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Microsoft puts free TV shows online with 30-second ads

Mark Prigg, Science and Technology Correspondent
30.07.09

Millions of viewers will be able to watch free TV shows online in return for sitting through advertisments.

The Microsoft service — described as “Spotify for TV” because it is advert-funded like the free online music provider — is set to launch within days.

It will be available to anyone in the UK with a high-speed internet connection.

The computer giant has already signed up 350 hours of shows, including Shameless, Skins, Peep Show and the original series of BBC comedy The Young Ones, along with factual programmes.

Viewers will be shown a 30-second advertisement at the beginning of each programme, then commercial breaks “comparable to TV” during the show.

The service, which will be available on Microsoft's MSN site, will work on a computer screen, and Microsoft says the quality will be comparable with normal television.

“We wanted to make the service as simple as possible,” said Robert Crossen of MSN. “Users simply watch a 30-second ad before their show, and then ad breaks similar in number to existing commercial TV. They can watch the video full screen.”

Microsoft has signed up BBC Worldwide and All3 Media to the service and is also believed to be working on a high definition version and one allowing users to watch television via the Xbox 360 games console.

The computer giant, which has pledged to add more content providers over the coming weeks, says it has already sold all of the advertising for the initial six-month trial of the service. “The advantage we have over other services such as iPlayer is our content,” said Mr Crossen. “Instead of watching the current episode, you can go back into a show's history and watch any episode from any series.”

Experts say the system could do for TV what free music service Spotify has done for online music, and attract millions of users.

“If Microsoft do it right, this could be the Spotify moment for TV,” said Tom Dunmore of Stuff magazine.

“However, the key is the content, and you've got to compete with the iPlayer, which is a hard thing to do.

“Microsoft also need to make sure they can attract enough advertisers, or the entire project will fail. But there is no doubt people are now used to watching TV on their computer, and that this is going to be a huge market.”

Rival service Hulu, which operates on a similar model in the US, is also believed to be signing up UK content partners, and the two services could go head to head.

It is expected Hulu will offer a mix of UK and US shows. In the US it has programmes from all of the major networks, including The Simpsons

Microsoft will also be competing with Apple, which sells television shows via its iTunes software and cost from £1.19 per programme.

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