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Comcast Introduces Video *Download* Beta

Comcast's Fancast property has recently expanded from solely streaming (Hulu) web video, to offering Internet video downloads.  Joining the likes of Amazon Unbox, CinemaNow, and Blockbuster the Fancast Media Manager allows you to rent …

Zatz Not Funny! Dave Zatz

Context & Ripple Effects

Comcast's Fancast began as a streaming portal built around Hulu web video; this beta download feature via the Fancast Media Manager marks its first step into the transactional download market already occupied by Amazon Unbox, CinemaNow, and Blockbuster. It is an early signal of the cable giant's long march from set-top-box gatekeeper to multi-platform video distributor — a path that later produced Comcast's move to sell movies for download and streaming directly, the $15/month Stream add-on for broadband subscribers, and eventually the Xfinity Instant TV beta.

First-order effects

  • Fancast users gain a way to rent (and presumably buy) downloadable video through the Fancast Media Manager, putting Comcast in direct competition with Amazon Unbox, CinemaNow, and Blockbuster for transactional downloads rather than just free ad-supported streaming.
  • Comcast now operates on both sides of the market — cable distribution and internet video retail — forcing it to manage potential conflict between its pay-TV bundle and its own over-the-top storefront.

Second-order effects

  • Established download retailers like Amazon Unbox and Blockbuster face a new deep-pocketed rival that can cross-promote Fancast to its massive broadband subscriber base, pressuring pricing and exclusive content deals.
  • If downloads cannibalize Comcast's own cable VOD and linear viewing, the company must decide how aggressively to push internet distribution — the classic [[c:bundle-cannibalization|bundle cannibalization]] dilemma that shaped its later OTT launches.

Third-order effects

  • The pattern points toward cable operators becoming platform-agnostic video companies: Comcast's trajectory from this 2008 beta through Stream and Xfinity Instant TV suggests the eventual unbundling of TV service from the physical cable pipe.
  • As distributors like Comcast build direct-to-consumer storefronts, the line between 'cable company' and 'internet video retailer' blurs, setting up the structural convergence — and regulatory scrutiny — around whether pipe owners can favor their own content services.

The trend: This is an early data point in cable operators' decade-long pivot from walled-garden pay TV toward multi-platform internet video distribution, culminating in their own branded streaming services.