By Ted Bridis, Associated Press, 09/27/99
WASHINGTON -- ABC's Sam Donaldson took to the Internet on Monday in an early test of how America's television industry will fare as it cautiously embraces the online medium.
Donaldson launched the first regularly scheduled news program created especially for the Web by a major network, which planned to broadcast future shows live on the Internet three times each week in the afternoon.
All indications pointed to an embarrassingly small Internet audience for the early effort -- an online survey of viewers during the broadcast, for example, collected only 373 responses.
Donaldson, who appeared for the 15-minute Web broadcast in a tiny 2-inch window on computer screens, acknowledged what appeared to be lackluster numbers but said afterward, "I'm pumped!"
"I made Web," he said.
During the broadcast, viewers could click for more information on specific subjects and type comments in a chat room. Donaldson promised to read them all, though he didn't during the show.
"I am a sensitive fellow," he said in advance. "I ask that you keep it a little mild."
ABC's venture is unusual because networks typically offer video on the Internet only if it's also being shown on their traditional television and cable broadcasts.
But Donaldson's broadcast -- he interviewed the chairman of the Federal Communications Commission about high-speed Internet connections on Monday's show and talked with a technology executive -- won't be seen on television.
The industry's online efforts to date have been colored by deep fears that by encouraging more viewers to log onto the Internet, networks are cannibalizing their lucrative cable and television broadcasts: As people turn on their PCs, they're turning off their televisions.
"I think the days when you can't compete against yourself are gone," said David Westin, president of ABC News. "Ubiquity is going to be the future."
Broadcasters also fear the extraordinary fragmentation of their audience that's possible on the Internet. Instead of competing for viewers against a few dozen cable networks, Web sites must fight for attention among millions of others.
"Eyeballs still matter," said Lynn Povich, MSNBC's East Coast managing editor. "There are a lot of them (Web sites) out there, and there is a lot of segmentation by interests."
But experts also point to an enormous opportunity by creating programs during weekdays for the Internet. While few employees have televisions in their offices and cubicles, most have computers with Internet connections. ABC's new show targets these workers, airing at www.abcnews.com during the lunch hour, at 12:30, on Monday, Wednesday and Friday.
"You're going behind the iron curtain at work, and that's cool," said Rick Ducey, a senior vice president at the National Association of Broadcasters.
At CNN's Web site, which offers video clips, traffic peaks during the day, but television viewership peaks in the evening.
"What the Internet is allowing us to do is, to access people where we haven't been accessing them before," said CNN Interactive's Kerrin Roberts. "If someone is not watching CNN on television but going to the Web ... we need for them to be coming to (CNN). If there's cannibalization, we still want them to come through to CNN."
ABC encouraged viewers to watch its Internet program as its aired -- the way traditional broadcasts are shown -- but also will store copies on its Web site that can be seen at any time.
"If you're a TV broadcaster, you're used to doing business in a certain way," Ducey said. But "if it's 6:35, you've missed the 6 o'clock news. With Internet access, it makes sense to make that news available."
This ability to show video on demand is among the Internet's greatest strengths, but it can play havoc with advertisers: If a company has a huge sale next weekend, how useful are its ads if they're not seen until after the sale?
But experts also promise new benefits for advertisers. During an ad by Ford Motor Co., for example, a viewer could click to the local dealership's Web site, scan his list of cars available, pick a color and select options and set up an appointment to haggle price.
ABC's show offered a single 30-second ad during its first broadcast, but didn't include any such interactive features.
