When talk turns to video distribution over the internet, I’m always amazed that the issue of physically bridging that last yard or two from the home internet connection behind the computer to the television in front of the coffee table isn’t discussed more.

At last week’s Digital Hollywood show in LA, the majority of panels were about how to better monetize the video currently being streamed to the web browser (understandable, given the current economic climate).  The basic problem is that while the CPM rates that web video publishers can charge advertisers run several times higher than what traditional broadcasters can get away with charging, online viewers will tolerate only a small fraction of the amount of advertising that traditional broadcast and cable television viewers will put up with (imagine how well a traditional two minute commercial break would work on Hulu…).

To me, the issue is fairly clear –

• Only longer-form programming (lasting a half-hour or more) will support higher advertising density and attract more mainstream brands.
• Ales’ Theorem: The willingness of the viewer to sit alone at a desk or in front of a laptop is inversely proportional to the length of the programming.
• Therefore, a truly sustainable internet video business model relies on solving the physical problem of getting that content onto the television.

In other words, to paraphrase Gil Scott Heron: The Revolution Will Be Televised

…look for some big announcements at CES in January.