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Tuesday

Friday 13th October

ITV and BBC in race to launch digital media players
MRG: IPTV steady growth to 50m
China IPTV: 10m by 2011
nPVR will drive DVR to 250m by 2011
Disney: mobile and web TV are the future
ROK U.S. launches free mobile TV
Tiscali Three-Year Plan

French news channel to broadcast in Britain
Twofour offers £50,000 for user generated content
ESPNsoccernet.com to expand
Multi-standard platform supports DVB-H and DAB-IP
Pirelli for Free
Lucent grows with Telefónica



ITV and BBC in race to launch digital media players

ITV is going head-to-head with the BBC in the race to launch their digital media players, both of which are due to appear early next year. ITV has appointed US digital agency Schematic to design a next-generation video-on-demand ITV.com website as well as its own digital media player.

ITV and the BBC are now both aiming to launch their digital media players by the end of March next year. Channel 4 is planning to have its video-on-demand service, incorporating digital media player technology, up and running before the end of this year.

Schematic, which is based in Los Angeles, counts among its clients broadcasters including ABC, MTV, CNN and Turner.

The BBC and Ofcom yesterday extended the deadline for the BBC iPlayer's market impact and public value testing, amid industry criticism of the the original schedule.

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MRG: IPTV steady growth to 50m

IPTV continues to show strong upside potential in Europe and Asia with some exceptions in North America, according to the new MRG report IPTV Global Forecast Report. In Europe and Asia, most growth is driven by the large incumbent Telcos, whereas in North America, the small independent IPTV providers are driving much of the growth.

However MRG says delays for MSTV are harming overall forecasts: "The one group of IPTV providers not sharing in the current success of IPTV is comprised of those that have selected Microsoft's software," states Bob Larribeau, IPTV Director for MRG. "Deployments at AT&T, Bell Canada, Deutsche Telekom, and Swisscom are on hold waiting for Microsoft's software."

Microsoft's slowness to market has had a strong negative effect on the forecast for North America in particular, which has not been offset by the stronger growth of small independent operators and of Verizon's VOD services.

The forecast projects that there will be 50.5 million IPTV subscribers by the end of 2010 (about half Alcatel’s prediction thus week) with global IPTV revenue of $16.7 billion in 2010 - $12.8 billion in service revenue and $3.9 billion in system and software revenue.

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China IPTV: 10m by 2011

The number of China IPTV subscribers is expected to surpass ten million by 2011, says Pyramid Research. "We forecast reasonable growth for the next two years, but an upsurge after that" says Harvey Tomlinson, author of the report.

Pyramid predicts essentially modest growth for IPTV service in China until 2008. This is due to a clash between marketisation and planning, compounded by tensions between regulatory agencies, and the need to establish a clear systematic standard. "In the medium-term, however, we expect more players to be licensed to enter the market, with convergence‚ being mentioned for the first time in the most recent five-year plan for the ICT sector."

As operator investments continue, Pyramid expects the number of IPTV enabled DSL lines to have increased forty-fold by 2011, by which time around 50 per cent of broadband subscribers should be able to receive IPTV service.

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nPVR will drive DVR to 250m by 2011

Network-based personal video recording (nPVR) stands as a technology that could radically change pricing metrics, advertising, and content distribution on video networks. A new study from ABI Research says nPVR will help to fuel the overall digital video recording (DVR) market, which will grow from about 20 million subscribers last year to more than 250 million in 2011.

"nPVR offers substantial benefits to service providers in terms of cost." says principal analyst Michael Arden. "But nPVR has to prove that its technology is as good as client-side DVR boxes, and it raises serious issues with some content providers, issues that they are willing to take to court."

The lower per-user cost of centralized storage for network operators, matched by the low cost of' "thin" client STBs means that nPVR should prove popular in markets such as India and China. "In general, we see nPVR being adopted in areas where client-side DVRs aren't available," says Arden.

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Disney: mobile and web TV are the future

Outlining Walt Disney Co.'s strategy for tackling a consumer-driven TV future, Anne Sweeney, co-chair of Disney Media Networks and president of Disney-ABC TV, revealed some of the company's numerous new-media initiatives around the globe at Mipcom. Mobile TV, she told attendees, is going to be huge. She revealed that ABC.com's latest program-streaming initiative had garnered 2.5 million requests for shows in the past two weeks.

Content delivered via wireless devices still has the potential to be a big winner, Disney executives believe, despite the company's decision to shut its ESPN Mobile venture late last month. "Industry analysts predict that mobile television could be a global market worth as much as $27 billion by 2010," Sweeney said, adding that 500 million new wireless connections have been made globally in the past year.

Disney already has deals in place with Vodafone Italy and Orange Mobile in the U.K. and has just finalized a deal to stream Disney Channel via France Telecom's Orange service.

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ROK U.S. launches free mobile TV

ROK Entertainment Group U.S. have followed in the footsteps of its UK-based parent and launched a free mobile TV service available globally. FreeBe TV, the U.S. market’s first free mainstream mobile TV service, currently offers 13 channels of content, including live news, music and sports, with many more slated in the near future.

Users of FreeBe TV don’t have to be on a high-speed, 3G network as the service was developed to deliver high quality video content over 2.5G GPRS. In addition to the mobile version of FreeBe TV, ROK announced today that the same service will soon be available for the PC, via the Internet, as well. FreeBe IPTV will deliver the same streaming channels as the mobile TV service over broadband.

The FreeBe TV service includes an extreme sports channel, a vintage comedy channel, classic cartoons and classic movies channels and live news, updated every 15 minutes, read by computer-animated monkeys. Two new channels being added next week includes Mixcast TV, a new urban lifestyle channel and MavTV, an irreverent network targeting men 18-60.

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Tiscali Three-Year Plan

Tiscali, Europe's third-largest Internet provider, said it will focus on Italy and the U.K. and add telephony and media content services to its offering.

The company's new three-year plan will also include the sale of assets.
Tiscali said on Sept. 15 it agreed to sell its Dutch unit to KPN for E255m The company has sold other units in markets including France, Denmark and Italy.

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French news channel to broadcast in Britain

The new 24-hour news channel funded by the French government to counter the global dominance of CNN and BBC World is to be beamed into the UK on the Sky platform. France 24, which is set to launch at the beginning of December, has also signed up a number of UK presenters.

The news broadcaster, which will cost the French government E80m a year, will launch two channels, one in French and one in English, as well as an Arabic version online. All television content will also be streamed over the Internet.

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Twofour offers £50,000 for user generated content
From Colin Mann in Cannes

Broadcast television and business communications company Twofour Convergence TV is launching a new ‘Mobishow’ - Mr Paparazzi Mobile - a weekly show which will features the top five celebrity stories with many exclusive snaps.

Philip Bourchier-O'Ferrall, Twofour Convergence TV Chief, said that in the UK, it was clear that there was a great demand for celebrity gossip. "The Mobishow also provides the holy grail of User Generated Content. Mr Paparazzi will pay up to £50,000 to the consumer that can provide the right exclusive photo or video, he added"

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ESPNsoccernet.com to expand
From Colin Mann in Cannes

English-language soccer news and information site ESPNsoccernet.com is to launch in four additional languages by the end of 2006. French, Italian, German and Spanish versions are planned, in addition to a new look for the English-language version of the site.

George Bodenheimer, President, ESPN, Inc. and ABC Sports and Co-chairman, Disney Media Networks said that the growth of ESPN’s international and new media assets were of paramount importance to the company. "The passion for international football is extraordinary, and we are dedicated to serving that passion. Expanding our leading coverage of the world’s most popular sport online, coupled with our commitment to the FIFA World Cup and UEFA Champions League, illustrates our overall focus and commitment to international football, to new media and to international growth."

ESPNsoccernet.com has also launched two new multimedia services recently. For the first time ever ESPNsoccernet.com (in the U.S. and Australia) is offering live coverage all 125 UEFA Champions League matches via online pay-per-view, with each match available for $9.95 per match. ESPNsoccernet Extra, an exclusive twice-weekly Podcast service, has been launched, building on the success of the World Cup edition. The programmes include previews, news and reviews of all of the key Premiership, Champions League and UEFA Cup Action. The Podcasts, which will run to half an hour in duration, can be listened to directly via the website or downloaded to portable media devices and are available on I-Tunes.

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Multi-standard platform supports DVB-H and DAB-IP

Frontier Silicon announced a collaboration with Penthera Technologies to deliver the world's first open multi-standard DVB-H and DAB-IP receiver solution. Penthera's fully interoperable DVB-H/DAB-IP mobile client software, Penthera Viewer, will be developed on the "Malibu" platform provided by Frontier Silicon and based on the Paradiso FS1030 multi-standard system-on-chip. In providing DVB-H along side DAB-IP, the new solution enables manufacturers to increase their addressable market with a single design. The same handsets can potentially be used on BT Movio's recently launched mobile TV and DAB digital radio service in the UK as well as other mobile TV services around the world.

Emma Lloyd, managing director of BT Movio, said; "We believe that a simple and compelling consumer experience is key to the widespread adoption of mobile TV. This development will seamlessly join the capabilities of DAB, DAB-IP and DVB-H, so that consumers will have more choice of TV and radio channels as spectrum is released in the future. Consumers will also get more choice of mobile phones as manufacturers take advantage of the economies of scale that one hardware solution delivers."

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Pirelli for Free

Pirelli Broadband Solutions and Free, France's leading alternative broadband operator, have signed an agreement for the supply of Pirelli's new "dual-mode" phones. Pirelli will deliver Wi-Fi/GSM handsets for Free's new fixed-mobile commercial offering - "Nomad Telephony" - launched in France.

The Pirelli "dual-mode" phone is a handset which enables the convergence of fixed and mobile services, integrating cell phone technology with Internet telephony. The new Pirelli phone, based on SIP (Session Initiation Protocol), can alternatively function as a telephone handset in Wi-Fi mode or as a mobile phone, thanks to a technology which allows the device to use both GSM and WLAN Voice over IP networks.

"We are very pleased to have concluded this agreement with a leading broadband dual-mode phone manufacturer. Our customers will enjoy the know-how of Pirelli with this high- end handset, and will benefit from the best of fixed-mobile convergence thanks to Free," explained Michaël Boukobza, CEO of Iliad.

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Lucent grows with Telefónica

Lucent Technologies announced the expansion of its agreement with Telefónica de España to supply its most advanced Carrier Ethernet platform, the Lucent Ethernet Router 15800, to support subscriber and service growth for Telefonica's "Imagenio" IPTV service – currently serving more than 300,000 customers in Spain – and to help support the introduction of its IPTV and "triple play" voice, data and video services in additional markets in the country. The platforms have also been deployed in support of Telefonica's fast-growing eBA network, which provides a wide range of business services for enterprise customers.

The Lucent Ethernet Router 15800 (recently acquired from Riverstone Networks) is designed to support very high-capacity data services in metropolitan networks, and has been deployed by Telefónica de España in key markets to address increasing customer demand for the operator's residential and business services, and to support anticipated increases in data traffic as Telefonica begins to launch high-definition TV services. These deployments expand on Lucent's earlier Carrier Ethernet supply agreement with Telefonica, announced in September 2004.

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Thursday 12th October

Alcatel: 100m IPTV homes by 2010
Carphone Warehouse wins AOL UK
Disney chief: piracy is rival business model
MNOs co-op for 3GTV
TDF: new shareholders inject cash
Bill amended to avoid mobile TV "gatekeeper"
SOC STBs ready for IPTV
BBC: more consulting on iPlayer
Ericsson payment for TV




Alcatel: 100m IPTV homes by 2010

Alcatel says it expects subscribers to Internet-based TV to reach 100 million by late 2010, up from three million now, despite some operators delaying roll-out. "I think there will be about 100 million subscribers to IPTV by 2010," Michel Rahier, head of Alcatel's fixed communications division, told the Broadband World Forum in Paris.

But he admitted some operators had delayed the launch of Internet-based TV services to customers, partly due to technical glitches. "Sometimes there is over-optimism in terms of maturity of the product. We have seen in a number of cases, roll-outs that were slower than some service providers had anticipated...Everybody is learning a lesson. They did not focus enough on the integration of the underlying infrastructure."

The optimism is in contrast with reports of a Goldman Sachs research note earlier this month that IPTV roll-outs outside North America appeared to have stalled and were unlikely to regain momentum before 2008. It also noted that the take-up of IPTV remained relatively low in Taiwan and several European countries such as France, Spain and Italy. "Massive capacity requirements for millions of IPTV users appear to be less certain than before," Goldman Sachs said.

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Carphone Warehouse wins AOL UK

Carphone Warehouse, owner of the TalkTalk broadband and phone offering, won the auction for AOL UK paying £370m (E536m) for the operation. AOL UK has 2.1 million customers across the country - 600,000 on dial-up and 1.5 million with broadband connections. It will be keeping the AOL name and the US firm's policy of charging customers.

Carphone Warehouse is funding the acquisition through an extension of its existing debt facilities, and will keep AOL UK's management and infrastructure. AOL UK was sold by its American parent company Time Warner which is selling most of the AOL European business.

Carphone Warehouse chief executive Charles Dunstone said: "The joint development of AOL's already successful audience platform will bring us new advertising and content revenues in a proven and low risk manner".

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Disney chief: piracy is rival business model
From Colin Mann in Cannes

Anne Sweeney, co-chair of Disney Media Networks and President of Disney ABC Television speaking at ‘The Today and Tomorrow of TV and the New Entertainment Consumer’ at MIPCOM, said that when Disney-ABC learned that a pristine, ad-free episode of Desperate Housewives had been downloaded onto the Internet shortly after it aired, "we understood that piracy is a business model and that it competes for consumers in the same way that we do."

Sweeney warned delegates of the "consumer coup" that could be unleashed by the digital revolution, which gave rise to opportunities but also presented danger "for anyone not paying attention to viewers".

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MNOs co-op for 3GTV

3UK, Orange, Telefonica and Vodafone have teamed up to trial another alternative broadcast mobile TV technology in the UK. It uses a TDtv platform provided by IPWireless, based on the Multimedia Broadcast and Multicast Services (MBMS) standard.

MBMS allows 3G operators to offer bandwidth-heavy mobile TV, audio and another IP datacast services using existing 3G spectrum, without impacting core voice and data traffic on the main network.

This fourth broadcast mobile TV technology follows the O2/Arqiva trials of DVB-H earlier this year, BSkyB's ongoing work with Qualcomm's MediaFLO platform and Virgin Mobile's launch of DAB-IP based services this month.

Professor Michael Walker, director of R&D at Vodafone said: "In the case of mobile TV, there are a number of technologies emerging that must be fully explored so that we have a comprehensive understanding of how the technologies work and the experience they will offer. Currently the most interesting technologies are the variants of MBMS and DVB-H."

TDtv base stations have been deployed on 12 cell sites covering parts of Bristol in the UK.

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TDF: new shareholders inject cash
From Colin Mann in Cannes

French broadcast transmission specialist TDF has received additional funds from existing shareholders and two new investors, TPG and AXA Private Equity, which will enable it to step up the rollout of the company’s operational strategy in France and abroad.

This deal will give TDF the funds required to implement its plans and assist its clients in their transition to a ‘Pure Digital’ world, while maintaining a strong balance sheet. It will comprise funds for the company’s organic growth amounting to E1 billion over five years and a potential maximum amount of E1 billion to finance mergers or acquisitions.

The change in shareholders continues the relationship with Caisse des Dépôts and Charterhouse Capital Partners, who are reinvesting in the company by acquiring a combined 38 per cent stake, while maintaining a balance between the shareholders who share the same long-term vision.

The new shareholding structure after the transaction will be as follows:- La Caisse des Dépôts et Consignations: 24 per cent; Charterhouse Capital Partners: 14 per cent; TPG: 42 per cent; AXA Private Equity: 18 per cent; Management and employees: 2 per cent

The deal is subject to approval from the relevant authorities.

This change in TDF’s shareholding structure is part of a process launched during the summer of 2006 on completion of the Group’s operational strategy and reorganisation, which resulted in the creation of a multi-media division. The capital injection gives the company sufficient funds to assist clients in future transformations, which include national DTT roll-out in France; HDTV tests in Paris, Lyon and Marseille, with commercial launch planned for 2007; Mobile TV: tests in Paris, with commercial launch in Finland scheduled for the end of 2006, and in France and Spain in 2007.

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Bill amended to avoid mobile TV "gatekeeper"
From Rose Major in Melbourne

Companies wanting to bid for the Australian DTT
spectrum that has been set aside for "innovative" new services, probably mobile TV, will have to agree to provide access to others for the channel. An amendment to the media legislation now going through its second reading in the upper house – an amendment agreed to by the government - is aimed at assuaging worries that the winning bidder for the spectrum, known as Channel B, could deny access to competitors and become a powerful monopolist.

A statement from minister Helen Coonan said: "To enable diversity of content on the new digital services the Government intends to introduce access arrangements for Channel B..A person wishing to bid for the Channel B licence will be required to submit an access undertaking to [competition regulator] the ACCC in accordance with pre-determined criteria to be eligible to bid."

The government's legislation is still not assured to pass the Senate. Dissenting senator Barnaby Joyce has threatened to try to force more changes, particularly in regard to protecting media diversity and local content in rural areas. That may cause the government to abandon the bill.

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SOC STBs ready for IPTV

Microsoft, jointly with Cisco, Motorola, Philips and Tatung, announced that advanced system-on-a-chip (SOC) set-top boxes are now available to support Microsoft TV IPTV Edition deployments with leading telecommunications carriers worldwide. They say these SOC set-tops will make it easier for service providers to deploy IPTV Edition more broadly, quickly and cost efficiently.

"The advent of system-on-a-chip set-tops is a key milestone for the IPTV industry," said Christine Heckart, general manager of marketing for the Microsoft TV Division.

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BBC: more consulting on iPlayer

BBC Governors have decided to restart the period for representations on the BBC's application for approval of new on-demand services, including BBC iPlayer, and published supplementary information about the proposition.

BBC Chairman Michael Grade said: "As Chairman designate of the BBC Trust am committed to a fair and transparent process that will enjoy the full confidence of all stakeholders."We are on a steep learning curve and are happy to extend the deadline, and to publish additional information from BBC management about their proposal, to meet the requirements of those who wish to participate in the process."

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Ericsson payment for TV

Ericsson announced a contract with Swedish television format company Bringiton AB to provide its Internet Payment Exchange (IPX) service to the upcoming Play Us video gaming docu-drama. Ericsson will provide Bringiton with SMS connections to US mobile operators for payment and interaction via the Ericsson IPX service. At present, content providers have access to 90 per cent of US mobile
subscribers through the service.

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Wednesday 11th October

US telecos could take big hit in cable wars
Setanta sign Premier League deal with Freeview
New Blinkx site offers channel surf
European Digital TV to Soar
UK broadband to double in three years

Telefonica and Walt Disney in a VoD deal
First Australian VOD deal for BBC Worldwide
Mouse serves up VoD



US telecos could take big hit in cable wars

Liberty Media chairman, John Malone, says the coming cable-phone wars could turn out to be a bloodbath for AT&T and Verizon. "Cable guys right now have a huge advantage," Malone told USA TODAY.

"AT&T and Verizon are spending a bundle to recreate the wheel (cable TV)" he says. "If they're lucky they'll wind up as the fourth provider in any given market — behind the cable incumbent and satellite carriers DirecTV and EchoStar's Dish Network."

But Malone says that cable operators - unlike phone companies - "only have to make expenditures as demand shows up. Cable operators aren't taking any chances. They're racing to add voice to their service bundles. Some of the bigger cable operators also plan to offer wireless."

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Setanta sign Premier League deal with Freeview

Irish pay-TV company Setanta has announced a subscription channel on UK digital terrestrial service Freeview. Setanta won the rights to show 46 top-flight Premier League matches per season for three years this May, commencing in August 2007.

Setanta says viewers will be able to subscribe to the channel on a standalone basis without having to pay for a package. The standalone deal would mean the cost of watching Premier League matches is "substantially reduced" in comparison to BSkyB packages.

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New Blinkx site offers channel surf

Blinkx has unveiled a new version of its video search Web site that offers a more TV-like experience, with "channels" of popular content and the ability to select search results from a wall of video thumbnails that shows previews.

The updated Blinkx site has added channels that automatically generate lists of top stories in different categories, such as news, entertainment and sports. Previews of the listed items are automatically played to the user.

"We're helping people re-create that passive experience they get with television," said Suranga Chandratillake, chief technology officer and co-founder of Blinkx.

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European Digital TV to Soar

Demand for digital television in Europe will reach a record number of customers this year, according to research from Strategy Analytics. Nearly 19 million homes will buy digital TV for the first time this year, an increase of 20 per cent, according to the report, "Digital TV Subscriber Market Forecast Europe." The most popular option for new subscribers is still digital terrestrial television, with more than 10 million homes that could be added this year, the company said.

However, the newest entrant, IPTV, also is beginning to make inroads and take share from established satellite TV and cable providers. The Strategy Analytics report predicts 16 million homes will subscribe to IPTV by 2010.

The report also predicts 75 million European homes, or 47 per cent of the total, will have at least one digital television service by the end of the year, a third higher than last year. By 2010, digital TV penetration will have reached 77 per cent, or 127 million homes, says Strategy Analytics.

The United Kingdom, with 94 per cent penetration, will remain Europe's leading digital TV market in 2010, with Ireland, Austria and Sweden next in line. Digital terrestrial TV will overtake satellite to become Europe's largest digital TV platform by 2008, says the firm.

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UK broadband to double in three years

The proportion of UK households with broadband is likely to almost double in three years, from 34 per cent at the end of 2005 to 64 per cent at the end of 2008, research predicts. According to Point Topic's first spatial broadband forecasts, the installed base of broadband lines in the country will increase from 9.77 million to 18.46 million (including business lines) with the fastest growth in remote rural areas.

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Telefonica and Walt Disney in a VoD deal
From David Del Valle in Madrid

Telefonica and Walt Disney have agreed for the Spanish telco's IPTV service Imagenio will disbribute its films on video on demand. A selection of films from Walt Disney Pictures, Touchstone Pictures and Miramax Films, will be available Spain's largest IPTV audience of 280,000 subscribers.

In addition, both companies have undertaken to fight against piracy. Today, Imagenio distributes around 60 TV channels and 15 audio services offering two packages: the basic, 30 TV channels at a monthly fee of E4 (for ADSL clients) and Paquete Familiar (60 channels) for E12 (for ADSL clients).

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First Australian VOD deal for BBC Worldwide

BBC Worldwide has signed its first Australian agreement with Telstra. to supply a selection of BBC Video on Demand content for its Portal platform, BigPond Movies.

The new service, allows Telstra broadband subscribers to license a substantial range of BBC programming, including programmes such as Little Britain, The Office and Top Gear.

Each BBC programme will be available for viewing over a 7-day period, and will be priced from AU$2.95 per episode.

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Mouse serves up VoD

Buena Vista International Television (BVITV) has secured video-on-demand distribution deals in Europe and Asia, and has also announced the first non-US deal for Disney-ABC Television Group's ABC News Now channel.

In the first such deal, BVITV has extended the terms of its long-term TV licensing agreement with French terrestrial broadcaster TF1 by making around 100 current movie releases and blockbusters available on demand via broadband on the TF1 Vision website.

The titles will be available either by streaming or on a download-to-rent basis, with prices ranging from E4.99 (US$6.30) for new titles to E1.99 for older fare.

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Tuesday 10th October

Google buys YouTube
Dolan’s bid to privatise Cablevision again

Studios must go on line to avoid piracy…..
…..But retailers say DTOs already go too far

Blinkx to sign with MSN
ONO looks to quadruple play
Rainbow Media goes global with VOOM HD
HD is History in UK
Ruckus for Telefónica
Thomson for Cabo




Google buys YouTube

Google is buying YouTube for $1.65bn in shares. Launched in February 2005, YouTube has grown into one of the most popular websites with 100 million videos viewed every day and an estimated 72 million individual visitors each month.

There has been much recent speculation that a media company wold be bid for the site despite ongoing doubts about being able to effectively "monetize the model". Now Google has paid a price at the upper end of speculation believing its targeted and local advertising insertion model is perfect. And it believes it will avoid disaffection among contributors by sharing the revenue of ads sold next to a users content.

"The YouTube team has built an exciting and powerful media platform that complements Google's mission to organize the world's information and make it universally accessible and useful," Google chief executive Eric Schmidt said. Schmidt also told investors that YouTube will be "one of many investments" Google plans to make in the video field.

The two companies will continue to operate independently, Google said, and the company will keep operating its own Google Video as a separate operation. YouTube will retain its brand, and its 67 staff, including co-founders Chad Hurley and Steve Chen, will keep their jobs.

"By joining forces with Google, we can benefit from its global reach and technology leadership to deliver a more comprehensive entertainment experience for our users and to create new opportunities for our partners," said Hurley.

The announcement was accompanied by a slew of distribution deals drawn up by the pair. Universal Music Group has signed a distribution deal with YouTube, which will protect the rights of the music firm's artists. YouTube also says it has signed a deal with CBS, which will offer short-form video programming, including news, sport and entertainment on YouTube. Google also has distribution deals of its own, with Sony BMG and Warner Music to offer music videos.

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Dolan’s bid to privatise Cablevision again

The Dolan family have launched a fresh attempt to take Cablevision private offering to buy the cable operator it controls in a $19.2bn deal, including debt. This is the second time in less than 18 months that the family has tried to remove the company from the public markets.

“Succeeding in this fiercely competitive environment requires a long-term entrepreneurial management perspective that is not constrained by the public markets’ constant focus on short term result,” said Charles Dolan, the chairman, and James Dolan, the chief executive. They are offering to pay $27 per share to buy Cablevision, valuing the company’s equity at $7.9bn. The planned deal will be financed with the Dolans’ $1.7bn equity stake in the company, as well as a $10.9bn debt package arranged by Bear Stearns and Merrill Lynch.

In May 2005, the Dolans offered to buy Cablevision in a more complex transaction that involved a break-up of the company into two units, one including the cable assets, and the other including a number of cable TV channels and Madison Square Garden. The plan was withdrawn after the Dolans couldn’t reach an agreement over price and certainty of value with Cablevision’s independent directors.

Founded in 1973 by Charles Dolan, Cablevision serves 3m households in the New York region.

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Studios must go on line to avoid piracy…..

Hollywood studios must accelerate electronic distribution of their film content if they are to halt the rapid growth of digital piracy, which is projected to increase three-fold by 2015, Bain & Company has warned.

Digital film piracy currently costs Hollywood $2.3bn a year in lost revenues, equivalent to about 3 per cent of total inter-national film industry revenues, according to Bain. However, the consultancy firm estimates digital piracy will represent at least 10 per cent of international film revenues by 2015, equivalent to almost $8bn a year if industry returns stay at existing levels.

David Sanderson, a partner in Bain’s Los Angeles office and the head of the firm’s global media and entertainment practice, said studios had to offer consumers the opportunity to buy their digital content legally if they were to stop piracy. “The most important thing [the studios ] needs to do is give consumers a legal choice to buy content electronically,” he said. “Studios have to keep looking at consumers better alternatives to buying illegal content.”

Sanderson also indicated that release “windows” – the time between theatrical release, DVD and pay-TV sale – would have to be compressed if the studios were to beat digital pirates.

The video-on-demand and DVD windows had already “collapsed”, although making films available for digital download near, or shortly after, their theatrical release. One solution would be to sell a film digitally in a format that allowed the content to be played on multiple platforms, such as a PC, DVD player or hand-held device, and then charge consumers accordingly, he said.

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…..But retailers say DTOs already go too far

There is tension between the major studios and the major retailers of DVDs over DTO. Retailer Target Corp. sent the major movie studios a letter expressing concern that new movie-downloading services will get a better deal from the studios on electronic copies of movies than Target gets on DVDs.

Target, which accounts for about 15% of the big studios' DVD sales in the U.S., said that it didn't object to competition but wanted "a level playing field." It went on to say that if it didn't receive what it considers to be equitable pricing from the studios it would reconsider its investment in the DVD business, suggesting the retailer might cut back on shelf space, promotional programmes, signage and other aspects of marketing discs.

The letter said that the chain had become aware that "some movie studios have made new-release movies available to download service providers at lower cost" than DVDs, allowing the downloaded movies to be sold to the public at lower prices. Target said the company is trying to ensure that its business "is not put at a disadvantage."

The letter followed similar complaints from Wal-Mart Stores and comes just weeks after Apple Computer Inc. announced a deal with Walt Disney Co. to sell electronic copies of Disney movies online via Apple's iTunes Store for as little as $12.99 apiece for new titles, several dollars less than comparable DVD prices.
Until now, most download services also have sold movies at prices in line with, or even slightly higher than, DVDs. But Apple's cut-rate pricing, along with its considerable marketing clout, has alarmed those retailers, even as some of them contemplate launching download services of their own.

Retailers like Target and Wal-Mart typically pay $17 or $18 wholesale for new-release DVDs. They typically sell them to the public at $16 to $19, often pricing them below cost to attract consumers into their stores. Retailers worry that consumers will quickly lose interest in DVDs if cheaper online versions of movies become widely available.
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Blinkx to sign with MSN

Blinkx announced potentially one of its biggest deals to date with Microsoft which has agreed to use Blinkx technology to power the video search on some parts of its MSN Internet sites and Live.com. "We will be the single biggest video search engine on the Web," Suranga Chandratillake, Blinkx co-founder and chief technology officer, said in an interview.

Blinkx already powers video search on sites ranging from AOL to ITN, Lycos and Times Online. It also indexes video from the likes of BCC, Fox, MTV, Sky News, Reuters and YouTube and makes and makes videos on those sites searchable on Blinkx or partner sites. To date, the company has indexed more than six million hours of audio, video, and TV programming to make it searchable.

Instead of a cut of advertising revenue, Microsoft has agreed to pay Blinkx an outright licensing fee based on how much use visitors to Microsoft Web sites make of the Blinkx search system, Chandratillake said.
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ONO looks to quadruple play
From David Del Valle in Madrid

Spain's largest cable operator, ONO, has broken one million broadband subscribers, meaning that more than half of its total clients have high speed Internet access and representing 21 per cent of all broadband connections in the country. Currently, ONO distributes a cable-modem-based high speed Internet service and it recently launched new service based on DSL.

ONO's next challenge is to break into mobile telephony as a virtual mobile operator. To this end, it is holding talks with all mobile operators (Telefonica Moviles, Vodafone and Amena) to reach an agreement. ONO aims to offer a quadplay package in the near future.
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Rainbow Media goes global with VOOM HD
From Colin Mann in Cannes

Rainbow HD Holdings is launching a new global channel, VOOM HD, which will be available as a 24/7 HDTV channel on Nordic digital satellite platform Canal Digital, from November 1 in Sweden. VOOM HD offers internationally a lineup of high-definition programmes, from VOOM HD Networks' 15 thematic HD channels in the U.S.

"As the worldwide demand for high-definition programming rapidly expands, we're giving international cable, satellite and IPTV Telco operators an incredible opportunity to dive into HDTV with a turn-key channel that literally offers the best of the best," said VOOM HD Networks General Manager Greg Moyer. "

Today's announcement was coupled with news of a first distributor. Rainbow's SVP of Business Development, Glenn Oakley, who handles international business development for Rainbow, revealed that NonStop Television has signed a long-term agreement to distribute Rainbow's VOOM HD channel in Scandinavia and the Baltic states, becoming one of the first companies to market high-definition television in these regions. "Canal Digital was the first television distributor to offer HD channels in the Nordic region in 2005. We are happy to soon offer our Nordic customers VOOM HD," said Christian Albech, CEO of Canal Digital AS. "We are continuously following up on attractive TV channels broadcasting HD-quality to strengthen our HD packaging."

At present, VOOM HD is deployed in Canada on three branded channels, operated by High Fidelity TV: Treasure HD, Equator HD and Rush HD. Korea's SkyHD deployed a daily primetime VOOM HD branded programming block in September 2006.
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HD is History in UK
From Colin Mann in Cannes

A&E Television Networks, BSkyB and The History Channel UK are to launch The History Channel HHD in the UK and Ireland via the Sky HD platform. The UK service marks the worldwide debut of a high definition service for The History Channel. The channel will offer a separate schedule to the standard definition channel.

Richard Melman, The History Channel’s UK Channel Director said the stunning quality of the pictures added a new dimension to the service’s programmes.

The History Channel in the US is planning to launch an HD channel in 2007.
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Ruckus for Telefónica

Ruckus Wireless announced that it has been selected by Telefónica O2 Czech Republic to support its newly launched IPTV service throughout the Czech Republic. Telefónica O2 Czech Republic will provide Ruckus MediaFlex wireless routers and adapters to subscribers who want to enjoy IPTV and internet access without having to wire or rewire their homes.

"Europe continues to be the hot bed for commercial IPTV services," said Selina Lo, president and CEO of Ruckus Wireless. "People don't want to design their homes around wall jacks and operators want to increase time to revenue for new broadband digital services. We are making both possible."

Offered under the O2 brand, Telefónica O2 Czech Republic's streaming IPTV multicast service, as well as its video-on-demand unicast service, are being offered to its existing 400,000 broadband subscribers and ultimately to the nation's 4.2 million households.
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Thomson for Cabo

Thomson announced it has been chosen by Portuguese Pay-TV Operator, TV
Cabo, for the rollout of a new High Definition (HD) cable set-top box with integrated Personal Video Recorder (PVR) and wireless voice-enabled cable modem.

TV Cabo, a subsidiary of PT Multimedia and Portugal's leading cable and satellite operator with over 1.4 million customers, will deploy the DCI8200 in 2007 along with its satellite version without modem, the DSI8200, and other entry-level products provided by Thomson as part of the ongoing digitization of its network.
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Monday 9th October

Crown Castle International to acquire Global Signal
Current to launch in UK and Ireland
Telstra leans on Foxtel for new 3G
Financing for Wyplay
AEPOC: CA and DRM important for Information Society
IPTV subscriber base rising in France
Spanish Administration files new application for ONDAS
Spanish DTT tops 2m
BT Vision expands film library
ANT in 1m Pace STBs


Crown Castle International to acquire Global Signal

US transmission tower specialists Crown Castle and Global Signal are combining to create a company with the most wireless towers in the top 100 markets. The deal sees Crown Castle acquire Global Signal in a stock and cash transaction, valued at approximately $5.8 billion including debt. The transaction brings together two of the US's leading tower companies, with over 24,000 wireless sites.

John P Kelly, Crown Castle's Chief Executive Officer, said that the complementary nature of the companies’ US portfolios would result in a high-quality, diversified customer base, with 76 per cent of site rental revenues from the four largest US wireless carriers.

Based on pro forma results for both companies as of June 30, 2006, the combined company will have approximately $16.0 billion in total enterprise value. The merger is expected to generate cost synergies of between $12 million and $15 million annually, which are expected to be realised within 12 months after closing.

"We are excited about bringing together Crown Castle and Global Signal to create a powerful growth platform with a very efficient capital structure," stated Ben Moreland, Chief Financial Officer of Crown Castle.

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Current to launch in UK and Ireland

Current TV, the ‘viewer-created content’ channel chaired by former US Vice president Al Gore, is to launch a localised version of the service in the UK and Ireland via the Sky Digital Platform.

The initiative marks Current's first presence outside the US and is a significant step in fulfilling its plans of becoming an international media company. For BSkyB, it represents a first step in a strategy to develop a broader presence in the fast-growing field of user-generated content.

Viewer producers from the UK and Ireland will be able to submit their videos via Current's website and, if their work is selected for broadcast, they will also have the chance to see their pieces air on Current's US network - and in other markets into which Current will expand in the future.

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Telstra leans on Foxtel for new 3G
From Rose Major in Melbourne

Australia’s incumbent telco, Telstra, has launched its new third-generation mobile network, using its investment in pay-TV operator Foxtel as a key plank of the service.

Foxtel by Mobile will offer subscribers 12 video channels for A$12 a month, including Sky News Headlines, CNN, Fox Sports News, entertainment services Fox8, The Comedy Channel and E! and Discovery, Disney and MTV. The new service will also offer content from Australian Rules football as part of a new A$60 million deal between the AFL and Telstra’s Internet division Bigpond.

Called Next G, the new 850Mhz service will replace Telstra‚s current 2100Mhz 3G service which is available only in pockets of the country and which has far fewer video services. Next G is built on high speed downlink packet access (HSDPA) technology and the network cost around A$1 billion (E590 billion) to build. Telstra claims it reaches 98 per cent of the population.

Sol Trujillo, Telstra’s chief executive, launched the service with the bold claim that it is "the largest, most advanced 3G network on the planet". In a flurry of hyperbole, he also promised that Telstra would be the 3G market leader by next May and that a quarter of Telstra‚s mobile subscribers would be on the Next G service by June 2008.

Australia has three other 3G operators - Hutchison, which operates the 3 service and has around one million subscribers, Vodafone, which has 200,000 and Optus, which does not disclose 3G subscriber numbers. Telstra‚s old 3G service has some 420,000 subscribers, which means it must add over half a million in the next seven months to reach its market leadership target.

But Telstra has come in for criticism, with some analysts pointing to low usage of broadband services by 3G users, who mainly use their phones for voice and SMS. The investment could have been spent instead on improving Telstra‚s fixed broadband network.

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Financing for Wyplay
From Sotires Eleftheriou in Paris

French company Wyplay has secured E4 million of investment from the venture capital company Sofinova Partners. It has designed a ‘Home Media Center’ product which does not need a PC (nor PC literacy) but nevertheless has an extended set of functionalities, simple user interface at a low price.

According to Wyplay, it is addressing the digital home entertainment market valued in 2005 at $166 billion (BCC Research). This market is growing at an annual pace of 20 per cent, driven by TV and PC convergence and boosted by the sales explosion of multimedia handheld devices and the increasing number of video on the internet and VoD offers."Satellite and terrestrial operators have been challenged by ADSL operators which are looking for advanced and integrated products. Users want simple products and they want to renew their DVD-videotape-tuner equipment with an integrated and connected solution," says Alain Rodermann, Partner at Paris-based Sofinova Partners.

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AEPOC: CA and DRM important for Information Society

A proliferation of Conditional Access (CA) and Digital Rights Management (DRM) technologies will enable maximum usability of digital pay media, according to AEPOC (the European Association for the Protection of Encrypted Works and Services).

Meeting in Lausanne, AEPOC Directors and members agreed that with regard to the increasing number of multi-play offerings, CA and DRM build an inseparable technological solution in protecting the rights of those in the content supply and consumption chain, while offering maximum usability of items of content purchased.

"While security is the prerequisite to convince rights owners to make their content available in the first place, we see a critical role in CA and DRM to support the consumption of content on many different platforms and devices for a modern and lifestyle-oriented media consumption - thus supporting the EU goal of an Information Society," said AEPOC President Jean Grenier.

Mathieu Goudsmits, AEPOC Vice Chairman, further analysed the importance of these technologies from a consumer stand point: "Looking at the many social software platforms that put consumer created content in the focus, also individuals, as one of the stakeholders in terms of content creation, will soon wish to be able to protect their work and possibly even be rewarded for their contributions. Thus security and rights management is not only a necessity for the larger movie studios but also beneficial to every single creator and artist."

Davide Rossi, Secretary General AEPOC, called on all players from the PC-based industries and telecommunication sectors to join forces with AEPOC to combat the fight against all illegal access of digital media on any platform or device. "Piracy destroys the incentive to artistic creation and without creation there will be no content. Adequate legislation related to CA and DRM is not an obstacle but an important accelerator of the EU Information Society ".

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IPTV subscriber base rising in France

France is leading many countries in the adoption race of IPTV report RNCOS. According to the release, by 2006 end, almost half (around 1.7 million) of the Western Europe’s IPTV subscribers will be based in France, generating revenue of E141 million. As per an estimate, by 2010, the subscriber base in France will reach approximately 5 million, just below a third of the total subscriber figure in Western Europe, providing revenue of E682 million.

The success of IPTV in France is attributed to the combative low entry price strategy from competing players, including Free, Neuf and France Telecom. The fact that all the key Pay-TV services are ready to adopt new distribution channels is also a contributing factor in the IPTV’s success.

The recent report suggests that France is among the most accessible markets in Europe having an IPTV penetration level of over 1 per cent. It is also expected that the revenue generated from France’s IPTV service will amount to nearly U$182 million by 2006 end. The subscriber base is likely to reach 5 million & generate $875 million in sales by 2010.

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Spanish Administration files new application for ONDAS

Satellite media company ONDAS Media has moved closer to its intended launch of a pan-European satellite delivered radio service following the confirmation that Spain has filed a new application with the International Telecommunications Union (ITU) on behalf of ONDAS. Originally the Spanish Administration filed an application in September 2004 in the name of Spain Radio.

"At the time of the original filing ONDAS was in a preliminary state of development," said Celso Azevedo, CEO of ONDAS. "However, the new application, now filed under the name of ONDAS on the 15th of September 2006, reflects the company’s more mature status."

ONDAS intends to broadcast its multi-lingual radio, music, video, data and telematics services directly to European consumers in their automobiles, trucks, homes and to their mobile and portable devices. ONDAS is due to begin full subscription-based, mostly advertising free commercial services in late 2009, addressing a European market opportunity of approximately 240 million vehicles and up to 600 million inhabitants.

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Spanish DTT tops 2m
From David del Valle inn Madrid

More than 2,250,000 DTT set-top-boxes have been sold in Spain since the re-launch of the business in November 2005. So far, antennae at more than 300,000 buildings have also been adapted.

According to official figures, 6 million Spanish homes are currently receiving DTT, representing 18 million people.

By way of comparison, satellite TV in Spain reaches 2 million homes; 1.5 million households enjoy cable TV and almost 300,000 are receiving IPTV.

The General Director of Telecommunications and Information Technology, Bernardo Lorenzo, said that the latest DTT figures prove that "Spain has overcome the DTT deadlock" reached following the demise of the pay-TV DTT platform Quiero.

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BT Vision expands film library

BT has secured a video-on-demand film deal with independent studio Lionsgate Entertainment Corp for its IPTV service, BT Vision, which it plans to launch in autumn 2006.

The deal will provide BT Vision customers with access to the Lionsgate library, one of the biggest independent film libraries in the world.

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ANT in 1m Pace STBs

IPTV software and solutions provider ANT revealed that digital set-top-box specialist Pace Micro Technology has shipped its one millionth set-top box with the ANT Fresco browser, providing access to interactive digital TV. Pace, with Fresco, has deployed a range of set-top boxes with tier one operators worldwide.Fresco enables operators to deliver interactive digital TV through consistent and fast presentation of core user interface functionality such as EPGs (electronic programming guides), VoD (video on demand) and on-screen menus.

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