I don't see NTEK moving UF towards a subscription-based model. Ad supported possibly, but non subscription. Why? It will push the window for new 4K content farther out, essentially putting UF in line with what would then be very competitive (and highly funded) existing subscription services (Netflix, etc.).

The UF selling proposition at this point is the ability to stream first run out of theaters in that "window" of availability. Waiting for the subscription window would essentially take away that unique selling point. UF would be bidding on rights for the same content as Netflix, for example, as they would be competing for the same rights window.

There might be a hybrid transaction and advertiser supported model that could work. I think a lot depends on their strategy - whether they will continue to only play in the 4K pool (which makes them uniquely positioned) or, in an effort to take a piece of the HD pie, allow streaming in high def as well. We'd all do well to remember that Netflix started as nothing more than a transaction-based video service (remember DVDs?).

Over time, UF could emulate a subscription model and that same sort of transition like Netflix made, but I think smart money says wait until the 4K market is saturated with TVs in the home, and UF is available on all of those TVs. Build a loyal base, then consider other revenue options. Walking before running, as it were.


Oh - and as I've read here several places recently, I hope they focus on getting that gigantic pile of content they've acquired up on the service. Sitting idle, it's dead money while the license for the content is ticking down. More human power at NTEK - even if temporary - would go a long way.