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Over the Air Pay TV is Back! Sort of.

November 16, 2009

Sezmi UIby Dave Zornow

Back when HBO was new and before ad supported cable hit its stride, a handful of UHF stations in major markets offered a subscription over-the-air TV service to compete with cable. Now a Silicon Valley start-up wants to dust off that business plan with a digital twist. The San Jose MercuryNews says

Sezmi’s service differs from those of traditional pay-television operators. Its customers get local broadcast channels via the public airwaves. But the company also relies on those airwaves, via deals with local broadcasters, to send pay-TV channels to its customers. It also plans to send on-demand and Internet programming to consumers via customers’ broadband connections.

The startup promises an integrated media experience, delivering broadcast, cable and select Internet sites (READ AS: YouTube) in one place managed with a DVR. They also offer 6,000 VOD titles, too.

There’s a free three month trial in LA and the SF Bay area. Southern California testers will see Comedy Channel, TNT and CNN but deals haven’t been secured yet for Bay area viewers.

The secret sauce to Sezmi is a small digital antenna called theĀ  “Smart Reception System.” The company says “for the first time, advanced techniques used in other applications such as wifi and wireless have been applied to TV reception.” Translation: it’s a digital antenna in an enclosure which should cover 85 percent of LA. Maybe.

These features will make cable and satellite subs yawn as most of this has been done before. Except the price:$4.99 for basic service and $24.99 for premium channels. The gotcha is paying $300 for Sezmi’s proprietary equipment. You also can’t Sezmi unless you have a broadband internet connection — which means you are still most likely tied to an MSO or a Telco.

In May, 2008, USA Today reported that SezmiĀ  “is counting on phone companies, and perhaps also wireless carriers, to market the service as a bundle with Internet service.” The California beta tests suggest that plan may not panned out as telcos have aggressively pushed services like FiOS and U-Verse.

Sources: Sezmi, San Jose MercuryNews, Wikipedia, USA Today, 5/2008, Technologizer 11/16/09

See also: PC Magazine

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