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Cover Story - HD goes for Gold
July/August 2005

Asia Watch - Healthy Outlook for Asia Media

July/August 2005

Broadband - Anga Cable 2005
July/August 2005

US Watch - Satellite Radio: Can Everyoone Win?
July/August 2005

Telecoms - Wireless Watch
July/August 2005

 

 



NEWS Monday 17th May to Friday 21st May 2004

Scroll down page or click below for news - latest first

Tuesday

Friday May 21th 2004
Top Up TV reveals Thomson STB
Spain's Government prepares new TV law
UK gov starts digital switch over talks
Sony confirms exclusive MGM talks
Digital terrestrial TV on KDDI cellular phones
William Hill bets on interactive channel
CASBAA fights TV piracy in HK
TW launches HDTV with NBA coverage
EchoStar reaches US 50 states
GlobeCast WorldTV adds 7 new channels
Belgian Proximus uses Alcatel for 3G
Hutchison Australia faces three-year 3G losses
AMC inks 15-year deal with Panamsat
ST steps up satellite set-top strategy
Comcast extends Microsoft relationship

Top Up TV reveals Thomson STB
From Colin Mann in London

UK digital terrestrial start-up Top Up TV has unveiled the first new set-top box able to receive Top Up TV channels. The Thomson DTI2300 will be available in major retailers starting in mid June 2004. The new STB enables users to enjoy the programming offered by Top Up TV, as well as receive all current Freeview TV and Radio Channels.

According to Koen van Driel, Senior Vice President, Broadband Access Products, Worldwide Satellite at Thomson, the DTI2300 is a natural extension of Thomson's family of products, as it already has an established presence in both the Freeview and digital pay-TV markets.

In addition to receiving all the current Freeview TV and Radio Channels, the DTI2300 features a slot for a Top Up TV Viewing Card making it easy for customers to access Top Up TV's range of channels. The DTI2300 will be available in leading retailers, with an expected retail price of £79.99 (E119).

Ian West, Top Up TV's CEO expressed his belief that "a significant number of customers looking to purchase a digital terrestrial box will be interested by Top Up TV's 10 popular channels which are suitable for all the family," and looked forward to working with Thomson over the coming months to make the product a big success.

Top Up TV, meanwhile, signed up 20,000 subscribers in its first month, with its first subscribers drawn from the base of ITV Digital box owners. Top Up TV chairman David Chance expects about 40 per cent of Top Up TV's customers to sign up in the quarter leading up to Christmas, with growth increasing once the Thomson boxes are available at retail.
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Spain's Government prepares new TV law
From David del Valle in Madrid

The recently elected socialist Government is taking its first decisions regarding the TV market. The new Administration is preparing a new TV law, called 'Ley General Audiovisual' (General Audio-visual Law), to regulate the entire TV industry, putting an end to the existing chaotic and diverse TV legislation.

"It is about a law that will gather around in just one single piece of legislation all the regulation about television and radio", explained the minister of Industry, Jose Montilla.

The minister also announced the creation of a national Audiovisual Council, called Consejo Superior de Medios Audiovisuales, an independent regulatory body to guarantee pluralism and quality of media contents. This watchdog entity would assume most of the current responsibilities taken by the Telecommunications Market Commission.

Another priority will be DTT. Montilla said that the Government is working on a new Technical Plan - to be introduced shortly - to re-launch DTT. One of the first measures to be taken by the new Government will be the re-allocation of failed DTT operator Quiero's three and a half multiplexes (14 channels).
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UK gov starts digital switch over talks

The UK government has invited broadcasters to talks aimed at agreeing on a timetable for the switch from analogue to digital television.

Tessa Jowell, the secretary of state for Culture, Media and Sport, told MPs that the outcome of the discussions would be reflected in the digital licences that Ofcom would grant to ITV companies, Channel 4 and Five, and the forthcoming review of the BBC's 10-year charter.

Jowell said that since more than half of all households currently received digital TV services, and "in view of the progress to date, switch-over between 2006 and 2010 remains attainable".

However, Ofcom, the new media and communications watchdog, warned that digital take-up was unlikely to exceed 80 per cent without intervention from the government. "We need to move from policy discussions to implementation," it said.

The regulator has urged the formation of a new company - dubbed SwitchCo - to oversee the implementation of change from old analogue TV signals to multi-channel digital services.

Officials at the Department for Culture, Media and Sport refused to be drawn on a likely date for the switch-over, adding: "There are not going to be any incentives in terms of free equipment."

The government nevertheless expects prices of equipment to go down considerably before the switch-over.
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Sony confirms exclusive MGM talks

Sony Corp's Chairman and CEO Howard Stringer, confirmed that the firm is in exclusive negotiations to possibly acquire MGM.

According to a Reuters report, Stringer said that the company was "four or five days" into the 20-day exclusive negotiating period. Stringer however noted, "We're being very conservative."

The deal would provide Sony with access to MGM's 4,000-plus film library that includes the James Bond and Pink Panther titles to fulfill Chief Executive Nobuyuki Idei's vision of an interconnected world linking content with Sony's electronics.

Previous reports had indicated that Sony was considering making a $5 billion bid for MGM.
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Digital terrestrial TV on KDDI cellular phones

KDDI R&D Laboratories and KDDI have jointly developed a mobile phone terminal that receives digital terrestrial TV broadcasting and supports linked communications and broadcasting services in conjunction with NHK Science and Technical Research Laboratories.

The special features of this mobile terminal include the fact that it fully complies with broadcast makeup language (BML), a data broadcasting standard for mobile terminals in Japan, and that it enables the mutual linking of communications content and broadcasting content. It is also equipped with an extension function that shares information such as location data history between telephone handsets and servers, and it enables the provision of location data-linked content.

The two companies are the first in Japan to develop such a product in advance of digital TV broadcasting aimed at mobile terminals, which is due to commence in fiscal 2005.
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William Hill bets on interactive channel

UK bookmaker William Hill is to broadcast a branded television channel on the Sky digital platform, having signed an agreement with the Digital Interactive Television Group (DITG). Using DITG's broadcast and technology services, William Hill customers will be able to place bets and play games directly via their television sets, initially on Fixed Odds Betting Terminals (FOBT)-style betting formats.

There is also potential for the channel to be made available in licensed betting offices. The channel, which will also show live sports events and provide editorial sports content, is scheduled to launch in late 2004.

Damian Cope, Managing Director of DITG's gaming division, noted that DITG had shown that it could service traditional broadcasters, and added that the partnership "shows us doing the same in the gambling arena with the UK's biggest bookmaker."

David Harding, Chief Executive of William Hill, said that the initiative placed the company "at the forefront of the UK betting industry in exploiting interactive television, which is gaining growing acceptance as a transactional platform," and suggested that the known and trusted William Hill brand, ability to cross-promote the service to customers in other parts of our business, and choice of partner in DITG should provide "significant advantages in pursuing this new profit stream."

Separately, DITG reinforced its focus on expansion into the international market with the appointment of digital and satellite industry specialist Andrea Winn as head of business development. Winn was previously sales director at BT Broadcast Services where she was responsible for broadcast transmission facilities sales to media groups in the UK and internationally. Winn suggested there were "huge opportunities for broadcasters to significantly increase their revenues through exploiting interactive formats and applications."
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CASBAA fights TV piracy in HK

The Cable & Satellite Broadcasting Association of Asia (CASBAA), is taking new steps to stamp out pay-TV piracy in Hong Kong, issuing 'cease and desist letters' to a number of bars and clubs in Hong Kong screening pay-TV services without legal pay-TV subscriptions.

Following a High Court ruling and support from the Office of the Telecommunications Authority (OFTA) this new action aims to combat Pay-TV signal piracy across the SAR. If these venues fail to immediately discontinue screening pay-TV programming without obtaining legitimate subscriptions to licensed pay-TV services they are liable to further legal proceedings in the High Court of Hong Kong.

The cease and desist letters were issued in parallel with the launch of a 'pay-TV piracy awareness' campaign, under which CASBAA will issue letters to 300 bars and clubs in Hong Kong putting them on notice of what constitutes the legal and illegal screening of pay-TV services.

Under Hong Kong law bars and clubs may only display pay-TV channels, such as ESPN or STAR Sports, under an appropriate subscription from a Hong Kong licensed pay-TV operator such as Hong Kong Cable Television Limited (i-Cable). Other pay-TV operators such as UBC of Thailand, Multichoice of South Africa and Dream of the Philippines are not authorised to offer subscriptions in Hong Kong.

Simon Twiston Davies, the CEO of CASBAA said the pay-TV piracy awareness letters and cease and desist letters to the bars and clubs were part of a wider campaign to raise awareness of pay-TV piracy in Hong Kong and across the region. "Pay-TV signal piracy is a major issue for the broadcasting industry in Hong Kong. In October 2003, it was estimated that the gross cost associated with pay-TV signal piracy in Hong Kong amounted to approximately US$27 million (HK$210 million) over a 12-month period," said Twiston Davies, adding that if these vast sums are stolen from the value chain, investment will fall and programming standards will decline.
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TW launches HDTV with NBA coverage

Time Warner Cable has announced it will roll out the high definition feed of Turner Network Television (TNT) beginning with the network's coverage of the first NBA Western Conference Finals playoff game on May 21.

"TNT's collection of live sports, originals and top rated content is even more compelling when viewed in high-def," said Time Warner Cable Chief Marketing Officer Chuck Ellis. "TNT in HD makes a perfect complement to our ever expanding value-added HDTV package - which is available to our customers at no additional cost. Time Warner Cable continues to deliver on its promise to provide consumers with the best in choice and value for high definition programming."

TNT in HD is broadcast in 1080i 24 hours a day with all content in native HD or up-converted to HD, including commercials. TNT in HD will use Dolby Digital 5.1 surround sound for all programming and promotional elements. In addition, it will present all of its programming, including promotional content and commercials, in 16:9 wide-screen, giving viewers a consistent viewing experience, the company said.
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EchoStar reaches US 50 states

EchoStar announced that its DISH Network has become the first pay TV company to offer local TV channels in all 50 states and the District of Columbia.

The company said that nearly 90 per cent of US total households are now eligible to receive local channels in 127 markets via DISH Network's satellite TV service, including residents of Alaska and Hawaii.
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GlobeCast WorldTV adds 7 new channels

France Telecom-owned GlobeCast WorldTV has announced the addition of seven new broadcasters to its programming bouquets.

With these new channels, which include: Cambodian TV Network, NAT-TV and NAT-Radio, MAC TV, Living Asia Channel, ATN Bangla and Sneha TV to its premiere Asian and South Asian; GlobeCast WorldTV expands to 101 international television and radio channels available in the United States via the Direct-to-Home satellite service.
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Belgian Proximus uses Alcatel for 3G

Proximus, the leading mobile operator in Belgium, has deployed the first phase of its data backbone for 3G mobile communications using the Alcatel multiservice solution.

Proximus became the first Belgian mobile operator to offer 3G services when it launched on April 8, 2004. The network currently covers the capital city Brussels and other major cities in Belgium.
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Hutchison Australia faces three-year 3G losses

The CEO of Australian Hutchison Telecommunication said he expects the company's 3G business to continue incurring operating losses in the next two to three years, according to reports in the local press.

Kevin Russell said in a shareholders meeting that losses incurred so far in 2004 suggest first half losses to be consistent with the previous half and remain within initial guidance of a Aus$3 billion peak funding requirement. In February, the company announced net losses of Aus$409.8 million for 2003. (E1 = Aus$1.71).
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AMC inks 15-year deal with Panamsat

PanAmSat has signed a 15-year transponder agreement with Rainbow Network Communications (RNC) for the transport of AMC. Under the terms of the contract, PanAmSat's Galaxy 1R satellite will now distribute AMC to over 10,000 cable head-ends across the United States. AMC will join such leading programmers as Disney, Fox, Time Warner and Viacom on one of the industry's premier cable satellites.

AMC, is a subsidiary of Rainbow Media Holdings, which also owns and manages WE: Women's Entertainment and IFC, is a 24-hour, movie-based network, dedicated to the American movie fan. The network, which reaches over 86,000,000 homes, offers a comprehensive library of popular movies and a slate of original programming that is a diverse, movie-based mix of original series, documentaries and specials.
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ST steps up satellite set-top strategy

STMicroelectronics is developing new digital satellite decoder technologies and is branching out into new categories of set-tops, according to the EETimes. The company has also revealed that it has an active program developing portable digital satellite set-tops - a video version of iPOD players -, one for the US market and another for the UK market.

First products are slated for the consumer market by the end of this year with volume production expected in 2005, ST executives confirmed.

ST's latest efforts testify to the company's tenacious desire to maintain its leadership position in set-tops. In its annual analyst meeting held on May 18th, the company reported that it has more than a 70 per cent market share in the global set-top market.
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Comcast extends Microsoft relationship

Comcast Cable and Microsoft Corp are to extend their existing relationship which will give broadband cable operator Comcast the ability to make Microsoft TV Foundation Edition 1.7 software available to up to 5 million customers, with the option to expand the rollout at a later date. The deal reinforces Comcast and Microsoft's commitment to driving industry innovation and working together to bring advanced digital television services to consumers.

Steve Burke, president of Comcast Cable, said the pair would be working closely jointly to define the digital TV experiences of the future and to continue bringing innovative services to cable customers. Moshe Lichtman, corporate vice president of the Microsoft TV Division, said that Comcast's significant commitment to Microsoft TV Foundation was "a very powerful stamp of approval," and described it as another sign that the industry wants cost-effective, scalable software platforms to deliver the services consumers want today as well as the future services that have yet to be invented."

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Thursday May 20th 2004
Two goes into 4 with interactive games
Kasenna completes VOD package with ViewNow purchase
mmO2 eyes KPN
Kingston inmedia to orchestrate channel delivery
Playboy to shake-up UK adult TV market
TW's Parsons considers a bid for Adelphia
AOL steps up broadband price war

Canada sluggish on DTV
E! Networks prepares for analogue migration
Canwest plans IPO of New Zealand radio, TV
Belgacom: iDTV top priority
Telecom Italia / Nokia agree on 3G co-operation
DivXNetworks and KiSS to develop DVD optimised for HDTV
Two goes into 4 with interactive games

UK commercial broadcaster Channel 4 has chosen interactive TV specialist Two Way TV to launch its Interactive games channel, 4Active Games, on UK cable platform NTL and to update the existing interactive services menu on the Telewest cable platform with the 4Active Games service. The channel, which goes live during May, will include a number of new games and formats provided by Two Way TV who will also be responsible for hosting and managing the service. The appointment follows a series of successful programme-branded games created by Two Way TV for Channel 4.

Viewers using NTL and Telewest's digital cable services will be able to access the channel by pressing the red button while watching Channel 4 or E4. The initial line up for 4Active Games will be a set of Two Way TV games formats which will be rebadged for 4Active Games, as well as a range of games formats based on Channel 4's programming.

The deal builds on previous successful initiatives for Channel 4 such as branded games -Big Brother Chicken Task and Boys & Girls - based on the Saturday night game show broadcast in 2003. Other Two Way TV formats are currently running on the 4Active service on digital satellite.

Andy Taylor, Head of Interactive at Channel 4, said he believed that the development provided "an innovative way of extending the Channel 4 brand amongst our viewers." Guy Templer, Two Way TV's Commercial Director, suggested that games built around Channel 4's popular programmes "coupled with our strong games portfolio will make the new service compelling viewing."
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Kasenna completes VOD package with ViewNow purchase

Broadband video network systems provider Kasenna has acquired ViewNow, a video on demand programming, management, and marketing services company for cable and telco providers. The deal positions Kasenna to become the only vendor in the industry to offer the complete package of video on demand (VOD) infrastructure and applications along with VOD programming from leading studios and broadcasters, enabling its customers to get everything they need to deploy profitable, custom-branded video services rapidly.

"Now service providers can focus on generating revenue instead of dealing with multiple vendors, interoperability issues, and programming licensing said Mark Gray, chairman and CEO of Kasenna," suggesting that with the acquisition, Kasenna had broken the VOD market wide open.

"With Kasenna's new products and ViewNow's VOD programming and marketing services, we have created the 'triple-play' for triple-play providers: infrastructure, applications, and programming from one vendor," said Steve Roberts, president of Kasenna's new ViewNow division.

ViewNow has an extensive library of pre-packaged programming available to IP TV operators through long-term agreements with major motion picture studios and other programming providers. A number of independent broadband service operators had already agreed to take the pairing's combined offering before the formal acquisition of ViewNow.
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mmO2 eyes KPN

Reporting its first ever pre-tax profit has given mmO2 extra confidence. In a reversal of fortunes, Peter Erskine, CEO of mmO2, reportedly hinted that he could make a bid for KPN's loss-making German mobile business. Earlier this year, the Dutch group made a cash and shares bid for mmO2 that was rejected by the UK-based mobile operator.

According to the FT, Erskine said that strong growth at its loss-making German arm made a bid by mmO2 for KPN's German business more likely.

"The sentiment from the market is that [our momentum in Germany] and our balance sheet makes [a German acquisition] much more of an option for us than a year ago," he said.
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Kingston inmedia to orchestrate channel delivery

A new channel - The Musicians Channel (M-channel) - is set to launch on BSkyB at the end of May, using Kingston inmedia's fully-managed playout, satellite uplinking and Eurobird transponder to ensure that its free-to-air music education and entertainment programming reaches the UK's 7.3 million Sky subscribers, as well as digital homes across Europe.

The new channel is dedicated to encouraging, inspiring and educating all people with an interest in musical activity. M-Channel's aims are to stimulate and promote mutual growth for all aspects of the music industry and to encourage participation in music through access and education. "Our focus is on creating the highest levels of innovative programming, that inspires and educates our viewers and presents a raft of opportunities for our advertisers," commented Jon MacDonald, CEO and co-founder of The Musicians Channel.

Schedules for the new channel will be supplied to Kingston inmedia, and the content will then be played out from the fully-managed playout centre at Kingston inmedia's Gerrards Cross facility. The programming will then be uplinked to Kingston inmedia's transponder on the Eurobird satellite.

Kingston inmedia's Director of Sales for Broadcast Services, Matthew Ivey, suggested that his company was "helping to fill gaps in the market for channels like The Musicians Channel, reducing costs and taking them on air efficiently and on time."
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Playboy to shake-up UK adult TV market

Playboy TV says it is going to 'revolutionise' adult television in the UK by slashing prices as well as launching a multi- million pound marketing campaign and three new channels.

According to a report in the Independent newspaper, the company's plans could spark a price war in the adult sector as Playboy plans to spend several million pounds on three new channels, which it is calling Climax3.

Available to BSkyB homes, the channels are what is known as 'pay-per-night' access. However, unlike rivals the Playboy service will offer access to three channels in a cut price deal.

Rivals typically charge £5 for one channel under 'pay-per-night', but Playboy TV plans to offer access to three channels for £3.
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TW's Parsons considers a bid for Adelphia

Richard Parsons, Time Warner's CEO expressed interest in buying bankrupt cable operator Adelphia Communications and said that the company will be "a little more aggressive'' in acquisitions now that the New York-based company can afford to make deals after reducing its debt.

"Adelphia is obviously a situation that anyone interested in expanding in the cable space will want to look at,'' Parsons was reported as saying in an interview at the company's headquarters at Columbus Circle in Manhattan.

Although the story leak out form identified sources a month ago in the Wall Street Journal, Parson now confirmed: "We'll certainly take a look to see if there's a way that we can do something that's good for our shareholders.'' Cable systems fit with TW's movie and television operations, he added.
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AOL steps up broadband price war

Internet giant AOL has joined the escalating UK broadband price wars, slashing the prices of its high speed internet services and revealing ambitious plans for video on demand and internet telephony, according to a report on the Guardian newspaper.

AOL, which said it had more than 325,000 UK broadband subscribers, has introduced a new budget service at £19.99 (E29.98) a month for an always-on 256kbps connection, which is around five times faster than a normal dial-up internet service.

France Telecom-owned Wanadoo, formerly Freeserve, last week unveiled a £17.99 service that offers subscribers a 512kbps connection, 10 times faster than dial-up, but limits the amount of data they can download in a month to 2Gb. BT has also launched a similar service, priced at £19.99 and limited to 1Gb.

AOL's announcement follows a recent cut by BT in the amount it to slash the amount it charges rival telcos to access its local exchanges by up to 70%.

A company spokesman confirmed that AOL was talking to a range of broadcasters and Hollywood studios, including its sister Time Warner companies, about providing high-quality, on-demand content to PC screens.

AOL will also launch a Voice over IP (VoIP) service within 12 months to provide subscribers with free or cheap calls over the Internet, not only to other PCs but also to landlines and mobile phones.
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Canada sluggish on DTV
From Gail Chiasson in Montreal

Canada's digital TV subscriber growth continued to slow in 2003 for the fifth consecutive year, according to a new report by Decima Publishing, Ottawa.

The number of Canadian households subscribing to digital TV service increased by 12 per cent or approximately 417,000 in 2003, down from 21 per cent or about 588,000 in 2002. The figures are noted in Decima's quarterly digital TV market overview report series entitled 'The Digital Domain: Tracking the Growth and Development of the Canadian Digital TV Distribution Market'.

"Both satellite TV and digital cable experienced slower subscriber growth in 2003 compared to 2002," commented Mario Mota, president and publisher of Decima Publishing.

Mota says that it's clear from the latest research that Canadian broadcast distributors have already attracted early adopters to digital TV. Their challenge now is to convince consumers to upgrade to digital TV service so as to receive value-added services and features such as high-definition television programming, video-on-demand, and personal video recorders.

Satellite TV saw a significant slowdown in subscriber growth in 2003 as the sector faced increased competition from digital cable and since it had largely reached saturation in rural and under-served markets. The number of satellite TV subscribers increased by 5 per cent or approximately 111,000 in 2003, compared to 20 per cent or about 340,000 in 2002.

The number of digital cable subscribers increased by 23 per cent or approximately 292,000 in 2003, compared to 28 per cent or about 276,000 in 2002

Canada's two satellite TV Providers, Bell ExpressVu and Star Choice, continued to control the digital TV environment. Together, they had 57 per cent market share at the end of 2003 versus cable's 41 per cent (compared to 61 per cent and 37 per cent respectively at the end of 2002).

Decima Publishing forecasts that these percentages will be 54 per cent and 43 per cent at the end of 2004 and 51 per cent and 45 per cent at the end of 2005.

Despite slow subscriber growth, the Canadian broadcast distribution industry is firmly in transition from analogue to digital.
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E! Networks prepares for analogue migration

US cable and satellite entertainment programmer E! Networks has selected Scientific-Atlanta PowerVu digital encoding system to begin the analogue-to-digital conversion of its primary East Coast feed for E! Entertainment Television programming. E! will use Scientific-Atlanta's side carrier technology solution to deliver its new digital East Coast feed to cable affiliates.

E! anticipates the east coast programming feed beginning in June 2004.
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Canwest plans IPO of New Zealand radio, TV

Canwest Global Communications is to launch an initial public offering of its New Zealand radio and television operations.

According to reports, the broadcaster and newspaper publisher will sell to the public 68 million shares of CanWest MediaWorks, a new company which will acquire CanWest's existing New Zealand media operations.

Canwest said public investors will end up with about 30 per cent of the new firm, with the parent company holding the rest.
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Belgacom: iDTV top priority

Belgacom is giving the development of interactive digital television (iDTV) top priority. The development runs parallel to the extension of the optical-fibre network. As of November 2004 iDTV will be tested by approximately a thousand test users, the company said.

iDTV is part of the Broadway project, with which Belgacom, currently Belgium's main supplier of broadband services, further wishes to expand its services. In the future, Belgacom's DSL network should not only make Internet faster, but also bring digital television to Belgian homes.
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Telecom Italia / Nokia agree on 3G co-operation

Nokia and Telecom Italia have signed a Memorandum of Understanding (MoU) for co-operation in the area of technological innovations. The two companies will exchange their visions and strategies for innovations in communications technologies, as well as jointly test, validate and trial new technologies. Joint development projects may also be undertaken under the scope of the MoU.
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DivXNetworks and KiSS to develop DVD optimised for HDTV

US-based DivXNetworks, the company that created the patent-pending DivX video compression technology announced that it will work with KiSS Technology, a Danish manufacturer of next-generation consumer electronics products, to develop a DivX Certified DVD Player optimised for the high-resolution HDTV playback of DivX video files.

The DivX Certified DVD player from KiSS Technologies will offer the additional ability to playback high-resolution DivX videos optimised for HDTVs. The player will enable DivX users to archive high-definition broadcast content on their PCs and easily playback DivX video encoded from high-definition on HDTVs. Additionally, as a DivX Certified Home Theatre device, the KiSS DVD player will support playback of all versions of DivX video, including secure, video-on-demand content from DivXNetworks' content partners.
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Wednesday May 19th 2004
BT goes mobile with Vodafone
FIDECA: cheap boxes will resurrect DTT in Spain
mmO2 posts first pre-tax profit
BT to trial mobile video streaming service
UnitedGlobalCom gets EU OK to buy Noos
Former Euro president to head RTL unit
Orca goes global with SeaChange on VOD
Top Up TV taps SCM for CA
GlobeCast: hot deals for Euro 2004
China Telecom ties up with Proxim
Samsung to unveil satellite TV phones
Vos takes chair at Kingston inmedia
AOL quits Japan ISP unit
Sony Vaio plans portable digital video player launch
Eutelsat's W3A bird in full commercial service

BT goes mobile with Vodafone

BT is linking up with a former adversary in its drive to remove fixed and mobile barriers for good. BT is to work with Vodafone UK in its bid to offer fully-converged fixed-mobile services, claimed to be the first relationship of its kind in the world.

BT, which hived off its former mobile arm (now mmO2) in 2001, now has its own mobile business. The link-up with Vodafone UK is intended to reinforce and build upon BT's presence in the business and consumer mobile markets, by extending the benefits currently available to BT's mobility customers and taking them on to new levels of service.

BT intends its customers to benefit from true fixed-mobile convergence by being able to communicate and access the same information and services however and wherever they want, obviating the need to carry multiple devices, look up mobile address lists on different phones, or use more than one voicebank or phone numbers. The telco is seeking to generate around £1 billion of annual mobility and convergence revenues in five years.

BT also unveiled its plans for Project Bluephone - the first step to handset convergence - which it is aiming to launch before the end of the year. The new phone will allow customers to make both fixed and mobile calls whenever they are in reach of a BT wireless access point in their homes or offices, using one phone. If they move out of coverage range, they will seamlessly link to Vodafone's cellular GSM or 3G network for voice and data.

Following successful user trials, Project Bluephone is to be brought to market by BT in close collaboration with Alcatel, Ericsson and Motorola. A 'soft launch' involving more than 1,000 users is planned for this summer, with a full launch later this year. Steve Andrews, BT Group chief of mobility and convergence, said: "There has been a lot of talk about fixed and mobile convergence but, from later this year, it will be here from BT. We have moved from future vision to reality."

News of the Vodafone deal coincided with mmO2 announcing its year-end 2003/4 figures (see below).
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FIDECA: cheap boxes will resurrect DTT in Spain
From David del Valle in Madrid

FIDECA, a forum formed by consumers and media experts, has asked manufacturers to launch cheap set-top-boxes, at E100, as a way to make DTT popular.

The forum emphasised that it is vital to "eliminate most of the technological barriers and employ a single decoder that receives free-to-air signals" at a very low price, to resurrect the DTT market, stalled since the collapse of pay-TV platform Quiero in 2002.

In its opinion, the state-owned group RTVE - that operates the leading channel La Primera and La 2- should lead the development of DTT in Spain the same way "as other similar public televisions are doing in other countries".

Today, Spain's DTT market is at standstill. A Government move to boost the business is expected over the next months. The reallocation of Quiero's three and a half multiplexes (14 channels) is regarded as being essential to give new life to the market. RTVE has asked for eight digital channels in order to lead a free-to-air digital platform, similar to UK's Freeview, that initially would offer 20 to 30 channels.
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mmO2 posts first pre-tax profit

Mobile phone operator mmO2 has posted its first ever annual pre-tax profit of £95 million (E140 million). This compares with a £10.2 million loss the previous year. Rising customer numbers have helped it to up its core earnings 59 per cent.

MmO2, which said customer numbers in its British, German and Irish businesses grew by 14 per cent to 20.7 million, reported EBITDA of £1.3 billion before exceptionals on 22 per cent higher revenues of £5.64 billion.

The group's Chairman David Varney said in a statement: "Having reported positive full-year earnings and cashflow for the first time, and with the businesses demonstrating continued positive momentum, we will now review our distribution policy, aiming to update this policy with our interim results in November 2004."

MmO2 said its UK customer base grew by 10 per cent to 13.3 million, with an ARPU of £272.

In the German market, fourth-ranked O2 Germany saw its customer numbers rise by 24 per cent to 5.9 million, giving it a market share of nine per cent. Blended ARPU came in at E366, helping give the group a revenue market share of a little over 10 per cent -- one point short of rival E-Plus.

The group, which in February rejected a bid from Dutch peer KPN tipped to have been worth about £9.3 billion pounds, has seen its shares propelled by bid speculation in the past quarter.
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BT to trial mobile video streaming service

UK telco BT is to undertake commercial trials of a mobile video streaming service in conjunction with wireless application service provider Newmediacom. The ultimate intention is to offer the service as a 'white label' solution to BT Wholesale's broadband ISP, ASP and mobile operator customers.

The service will be offered in conjunction with MyMovies.net and utilises the BT WhASP Platform - which offers BT customers the opportunity to become 'virtual' service providers - to deliver movie clips and trailers over the four UK 2.5G mobile networks. MyMovies.net, which has some 350,000 members, has pioneered the supply of content for delivery across a variety of media platforms.

Its members will be able to access movie related footage anytime, anywhere on their mobile phones and a range of people from this audience will be targeted to participate in the trial. Users will be able to easily access the service by sending a text message and receiving simple instructions to download the player and view the content.

Dennis Edmonds, CEO of MyMovies.net said that the deal gave his company the ability to deliver live movie related content direct from Hollywood and other locations to mobile phones in the UK. Shaun Doyle, CEO, Newmediacom, revealed that his company would shortly be announcing other services for the mobile video marketplace. It is currently developing an advanced range of interactive video services for mobiles with transaction capabilities.
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UnitedGlobalCom gets EU OK to buy Noos

UnitedGlobalCom won EU permission on Tuesday to buy Noos, France's biggest cable TV operator, from French utility group Suez in a deal valuing the company at more than E500 million. "The operation raises no competition concerns," the European Commission, the European Union's executive body said in a statement.
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Former Euro president to head RTL unit

Following the decision by Gaston Thorn to retire from some of his non-executive roles, the Board of CLT-UFA, which is a subsidiary of RTL Group, has confirmed that Thorn is to resign as Chairman of the Board, with Jacques Santer becoming the new Chairman.

Thorn became Chairman and CEO of CLT in 1987. After the merger of CLT and UFA in 1997, he was appointed Chairman of the Board of CLT-UFA, a post he has held until his resignation.

Jacques Santer's distinguished career covers a variety of political roles including Member of the European Parliament (1974-1979 and 1999-2004), Prime Minister of Luxembourg (1984 -1995) and President of the European Commission (1995-1999).

Gerhard Zeiler, CEO of RTL Group, paid tribute to the "huge contribution he has made to the company over the last 17 years. He has played an active role in the development of the company into Europe's leading television and radio broadcaster and content provider," adding that he expected Santer to provide "valuable help and advice as we continue to develop the Group over the coming years".
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Orca goes global with SeaChange on VOD

Orca Interactive and SeaChange International have teamed up their sales and marketing activities to target VOD opportunities in the global telecom market and with cable television operators outside North America. The companies will jointly market the SeaChange VOD system integrated with Orca's middleware as a complete platform supporting an array of on-demand services.

The SeaChange VOD system supports MPEG-2 and MPEG-4 streams and advanced codecs, including H.264 and Microsoft Windows Media 9, for streaming on-demand movies and television programs over DSL, FTTH networks and HFC cable networks. The SeaChange VOD System, integrated with Orca's RiGHTv telco-grade middleware -- RiGHTv XVOD (eXtended Video on Demand) and RiGHTv XBIP (eXtended Broadcast over IP) middleware, delivers and manages enhanced entertainment services such as movies and other programming on-demand, live channels, Electronic Programme Guides, near VOD and PVR.

"SeaChange is clearly the global market leader for VOD solutions and is fully engaged in the international market for on-demand television. We are proud that our middleware software has been selected by SeaChange to be integrated into their solution," said Yosi Glick, Vice President for Marketing and Business Development, Orca Interactive. "Orca will work globally with SeaChange to win VOD deals".
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Top Up TV taps SCM for CA

UK digital TV start up Top Up TV has selected SCM Microsystems to supply security modules using the Nagra conditional access security system for its new digital broadcasting service in the UK. SCM's selection - confirmed by the company May 18 - was exclusively revealed by advanced-television.com's sister publication Euromedia in April (see Features: Top Up TV takes low-cost route).

Ian West, vice-chairman and CEO at Top Up TV saw the module supply as "a great opportunity to enable UK consumers with integrated digital televisions and those with compatible Common Interface set-top boxes to be able to watch additional channels on Top Up TV."

UK distributor Turbosat has been chosen to manage the sale of Top Up TV security modules in the UK through major retailers. SCM has already received an initial order for 10,000.
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GlobeCast: hot deals for Euro 2004

GlobeCast has signed agreements with Sky News, Sky Sports News, French broadcaster Francetelevisions and Japanese national TV, Wow Wow, for coverage of the European Football Championships.

A dedicated GlobeCast team will be on hand in Portugal, from 12th June to 4th July, for the European Football Championships 2004.
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China Telecom ties up with Proxim
From Shveta Malik in New Delhi

China Telecom has chosen Proxim Corporation and its partner Forth Research Institute, a subsidiary of DaTang Telecom, to provide point-to-multipoint broadband wireless solutions in 10 provinces in China. Proxim provides wireless networking equipment for Wi-Fi and broadband wireless networks.

China Telecom is deploying Proxim's 5.8 GHz licence-exempt broadband wireless products to expand capacity beyond the current licensed spectrum to meet market demand for high speed Internet access and voice over IP services. Forth Research Institute will supply the equipment and provide maintenance services and technical support for Proxim products to China Telecom. Gai Xinhua, director of the Forth Research Institute Proxim's, said that Tsunami broadband wireless products met the high capacity requirements of large voice and data networks.

The deployments are already underway in the Tianjin municipality and the Shanxi province to deliver high-speed Internet access and Voice over IP services to residential and enterprise customers.

China Telecom has local access networks in 21 provinces in the south and west, and 10 branch corporations in the 10 provincial regions.
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Samsung to unveil satellite TV phones

Samsung plans to release a phone that can receive satellite TV signals and launch a service package that lets customers receive up to 40 stations. The company expects to launch both the service and the handset, called the Digital Multimedia Broadcasting (DMB) phone, in the third quarter.

The phone and service at first will be available only in South Korea, but the company often brings phones to other markets after assessing domestic sales, Ike Chung, vice president of mobile sales and marketing for Samsung, said in an interview. He added that Samsung developed the chip that makes the DMB service possible.

Chung also said that another product - a phone with a built-in BlackBerry device -will come out in the fourth quarter.
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Vos takes chair at Kingston inmedia

UK satellite service provider Kingston inmedia, has appointed Richard Vos, former Chairman of Inmarsat, as Chairman of the board. The other members of the board include Nick Thompson, CEO, Julian Portman, Finance Director, and David FitzGerald and Bruno Mourgue d'Algue from The Carlyle Group.
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AOL quits Japan ISP unit

AOL is to sell its Japanese internet service provider operations to eAccess for Y2.1 billion ($18.4 million), ending its eight-year foray into Japan, the FT reported.

The Time Warner subsidiary has signed up 400,000 subscribers since 1996 - in contrast to rival Yahoo BB, a subsidiary of Softbank, that has attracted four million users in three years.

The sale of the ISP business, whose 200 staff will be transferred to eAccess, leaves AOL with no operations in Japan, although the company will remain incorporated in the country for the time being.
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Sony Vaio plans portable digital video player launch

Media and technology conglomerate Sony has said that it will unveil a portable digital video playing device later this year - a video version of its recently unveiled Vaio Pocket digital music player that is intended to compete with Apple's market-dominant iPod. The gadget will be able to play video and beam it to a TV using 802.11G wi-fi technology.
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Eutelsat's W3A bird in full commercial service

Eutelsat's new W3A satellite has been successfully brought into full commercial service at 7 degrees East, on May 16, with the seamless transfer of all traffic to the new satellite from W3.

In addition to assuming all services formerly delivered by W3, Eutelsat's new satellite substantially increases the business potential at one of Eutelsat's most longstanding orbital locations by providing more capacity and extending coverage beyond Europe, the Middle East and North Africa to almost the entire African continent. Apart from the Ku-band capacity, Eutelsat has deployed Ka-band frequencies and Skyplex on-board processing on W3A that in particular opens opportunities for broadband services between Europe and Africa such as voice over IP and Internet access.
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Tuesday May 18th 2004
UK cinemas given digital boost
Viacom in talks to buy German group
Grade takes BBC chair
Latens notches Norwegian CA success
Broadband grows strong in the US
China and Malaysia restrict western influence on TV
Terayon teams up with Tandberg Television
Alcatel to provide IP services to Telenet
Kreatel launches combined IP/DTT set-top box
TeleColumbus goes two-way with Teleste
Fusion launches iDTV range
Ofcom simplifies advertising regulation

UK cinemas given digital boost
From Colin Mann in London

UK cinemas will be at the forefront of digital cinema technology worldwide following the announcement of a £13 million (E19 million) investment package to create the world's first 'Digital Screen Network' later this year. As of March 2004, there were approximately 190 screens worldwide offering high level digital projection, with just a handful located in the UK.

The Network, which is being majority funded by National Lottery cash from the UK Film Council's Distribution and Exhibition Fund, will provide some 250 screens in approximately 150 cinemas in England, Wales, Scotland and Northern Ireland with the highest possible specification equipment needed to show digital copies of films rather than traditional 35mm prints. Invitations to tender for the supply of the equipment will be issued shortly.

Film industry chiefs predict the initiative will give cinema-goers a wider choice of non-mainstream films, noting that with 35mm copies costing around £1,000, the number of copies of such films is severely limited. In return for being provided with the technology, the UK Film Council will ask cinemas to earmark a certain proportion of screening time for showing specialised films, which to date have had limited opportunity to be seen outside London and other major cities.

UK Film Council CEO John Woodward, said that aim of the network was to use "state of the art technology to cut the cost of distributing films and to provide a new and cost-effective way of making a broader range of films available to the public."

The Digital Screen Network will complement, not replace existing 35mm projection systems, so that films will be viewed in either format so as not to exclude those wishing to continue distributing films in the traditional way.
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Viacom in talks to buy German group

US media giant Viacom is in discussions to buy troubled German broadcasting Viva Media, according to a report on the FT. The move would give Viacom a bigger share of the music television industry in Europe.

The report said Viacom was performing due diligence. A possible offer price was put at E300 million.

The talks come as Viva Media is struggling with declining ratings at its two music TV channels in Germany, which are facing intense competition from Viacom's music channel MTV. Last week the company reported a first-quarter operating loss of E2.6 million on revenues of E22.9 million.

Viva Media was, in effect, put up for sale when Time Warner and Universal Music, the media groups that control 45.9 per cent of the company's equity, decided their investment was no longer strategic. In the past few months, it has been approached by a string of potential bidders including ProSiebenSat.1 and RTL, the rival German broadcasters. However, Viacom has taken the lead because it appears willing to pay a higher price than its rivals.
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Grade takes BBC chair

Michael Grade started work on Monday as the new Chairman of the BBC. He was appointed last month following the resignation of the former Chairman Gavyn Davies in the wake of the Hutton Report. One of his first tasks will be to lead the BBC governors in finding a replacement for Greg Dyke as the corporation's DG. Grade confirmed they were determined to appoint a new director general "as soon as possible".

He looks likely to continue Dyke's open door policy, starting his new role with a chatty e-mail to staff urging them to "give me a shout" if they see him around the building.

Another item of immediate concern is the BBC's charter review document, which is due to be submitted to the Department of Culture, Media and Sport by the end of June. "We cannot take our privileged position as a 'cherished institution' for granted; we need to make a compelling case for the BBC to be allowed to continue as the unique, vibrant and creative organisation we know it to be," said Grade.
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Latens notches Norwegian CA success

Conditional Access specialist Latens is to provide its next generation CA systems to Lyse Energi, the Norwegian power utility that offers its customers multi-channel TV and VOD services as part of its triple-play offering over an advanced fibre-to-the-home (FTTH) network.

The Belfast-based company will provide a CA system and VOD encryption engine for IP networks that integrates with Lyse's existing set-top boxes, headend, VOD servers and subscriber management system. The solution has been designed to allow scalability as more regional services are rolled out as well as allowing Lyse complete flexibility in marketing models and the packaging of pay-TV content to suit their market.

Eirik Gundegjerde, CTO of Lyse, remarked that as the service grew, it became crucial to employ strong security systems, "not only to protect our revenues but even more importantly to enable us to secure access to the highest quality content," adding that cost savings meant that the company could invest more on winning and retaining customers.

Jeremy Thorp, CEO, Latens, suggested that Lyse's selection came down to three major reasons: "We are much more cost-effective than a smartcard based system; we give each operator a unique security system which means they are unaffected by the piracy of other networks, and crucially, our technology is easily integrated with Lyse's existing systems and installed base of set-top boxes."

Separately, Latens confirmed that it is responding to the increasing number of enquiries it is receiving from cable and broadband operators in the Americas by opening a US office, to be run by Dean B Kashlan who joins from Irdeto Access where he led Irdeto's IPTV business development in North America. Thorp predicted that next generation Conditional Access would be highly popular in the USA. "After all, the largest market for traditional CA is the market that has most to gain by deploying our next generation CA technology," he added.
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Broadband grows strong in the US

Research findings released by the Leichtman Research reveal that the 20 largest cable and DSL providers in the United States - representing about 98 per cent of the market - added a combined total of more than 2.34 million broadband subscribers in the first quarter.

Net broadband additions for the quarter were the largest ever, Leichtman Research said, bringing the number of high-speed Internet subscribers for leading US cable and DSL providers to more than 26.9 million at the end of the first quarter.

DSL providers had their best quarter ever with about 1.17 million net additions - a figure that exceeded fourth quarter 2003 by 300,000 subscribers.

Top cable companies maintained a 6.4 million subscriber advantage over DSL, with cable now accounting for 16.67 million high-speed Internet subscribers, compared to 10.26 million for DSL, according to Leichtman Research. The top cable broadband providers have a 62 per cent share of the broadband market versus 38 per cent for DSL - a slight change from a year ago when cable had 64 per cent market share versus 36 per cent for DSL, the firm said.
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China and Malaysia restrict western influence on TV
From Shveta Malik in New Delhi


Curbing the western influence in their respective countries, Chinese and Malaysian authorities have instructed broadcasters and production houses to exercise control over content related to violence and sex.

In China, the state broadcasting authority has renewed a ban on foreign crime shows and warned Chinese broadcasters to avoid programmes that promote Western thinking or politics. Along with restrictions on language, dress and behaviour, the guidelines also ban imported programmes promoting "western ideology and politic." The new development is the latest sign of a tussle between Communist Party officials intent on tightening their grip on the news media and the Internet, and journalists resisting censorship.

"The rule intends to reduce the negative impact of queer dressing and behaviour on youngsters," said Xu Caihua, an official at the Shanghai Administration of Culture, Radio, Film and Television.

The official statement added that the television hosts shouldn't imitate Hong Kong or Taiwanese accents - considered chic by some young Chinese - nor should they drop English words into their presentations.

In Malaysia, the broadcasters have been given a one month deadline to stop screening foreign advertisements and movies with "excessive violence and sex elements."
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Terayon teams up with Tandberg Television

Broadband access solutions provider Terayon Communication Systems has signed a partnership agreement with professional video compression and TV delivery systems provider Tandberg Television. The agreement will see Tandberg Television integrate and resell Terayon's CherryPicker digital streams management system and other digital video solutions into the cable television, broadcast, telecommunications, satellite and digital terrestrial television markets worldwide.

Jeff Barco, VP and general manager of Terayon's Digital Video Solutions group noted that cable operators, broadcasters and telcos were moving at varying paces to the 'all digital' future and suggested that by partnering with Tandberg Television, Terayon could help accelerate this migration with wider distribution of its products and by introducing new solutions that leveraged the innovation of both companies.

For Tandberg Television, Warren Hobson, director of corporate strategy, said that his company's aim was to provide customers with complete end-to-end systems that gave them "a business model solution, not just a technology infrastructure," adding that Tandberg Television integrated best in class third party products to deliver the right solution for specific applications.

Tandberg Television will immediately begin the worldwide marketing and reselling of Terayon's complete suite of digital video products, comprising the DM (Distributed Media) family of CherryPicker products for cable and satellite operators, the CP line of digital video receivers and decoders and its BP (Broadcast Platform) line of solutions for broadcasters.
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Alcatel to provide IP services to Telenet

Belgian cable operator Telenet has selected Alcatel to provide carrier-class IP service router for Telenet's IP-based broadband service network.

Alcatel commented that its 7750 Service Router (SR) will enable Telenet to achieve greater network profitability by offering high-speed Internet services over a reliable IP/MPLS (Multi-Protocol Label Switching) network. Future services such as interactive digital TV, integrated data and voice services and a range of advanced services for the enterprise market also will use the Alcatel service routers.
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Kreatel launches combined IP/DTT set-top box

Swedish company Kreatel Communications, a provider of IP set-top box solutions, has launched a new IP-based set-top box with a built-in DVB-T tuner that combines access to digital terrestrial television, IPTV and enhanced services.

The Kreatel IP-STB 1520 - to be showcased at London's Mediacast show in late May - is a hybrid set-top box that combines the stable IP-STB features of Kreatel with a DVB-T receiver. Operators will be able to reach new customers with enhanced IP services by offering them access to Free-to-Air broadcasts. At the same time, the required bandwidth can be reduced as RF cable can be used for digital TV instead of IP multicast.

Premium television content can also be a part of the service bundling, either offered in partnership with terrestrial broadcasters, or offered by the operator over IP. All TV channels, regardless of broadcast method, are seamlessly integrated in the same channel table.
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TeleColumbus goes two-way with Teleste

Finnish broadband specialist Teleste is to upgrade parts of TeleColumbus Group subsidiary ImmoMediaNet's networks to allow two-way communications. The integration project - valued at over E5 million - covers various cities in Germany and will be carried out in 2004 and 2005.

TeleColumbus is one of the leading German access network providers with a total of 3.0 million subscribers. Their service portfolio includes video services and high speed data for
residential customers. Teleste has been one of the main technology providers for TeleColumbus since 1997.
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Fusion launches iDTV range

Digital consumer electronics manufacturer Fusion Digital Technology is launching a comprehensive range of LCD integrated televisions for the UK and European marketplace.

Each model in the Digifusion range of LCD Integrated Televisions (iDTVs offers a pan-European, one-box solution with and LCD screen and integrated, free-to-air Digital Terrestrial Receiver. The units also support pay-TV services with a built-in Common Interface which accepts Conditional Access Modules (CAMs). On-screen menus are available in numerous European languages. Fusion also confirmed that it plans to launch two new LCD integrated sets in early 2005 with a built-in DVD player and a Digital Video Recorder.

Barry Rubery, Fusion's CEO, remarked that with the trend towards new slim-line LCD sets, he was pleased to be able to offer "a stylish, affordable and innovative range of integrated TVs for consumers considering switching to digital."
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Ofcom simplifies advertising regulation

UK communications watchdog Ofcom is proposing to simplify the regulation of broadcasting advertising. Under new procedures unveiled on Monday, Ofcom aims to transfer broadcast advertising content regulation to a new system to be established under the umbrella of the Advertising Standards Authority (ASA), which currently regulates non-broadcast advertising.

The new proposals incorporate a number of significant changes which follow widespread industry consultation, including:

* The establishment of an Advertising Advisory Committee, independently chaired, to provide lay and expert input to the broadcast advertising code-making body, the Broadcast Committee of Advertising Practice (BCAP).
* Confirmation that Ofcom will, as a last resort, be able to insist on changes being made to the broadcast advertising Codes, as well as having a right of veto on any proposed changes.
* Launch of the system moved to November 2004 to allow for more effective planning.
* Greater clarity on which advertising regulation functions will be contracted out, and which will remain within Ofcom.

Ofcom said that it is satisfied that the proposed structure of the new system to be run under the ASA will create an effective, adequately funded, and sufficiently independent co-regulator. Ofcom Chief Executive Stephen Carter said that extending the ASA's responsibility would create a 'one-stop-shop' for all advertising offering real benefits to consumers and advertisers alike.
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Monday May 17th 2004
OpenTV: CEO steps down
Liberty sees alliance with Cox in Adelphia bid
Thomson boxes clever for European cable market
ITU plan more UK DTT
NTT annual operating profit hits record high
Micronas expands into HDTV market
Digiturk selects SCM Microsystems security modules
Fusion receivers with rewind live TV feature
E! International launches on Sky Italia
emuse and Siren partner for mobile and interactive TV
Vegastream residential VoIP gateway

ZAP Broadband trials to go ahead at Kingston


OpenTV: CEO steps down

OpenTV, the US-based interactive television company, announced that Jim Chiddix, who recently joined OpenTV as the Executive Chairman of its Board, has also assumed the additional role of Chief Executive Officer replacing James Ackerman.

The company indicated Ackerman has decided to step down as CEO and has agreed to assist Chiddix for a transitional period before departing later in the year. Chiddix said, "I wish James all the best. He has made a significant contribution to OpenTV by managing the company's growth through some turbulent times and accelerating the continued deployment of our technologies throughout the world. I appreciate his commitment to ensuring a smooth transition as I assume the CEO role."

Ackerman said, "I'm proud of what we have accomplished at OpenTV during my tenure as CEO and I am confident that under Jim's leadership the company will continue to successfully extend its platform and applications in the United States and abroad. With Jim on board, this seemed like the appropriate time for me to make a change and seek new challenges."
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Liberty sees alliance with Cox in Adelphia bid

Liberty Media could ally with Cox Communications to acquire part or all of bankrupt cable company Adelphia Communications, Liberty's Chief Executive Robert Bennett has said.

Bennett told investors that he could see an alliance with Atlanta-based Cox in a bid for Adelphia that hinged on a swap for Cox's 25 percent stake in Discovery Communications. "Our interest in Adelphia would be driven by our Discovery partners' interest in Adelphia," Bennett said.

While giving few specifics, Bennett said that if Cox made a bid for Adelphia, Cox and Liberty could "come up with some kind of transaction" that would let Cox swap its stake in Discovery with Liberty, in exchange for Adelphia cable systems on a tax-free basis.

Liberty Media has made no secret of its desire to increase its stake in fast-growing Discovery, which is benefiting from increased affiliate fees and advertising revenue as advertisers migrate from broadcast to cable.
Cox considers itself a pure distribution business that analysts say could stand to gain from increasing the scale of its cable television and telecommunications operations.
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Thomson boxes clever for European cable market
From Colin Mann in Cologne

Integrated entertainment and media solutions provider Thomson is introducing a series of interactive cable decoders, wireless and Voice over IP cable modem products targeted at the increasing demand for interactive applications that use cable networks. The company plans to expand and strengthen its position in both broadband and digital cable with more advanced products that provide a wider range of services. Thomson recently combined its cable decoder and modem businesses as part of its expanded commitment to cable world-wide.

According to Thomson, there is tremendous growth potential because, although more than 57 million homes in Europe have access to cable, only six million receive digital cable services and just five million have high-speed Internet access.

"We've sensed an upturn; the momentum is positive after a difficult couple of years," commented David Baylis, broadband access products business development manager for Thomson, who were using their presence at ANGA cable to showcase cable decoders and modems designed to provide cable operators with cost effective solutions for interactive broadband services.

The DCI 1500 features an Ethernet port for connecting to both digital TV and high-speed Internet data services through the same set-top box. This allows operators to offer digital TV and interactivity in a single, basic-set-top that leverages an existing mode within the consumer home.

In addition, Thomson's first multi-service interactive cable decoder, the DCI 5200 features a high-speed Euro-DOCSIS integrated cable modem that can be used both by the set-top box application software for interactivity or connected to a PC for Internet access. This allows European cable operators to deploy high-speed service and opens the possibilities of Web browsing, Impulse Pay-Per-View (IPPV) and Video on Demand (VOD) on broadband networks.

"The cable modem and data market is really exploding," added Baylis. "It's taken us by surprise. We're seeing three times the level of deployments we anticipated."
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ITU plan more UK DTT

The UK's ITU Regional Radiocommunication Conference opened last week with the objective of establishing the technical basis for the planning of the digital terrestrial broadcasting service (radio and television) in the frequency bands 174-230 MHz and 470-862 MHz for parts of Region 1 (Europe, Africa and the Middle East) and Region 3 (Islamic Republic of Iran). The conference, which will consider more than 50 submissions, is scheduled to conclude on 28 May 2004.

A major challenge of the conference is to find ways of permitting digital broadcasting to operate side-by-side with analogue broadcasting, without causing interference between the two. Mr Valery Timofeev, Director of the Radiocommunication Bureau of ITU says, "the conference is being held at a critical point in the development of the technology: digital television is being introduced intensely in some parts of the planning area, while in others, digital television technology is not an immediate priority."
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NTT annual operating profit hits record high

NTT, the world's largest telecoms group, posted record operating profits for the year to March, helped by strong results from its mobile phone subsidiary, DoCoMo, and cost-cutting efforts in its fixed-line operations, the FT reported.

But the group warned that revenues and profits would both be lower this year due to continuous pressures in its fixed line business and a lower contribution from DoCoMo.

NTT also confirmed that Masaru Nakamura would succeed Keiji Tachikawa as President of DoCoMo in June.

The group's operating profits climbed 14.4 per cent to Y1,560 billion ($13.6 billion) on revenues of Y11,095 billion, while pre-tax profits were 9 per cent higher at Y1,527 billion. Net profits, at Y644 billion, were more than double last year's level, mainly due to the lack of extraordinary losses related to DoCoMo's overseas assets.

NTT said that while DoCoMo's contribution was large, its results were also helped by stringent cost-cutting measures at NTT East and NTT West, its fixed line operating companies, which increased profits despite declines in revenues.

However, the telecoms group, which is suffering a sharp decline in its fixed line business, said the shift to flat-rate broadband services and mobile phones would dent results this year.
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Micronas expands into HDTV market

Micronas, a semiconductor designer and manufacturer, announced that it has signed an agreement to acquire LINX Electronics, a semiconductor company that develops innovative digital television solutions for improved reception of high-definition television (HDTV) signals. This transaction, which is expected to be completed in June 2004, will enable Micronas to further expand its TV system solutions portfolio.

The purchase price of approximately $26 million will be paid in cash and Micronas¯ shares. Chicago-based LINX Electronics employs a highly acclaimed HDTV technology team of about 20 engineers and brings complementary technology to Micronas. The purchase includes all development activities and patents held by LINX Electronics.
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Digiturk selects SCM Microsystems security modules

Turkey's 800,000 subscriber Digiturk pay-television operator has inked an agreement with SCM Microsystems, for the supply of digital TV security modules.

Digiturk ordered security modules from SCM with the Philips CryptoworksË security system, which they will resell to existing and new subscribers in Turkey and throughout the satellite footprint in Europe and the Middle East.

"Now anyone with a CI standard set-top box can subscribe to Digiturk," said Taylan Ozsipahi, head of Set-Top Box & Conditional Access Technologies at Digiturk. "The growth in CI-ready set top boxes makes this a good opportunity for us. We see a pent up demand from the base of CI-ready devices throughout Turkey and with the Turkish people living throughout Europe."
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Fusion receivers with rewind live TV feature

Fusion Digital Technology Ltd have announced the launch of their new Digifusion digital receiver range with each model including an innovative 'Rewind TV' feature, enabling users to relive their favourite TV moments as they happen.

The range, to be unveiled at this year's Mediacast, enables Fusion to supply cost-effective, added-value, free-to-air receivers for digital satellite and terrestrial platforms in the UK and Europe. Other models to be introduced throughout the year include twin tuners to allow flexible viewing and recording options.

The Digifusion FRT101 digital terrestrial receiver is the first model to launch with 'Rewind TV' for the UK's digital terrestrial market in June 2004. Users will be able to repeat the last 30 seconds of the programme they've been watching at the touch of a button. This model will be a direct replacement for the FRT100, at the same recommended retail price. The FRT101 also includes 7 day onscreen TV listings for the week ahead through the Multi Guide§ as well as a TV calendar, favourite channel facility, child lock and personal reminder service.
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E! International launches on Sky Italia

E! Networks continues its expansion into Western Europe with the signing of a long-term channel deal for the E! International Network with Sky Italia.

Kevin MacLellan, senior vice President, said: "Launching E! in Italy marks another exciting milestone for us, as we continue to establish the channel in non-English speaking countries of Western Europe," Additionally, E! News Live Italia, the first localised Italian-language version of E!'s daily entertainment news program, will become part of the weekday schedule.
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emuse and Siren partner for mobile and interactive TV

emuse Technologies announce a new partnership with Siren, the UK's leading 'Participation TV' agency. Both companies claim strong positions in the UK broadcasting market and by combining their strengths will present a complete offering, they say.

The interactive/participation TV sector is in a strong growth phase and needs innovative practices and solutions to encourage more rapid development. Siren will include the Modelstream suite as part of their Participation TV offering and will also act as a reseller for the Modelstream suite whilst emuse will be assisting Siren in their international expansion plans by introducing Siren services to their growing international client base.
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Vegastream residential VoIP gateway

VegaStream, a supplier of dedicated business VoIP (Voice over IP) Gateways, announced the launch of its portfolio of residential VoIP Gateways. Installed by the end-user and remotely provisioned, configured and maintained by either the VoIP service provider or enterprise IT department, the Vega residential gateways provide the full range of telephony services to end-users at a fraction of the cost of traditional PSTN telephony.

For the enterprise, the residential VoIP gateways enable them to securely extend the corporate PBX direct into the home (or small) office and using the existing broadband connection just as they already do for IP VPN access to corporate data. For the service provider, new voice services can be offered and delivered to residential customers, bundling bandwidth and telephony into a single connection, differentiating its offering from other ISPs and reducing customer churn from the more commoditised standard broadband connection.
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ZAP Broadband trials to go ahead at Kingston

UK software developer Zap Corporation have confirmed a partnership with broadband telephone company Kingston Communications and eight major brand advertisers to trial their targeted advertising software starting in Summer 2004. Kingston Communications run the pioneering broadband interactive TV platform Ä KIT - on which the network testing is expected to run for 3/6 months as a co project with the advertising community in London. Several more leading brands and agencies are expected to participate.

The objectives of the trial, believed to be the first of its kind anywhere in the world, is to evaluate the efficiency improvements which broadband delivery platforms can offer to TV advertisers. Weybridge based media measurement experts Holden Pearmain will provide independent assessment of the results from the KIT customer base.
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