According to a report in the Daily Telegraph (and widespread industry rumour), Vodfone is set to take over Blinkbox, the Tesco-owned VOD service.
Yet, although the Telegraph has reported that Vodafone is not expected to pay a large sum for Blinkbox, Vodafone’s interest in the loss-making entrainment service has not been readily understood in every quarter, with some analysts expressing bewilderment in the reports.
“I’m perplexed by Vodafone’s interest in Blinkbox, the technology is not unique, and the business model needs a revamp,” Alan Quayle (Owner Alan, Quayle Business & Service Development, USA), told IP&TV News this afternoon. “In the limit with on-demand / renting / retailing content it’s all about global volumes; hence why Amazon, Google, and Apple have won. I think Vodafone would be better spending the money to craft a content proposition/bundle that mattered to their customers. Like EE is doing.”
Indeed, news of Vodafone’s interest in Blinkbox has emerged following recent revelations that BT is in talks with EE and O2 about an entry into mobile, with Vodafone apparently looking to move in the other direction…