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NEWS Monday 21st March to Friday 25th March 2005
Scroll down page or click below for news - latest first
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Friday
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Jupiter Telecommunications, Japan‘s largest cable TV company and part of US group Liberty Media, had a solid debut on its delayed flotation. J-Com, rose 6 per cent in early trading on the Jasdaq having been 23 times oversubscribed. The offering of a 21.7 per cent stake raised US$990m and gave the company an initial market valuation of just under Y500bn.
The group is majority owned by a JV between John Malone's Liberty Media International and Japanese trading house Sumitomo. Microsoft owned a 19.5 per cent stake, which it reduced to 14.5 per cent in the floatation.
J-Com has a market
share of around 30% with 1.9m subscribers. About 17% of Japanese households
are connected to cable, most with small local operators.
Back to top
SBC hires DirecTV Execs for IPTV
SBC Communications has appointed five TV programming executives as part of its developing IP-based video, voice and Internet access initiative known as Project Lightspeed. The appointments include several former DirecTV executives, says Sky Report.
Chris Lauricella will manage sports programming for SBC. At DirecTV he was director of programming acquisitions in which he handled relationships with sports providers, including professional leagues, ESPN, regional sports networks and targeted sport-specific channels. Richard Wellerstein will focus on the company's video on demand efforts. Most recently Wellerstein was vice president of theatrical programming and acquisition for In Demand Networks, and has previously worked for Sony Pictures Television and DirecTV.
Richard Levine
is former acting director of programming acquisitions at DirecTV. He will
concentrate on local programming and broadcast retransmission at SBC, the
company said. Other SBC appointments include Amy Friedlander, who will oversee
advanced products and new media, Martin Sansing, who will manage content strategy
and new media. Additionally, Denita Willoughby will work on ethnic and emerging
networks, the company said.
Back to top
CSA
readies DTT coverage
From Sotires Eleftheriou in Paris
In its plenary meeting on 22 March, the French broadcasting regulator approved a letter for the French Prime Minister detailing coverage zones, ahead of the impending launch of DTT on 31 March.
The CSA says the current aim of reaching 85 percent of the population from 115 transmission sites by 2007 is perfectly achievable, but the fate of the remaining TV viewers calls for action by the public sector. For the most part, they are people who live in mountainous or border zones beyond the reach of DTT in the coming years. In the letter, the CSA chairman Dominique Baudis calls for the creation of a working group to consider how the remaining population can gain access to digital TV, by various means (extension of DTT transmission sites, increasing transmission power, use of satellite, cable and xDSL). This working group would contain representatives of the CSA and of the government Media Development Directorate.
Meanwhile, the
public sector DTT channels are all being carried on the Atlantic Bird 3 satellite,
which can be received throughout the country (and beyond).
Back to top
The marketing boss of UK's Channel 4 has said that commercial broadcasters don't have an answer to the threat posed by the personal video recorder. Polly Cochrane, director of network marketing at C4, said they were yet to come up with ways to combat the fact that devices like Sky+ enable viewers to skip through ad breaks. Speaking at the UK TV Marketing Forum, she admitted: "Of course we're worried. It's frightening how far away we are from having an answer."
"Sky will
tell you that if the ads are good enough, people will watch them," Cochrane
said. "As someone who's got Sky+ in my house, I'm not sure I believe
them." Research has shown that most people with Sky+ skip through all
advertising when they watch recorded programming.
Back to top
Real: Microsoft isn't complying
Microsoft is failing to comply with a European Commission order to sell an unbundled version of its Windows operating system, competitors have said.
A year ago, Mario Monti, then the European commissioner for competition, ordered Microsoft to sell a second version of Windows in Europe that has its music and video-playing program, Media Player, stripped out. The second version, installed with a rival alternative to Media Player, is supposed to be introduced in the next few weeks.
David R. Stewart, deputy general counsel for RealNetworks, said that Microsoft was still not ready to comply with the European ruling. The commission has yet to decide whether Microsoft's proposal for introducing the unbundled version of Windows meets its requirements. Stewart contended that "the version of Windows Microsoft is proposing to sell has technical problems that render it less functional than the existing version of Windows."
RealNetworks said that Microsoft had deleted registry entries associated with media-playing functions in Windows. Without the registry entries, Stewart said, rival media players installed in the second version of Windows could not work with other applications such as Word documents and some Web sites.
Microsoft said
it was aware of the commission's concern about its plan to delete the registry
entries. He acknowledged the problem, but said it was a direct result of having
to comply with the commission's order.
Back to top
China:
two new DTH satellites
From Shveta Malik in New Delhi
In order to reach remote regions, the State Administration of Radio, Film and TV (SARFT) in China has said that it will launch two new direct-broadcast satellites in the middle of next year. The domestic-made SinoSat 2 will act as a primary satellite, while ChinaSat 9 made by Alcatel will be used as a backup. The satellites will be able to transmit more than 100 channels of programmes.
Guo Yansheng,
deputy director of the Science and Technology Committee under SARFT stated
that the penetration rate of TV and radio broadcasting has reached 95 per
cent through cable TV and terrestrial broadcasting, and to increase it further
by even one percentage point will cost between US$360-480 million. SARFT is
planning to reach an additional half a million people in 100,000 villages
this year through terrestrial broadcasting.
Back to top
Music downloads growing 10 fold
Consumers downloaded more than 200m tracks in 2004 in the US and Europe, up from about 20m in 2003. International digital music sales boomed as consumers embraced legal downloading and the number of legitimate music sites grew fourfold.
John Kennedy, chairman of the International Federation of Phonographic Industry, said the popularity of portable music players, had contributed to the widespread appeal of Internet downloads. He said in Asia most of the downloads were for mobile phones.
Over 140m digital tracks were purchased in the US last year, with growth continuing in 2005. Legally downloaded tracks in the US totalled 44m in the first two months of 2005, more than double in the same period last year. Sales in the UK, Germany and France totalled about 15m tracks in 2004 from virtually zero a year earlier.
But the overall
music market including CD and cassette sales, shrunk 1.3 per cent to $33.6bn,
due to sharp falls in music sales in Europe. This was partly because of piracy,
and weakness in Japan, according to the IFPI.
Back to top
The Hallmark Channel has complained to UK regulator Ofcom about the restrictive practices of commercial TV rivals. Hallmark is aggrieved that other broadcasters are refusing to allow it to publicise the times of its shows when it spends money promoting on their channels.
It claims its
business is being hampered by bigger rivals, using a long-standing rule that
allows TV companies to forbid so called "time-specific" ads promoting
their rivals' shows. Matt Woods, Hallmark's marketing director, who is leading
a campaign to get the rule abolished, said: "It's a fine example of how
in the TV market, the more dominant and more successful an organisation becomes,
the harder it is for independents to compete."
Back to top
ITV gets extra Freeview channel
As expected,
ITV has obtained one of the two remaining vacant Freeview slots in a deal
worth more than £5m (E7.25m). Channel 4 is reported to be "on the
brink" of signing up for the final slot. Crown Castle has awarded ITV
the first 18-hour slot, on which it plans to launch a version of Men &
Motors from April 1.
Back to top
Advertising Association figures released have revealed UK ad expenditure increased by 5.4% to a total of £18.4bn (E26.6bn) during 2004 – the highest annual increase for four years.
The figures showed
the press market commanded a 47.8% share of the overall advertising market
with £8.8bn, followed by television (25.8%, £4.7bn), direct mail
(13.4%, £2.5bn), outdoor (5.4%, £993m), radio (3.3%, £607m),
internet (3.2%, £589m) and cinema (1%, £184m).
Back to top
BT delivers MPLS-based broadcast network
BT has delivered an integrated broadcast video, voice and data MPLS (Multi Protocol Label Switching) based news contribution network for Meridian, a regional broadcast company within ITV. This is the first element in the implementation of ITV's nationwide MPLS network, due to be completed throughout the first half of 2005.
The new network will transport broadcast quality video, file transfer, voice, and IT traffic between ITV's studios, providing far greater flexibility than the previous ATM (Asynchronous Transfer Mode) network. This will allow ITV to respond much more quickly to changing business requirements and will enable further flexibility in news production capabilities.
Once ITV migrates completely, the organisation will experience considerable cost savings and more effective network control, providing a single, fully managed digital distribution service for all video, audio, file transfer and IT traffic. The network, when rolled out nationally across ITV, will transform the way in which ITV operates; simplifying daily tasks that include the rapid transfer of large files, LAN transfer and the use of IP based telephony.
Simon Orme, director
of sales and business development, BT Media and Broadcast, noted that the
MPLS network was widely expected to form the backbone of the future of broadcasting
in the UK in the first instance and then throughout the globe. "People
have been talking about the convergence of media, IT and communications technologies
for a number of years. We are now delivering it. The use of MPLS has allowed
us to create a highly versatile, multi-purpose common network platform."
Back to top
STAR CHINESE
MOVIES Network announced the launch of FOCUS: First Cuts, a regional film
project in which, for the first time in Asia, six Chinese-language feature
films will be produced in HD by a group of up-and-coming Asian filmmakers
from Mainland China, Hong Kong, Malaysia, Taiwan and Singapore. Each HD feature
film will be shot in their home market using local cast and production.
Back to top
Irdeto is to
supply its M-Crypt system to secure content for Iptv Corp the US digital DTH
company that distributes pay-Tv to subscribers in the Thai, Laos, and Cambodian
communities. Irdeto has designed M-Crypt specifically for small to medium
sized operators.
Back to top
BitBand Technologies
will incorporate its video-on-demand solutions for IPTV to serve 50,000 initial
subscribers in Atlas Interactive's 200 million Euro netTV project in India.
A second phase of the project scheduled for later this year will cover 38
major cities in India, reaching millions of subscribers.
Back to top
Telewest plc announced its Q4 and full year 2004 results with a record 91,000 broadband quarterly connections. Over the year the company added 284,000 hi-speed connections as part of an RGU net addition of 385,000 units, 27% up on 2003. Triple play customers grew 10% to represent 27% of the total.
Annual turnover was £1.32bn (E1.9bn) against the predecessor company's £1.298 in 03 (Telewest underwent restructuring in 03-04). Operating income jumped to £67m from £20m in 03 and net loss improved slightly to -£176m against -£183.
Barry Elson, Acting Chief Executive Officer of Telewest Global, Inc., said: "This quarter was marked by a tremendous increase in triple play penetration and our best ever quarter for broadband net customer additions. The Content division performed well with growing advertising revenue due to the strong performance of its channels. We have reorganized the Business division to align our product and service offering more closely with our customers' needs. Despite challenging market conditions, the changes we have made have resulted in cost savings and have strengthened the division overall."
"In the
first quarter of 2005, we announced the launch of our Video-On-Demand service
and a major contract for the supply of Digital Video Recorders. As we roll-out
these products, we are confident that they will enhance customer acquisition
and retention and will assist ARPU growth in the future."
Back to top
The Mobile Entertainment Forum says that following in-depth consultation with its members, it is speaking out against "onerous licensing terms" for OMA DRM 1.0. It says the terms being considered by MPEG LA - $1 per device and 1% of transaction revenues – "could have a devastating affect on any business involved in mobile and wireless entertainment."
The MEF states the fees are also unworkable: "The mere cost of implementing and administrating the suggested transaction fee could easily outweigh the fees levied..and..the scheme does not clearly state if the percentage levied on the transaction of the protected content is tied to the traffic, the premium for the content, or both."
"We hope
to be able to work with MPEG LA to suggest a compromise licensing programme
and fee structure which will maximize the opportunities from mobile entertainment
for all concerned," says Patrick Parodi, chair, The Mobile Entertainment
Forum.
Back to top
Rupert Murdoch is meeting Indian government officials as he closes in on a license for DTH in India, cutting through the monopoly of the cable operators.
Star executives believe they have now complied with the regulatory conditions that have held up their joint bid with Tata Group. Star holds 20 per cent and a unit of the Tata conglomerate, owns the rest. If the deal is given the green light, it would trigger capital investment of $400m in the JV. In the past year the government has awarded a direct-to-home licence to Zee TV. Later, Doordarshan, the state broadcaster, was awarded a free-to-air direct-to-home broadcast licence.
Zee's initiative
has struggled to attract subscribers largely because of a lack of compelling
content.
Back to top
India:
US$68bn for broadband
From Shveta Malik in New Delhi
The Indian government has stated that it will require US$68.2 billion of investment for the equipment to roll-out broadband services and 150 million new telephone lines over the next three years. Shakeel Ahmad, Minister of State for Communications & Information Technology, reportedly said that the total investment will be divided equally for broadband services and setting up new telephone lines.
The Ministry stated that the country's telecom network is the largest and fastest growing network in the world with about 97 million telephone connections. In broadband it is aiming to achieve a target of 40 million Internet subscribers and 20 million broadband subscribers by the year 2010, he said.
The government
recently issued instructions to all telecom service providers to refrain from
offering broadband services at a download speed of less than 256 kbps.
Back to top
Ofcom has delayed unveiling its new broadcasting code until after the general election amid rows with broadcasters over the watershed reports the Guardian. The new guidelines were due to be issued at the beginning of April. However, the regulator was swamped by around 900 responses after it outlined its proposals last July.
Observers say
one of the main sticking points is the watershed, previously it hasn't been
defined in terms of age but Ofcom says it wants the 9pm benchmark to apply
to children under 15, saying it would "be more appropriate" and
bring it into line with film classification. But broadcasters argue it will
have repercussions on a huge swathe of early-evening programmes - in particular
soap operas. Ofcom also says it wants programmes with adult content to be
scheduled "well after" 9pm and, for the first time, gives a precise
definition of the watershed.
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AOL has finalised a $300m settlement with the Securities and Exchange Commission related to accounting abuses at its AOL division, opening the way for the media company to again tap the capital markets.
The SEC settlement removes the last cloud hanging over Time Warner following its ill-fated takeover by internet company AOL at the height of the dotcom boom. The settlement had been expected since December, when Time Warner announced a $210m agreement with the Justice Department that would spare it prosecution for the accounting and advertising frauds at AOL.
The settlement also leaves TW free to return to capital markets, this is important in its joint bid for Adelphia with Comcast.
Time Warner had
already restated its financial results by approximately $500m for the fourth
quarter of 2000 through 2002. It has appointed an independent examiner to
review its accounts, which is expected to be completed within 180 days.
Back to top
Canal+ scores Polish football deal
Canal+ Group's Polish subsidiary Canal + Cyfrowy has secured the exclusive rights to show Polish league football matches in a three-year deal, beginning with the 2005/6 season.
Canal + Cyfrowy subscribers will be able to see 240 matches each year, with nearly 100 being shown live. There will also be two magazine programmes dedicated to each championship day. Some 700,000 Polish homes receive the Cyfra+ service.
"We're happy
that on the 10th anniversary of Canal+ in Poland we're able to offer our subscribers
the guarantee of being able to follow the Polish league in future seasons
on our channel," commented Canal + Cyfrowy CEO Arnaud de Villeneuve.
Back to top
Short
BITEs
From Gail Chiasson in Montreal
Targeting males in the the 19-34 age group who have a short attention span, BITE TV, a new digital channel with a unique format and style, was launched last week in Toronto.
Carried initially by Rogers Cable, BITE TV enables viewers to be an active part of the edgy, funny and irreverent content. It offers the opportunity for viewers to submit their own video programming and their own advertisements and brand discussions as program content; the opportunity for advertisers to submit any length of commercials - from as short as five seconds to sponsorship of full blocks; and wireless downloading and PC or mobile chat-to-screen.
In addition to offering a place where young producers as well as students and other aspiring producers can show their short form films, anyone can enter a video. For example, a group of guys in a cabin could discuss their own experiences with a product and then send it in as program content or as, if vetted as okay by the product manufacture, even as an ad.
Viewers' text comments from computer or mobile phone on program content and other topics run across the bottom of the screen. Once BITE ME, a daily, live, talk/variety interactive program begins in about a month, viewers will be able to interact directly with the program host and guests.
Molson, one of Canada's two major brewers, has signed onto BITE TV as first sponsor. The channel is owned by three partners: Jeffrey Elliott, president and CEO, formerly with Alliance Atlantis, Netstar and TSN; Rick Pyman, president of Pyman Studios, Mississauga, and Raja Khanna, president and CEO of Snap Media, Toronto.
BITE TV will
get most of its revenue from subscribers. Its management is in negotiations
with other carriers across Canada, and is already considering exporting its
product idea to other markets.. As an introductory offer, BITE is available
free of charge on the Rogers Cable network until July15/05.
Back to top
Irdeto Access announced that Shanghai Stock Exchange has selected Irdeto PIsys for Digital TV to protect its real-time transaction information broadcast via satellite. The license agreement was signed with Shanghai Stock Communication, a subsidiary of the Shanghai Stock Exchange responsible for the planning, building and managing of the stock transaction network.
Established in
the late 1990's, the Shanghai Stock Exchange is a non-profit membership institution
directly under the auspices of the China Securities Regulatory Commission
and currently serves 834 listed companies. The Shanghai Stock Exchange operates
a service to transmit important stock transaction information over satellite
to stockbrokers. The platform will initially serve some 3,000 brokers and
enterprise clients, and is expected to grow to 50,000 in the near future.
Back to top
HP IPTV and Orca for China xDSL
HP has formed a partnership with Orca Interactive to offer a complete triple play of broadband TV solutions to telecommunications carriers and service providers in Mainland China.
As part of the
partnership, HP will prime and lead projects with customers incorporating
Orca's RiGHTv Telco-grade middleware applications for the delivery of IPTV
services such as broadcast TV over IP, VOD (Video-on-Demand), NVOD (Near Video-on-Demand),
PVR (Personal Video Recording), pay-per-view, games, T-commerce and other
interactive services.
Back to top
BigBand Networks
announced that it has provided a solution for cablecom, Switzerland's largest
cable operator, to deliver digital television services throughout the country.
The company has deployed the BigBand BMR (Broadband Multimedia-Service Router)
and BigBand BRET (Broadband Real-Time Encoder) in the operator's centralized
Zurich headend, with content security assured through Simulcrypt integration
with Nagravision Conditional Access. Content from these platforms is distributed
by network transport to cablecom's subscribers as well as those of other connected
cable operators.
Back to top
Nickelodeon's pre-school channel Nick Jr. has signed a deal with 24/7 Real Media to serve advertising on NTL's Electronic Programming Guide (EPG). Nick Jr. is the first UK channel to use EPG advertising to encourage viewers to access its programming.
The EPG includes a clickable Nick Jr. banner, through which viewers can access a micro-site displaying an index page of forthcoming programmes, fun, games, competitions and show information. The index highlights 'What's on Nick Jr.' between 8am and 8pm and refreshes hourly in line with the channel's programme schedule.
"This is
a very exciting development for Nick Jr's advertising," said Sarah Mieran,
Marketing Manager. "The technology allows us to influence viewers right
at the point where they are choosing which channel and programme to watch."
Back to top
IAC/InterActiveCorp, Barry Diller's Internet combine, has agreed to acquire Ask Jeeves, fourth-largest search engine company, for about $1.85 billion. IAC already controls Expedia, Ticketmaster, Home Shopping Network, Match.com and CitySearch. Most of Ask Jeeves's revenue comes from advertising that appears on its sites through a contract with Google.
That contract
runs through 2007. Fourth-quarter profits and revenue at Ask Jeeves, whose
brands include ask.com, Excite.com, iWon.com, more than doubled. Net income
rose to $17.5 million and revenue rose to $86.1 million from $31.8 million
a year earlier. IAC/InterActive is expected to acquire Ask Jeeves in a stock
transaction, exchanging shares in IAC/InterActive for shares in Ask Jeeves,
then buying 60 per cent of the just-issued IAC/InterActive shares back for
about $1.2 billion.
Back to top
BBC Director-General Mark Thompson has announced savings of £221m a year in the organisation's content and output areas by 2008, which will be reinvested back in to programmes.
This will result in the loss of 2,050 posts - a 13 per cent reduction in headcount in content and output. These follow the first round of 46 per cent headcount savings announced two weeks ago in the BBC's Professional Service divisions amounting to £139m.
Thompson told all BBC staff: "This is all money we plan to spend on programmes and content, both to improve the services we deliver to audiences right now and to build strong BBC services in the future. He said that, over the coming months, there would be a lot of hard-edged activity across the BBC to make the changes real.
This would include
revisiting the BBC's technology strategy, simpler processes, more prioritisation
and rewarding people for excellent leadership. "We need to free up money
to start investing in our digital future, to end our current Charter in December
2006 on budget and to show we are serious about providing value for money,"
he added. In terms of reinvestment, Thompson said a balance had to be struck
between investment to boost the quality of today's services and investment
in services of the future.
Back to top
The digitalisation of the TV industry is an urgent requirement in China, says the State Administration of Radio, Film and TV (SARFT) as it welcomed private investment for the sector.
"Digitalisation must bring a change in our mindset and we should abandon the concepts of the planned economy era. We should seek a win-win model both inside and outside the industry," said Zhang Haitao, vice-minister, SARFT. The media has reported that while many industries in China have witnessed rapid change as a result of the ongoing process of reform and opening, the radio, film and TV industry has lagged behind them in reforms and is ill-prepared in terms of its mindset, technology and organizational ability.
In accordance
with the central government's guidelines on furthering the development of
the private sector, Zhang said SARFT is also drawing up regulations to allow
private investments to enter areas such as the distribution network. He added
private companies may also get a green light to invest in services like programme-on-demand
and information services, areas currently only open to investment from the
radio, film and TV industry. Zhang added that the development of DTV will
enter a new stage with the focus shifting to a large-scale deployment at provincial
level following the experiences of city-level networks.
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BT wants universal service review
UK's BT is set to ask regulator Ofcom to release it from universal fixed line provision obligations. Ofcom's telecoms review left BT's obligations largely unchanged but BT argue for changes across the board, including a review of the cost to the group of providing the services along with a new industry-wide funding structure, a revamp of the so-called light user tariff, a subsidised telephony scheme, to exclude customers with second homes and mobiles.
BT is also looking
to remove thousands of unprofitable payphones, a move that can currently be
vetoed at the local government level. BT believes that the growth of mobile
services and the fierce competition across the telecommunications market justify
the overhaul.
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Good news for billing/CRM suppliers
98 per cent of triple play operators agree that customer service is a key competitive advantage for successfully acquiring and retaining customers.
The survey was
conducted by SupportSoft, a provider of Real-Time Service Management Software
and represented were 39 digital service providers from across Europe, representing
16 countries with more than 34 million broadband subscribers in both Western
and Eastern Europe. Also 90 per cent of service providers responding to the
survey also agree that triple play delivery will make customer service more
difficult.
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Harmonic announced that GuangXi Broadcast Network Information Co., Ltd has expanded its digital television service using Harmonic headend and networking solutions. The upgraded service uses Harmonic's high-performance DiviCom encoding solutions to produce superior quality digital video and the Broadcast Network Gateway (BNG) to securely increase the reach of the digital TV service.
In order to extend
its service to the 14 regional cities within the province, GuangXi Cable has
deployed Harmonic's BNG to provide a seamless interface between its main headend,
existing SDH network and local headends.
Back to top
Teleste has received
an order from Germany's largest cable operator KDG for an upgrade in its BK
network. The upgrade is for raising the network capacity from 450 MHz to 630
MHz in several German cities enabling bi-directional services for Digital
TV as well as Internet Data. Teleste will be delivering its German specific
BK-Optiflex amplifier products for the upgrade of the coaxial access networks.
The first deliveries will take place in June 2005 with the rest during Q3
2005.
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18MB
broadband from NTL?
Microsoft
not complying says EC
Hill
joins DirecTV
Sogecable
blamed for pay-TV fiasco
Qwest
ups MCI bid
Tele
5, for the Italian DTT model in Spain
Mobile
to benefit from open DRM
NTL is trailing
an ADSL2+ fast broadband that could bring speeds of up to 18Mbs for net users.
Currently the fastest broadband on offer in the UK is 8Mbps - although most
homes do not have connections of more than 1Mbps.
Now the trial will be extended to allow for the on-demand streaming of high-definition
TV (HDTV). BT is also set to trial ADSL2+ later in the year. For DSL, NTL
claims an advantage over BT because 95 per cent of the 7.9 million homes its
network passes are within 1km of the access point compared to 5 per cent of
BT's customers.
"Our fibre-rich network means that we have the potential to provide customers
with a multiple of services such as high-definition TV, PC broadband surfing,
console gaming, VoIP, and music downloading, operating simultaneously through
a single high speed IP connection," NTL said.
Back
to top
Microsoft not complying says EC
Microsoft is
not doing enough to comply with sanctions imposed for breaking European anti-trust
rules, the European Commission has said.
The group was censured in 2004 for misusing its monopoly position in desktop
PCs to extend its reach into other areas. It agreed to a E497m fine and to
make its software work better with competitors' products. But the EC says
Microsoft is failing to deliver on its commitments. "On the basis of
market test results, we have serious doubts that Microsoft is complying with
the interoperability remedy," EU competition spokesman Jonathan Todd
said.
Back
to top
DirecTV has named Fox Sports Chairman and CEO David Hill as president of the newly-created DirecTV Entertainment group. Ex-Sky man Hill will have oversight of programming, including third-party programming and original content, the development of program packages and the marketing and promotion of DirecTV to consumers, the company said. He will also be responsible for the integration of new technologies and the development of new forms of programming, including electronic program guides, interactivity and other content enhancements.
The DirecTV Entertainment
Group is one of three new operating groups created by President and CEO Chase
Carey as part of a more streamlined organisation that will focus on core businesses,
the company said.
As part of the new organisational structure, DirecTV appointed John Suranyi
president of DirecTV Sales and Service, and Bruce Churchill as president of
DirecTV Latin America and New Enterprises. Suranyi was previously executive
vice president of customer satisfaction, and Churchill was chief financial
officer for the DirecTV Group and president of DirecTV Latin America.
Mike Palkovic, CFO for DirecTV, Inc., which oversaw U.S. operations, will
now assume CFO responsibilities for the entire DirecTV organisation. Hill,
Suranyi, Churchill and Palkovic will report to Carey.
Back
to top
The president
of ONO, Eugenio Galdon, has blamed Sogecable, owner of Canal Plus and digital
DTH platform Digital Plus, for, what he has called the fiasco of pay-TV in
Spain
"Pay-TV in Spain has failed because it is a expensive service, lack of
dynamism and with an operator (Sogecable) that monopolises TV contents restricting
the market", he said during a conference in Madrid.
Galdon argued that the Spanish pay-TV market is significantly different from
other European countries. "In Spain, after 16 years of operations, pay-TV
only has a 15 per cent penetration, whereas other countries have a penetration
of 50 to 70 per cent", he pointed out.
"If we look at the States", he added, "this is more worrying".
According to him, in the States the population spend around 70 per cent watching
pay-TV and 30 per cent commercial TV; In Spain, it is about 12 per cent pay-TV,
and 88 per cent watching commercial TV.
For Galdon, "the control of TV content and the dominant position of one
only operator (Sogecable) are the main obstacles to the introduction of new
technologies on TV".
Back
to top
Qwest has raised
its bid for long-distance provider MCI to $8.45 billion, or $26 per share,
according to a government filing. This represents a $1.7 billion premium over
rival Verizon Communications' $6.7 billion bid. But Verizon indicated it would
not be raising its previous bid, which MCI has agreed to accept.
"We believe our agreed upon transaction represents a fair and sustainable
value proposition for MCI's stakeholders, including the company's long-term
investors, its customers, its employees, and its creditors," Verizon
said in a statement. "We trust that the MCI Board of Directors will continue
to do what is right for these stakeholders."
Back
to top
From David del Valle in Madrid
Mediaset-controlled
Tele 5 has called for the Italian subsidy-based DTT model to be implemented
in Spain to develop the market.
The CEO of Tele 5-Publiespana, Giuseppe Tringali, has asked the socialist
Government to finance DTT set-top-boxes "as it is happening in other
European countries", in order to boost the market and speed up the migration
to digital.
"I think we can import the Italian DTT model", he pointed out suggesting
that the Government should finance totally or partially the boxes.
The Government recently reduced the VAT applied to boxes and aerial modification
from 16 per cent to 7 per cent to encourage DTT box uptake.
Back
to top
Mobile to benefit from open DRM
The mobile phone industry and its content partners will benefit from being first to implement interoperable digital rights management (DRM) solutions, which will provide greater revenue opportunities and better user experiences, according to a new report.
Harry Wang, a research analyst at Parks Associates, says that unlike the personal computing and consumer electronics spaces, the mobile phone industry has been able to develop interoperable DRM solutions from the ground up, which he considers a real advantage for providers seeking to add multimedia content to their services. "This environment has created a clean slate for the mobile phone industry to write its own DRM standard," he added.
The report, Digital Rights: Content Ownership and Distribution, also points out that the Open Mobile Alliance's (OMA) DRM Specifications 1.0 and 2.0 are key interoperability standards in this market, and they have attracted the attention of other, more entrenched DRM players - including Apple, Microsoft, and RealNetworks - who want to leverage it for their own solutions.
Parks Associates
estimate that over a quarter of US households will purchase a mobile in the
next 12 months, and suggest that with this influx of new phones, many of which
will have increased bandwidth capabilities, content owners will seek to leverage
these platforms as media receivers and players and will push for interoperability
between those devices and platforms that have traditionally resided on the
home computer and/or consumer electronics side.
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