The TV industry has as little as two years to create viable digital businesses or face a version of the “iTunes moment” that saw the music business cede the online future to Apple, according to Ashley Highfield.
Highfield, the the managing director of consumer and online at Microsoft UK, said he believed the reluctance advertisers feel to advertise on sites such as Facebook will soon be a “non-issue”, putting more pressure on broadcasters’ advertising revenues.
“Once this happens the shift of spending from TV to web will accelerate even more,” he said, giving the Futureview address at the MediaGuardian Edinburgh International Television Festival today.
“So realistically I think the industry has about two to three years to adapt or face its iTunes moment. And it will take at least that long for media brands to build credible, truly digital brands. But, importantly, I do believe TV does have a small two to three year window in which to respond.”