Downloading of video content to watch on portable devices may be an idea that's still in its infancy, but Hasbro (NYSE:HAS) appears to hook 'em young with a new plan. The company will provide a device enabling kids to watch downloaded animated content. There's plenty of reasons why Hasbro would make the move, but will it really fly with parents?
Through Motley Fool Stock Advisor pick Hasbro's VUGO Multimedia System, which parents can get for a little over $100, kids will be able to watch content downloaded from Viacom's (NYSE:VIA) Nickelodeon, and Stock Advisor pick Time Warner's (NYSE:TWX) Cartoon Network. (Wow, times have changed. When I was a kid, the View-Master was about as good as it got.) The shows, including the well-known SpongeBobSquarePants, will cost $2.99 each. Not surprisingly, the VUGO will also play music and store photos.
For years, the joke has been that the TV has become parents' electronic babysitter. Does that make this new generation of portable devices for kids a full-time, always-on-the-go electronic nanny?
One can certainly understand Hasbro's eagerness to get in on the downloading revolution -- especially since it has its hands full competing with arch-rival Motley Fool Inside Value pick Mattel (NYSE:MAT), another company that tries hard to woo young customers. Meanwhile, many formidable companies have also been trying to get in on the action when it comes to multimedia offerings for the kiddies -- look at Disney's (NYSE:DIS) recent initiative to provide child-friendly cell phones through Sprint Nextel (NYSE:S), not to mention its foray into kid-oriented MP3 players.
Kids and their toys are big business, and Hasbro's announcement comes right as the holidays are speeding toward us. It's going to be interesting to see whether parents are really going to be willing to plug in their progeny at a young age and pay for the gadgets and digital content they will most certainly grow out of.
Keep your eyes glued to further Foolishness:
- Revisit Hasbro's most recent earnings announcement.
- Compare that to how rival Mattel fared.
- Hasbro puzzles it out.
- Disney mixes it up.
- Sprint wins in Disney deal.
Hasbro is a Motley Fool Stock Advisor recommendation. Mattel is a Motley Fool Inside Value pick. To see a description of our full list of newsletters or to sign up for a 30-day free trial, click here.
Alyce Lomax does not own shares of any of the companies mentioned.
