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NEWS Monday 25th July to Friday 29th July 2005
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Despite digital penetration looking set to double in western Europe by 2010 – reaching 99.4 million households, 65 per cent of the total – the switchover is taking longer than expected according to the latest report from Informa Telecoms & Media. It predicts that western European countries will fail to meet analogue switchover targets, with some missing them by more than a decade.
Switchover in the UK is not likely to be completed until 2015, France, Germany and Spain's 2010 target will slip by nine, six and 10 years respectively, while Italy could miss its 2006 deadline by 14 years, the report claims.
"Even those countries with the highest digital penetration rates at present could have some problems with a hardcore of consumers who are resistant to change," said Adam Thomas, author of the report which also predicts that digital penetration across Europe will rise by 25 per cent in 2005 to reach 45.8 million households by the end of the year.
Across Europe, digital cable will be the dominant platform, with a 26 per cent digital market share, leaving digital satellite with 20 per cent and digital terrestrial with 13 per cent. IPTV with 6 per cent of the market share is expected to be a "fast growth sector" in coming years due to rapid advances in broadband DSL.
"The future
is increasingly bright for digital TV in Europe. The cable and satellite sectors
are reaping the benefits of consolidation and debt restructuring and this
has resulted in stronger companies that have the resources to upgrade their
networks and fully market their services," said Thomas.
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Portugal
to relaunch DTT in 2006
From
David del Valle in Madrid
The Portuguese Government intends to call a public tender in the first half of next year to award DTT licences in an attempt to relaunch the market. Several companies, such as Media Capital and the telco company SGC Telecom, among others, have already expressed their interest in the DTT frequencies.
The Portuguese DTT market is currently deadlocked since 2003 when the Administration revoked the DTT licence awarded to Plataforma de Televisão Digital Portuguesa (PTDP). This company had been granted with the licence in 2001 (Portugal Telecom and TV Cabo were barred from taking part in the competition) but, after several delays, did not develop the market on the ground of "technical and financial reasons".
Portugal plans
to switch off analogue TV transmissions in 2010.
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Thomson to acquire PRN Corporation
Media and entertainment solution provider Thomson is to acquire PRN Corporation (PRN), an in-store digital video networks operator, at a cost of approximately $285 million (E235.5 million).
PRN, a privately-owned US company, manages in-store television networks for leading retailers such as Wal-Mart in over 6,000 locations. It will become part of Thomson's Network Operations Services business unit in the Services Division, which encompasses a wide range of activities enabling the management of electronic content flows for a variety of distribution channels including broadcast, cinema, corporate and retail.
"The acquisition of PRN will reinforce Thomson's expertise in electronic media and further extend our services towards advertisers and retailers," said Lanny Raimondo, Thomson's Senior Executive Vice President, in charge of the Services Division. "Thomson is making significant progress in extending the reach of its digital network management activity."
The acquisition
is expected to close during the fourth quarter.
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Alcatel announces second quarter results
Alcatel has revealed a second-quarter net profit of E196 million. Revenues amounted to E3,145 million, an increase of 8.5 per cent, exceeding all expectations.
Serge Tchuruk, Chairman and Chief Executive Officer said sales were "higher than anticipated in all three business segments", noting that the mobile communication business grew by approximately 30 per cent year over year for the second quarter in a row, while the fixed communication business continued to shrink.
Alcatel are now
expecting their full year revenue growth to be in the 5-8 per cent range.
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France Telecom earnings beat expectations
France Telecom has revealed first-half profits ahead of expectations, reports the FT. The telecom group said net income more than trebled to E1 billion from E3.4 billion on sales up 2.3 per cent on a pro forma basis to E23.7 billion.
The group, which said it had seen growth across its internet and mobile phone units, had a big improvement in its operating performance, up from E4.3 billion to E6.5 billion. During the six months to June 30, France Telecom increased its mobile phone customers by 16.3 per cent to 66.7 million, while broadband customers rose 80 per cent to 6.4 million.
France Telecom confirmed its targets of full-year operating income of E18.5 billion.
The results follow France Telecom's recent move to take control of Spanish mobile operator Amena as part of its NexT (New Experience in Telecommunications) strategy.
"These results
support the Group, from the very launch of the NExT program, in our ambition
to make France Telecom the telecommunications operator of reference in Europe,"
said Didier Lombard, France Telecom's Chairman and Chief Executive Officer.
"Starting in the second half of this year, we will dedicate all our energy
to increasing NExT's momentum by launching convergent offerings that simplify
our clients' usages and provide the benefits of an integrated group's services
and innovations."
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TU
Media targets 600,000 for its DMB service by 2005-end
From
Shveta Malik in New Delhi
TU Media has stated that more than 100,000 have signed up for its satellite digital multimedia broadcasting (DMB) services in less than three months after its commercial debut. The company has indicated that it plans to have 600,000 subscribers for the service by the end of this year.
Korean mobile operator SK Telecom and its affiliate TU Media had launched the world's first satellite DMB offerings with cell phones in May this year.
"This is an important milestone (100,000 users) since our customer base indicates that satellite DMB is taking firm root here in Korea," Heo Jae-young, TU Media spokesperson.
TU Media currently offers nine video channels including drama, sports, games, news, music and movies as well as 25 audio broadcasts. The offerings are available at US$19.4 (E16) of one-time subscription fee and the monthly rate of US$12.6 (E10.4) plus satellite DMB-enabled cell phones. Currently, only five satellite DMB-specific phones are available in the market and the number is expected touch 15 by this year.
Smaller mobile
carriers of KTF and LG Telecom will commence their satellite-based offerings
next month.
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Motorola's 3G News is a success
Communications giant Motorola has announced a successful 3G News trial with Spanish broadcaster Radio Televisió Valenciana (RTVV), using 3G technology which allows broadcasters to seamlessly transmit real time video directly from the field to the television screen.
Motorola E1000, V975 or V980 3G handsets can be used to stream live footage back to the studio for real time live broadcast. Through a simultaneous voice and data call, users can connect to a designated TV station and deliver content directly onto live TV as a Picture In Picture (PIP) window. The window appears on the screen in various sizes and includes the ‘reporters' commentary on the event.
"With Motorola
and 3G News any user can become a field reporter by streaming real time video
to a live TV broadcast," said Maribel Ferrero, Director of Mobile Devices
for Motorola Spain. "The successful trial with RTVV demonstrates that
Motorola's vision of Seamless Mobility is a reality today. 3G News marks a
before and after in TV broadcast technology."
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Canada: applications for new pay TV
The Canadian Radio-television and Telecommunications Commission (CRTC) are said to have announced that public hearings on applications by four broadcast groups for new national pay TV licences will begin on October 24.
The applicants are: Spotlight, a joint venture between George Burger, a former executive at Alliance Television, and pro-sports mogul Larry Tanenbaum, chair of the private investment company Kilmer Van Nostrand; The Canadian Movie Channel, operators of the current digital specialty channels Moviola and Silver Screen Classics; Allarco Entertainment, the Alberta-based Allard broadcast family that pioneered pay TV with the former Superchannel before being sold to Shaw, and then to Corus as Movie Central; and BoomTV an Eastern Canadian music and DVD retail chain, and a division of Quebecor Media.
Following the
autumn hearings, the CRTC are expected to make a decision in late winter or
early spring. Current licence holders, Corus Entertainment and Astral Communications,
operators of Movie Central in Western Canada and The Movie Network in the
East respectively, are expected to argue that the market cannot sustain such
competition.
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Napster and XM Satellite Radio team up
Napster and US satellite radio broadcaster XM Satellite Radio have teamed up to launch a service that will allow XM subscribers to buy the music they hear on XM radio. The service will coincide with the availability of new XM/MP3 digital music players that let users bookmark songs they hear on the radio for future purchases online.
After the MP3
player is connected to a PC, the new service will match the marked XM titles
with songs in Napster's catalogue for purchasing. XM subscribers without the
new MP3 devices can also tag songs for purchase online through XM Radio Online,
a web-based service.
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Sprint steps up the profit ladder
US mobile phone company Sprint has more than doubled its profits to $600 million during the second quarter, up from $236 million last year, with wireless revenues rising 12 per cent to $4.04 billion.
Sprint added 400,000 direct wireless users in the second quarter, according to the FT, and Len Lauer, President of Sprint, said the group planned to increase promotions this year to further increase this number.
The company has
also raised its expectations for the third quarter, when it expects to complete
its $35 billion acquisition of Nextel Communications.
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BT boosted by "new wave" services
BT, the UK's largest fixed-line telecoms operator, has announced a 21 per cent rise in quarterly pre-tax profits to £499 million (E722.8 million). While revenues from its traditional businesses fell by 6 per cent, profits were helped by a 48 per cent rise to £1.38 billion in "new wave" products such as broadband internet and mobile services.
The number of
wholesale broadband connections in the year more than doubled to £5.6
million, and BT are said to be keen to increase profit margins in these areas
as competition grows in the fixed-line market.
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Setanta to offer PPV through Top Up TV
In a deal with
Top Up TV, the UK's subscription-based DTT platform, Setanta is to launch
a pay-per-view channel offering live Scottish Premier League football matches.
Games will cost £6 each and will be available in Scotland before a national
rollout in the autumn.
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BBC Broadcast promotes Telewest Broadband's ‘Teleport'
BBC Broadcast Limited have signed a three year deal with the UK's Telewest Broadband that will make it possible for digital TV viewers to watch movies and programmes just like a DVD. They will provide encoding, navigational services – allowing digital viewers to search for programmes that interest them – and promotional channels for Telewest's new TV-on-demand service, Teleport.
The new Teleport
service for Telewest Broadband's digital TV customers requires no extra equipment
and access to the service is included with all the cable company's digital
TV packages, giving subscribers a wide variety of on-demand movies and programmes.
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France Telecom has made its anticipated move to take control of Spain's third-ranked mobile operator Amena, its subsidiary Orange SA acquiring 80 per cent in an E6.4 billion deal. The French telco has described the move as a major step in the roll-out of its NExT (New Experience in Telecommunications) strategy, putting it in a position to offer convergent broadband and mobile services in a key European market with close to 10 million additional customers.
The transaction will be paid in cash and will be refinanced in shares for E3.0 billion through a capital increase reserved for and subscribed to by the vendors or through a public offering of shares to be preferably subscribed by its shareholders. The deal saw Orange SA acquire 80 per cent of the shares of Auna Operadora de Telecommunicaciones SA (Auna) owner of 97.9 per cent of Retevision Movil SA, a mobile operator under the tradename ‘Amena'. The operation will be definitely closed after the prior separation of the cable activities of Auna (Auna Tlc). France Telecom will thereafter proceed to merge Auna, Retevision Movil SA and France Telecom España (which holds the fixed and Internet business of the group in Spain under the Wanadoo brand).
Following the
completion of the merger, France Telecom will retain approximately 75 per
cent to 80 per cent of the new merged entity. The balance (between 20 per
cent and 25 per cent) of the shares will be held by Santander, Union Fenosa
and Endesa as well as by the minority shareholders wishing to keep their participation
among which certain Spanish savings banks.
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to top
Sogecable:
first profits after digital merger
From
David Del Valle in Madrid
Spanish pay-TV giant, Sogecable, owner of Canal Plus and DTH platform Digital Plus, has made its first profits since the digital platform merger (between Via Digital and Canal Satelite Digital to create Digital Plus) in 2003.
The group has declared a net profit of E9.9 million in the second quarter of the year against a loss of E33.5 million the same period last year. The EBITDA grew by 45 per cent reaching E102.5 million, against E 70.7 million the same period last year.
In the second
quarter of the year, Digital Plus acquired 99,000 clients, many of them migrating
from its analogue channel Canal Plus. As of June 30, Digital Plus had 1,776,000
clients and Canal Plus 278,000 subscribers.
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to top
Two Way TV acquires Mindhouse assets
Interactive TV specialist Two Way TV (TWTV) has agreed to buy the interactive technology assets of Mindhouse from Antony Batty & Company, the company overseeing Mindhouse's administration. TWTV suggests the acquisition is "a natural step" as Mindhouse has a similar client base and its service delivery platform Mindset complements Two Way TV's existing cross platform technology products.
The acquisition underlines Two Way TV's core mission to deliver compelling content across multiple platforms, including TV, mobile, 3G video and the web. Mindset offers a cost-effective way of delivering interactive services across satellite, terrestrial and cable TV, IPTV, the web and mobile channels.
According to
Jean de Fougerolles, Chief Executive of Two Way TV, "the Mindset system
and toolset is highly complementary to our existing technology, and enables
us to more rapidly roll out our ambition to be a multi-platform production
company and delivery partner for broadcasters".
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to top
German commercial broadcaster ProSiebenSat.1 Media AG's owners are to decide in the coming weeks whether to sell the business or keep it and expand it, the Wall Street Journal Europe reported.
Earlier press reports indicated that Axel Springer AG would purchase the business in August, but the newspaper said that this deal is now in doubt because of fears it will not receive approval from German regulators.
The newspaper
also said that majority owner Haim Saban may opt to keep a stake in ProSiebenSat.1
even if Springer purchases a majority.
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to top
Samsung slides with satellite phone
Samsung Electronics has revealed its latest satellite DMB phone with a ‘slide and rotate' design. Samsung's B200, which was first unveiled at MIPTV/MILIA in Cannes, France last April, is the most recent addition to its line-up of satellite DMB phones.
The phone's design
allows users to first slide and then rotate the LCD screen 90ü for a landscape
viewing orientation that is more ideal for watching broadcast video content.
The B200 also has a mini pedestal attached to the battery, which allows the
phone to stay upright during TV viewing. It is capable of multitasking and
allows users to talk on the phone and send SMS while watching satellite DMB
content.
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to top
ESPN STAR Sports Grabs F1 pole position
Asian sports broadcaster ESPN STAR Sports has secured a five-year deal to broadcast the FIA Formula One (F1) World Championships across all its major territories in Asia excluding China, in addition to full and exclusive TV rights for India. The new F1 deal represents the continuation of a successful 14-year partnership between ESPN STAR Sports and F1 that has also seen the total number of mostly affluent well-educated motor racing viewers in Asia rise to just under 85 million.
ESPN STAR Sports
Managing Director Rik Dovey noted that ESPN STAR Sports was the first to deliver
programming for F1 in Asia, which had broadened the support for the sport
among the world's biggest populations and converted casual viewers into dedicated
fans. "The conclusion of this deal puts us firmly in the driver's seat
as the broadcaster with the strongest programming line-up of any sports network
in the world," continued Dovey.
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Germany lags in European broadband
Broadband adoption in Germany trails badly behind the rest of Europe according to recent research. The report - Europe Surges Ahead on Broadband - reveals that Germany has the lowest level of broadband ownership out of 14 European countries. Only 24 per cent of German homes will have broadband by the end of 2005, compared to 56 per cent in the Netherlands, Europe's leading broadband market. "Germany's fragmented and highly-regulated cable industry is a key factor in the constrained growth of broadband," said Martin Olausson, Senior Analyst at Strategy Analytics. "With limited competition in Germany, Deutsche Telekom (DTAG) has no real incentive to implement an aggressive growth strategy for broadband."
This report also
notes that after the Asia-Pacific market, Europe has now overtaken North America
as the second largest broadband market in the world. It also predicts that
total broadband household penetration in Western Europe will reach 63 per
cent by 2010, by which time 93 per cent of online households will use broadband
to access the Internet. "What we are witnessing now is the death of dial-up
Internet in Western Europe," said Olausson. "Over the next five
years the leading markets in Europe, such as Benelux and the Nordic, will
phase out dial-up Internet altogether."
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Samsung files high with XM Satellite Radio
Samsung Electronics is teaming up with US satellite radio service XM Satellite Radio to introduce its first portable MP3 players with XM Satellite Radio capability.
The relationship
entails the production of two miniature flash memory Samsung players that
will utilise XM's Connect-and-Play technology. Both players will come with
an XM Radio home accessory kit, which allows the device to receive XM's 150
channels of commercial-free music, plus news, talk and entertainment programming
in the home. Samsung's new players will be available in two storage capacity
sizes and are anticipated to be available by year's end.
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Robbie Williams entertains T-Mobile
Mobile telco T-Mobile has entered into a long-term partnership with rock icon Robbie Williams which will stretch over the next 18-months and will include exclusive mobile music offerings, tour activities and international advertising campaigns. The partnership will combine exclusive mobile content such as concert live-streaming and full-track downloads
"Partnering with a global star such as Robbie Williams while creating a unique experience for his fans, truly demonstrates our commitment to strengthening the relationship between music and mobile technology. Our partnership will use new technology such as live-streaming and full track downloads to bring fans closer to Robbie's music while enhancing their overall mobile music experience," said Ulli Gritzuhn, Chief Marketing Officer, T-Mobile International.
The partnership
will also incorporate mobile devices from Sony Ericsson. Some of these devices
will come with embedded Robbie Williams content such as unreleased tracks
and the offer of a free download. T-Mobile customers will be able to take
advantage of new services such as full track downloads, which will launch
in some markets in the coming months.
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Ensequence scores with Sky Sports
Interactive TV authoring software and services provider Ensequence has secured a three-year licensing deal with BSkyB. The first Sky Sports application authored with Ensequence's on-Q Create software will be launched in August.
Piers Cretan,
Executive Director of Sky Sports Active, said the on-Q authoring suite, would
help the broadcaster to produce synchronised interactive programming quickly
and easily, with fresh content, in a manner which dovetails with standard
production process.
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US digital DTH satellite service DirecTV is to provide its customers with the opportunity to have a sneak preview of the new primetime autumn programming from ABC, CBS, FOX, HBO, NBC, Showtime, UPN and The WB, weeks before the season begins.
Beginning in early August and through September, DirecTV will air a 30-minute preview highlighting new programming from each broadcast network, as well as previews of new programming from HBO and Showtime. DirecTV will air the previews to all residential customers free of charge. They will also be pushed through to the more than 2 million DirecTV TiVo subscribers as part of an on-demand DirecTV Showcase. The programming will be stored on customers' hard drives and they can view the content at their leisure during the week. Each network's sneak preview will air exclusively for one week.
DirecTV is also offering downloads of a full-length sneak preview of forthcoming drama series 'Over There' to its DirecTV DVR with TiVo customers. Although FX will be premiering Over There on July 27, DirecTV 's DVR customers have been able to access the preview from July 25.
"We are
always looking for new and innovative ways to provide our customers with a
service that goes above and beyond their television viewing expectations,"
said Eric Shanks, senior vice president, Advanced Services and Content, DirecTV.
"
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Chunghwa Telecom goes 3G with Nokia
Taiwanese telco
Chunghwa Telecom has launched a 3G service in Taiwan using a WCDMA 3G network
deployed by Nokia. Chunghwa will offer 3G video call, 3G movie/TV channel
and 'Music station' entertainment services. "This launch is an important
step forward for Chunghwa Telecom, as we enter the era of 3G," commented
Chang, Shaio-Tung, President of Mobile Business Group, Chunghwa Telecom. "We
are excited about the great opportunities that 3G presents in the area of
multimedia services."
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DVRs head towards 50% US penetration
According to recent research, digital video recorders (DVRs) will grow from an installed base of 7 million US households at the end of 2004 to 55 million by 2010. The findings – in JupiterResearch's annual digital television forecast, 'US DTV Forecast, 2005-2010' – suggest that although not yet as ubiquitous as the VCR or the DVD, DVRs will be in 47 per cent of US households in the next five years.
"While TV networks and their advertisers may get increasingly anxious about DVRs, some constituencies have another perspective. Pay TV operators will see the DVR playing an increasingly strategic role over the next two to three years," said Todd Chanko, DTV Analyst at JupiterResearch.
"Cable multiple system operators appreciate the DVR as a key customer acquisition tool and revenue driver while the two satellite operators see ever-more-robust DVRs as their answer to video-on-demand. Both groups have stepped up their DVR marketing to increase consumer awareness," added Chanko.
The report also addresses the HDTV marketplace. JupiterResearch predicts that HDTV monitors will grow from an installed base of 13 million in 2004 to 74 million by 2010. However, JupiterResearch also estimates that less than 4 million HDTV households were receiving high-definition television service at the end of last year, a number that will grow to 69 million by 2010.
"Television
networks and pay-TV operators alike are unsure of consumer demand for HDTV,"
commented Chanko. "Behind closed doors the executives are still measuring
the real costs to produce and distribute HDTV against the benefits. That's
why there are only 26 hours of HDTV programming a day across seven broadcast
networks - and almost half of those hours are supplied by PBS," he added.
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China looks to private capital to speed up DTV transition
China is speeding up its transition to digital TV by encouraging private capital investment in the digitalisation of its TV networks, the Chinese State Administration of Radio, Film and Television (SARFT) has revealed.
China wants to achieve a targeted 30 million digital TV users by the end of 2005. Last year, just 1.07 million households in China made the transition from analogue TV to digital TV.
State-owned TV
broadcasting and production companies can introduce private capital into the
transition process, on the condition that SOEs will continue to hold the majority
51 per cent stake in the joint ventures. Chinese TV broadcasters are also
allowed to co-operate, invest, or acquire counterparts in other regions of
China to help expand their business.
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Queue-and-View cable VOD for Akimbo
Broadband Internet on-demand content provider Akimbo Systems has unveiled a new programme that lets cable operators tap into the burgeoning stream of profitable speciality video and offer it to subscribers on-demand.
Akimbo has developed a Queue-and-View client-server system for DVR-enabled cable set-top boxes that allows cable subscribers to receive videos via download. Cable operators can leverage their popular DVR platforms to generate more revenue by offering thousands of additional hours of video for speciality markets..
"Akimbo
lets cable companies develop new revenue streams while satisfying their subscribers'
desire for personalised entertainment," said Josh Goldman, Akimbo's CEO,
who added that Akimbo was a one-stop solution that allows cable companies
to capitalise on the 'long tail' of speciality and archived media, by delivering
a broad collection of valuable video to their viewers without incorporating
new costs or infrastructure.
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Sky Interactive bets on SysMedia
Interactive TV content management and production systems specialist SysMedia, is to supply core infrastructure technology to Sky Interactive for the launch of Sky's new look Sports Betting Zone.
Sky's Sports
Betting Zone delivers up-to-the-minute sports news, results and statistics
as well as access to the major bookmakers offering interactive betting services
on the Sky platform. Sky viewers can access Sports Betting Zone via Sky Active
or The Betting Zone on the interactive main menu.
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Verizon Q2 reaps wireless reward
US telco Verizon Communications has revealed second-quarter 2005 earnings of $2.1 billion (E1.7 billion), highlighted by another record-breaking quarter at Verizon Wireless and continued strong consolidated cash flows and revenue growth.
Verizon is claiming an industry-record 1.9 million net customer additions, up 25.1 per cent; 47.4 million total customers, up 17.1 per cent and record-low churn of 1.2 per cent. Ivan Seidenberg, Verizon chairman and CEO said that "wireless in particular remains in high gear."
In the second
quarter 2005, Verizon added a net of 278,000 wireline broadband connections,
which represents the total number of DSL and Fios lines put in service. Fios
is Verizon's recently introduced next-generation, fibre-optic-based service.
By the end of the second quarter, the company was deploying or selling Fios
fibre-to-the-premises (FTTP) broadband services in 15 states. Verizon plans
to introduce Fios TV services in the second half of the year and is currently
pursuing cable TV franchises in about 200 communities. For consumers, the
company continued to add handsets and video from leading content providers
for its exclusive broadband service V CAST, the nation's first 3G consumer
multimedia service.
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Starwin Media
Holdings is to build an IPTV network in the community of Zun Bao Villa, a
luxurious residential development located in the City of Kun Shan, South of
Shanghai. "This development is the most luxurious country living by-concept
project catering for 'The Rich and Famous', where new technology and new living
standards," claimed Wendyfer Zhong, President of Starwin Media Holdings,
adding that the network's deployment represented a significant showcase into
China IPTV market. "We believe we will gain significant success in acquiring
new subscribers and revenue from this project."
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to top
3 and Sony Ericsson in handset deal
UK third-generation mobile operator 3 has signed an agreement with Sony Ericsson to supply video mobiles for its handset portfolio. Sony Ericsson joins NEC, Motorola and LG as a preferred supplier of 3G video mobiles to the 3 group of companies. 3 in the UK benefits from the economies of the scale delivered by the group acquiring handsets on a global basis.
Jan Wareby, Sony
Ericsson's Corporate Executive Vice President, Head of Sales and Marketing,
noted that during 2004 global subscriptions to 3G services almost doubled
and expressed his belief that the growth trend was set to continue.
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StarHub enhances digital offering
Singapore digital cable platform StarHub is to add five new channels to its cable TV line-up on 1 September 2005, bringing the total number to 102. The operator is also embracing the wider adoption of digital cable technology. From 27 July 2005, StarHub Digital Cable will offer digital set-to boxes to all new customers, regardless of their choice of channels.
"StarHub
will continue to invest in developing our digital platform, to offer customers
more content as well as more sophisticated features and interactive applications.
Hence, we hope that in the near future, all customers will be on the digital
platform so that they can enjoy the increasing benefits that we have in store
for them," commented Sandie Lee, StarHub's Senior Vice President, Cable
TV Services.
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China’s broadband households reached 31.65 million at the end of June, according to figures released by the Ministry of Information Industry (MII). This represents an increase of 6.78 million from the start of the year, and a penetration of 6.5 per cent.
In the first
half of 2005, China's total revenue from telecoms and postal services reached
RMB 309.68 billion (E31.,578,964), up 10.7 per cent over the same period last
year. Revenue from postal services was RMB 28.47 billion, an increase of 7.5
per cent year-on-year. Revenue from telecoms services reached RMB 281.2 billion,
up 11 per cent from a year ago.
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Tom Group dampens F1 speculation
Li Ka-shing's Tom Group has moved to dampen speculation that it is in talks to acquire an interest in Formula One Grand Prix car racing, but has not ruled out any interest in the sport.
Weekend newspaper reports in the UK had suggested that the Hong Kong-based media company, partly owned by Li's flagship conglomerate Hutchison Whampoa Ltd, was preparing a $1 billion (E838 million) bid for Formula One through the Tom Group.
"It is premature to suggest that TOM is discussing any specific deal at this moment," Tom Group said in a statement. It added: "As an expanding media group, TOM has always been exploring different opportunities in (the) sports marketing business. We do from time to time engage in preliminary talks with concerned parties on possible co-operation or investment."
Formula One commercial supremo Bernie Ecclestone has intimated that he would prefer to keep Formula One's current ownership structure. Ecclestone's family trust (SLEC) owns 25 per cent of Formula One; the remainder of is owned by banks JP Morgan, BayernLB and Lehman Brothers, which acquired the stake from the bankrupt Kirch Group.
Hutchison 3G
mobile phone networks in the UK, Italy and elsewhere could benefit from access
to F1 content.
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SK Telecom targets 2008 DMB break-even
Korean mobile provider SK Telecom, has forecast that its satellite DMB (digital multimedia broadcasting) business will reach break-even in 2008 or in 2009.
Kim Shin-bae, Chief Executive Officer of SKT, told investors that the market would be stimulated once it entered the market with distinctive content and market segmentation."
He suggested
that a handset price of less than 600,000 won (E490) was prerequisite for
creating a mass market for satellite DMB. SKT said that although satellite
DMB required massive investment in networks in the early stage, it would have
installed a substantial portion the end of 2005.
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Thomson expands anti-piracy offering
Media and entertainment solutions provider Thomson has expanded its content security solutions portfolio with the integration of Nextamp. Based in Rennes, France, Nextamp provides video watermarking products tailored to the needs of content owners and distributors.
The integration reinforces the implementation of Thomson’s content security strategy, which includes the exploitation of technologies such as watermarking, copy protection and counterfeit detection, as well as the development of services such as piracy risks assessments and tracking of on-line pirated content.
The Nextamp integration follows Thomson’s acquisition of MediaSec’s key watermarking patents, providing it with solutions for applications such as post-production masters, dailies, pre-release material, broadcast, VOD and digital cinema.. Thomson says that it intends to further the deployment of these solutions and to embed watermarking features into certain Thomson products.
Jean-Charles
Hourcade, Senior Executive Vice President, Technology and Group Chief Technology
Officer claimed the expansion would accelerate the company’s strategy
of bringing comprehensive security solutions to the media and entertainment
industry worldwide.
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Vodafone growth hits five-year high
Vodafone has reported the gain 4.1 million new customers in its first quarter -- its best growth in five years. Including another six million customers from its acquisition of Czech and Romanian mobile groups, Vodafone’s global subscriber base now exceeds 165 million. Subscriber growth was 35 per cent higher than in the same period last year, while mobile revenues grew by 8.6 per cent.
Vodafone said that ARPU (Average Revenues per User), rose in markets such as Spain and Italy but slipped in Britain and Germany and in Japan. Annual ARPU slipped to £300 from £306 in Britain and E295 from E299 in Germany. But in Italy, ARPU edged up to E360 from E359 and in Spain, jumped to E421 from E414.
Vodafone reported
an additional 1.1 million registered 3G devices, including 1 million consumer
3G devices. Total 3G devices are now at 3.3 million, with 2.9 million consumer
3G devices. Arun Sarin, Chief Executive of Vodafone, commented: "We have
seen strong performances across Europe and in the US, and we continue to focus
on improving our business in Japan. 3G is building momentum."
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Telewest to lower merger sights?
Weekend press reports have suggested that UK cableco Telewest Communications’ US shareholders are prepared to accept a lower bid from fellow cabler NTL to speed up the planned merger between the companies.
Shareholders had been holding out for a $24 per share bid from NTL, but the deal has been delayed because of issues over Telewest's content business Flextech.
The Independent
on Sunday reported that a significant proportion of investors were now prepared
to accept an offer of $23.50, trimming $120 million from the $5.9 billion
bid.
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Canal+ Plus has been winning new subscribers at record levels over the past six months and new clients hit a 14-year high in the first half, according to Alexandre Bompard, head of sports at the Vivendi Universal unit.
Bompard told Sunday paper le Journal du Dimanche that the trend is that same at the Canalsatellite unit and is thanks to the group's E600 million per season acquisition of exclusive rights to French first division football.
He said he is
confident that Canal Plus can break even on its investment in football over
the next three seasons and "even do better than that".
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Dorna and H3G launch live MotoGP
Motorcycle GP racing commercial rights holder Dorna Sports has launched a 3G mobile phone service offering users access to live coverage of MotoGP racing
As a first step, the experience will be initially available in Italy throughout the remaining of the 2005 season thanks to the agreement between Dorna Sports, the company that holds the rights to MotoGP, and H3G, the Italian UMTS operator linked to the Hutchison group.
First coverage
was provided at the British round of the series at Donington Park on July
24. Dorna and H3G started their partnership for the development of products
for third generation mobile phones back in 2004 with the download of video
highlights and near-live video clips (five-minute delayed action) from MotoGP
races. The plan now is for Dorna to extend the service to other countries
in collaboration with major national telcos.
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EC cries foul on Premiership rights
The European Commission is preparing legal action to force the FA Premier League to negotiate over allowing broadcasters other than BSkyB to televise its matches, according to the Times.
It is understood that EC competition regulators plan to issue proceedings against the league in response to what it sees as obstructive tactics over talks aimed at opening up exclusive rights deals to comply with European Union competition laws.
The EC failed
in its 2003 bid to introduce more competition into live broadcasting rights,
as BSkyB simply outbid all other broadcasters, or they simply failed to bid
for additional live packages.
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China Netcom reveal Telefónica deal
Fixed-line telecom carrier China Netcom has confirmed that it has signed a memorandum of understanding with dominant Spanish telco Telefónica about deepening their partnership.
In late June, Telefonica bought a three per cent stake in China Netcom for E240 million, and plans to raise its stake to five per cent.
China Netcom said the alliance may cover a wide range of telecom operations in China as well as the "exchange of certain managerial, technical and operational expertise and resources."
A ‘chairman’s forum’ consisting of chairmen from both firms will also be formed and will meet at least once a year, China Netcom said.
The Spain telecom
operator is now entitled to nominate one member to the board of China Netcom.
It is entitled to raise its influence in China Netcom's board if it raise
its equity interest in its China counterpart.
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Liberty Global scoops Romanian MSO
Liberty Global’s European subsidiary, UPC Broadband, is to acquire one of Romania’s largest broadband telecommunications operators, Astral Telecom in a $404.5 million deal. Astral currently serves some 890,000 video, voice and data revenue generating units (RGUs). Liberty Global already operates in other parts of the country through UPC Romania, with over 360,000 RGUs.
Liberty Global will acquire 100 per cent of the shares of Astral from a group of Romanian entrepreneurs, foreign investors and AIG New Europe Fund. Mike Fries, President and Chief Executive Officer of Liberty Global, said the acquisition extended the company’s footprint in Central and Eastern Europe, where Liberty Global currently generated its strongest revenue and operating cash flow growth.
"Astral
has a major presence in the Romanian capital city of Bucharest, and has upgraded
over 50 per cent of its network to support advanced broadband voice and data
services," he noted. "If approved, this transaction will accelerate
our investment in the balance of Astral’s and UPC’s networks."
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Green light for BBC Broadcast sale
The UK Secretary of State for Culture, Media and Sport has approved the sale of BBC Broadcast Limited, clearing the way to completing the sale of the company to Creative Broadcast Services Limited, owned by the Macquarie Capital Alliance Group and Macquarie Bank Limited.
Creative Broadcast
Services was selected as the new owner at the end of June 2005 following an
extensive and rigorous evaluation of final bids from financial and industry
buyers, subject to the required approval from the Secretary of State.
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Satellite manufacturer EADS Astrium, has been awarded a contract to design and build SES-Astra’s forthcoming Astra 1M craft. EADS will supply both the payload and the platform. The satellite will provide a full range of television broadcasting services, including HDTV and other advanced audiovisual as well as broadband services.
The Astra 1M spacecraft will provide eventual replacement capacity at 19.2° East and will support and protect SES Astra’s growth at the 28.2° East orbital position serving the UK and Irish markets. This growth is secured through Astra 1M protecting the timely relocation of Astra 2C to 28.2° East from its current position at 19.2 East, such relocation being nominally planned after the successful launches of Astra 1KR and Astra 1L.
This strategy
provides additional capacity to meet the strong demand in the UK and Irish
markets, driven by the expected growth of HDTV services. This optimised fleet
configuration will also release an additional eight transponders for the African
market.
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Digital Video Recorder (DVR) and Video-on-Demand (VOD) users have both doubled in the past year, according to new research. About 8 per cent of households in the United States now have a DVR, and 23 per cent of all cable subscribers have used VOD, suggests the Leichtman Research Group, ‘On-Demand TV 2005: A Nationwide Study on VOD and DVRs’. The findings are based on a survey of 1,350 households throughout the United States
Among DVR owners, 88 per cent say they usually skip commercials when they watch programmes recorded on their DVRs, Leichtman said. However, DVRs do not appear to be exclusively responsible for ad skipping, given that 56 per cent of DVR owners also say that, even prior to getting a DVR, they often changed channels when commercials came on or avoided watching commercials.
"On-Demand
TV is clearly becoming more widely adopted, and consumers are generally very
pleased with these services," said Bruce Leichtman, president and principal
analyst for Leichtman Research Group. "Yet despite the more widespread
adoption of DVRs and VOD, we should not assume that these services are yet
turning the advertising model upside down."
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Pace Micro Technology has signed agreements with US digital DTH satellite service DirecTV to supply next generation set-top box products during calendar year 2006.
According to Pace, these agreements materially help underpin the company’s existing expectations, for this financial year and the next financial year, reinforcing its opportunity in the North American market.
"As disclosed
in the preliminary announcement of 12 July 2005, the outcome for this financial
year remains dependent on good execution of this and other contracts,"
said the company.
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Indian Cable calls for level playing field
MSO Alliance, the representative body of the Indian Cable Industry has demanded that the Indian Government create a level playing field for the Cable Industry that will allow it to compete with new technologies of television distribution.
Ashok Mansukhani, President, MSO Alliance said, "Through the MSO Alliance we wish to communicate that the Cable Industry is today completely geared to take on the competition from various emerging technologies on Television distribution.," he told delegates at a specially-organised seminar.
"However,
we request the Government to ensure a level playing field for the Cable Industry
along with other new emerging TV distribution platforms like DTH, which will
lead to providing a genuine 'Consumer Choice'. We believe that in a scenario
when the newer technologies are addressable, even the Cable Delivery should
have a law for addressability."
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Telenor Q2 boosted by mobile subs
Nordic telco has reported an increase in revenues of 9 per cent compared to the second quarter of 2004, reaching NOK 16.5 billion (E2.07 billion). Profit before taxes and minority interests increased by 11 per cent compared to the second quarter of 2004, reaching NOK 3.325 billion.
"In the second quarter we have seen significant revenue growth and record-high growth in the number of mobile subscriptions," said chief executive officer, Jon Fredrik Baksaas. "In addition to strong customer and revenue growth, it is worth noting that the market shares of all our mobile operations have increased or remained stable. Kyivstar in Ukraine has improved its ARPU compared to the first quarter this year, and we are also seeing significant improvements in Sonofon in Denmark," he added.
Revenues from
Telenor’s Broadcast operations increased by 5 per cent in the second
quarter of 2005, compared to the second quarter of 2004, reaching NOK 1.401
billion. At the end of the second quarter this year, Broadcast had 853,000
DTH pay-TV subscribers, 619,000 cable TV subscribers and 50,000 cable TV Internet
accesses.
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MTV takes iTV authoring and playout in-house
Interactive TV authoring software and services provider Ensequence has struck a three-year partnership deal with MTV Networks UK and Ireland covering iTV authoring, playout and support services.
With the adoption of Ensequence on-Q interactive TV development software, MTV will be taking the production of interactive applications, and their playout, in-house. Previously, authoring and playout had been outsourced.
MTV has already
launched one application authored in on-Q software: an enhanced music video
for the band Gorillaz. The youth brand will shortly be re-launching its multi-channel
interactive portal application with a new version authored in on-Q software.
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Households across the UK county of Bedfordshire are now able to access cable operator ntl’s On Demand digital TV service. ntl digital TV subscribers will be able to purchase films on demand, free from rigid scheduling, months earlier than scheduled TV movie channels. This launch marks the first availability of ntl On Demand in the region.
On-demand television specialist the ON Demand Group (ODG) is responsible for bringing together the joint venture partners to create FilmFlex. Tony Kelly, chief executive ON Demand Group, said he believed the service would revolutionise how viewers watch television and films.
Since its launch
on ntl On Demand, the FilmFlex movie VOD service is now available to over
350,000 customers across the UK. FilmFlex is also available on Telewest Broadband’s
Teleport service in Bristol, Cheltenham and Gloucester. FilmFlex will continue
to roll out, region by region, in line with the large-scale deployment of
VOD services by both cable companies in 2005.
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SBC reports strengthened Q2 results
US telco SBC Communications has reported second-quarter results that reflect sustained wireline revenue growth, improved margins, strong cash from operations and continued progress at Cingular Wireless, the US's largest wireless provider, which is 60 per cent owned by SBC.
"SBC's second-quarter results demonstrate our ability to deliver solid financial returns as we compete aggressively and transform our business," said Edward E. Whitacre Jr, SBC chairman and chief executive officer. "This was our fifth straight quarter of revenue growth, both business and consumer. Our attention to costs has allowed us to expand operating margins. And Cingular Wireless continues to make excellent progress, with strong subscriber growth and substantial margin improvement."
SBC's second-quarter 2005 revenues totalled $10.3 billion (E8.47 billion), up 1.3 per cent versus the year-earlier second quarter.
SBC added 360,000
DSL lines in the second quarter, reflecting end-of-school-year seasonality.
This compares with a net gain of 315,000 DSL lines in the second quarter a
year ago.
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CNBC takes control of international channels
News provider CNBC is to assume control of the CNBC International channels. CNBC will acquire sole ownership of CNBC Europe and the domestic digital service, CNBC World on December 31, 2005, subject to any necessary regulatory or legal approvals. The transfer of ownership in CNBC Asia Pacific is likewise subject to regulatory and legal approvals, and to the mutually satisfactory resolution of certain structural matters.
CNBC and Dow Jones have operated CNBC Europe and CNBC Asia Pacific as equal partners and Dow Jones currently has a 25 per cent interest in CNBC World.
"CNBC's
international strength has been a hallmark of the CNBC brand. We will continue
to build the brand's global strength and to look for additional opportunities
for expansion wherever we can," said Pamela Thomas-Graham, CNBC Chairman.
Mark Hoffman, CNBC president, said that acquiring sole ownership reinforced
CNBC’s commitment to that vision and gave it the opportunity to further
develop and grow the CNBC product and brand globally.
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Interactive television content platform developer ICTV has named Jeff Miller to the position of president and chief executive officer. He replaces Mike McGrail, who successfully met the key corporate objectives of bringing the company’s HeadendWare to cable and broadband deployment in domestic and international markets.
"ICTV today
has a growing customer base that is a direct result of its strong content
partner portfolio and industry leading technology," said Miller. "As
network operators and programmers look to differentiate themselves in an increasingly
cluttered media environment, the ability to offer a broader range of interactive
and personalised services across the entire base of deployed set-tops and
viewing devices will be critical," he added.
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