HOW P2P TECHNOLOGY CAN CHANGE BROADCASTING AS WE KNOW IT

Although streaming over the Internet has been a reality for some time now, the traditional method has not offered a sound business model. The price per viewer has been so astronomical that neither advertising nor any other related revenue can compensate for the costs. In addition to the costs, high-quality streaming to a large number of people has been virtually impossible from a technical standpoint. For these reasons, streaming on the Internet has been carried out on a relatively small scale, and for many broadcasters it has been a costly, need-to-have technology. Recently, however, organizations and broadcasters, such as AOL, the Eurovision Song Contest, and Deutsche Welle have begun to use P2P (Peer-to-Peer) technology for streaming. This technology has matured and it is changing the situation radically. There is now a sound business model for broadcasting on a large scale over the Internet. In this paper, we will review traditional cost challenges and other hindrances to broadcasting over the Internet, and give examples of how this new P2P technology can revolutionize business conditions, change the value chain, and transform the competitive landscape for broadcasters