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Friday 5th January

Tiscali revamp Home Choice
TW Cable comes to market
Sirius cash positive
Clarke to raise Setanta profile
HD DVD and Blu-ray solutions?
UK Minister calls for early window downloads
3 a year behind target in UK
NTT DoCoMo acquires stake in Nippon
HD sets sell, but not used
NDS and MobiTV demo WiMAX TV
Player X and 3 UK mobile TV channel




Tiscali revamp Home Choice

Tiscali is hoping to attract half a million UK users with its revamped TV-over-broadband offering over the next two years and is in talks to show Irish pay-TV firm Setanta's sports content.

Italian ISP Tiscali, which has around 1.4 million DSL customers in the UK, is hoping to get a third of those to take the relaunched service.

Over the next year it plans to extend the 65 broadcast and 25 on-demand channels currently offered to former HomeChoice subscribers to its customers in major cities. "The ultimate aim this year and next year is to be delivering IPTV to 35 per cent of our broadband customers," said communications director Jody Haskayne.

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TW Cable comes to market

New shares of Time Warner Cable could begin trading this month nfollowing the approval by a judge of a plan to pay the creditors of Adelphia Communications, the group acquired by Time Warner in 2005.Once the plan is confirmed it is expected Time Warner Cable shares could start trading soon after, removing the need for a lengthy and potentially expensive initial public offering process to list the cable division of media group Time Warner.

Adelphia, once the fifth-biggest cable companies in the US, filed for bankruptcy protection in 2002, just before its founder, John Rigas, was arrested. Rigas and his son were convicted of conspiracy and securities fraud and were sentenced to 15 and 20 years in prison respectively. The cable group was jointly acquired in 2005 by Time Warner and Comcast for more than $17bn in cash and shares. The plan is for Adelphia to use a 16 per cent stake in Time Warner Cable to pay its creditors, a move that analysts said could also increase the value of Time Warner shares if a higher value is attributed to its cable division as a result.

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Sirius cash positive

Sirius Satellite Radio said it ended 2006 with 6.024 million subscribers and achieved its first quarter of positive free cash flow in the fourth quarter in line with its expectations. Sirius had said in early December that it expected to end the year with between 5.9 million and 6.1 million customers and that after capital spending it could report free cash flow for the quarter.

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Clarke to raise Setanta profile

European Ryder Cup hero Darren Clarke has been hired as the face of Setanta Sports in its battle to take on the dominance of Sky Sport. He will front Setanta's new channel, Setanta Golf, as well as its nine-channel pay-TV offering which will include 46 Premier League games a year from the beginning of next season.

Another new channel showcasing the best of Setanta's sports offerings will launch on Freeview later this year. "This is the start of Setanta coming into the UK market in a major way," said Leonard Ryan, co-founder and joint CEO of Setanta Sports. "Our name is well known in Ireland, Scotland and in the US, but in the UK we are still very much the challenger brand. This is the start of it."

As the broadcaster's "brand ambassador", Clarke will appear across Setanta's publicity and marketing campaigns, and will also act as a commentator and studio pundit. He will also wear the Setanta name on his golf shirt.

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HD DVD and Blu-ray solutions?

LG Electronics said it would launch the world’s first DVD player capable of playing both Blu-ray Disc and HD-DVD. LG said the new high-definition disc player will be unveiled in the Consumer Electronics Show in Las Vegas next week. LG, which was a strong supporter of Sony’s Blu-ray format.

Toshiba is leading a group of manufacturers that includes Microsoft and Intel which are supporting the HD-DVD format while the majority of consumer electronics and PC markers, including Samsung Electronics, Matsushita, Dell and most of the Hollywood studios, are firmly in the Blu-ray camp.

Meantime, Warner Brothers, which helped popularize the DVD more than a decade ago, plans a single videodisc that can play films and television programs in both Blu-ray and HD-DVD, the rival DVD technologies.

Warner Brothers will announce the new disc, which it is calling a Total HD disc, at the Consumer Electronics Show.

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UK Minister calls for early window downloads

Creative industries minister Shaun Woodward has encouraged the movie industry to make films available for download much sooner after their release to help cut piracy. Woodward argued that plans for tougher penalties for criminals who pirate films would tackle only a fraction of the £800m-a-year (E1.159bn) problem. The industry needed radically to rethink its business model, the minister suggested. He cited the example of the music business, which responded to losses of revenue from illegal copying by finding ways to legitimise downloads and file-sharing.

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3 a year behind target in UK

Hutchison Whampoa is a year behind target in its UK third-generation mobile phone operations but expects its overall 3G business to be cashflow positive in 2008, chairman Li Ka-shing reported.

"With 3G, we are facing more competition than we originally expected, and we are slightly over one year behind budget in the U.K. But we are doing well in other locations, such as Hong Kong, Australia and Italy," Li said. "In telecommunications, another one or two years is nothing. It is a growth business, and we expect 3G to be a major contributor to our group in the future."

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NTT DoCoMo acquires stake in Nippon

NTT DoCoMo has acquired 3 per cent of Nippon Television Network (NTV). Under a tie-up agreement of February 2006, DoCoMo has already been working with NTV to provide services converging mobile communications and broadcasting. DoCoMo believes stronger ties with NTV will enable it to better offer customers a variety of new services.

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HD sets sell, but not used

The number of high-definition television sets in the UK shot up from 700,000 to about 2.4m last year, but fewer than one in 10 owners is able to watch high-definition programmes on them. Screen Digest, estimates 160,000 households now receive high-definition broadcasts over one of the specialist set-top boxes sold by British Sky Broadcasting or Telewest, the cable group now owned by NTL.

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NDS and MobiTV demo WiMAX TV

NDS has partnered with mobile television provider MobiTV to demonstrate the first secure delivery of Mobile WiMAX TV to Ultra Mobile PCs. The integration of NDS VideoGuard with the MobiTV service enables Mobile WiMAX operators to offer mobile television over a two-way IEEE 802.16e network while maintaining content rights and protecting service revenues.

The service includes a delivery mechanism for video, an electronic service guide (ESG) with channel and programme information, and a TV client application. The integrated DRM offering allows operators to enforce content rights and to apply various business models to the content that is being delivered, including subscription, pay-per-view and pay-per-time.

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Player X and 3 UK mobile TV channel

Mobile media company Player X and operator 3 UK have teamed up to launch geekTV, the made-for-mobile TV channel on 3 UK’s network. The channel is a mixture of entertainment brands such as Miami Vice and American Dad, original IP and user-generated content that allows 3 UK customers to view the content with an option to download to their handsets.

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Thursday 4th January

BT to smash broadband target
Lycos TV launches
ITV beefs up for broadband launch

Orange France reports 3.5m mobile broadband customers
Sirius meets subs projections and ponders XM Merger

Liberty Media eyes Cablevision unit
IOL ties up with BSNL for IPTV
Spain's DTT reaches 2% market share
Mobile video to boost mobile sports, leisure and info content market

Channel 4 Radio offers podcast content over public WiFi
Liberty Global completes Karneval acquisition
Uplink industry key driver for digital video programme services



BT to smash broadband target

BT will break through the ten million broadband barrier over the next few days, smashing its initial target of five million connections by the end of 2006. That target, viewed as highly ambitious at the time, was set in April 2002 when there were fewer than 150,000 DSL connections. Broadband availability at that time was 66 per cent whereas it is now more than 99.8 per cent.

The ten million wholesale connections are shared between BT Wholesale and Openreach. BT Wholesale supplies services to more than 8.7 million customers (via service providers including BT Retail) whilst Openreach supplies more than 1.3 million lines to customers via local loop unbundlers. Every one of these ten million connections brings revenues to BT.

Ben Verwaayen, Chief Executive of BT Group, said: "2007 is beginning with broadband firmly established at the heart of the UK economy, helping businesses to compete and enriching people's lives. The UK now has over 200 service providers making it the most competitive broadband market in the world."

Broadband over BT’s network is fast outpacing broadband over cable. Whereas three years ago, more than half of all new connections were carried over cable, that percentage had declined to just 11 per cent for the quarter ending September 2006 meaning 89 per cent of new connections use BT’s network.

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Lycos TV launches

Lycos, the entertainment and communications portal, has launched Lycos TV, a video portal linked to Lycos.co.uk that will offer a variety of online video content to users. Powered by Internet video specialist ROO, the new online platform will deliver up-to-date videos, along with archive content, covering news, music, movies, travel and sports arenas.

The Lycos TV portal will offer the complete library of ROO's video content. The video content will be updated on a regular basis and additionally offer Lycos' original video content that will be added at a later date. User-generated content will be incorporated in the coming months.

ROO will provide Lycos TV with the tools to stream video content through their website in a customisable fashion. Lycos TV will also offer advertisers pre-roll spots in the new channel and new formats will be developed as the channel establishes itself.

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ITV beefs up for broadband launch

UK commercial broadcaster ITV has appointed new media specialist Annelies van den Belt to launch its broadband portal, and revealed details of the service’s content, which will feature a significant amount of ITV programming for viewers to access mostly for free.

The Web site, which will have an entertainment feel and carry user-generated content, will launch at the end of March 2007, and show ITV's live broadcast channel and reruns of programmes within a 30-day window via a media player. ITV believes that viewers are reluctant to pay to keep most programmes, and its content will be available on a streamed basis, although there will be some exceptions, principally in sport. ITV already broadcasts a handful of Champions League football matches online, charging £1.99 (E2.95) a match.

Van den Belt joins ITV as managing director of the broadband team from the Telegraph Media Group where she was director of new media. She had previously spent five years at News International where she launched Times Online. In her new role, van den Belt will be responsible for all aspects of commercial and operational delivery for the broadband site, including advertising, content production and commissioning.

"Plans for our broadband portal are ambitious and well advanced," Jeff Henry, director of ITV Consumer revealed. "Bringing on board an industry leader like Annelies is a hugely significant step." van den Belt noted that until now, ITV had just been exploring new media by providing content for mobile phones. "Now it is coming up with a product that sits at the heart of the business and should become part of the commissioning process," she added.

ITV has previously said it will spend £20 million (E29.6 million) on launching the service. The BBC will spend more than three times as much as ITV — the public broadcaster’s online budget last year was £72 million.

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Orange France reports 3.5m mobile broadband customers

Orange France said it had 3.5 million 3G/3G+ and EDGE customers at the end of 2006. This compares to a forecast of 2 million mobile broadband customers by that date, made when the company launched 3G two years earlier. The company said that its customers watched 51 million videos and direct TV broadcasts last year, including 6 million in December alone.

Since Orange World Musique was launched in June 2005, it has had 52 million page views out of 8.4 million connections. Over 13 million musical products have been heard, including audio, video, radio, music channel consultations and downloads of tracks, ringtones and wallpaper. Active Business Everywhere customers are using over 120 MB per month, a twelve-fold increase since 3G was introduced to the business segment in September 2004. Orange also has 100,000 Wi-Fi users per month who stay connected for 20 million minutes.

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Sirius meets subs projections and ponders XM Merger

Amid continued speculation about the possibility of a satellite-radio merger, Sirius Satellite Radio finished 2006 with 82 per cent more subscribers than in the previous year. Sirius said that it ended the year with about 6.02 million subscribers, up from 3.3 million a year earlier and within the company's Dec. 4 forecast of 5.9 million to 6.1 million subscribers.

Meanwhile, Sirius is still considering a merger with its larger rival XM Satellite Radio. Sirius chief executive officer Mel Karmazin has freely admitted that he'd consider a merger with XM at the right price. The advantages of a merger between the two companies includes potentially significant cost savings from increased negotiating leverage for programming and the elimination of duplicative programming and employees.

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Liberty Media eyes Cablevision unit

Liberty Media Chairman John Malone is gauging the interest of Cablevision Systems Corp.'s controlling family in selling the Rainbow Media unit, reports the New York Post. Citing sources familiar with the matter, the Post said the talks amount to "informal chatter between friendly moguls."

Rainbow Media, which manages the AMC, IFC and WE: Women's Entertainment cable networks, is a subsidiary of Cablevision, which is controlled by the Dolan family. The talks could become more serious as Cablevision shareholders become increasingly restless with the company's silence on a decision on the family's $19.2 billion buyout proposal. Cablevision has set up a special committee to review the family's offer, but has yet to publicly approve or reject it.

A deal for Rainbow's programming assets could generate more than $2 billion, the Post reported. In December 2006, Malone agreed to swap an $11 billion stake in News Corp. for control of satellite TV provider DirecTV and other assets.

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IOL ties up with BSNL for IPTV

IOL Broadband has tied up with state-owned telco Bharat Sanchar Nigam (BSNL) to provide IPTV services.

IOL has also signed a revenue sharing agreement with Anytime, a consortium of Hollywood studios such as Walt Disney, FOX, Warner Brothers, and Universal for providing access to films.

"This agreement will allow IOL IPTV subscribers to view latest Hollywood blockbusters without commercial breaks, months before satellite TV broadcasts," the company said.

IOL has already started trial services of IPTV on BSNL's broadband network in Bangalore. The launch in Bangalore is scheduled for January 14, followed by other cities.

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Spain's DTT reaches 2% market share
From David del Valle in Madrid

Spain's DTT is slowly growing. In 2006 it reached a market share of 2 per cent, with 12.6 per cent of Spaniards (45 million people) watching it for more than a minute. In terms of audience, DTT had a share of 3.9 per cent in December, according to consultant firm Barlovento.

The DTT industry has high hopes for 2007 when all interested parties - manufacturers, broadcasters and the Government - join forces to develop the market.

For every 100 minutes in 2006 spent in front of the TV, 86.5 minutes is accounted for by terrestrial TV, 5.6 minutes satellite TV and 8 minutes cable TV. All in all, in 2006 Spaniards spent an average of 217 minutes per day watching TV, with the largest figures being among women (236 minutes), old people (306 minutes) and middle-low class people (238 minutes). By regions, Aragon, Baleares, Valencia and Andalucia had the highest TV consumption, with Canarias, Murcia, Galicia and Madrid being the lowest.

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Mobile video to boost mobile sports, leisure and info content market

The increasing influence of mobile video enabled on 3G networks will drive the uptake of many mobile sports, leisure and information services over the next five years, according to new research.

Juniper Research suggests that the global market for sports, leisure and information content is set to grow from its 2006 value of just under $4.2 billion to $9.5 billion by 2011. The largest geographic market is forecast to be in Europe, which is expected to account for 40 per cent of revenues over the 2006 to 2011 period, with Asia Pacific contributing 33 per cent and the rapidly growing North American market 18 per cent. Asia Pacific is forecast to generate the most traffic over the period, but higher price levels will make Europe the largest revenue generator.

Report author Bruce Gibson said: "Video has the potential to transform the user experience of many infotainment services, provided the video quality is good enough. The continued roll-out of 3G services globally will provide the platform for the development of high quality video content based services."

Types of services that will particularly benefit from enhanced video capability will include sports services, services based around TV shows and celebrities, traffic update services, news services and community applications with user generated content. Growth in sports services and services with user generated content should be particularly strong.

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Channel 4 Radio offers podcast content over public WiFi

Channel 4 Radio – the radio arm of UK broadcaster Channel 4 - will be the first broadcaster to target its audience via a WiFi network through a deal announced today with UK wireless LAN network service provider The Cloud. To coincide with Celebrity Big Brother, from the January 3 2007, 4Radio will provide radio programming over The Cloud's Public WiFi network, designed specifically for the PSP, and other mobile devices with complementary functionality. Available free of charge for a two month trial period users will be able to download 4Radio podcasts, including Celebrity Big Brother, and listen to them whilst on the move.

The partnership will allow 4Radio to provide a virtual ‘breakfast show on the go’: thousands of commuters will be given the choice to create their own breakfast show, on demand, through The Cloud’s network of 7,500 public WiFi hotspots, located in high foot-fall locations including coffee shops, hotels, train stations, pubs and airports.

Every day Commuters will be able to choose from a selection of Channel 4 Radio content including Morning News, Celebrity Big Brother and SlashMusic, 4 Radio’s innovative music show. This venture enables PSP users to take full advantage of the device’s rich platform for media consumption on the move. When a PSP user walks into a Cloud hotspot and then clicks on the Internet browser on their device they will be automatically directed to the landing page and one click away from a Cloud/4Radio branded portal fully optimised for the PSP.

Nathalie Schwarz, Director of Channel 4 Radio, said that radio had "the potential to be the most powerful and influential medium in broadcasting, but to achieve this in a digital world it needs to start innovating and fast. Making 4Radio’s content available on demand, on the go through The Cloud’s WiFi network enables us to target listeners who want bold and mischievous radio programming but don’t have time to tune in before they leave the house. We are providing it at their convenience – to fit in with our listeners’ busy lifestyles."

Niall Murphy, The Cloud’s CTO, suggested that an explosion in consumer WiFi devices was around the corner and that content providers were already starting to prepare for this large new market. "WiFi usage is starting to shift from business to consumer devices and by the end of 2007, 80 per cent of WiFi enabled devices are expected to be targeted at consumers. WiFi users will be demanding entertaining and unique content which they can access on the way to and from work, university or school."

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Liberty Global completes Karneval acquisition

Cable MSO Liberty Global has completed the E322.5 million takeover of the Czech Republic’s second largest cable operator, Karneval Media, from Betbari Holding of the Netherlands. In addition, Liberty Global says it has completed the previously announced sale of its Belgian cable business, UPC Belgium, to Telenet Group Holding for E184.5 million.

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Uplink industry key driver for digital video programme services

The worldwide Satellite TV uplink industry is emerging as an important growth driver for a wide and expanding range of digital video production equipment and video management products, according to research specialist In-Stat, in a new report - Satellite Uplink Facilities for Professional TV Services. This market will experience solid, sustained incremental revenue growth, and have a value of US$306 million during 2010, the firm says.

"The Satellite TV uplink industry is mature, but facing changes and growth opportunities," noted Gerry Kaufhold, In-Stat analyst. "Each geographic region is developing along a unique path based on the changing demands of their local markets. However, all markets are being impacted by the need to support High Definition TV (HDTV) programming services."

According to In-Stat, satellite TV uplinks will upgrade their video equipment at a regular pace for many years to come; new technologies may slow down the need to launch new satellites, but HDTV will eventually force the issue. In-Stat also suggests that there will be strong opportunities for the larger companies that manufacture professional video equipment.

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Wednesday 3rd January

Sky+ over two million
Sogecable launches Digital Plus Mobile
IPTV Growth Driver for equipment in 2007
Sky Italia surpasses 4 million subscriber mark
Ads can mobile simulcast



Sky+ over two million

Sky says the total number of Sky+ boxes installed has broken through two million. The milestone was reached after the number of Sky+ boxes grew by more than 50 per cent in 2006, putting Sky on track to pass its target of 25 per cent Sky+ penetration in advance of the original schedule of 2010. Jeremy Darroch, Sky’s Chief Financial Officer, said: "In its own way, Sky+ has as dramatic an effect on the experience of TV as the iPod has with music. There’s no going back once you’ve experienced the ability to take control over the TV schedules."

Sky revealed some of the viewing behaviour data from their Sky View research panel. Drama is the genre of programming most frequently recorded by Sky+ customers, accounting for 39.3 per cent of all time-shifted viewing. Other popular genres are documentaries (14.9 per cent), entertainment (13 per cent) and movies (9.5 per cent). In contrast, some genres of content remain at their most popular when consumed live. News and weather account for just 0.6 per cent of time-shifted viewing by Sky+ viewers, while current affairs programmes account for 1.2 per cent.

These trends are reflected in the ranking of channels whose programming is subject to most time-shifting by Sky+ viewers: 1 FX with 33.1 per cent of viewing is time-shifted, 2. More 4: 27.7 per cent, 3. Hallmark: 24.8 per cent. Across all channels, time-shifting accounts for an average of 12.2 per cent of total viewing through Sky+ boxes.

Sky said in 2007 it will introduce a new enhancement giving Sky+ customers the chance to enjoy a selection of the week’s best programmes on-demand. The service will be available to more than one million Sky+ and Sky HD customers from launch, making use of additional recording capacity on the hard drive of more recent boxes.

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Sogecable launches Digital Plus Mobile
From David del Valle in Madrid

Spain's largest pay-TV company Sogecable is taking its Digital Plus pay-TV service to the mobile TV business. The company has signed an agreement with Vodafone to distribute 10 of its pay-TV channels through Vodafone live!'s 3G-based pay-TV offer with a potential reach of 2 million customers.

To promote the service, the pay-TV offer will be free of charge until Easter, with a monthly subscription fee of E6 from that time. Initially, Digital Plus Mobile will offer 10 channels, but there are plans to increase the programming line-up. Channels available are: Canal Plus Movil, Cuatro Movil, 40TV XPRSS, 40 Latino Mini, CNN+, Jetix, Viajar Movil, Caza y Pesca Movil, Meteo and Taquilla X Promocional.

This is the first big deal signed by Sogecable in its new strategy to sell its pay-TV contents to other operators in order to raise its revenues. The company recently announced that strategy in an attempt to mitigate the negative effects of the deadlocked pay-TV market.

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IPTV Growth Driver for equipment in 2007


January 3 and already the first IPTV forecast: The number of subscribers to Internet Protocol Television (IPTV) services worldwide is expected to nearly triple in 2007, helping to drive a strong increase in sales of wired communications equipment and related semiconductors for the year, iSuppli Corp. predicts.

"The year 2007 represents an inflection point for IPTV where the technology will no longer be only for early adopters but those in mass market will also jump on board," said Steve Rago, principal analyst for networking and optical communications at iSuppli. "This IPTV transition is occurring simultaneously around the world, so everywhere regionally will see an increase in subscribers."

Global IPTV subscribers will reach 14.5 million in 2007, up 192.4 per cent from 4.9 million in 2006, iSuppli predicts. By 2010, worldwide IPTV subscribers will amount to 63 million, Rago said. As the number of subscribers grows, companies will spend more on equipment that can increase network bandwidth and capacity. Partly because of the IPTV surge, global factory revenue for wired communications gear will rise to $101.4 billion in 2007, up 7.2 percent from $94.6 billion in 2006. This growth rate is nearly double the 3.7 per cent expansion in 2006.

Moving up another level of the supply chain, semiconductor sales to the wired communications gear market also will benefit from IPTV's ascendance. Global revenue for wired-communications-oriented semiconductors will expand to $19.4 billion in 2007, up 18.3 percent from $16.4 billion in 2006. In comparison, chip revenue to the wired gear market grew by only 10 percent in 2006.

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Sky Italia surpasses 4 million subscriber mark
From Branislav Pekic in Rome

Sky Italia saw its subscriber base pass the four million mark at the end of 2006, slowly becoming a viable competitor to RAI and commercial broadcaster Mediaset.
Sky Italia CEO Tom Mockridge said that the company posted profits of E32 million for the year ending June 30, "the first profit ever achieved by a pay-TV platform in Italy". According to him, Sky Italia is now the third pay-TV operator in Europe, behind BSkyB in the UK and the merged French Canal Plus-TPS platform. The annual Eurisko-Audistar 2006 survey has shown that the satellite pay-TV market in Italy has grown by 8 per cent during the year, thus reaching a 22 per cent penetration rate.

However, Sky Italia is concerned that the 2007 Budget, currently under discussion in the Italian Parliament, includes a E200 tax break for all those purchasing a digital TV set. In order to qualify for the discount, the TV set must be equipped with a digital terrestrial TV tuner. Sky Italia is worried that this could convince TV viewers to watch DTT and not install a satellite dish. Digital terrestrial broadcasters such as Mediaset and La7 already offer a package of free general entertainment and thematic channels.

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Ads can mobile simulcast

Broadcasters will finally be able to run commercials in simulcast on mobile and Internet TV services, although ads featuring US actors and music will need individual rights clearance. The Institute of Practitioners in Advertising has been working to secure agreement from UK rights holders since Channel 4 was forced in July to pull ads from its simulcast internet TV service due to breach of digital copyright fears.

Broadcasters affected to date include BSkyB, which ran mobile simulcasts of the Football League play-offs in May and the autumn cricket internationals; ITV through its mobile TV simulcast offering of ITV1 on 3 and Virgin Mobile TV; and Channel 4's internet TV simulcast service and mobile service on Virgin.

The IPA has found industry agreement to introduce a "12-month moratorium" on advertising agencies having to pay a separate set of fees to record labels and actors unions when ads run on internet or mobile TV. This grace period, which will be reviewed after six months, is designed to see how TV over mobile and online develops so a more formal charging structure can be agreed.

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