon (NYSE: VZ) understands very well how to compete with cable TV and so the telco gets good grades from Trefis, which noted that "Verizon's greater focus on sales and marketing of its FiOS service will improve broadband market share and pay TV share."

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Related articles:
Google TV: The dawn of interactive TV finally breaks
Google TV exec asks for more understanding from broadcasters
Cable guru John Malone slams Verizon's FiOS strategy

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