What Hollywood doesn't understand is that the nature of media as it knows it will have to change. With convergence, however, the relationship between media producer and consumer is going to become much more intimate. Producers are going to have to give people related games, feedback mechanisms, a way to trade their favorite scenes with friends, etc. They're going to have to get much closer to fans and create an infrastructure that empowers the audience to truly enjoy an interactive experience. So, Hollywood does have the assets, but it's going to have to deploy them in more creative ways than ever anticipated.
Television drives the masses of eyeballs.
And when it goes digital, broadcasters will be able to cross sell their core sales, commercials. They'll be able to add eyeballs of a highly focused Web site and charge accordingly. This Christmas is going to be a turning point. People will start buying digital and set-top boxes in large numbers and no one is going to buy a television that doesn't have an interactive feature. The broadband players are going to begin to offer enhanced services.