Many television and Blu-Ray manufacturers now send software updates out via Internet connections. We run LG Blu-Ray players and they auto-notify us of new software and firmware. Our generation of Phillips 39 and 52" sets need to have the software downloaded to a USB drive and then loaded via the set's USB, but they software and firmware updates have resolved what could have been potential nightmares when it comes to problems created by new, more demanding, DVD menus.
Unfortunately, the "pay TV model" is here to stay. The OTA stations will continue to be around - there is way too much money in local markets and the cable companies are simply not going to spend that kind of money on local facilities - short of what their community leases call for in the areas they serve.
Even though we pay for 3 722K receivers, and use all six television connections on those receivers, we still find ourselves watching WTTW, Channel 11, the PBS affiliate in Chicago who, along with WGBH in Boston and WNYC, in New York City, are now experimenting with sending full 1080P programming on their primary channels, in Chicago's case, 11-1. The, results of which, most have been holiday specials, are absolutely stunning. WTTW is now affiliated with Northeastern Illinois University, has combined resources with WFMT, a fine-arts station which was the only FM station in the Country ever allowed to have a transmitter power of 50K Watts ACTUAL, with their tower sitting on top of the John Hancock building in Chicago and an engineering task force who built all of their own equipment.
I believe we will continue to see the challenge of both EXCELLENT QUALITY HD from PBS stations via their OTA signals. WTTW, WGBH, and WNYC are actively leading the way in that respect. As that happens, and as the increasing popularity of the Internet, as a source of content, moves forward, the cable and satellite companies will have to find a way to meet those challenges head on.
For those of us who live in an area where we can receive the new high-quality terrestrial, FULL HD signals, beginning with the PBS affiliates, as they adopt the equipment, transition for full 1080P HD, and begin to roll out content, we will have an advantage. We will have the advantage because I believe that as the competition heats up between cable/satellite and Internet provided content, the prices - which are not nearly as prevalent on Internet content as they are with satellite/cable content at this time, will also rise significantly.
Someone has to pay for the ever increasing salaries. In the case of PBS, it is the underwriters and subscribers. As a subscriber, I will gladly give them $500.00 per year for their excellent quality content -- and will cut back on Dish Network, if necessary, to keep the budget balanced.