ZillionTV bringing cheap, on-demand TV content

An on-demand video service due later this year claims to offer direct streaming to televisions with no subscription fees.

ZillionTV, frankly, sounds too good to be true. For a start-up price of "less than $100," Video Business reports, viewers can watch ad-supported television shows and movies using a "Z Bar" device that connects to the TV and a corresponding remote control. The device hooks up through a television's AV, component or HDMI inputs, so existing cable or satellite TV connections won't be affected. ZillionTV says a minimum connection speed of 2.7 Mbps is required

The start-up has found equity partners in Warner Bros., Sony Pictures Entertainment, 20th Century Fox, NBC Universal and Walt Disney Studios, so it doesn't seem like there will be a shortage of content. By the time ZillionTV launches at the end of this year, the company expects to be carrying 15,000 shows and movies. "The Dark Knight," "30 Rock," "Smallville" and "Gossip Girl" are among those launch titles.

For additional a la carte fees, users can skip some of the advertisements. Rentals cost between $0.99 and $3.99, and purchases, which are stored on ZillionTV's servers, cost $9.95 to $14.95.

Mitch Berman, the company's founder and CEO, tells Video Business that the service is a win for studios and networks, as it bridges the gap between new and old media. The losers, then, appear to be cable and satellite providers, unless the former wises up and starts charging more for Internet and less for television. Berman doesn't seem concerned.

“The old models need to change, and those who don’t will be swept away,” he said.

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