The main issue affecting the online video markets that has been addressed by both campaigns for President is Net Neutrality.  The question is whether regulation in necessary to protect consumers from providers who want to limit access based on usage, spending, and other factors at their discretion.

It’s clear that at least some freedom must exist for online film markets to thrive- as Dave Zatz points out, even a non-P2P user easily surpasses the basic plans Time Warner offers in his market (40GB/month).  The question is, won’t other providers emerge that offer more reasonable plans and thus be more successful in the marketplace (i.e. simple free market economics?)

One problem with this approach may be that the challenge of entering the marketplace may be very high, so it would not be a simple matter of offering broadband itself at a better price- when Time Warner offers also cable services which are not available to other companies, or when the infrastructure of offering broadband is still limited to pipes owned by TW (or to DSL).

Obama has pledged to support Net Neutrality legislation.  McCain opposes regulations.  As far as I can tell, neither candidate has really addressed the pitfalls of their positions- nor is this enough of a hot-button issue to get Campbell Brown to take on their lackeys and find out.

Some links of interest:

Obama on MTV talking Net Neutrality

Discussion of Net Neutrality from Radio 4

Article from Wired about Net Neutrality and internet TV

Updates from around the nets:

Time Warner Cable has created tiered broadband pricing. After 40G of downloads, you will pay extra. An alternative perhaps to net-favouritism strategies like slowing traffic, the plan may impinge the flow of BitTorrent and other piracy-laden file sharing methods. On the other hand, coming just at a time when the market for media online is about to break, the strategy could have retarding consequences. But won’t some other company just come along and offer unlimited access and grab TW’s customer base? I guess they aren’t worried.

Netflix expects to double their subscriber base in the next 10 years, with streaming leading the way- clearly this is the service customers desire. But will this model produce revenue for filmmakers? If Netflix can own serious marketshare (and they are making good inroads) the key will be in the contracts.

Hot on the heels of Netflix’s Roku set-top box release comes the Verismo Box, which allows users to show downloaded content directly on a TV without any computer required. Not only can users watch YouTube, Amazon Unbox, and CinemaNow, but any other media they download from BitTorrent- making it a potential Pirate’s Apple TV.

Of course, soon the kids will just make their own boxes.