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Our Latest Issues
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Tuesday
Friday 27th February
Public consultation on Canvas
UK broadband ‘even 2Mb a struggle’
Telefonica TV strong
Tele Columbus revenues grow
Netflix to offer "streaming only"
Codetel, Alcatel-Lucent IPTV for Dominican Republic
MTS expands IPTV services with 2Wire
Public consultation on CanvasThe BBC Trust has launched a public consultation on the proposal to develop a joint venture partnership for Project Canvas that would allow viewers to watch on-demand services, such as the BBC iPlayer and other internet content, via television sets.
The BBC Executive has applied to the Trust for permission to form a joint venture partnership, that would set up and promote a common standard for delivering on-demand TV and other internet content through a broadband connected device such as a set top box. The BBC would not be involved in the manufacture or distribution of equipment.
Meantime it is revealed Project Canvas, in which the BBC wants to partner with ITV, would have start up costs of about £24m (E26.8m). It hopes other broadcaster, i.e. C4 and 5 will join plus, possibly an ISP.
The BBC Trust consultation will be completed by 24 July this year, with the partners hopeful of launching Canvas on Freeview and Freesat, in early 2010.
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UK broadband ‘even 2Mb a struggle’The government faces a "massive challenge" in its pledge to bring UK broadband up to a minimum of 2Mbps according to experts. Broadband thinktank PointTopic has produced a regional breakdown of areas that currently do not have fast access. It shows that Northern Ireland is most poorly placed, with more than 30 per cent of households out of reach of 2Mbps. In Wales, 26.9 per cent of homes are unable to get speeds of 2Mbps or above. It says a majority of regions in the UK have 10-15% of their population beyond 2Mb reach.
Tim Johnson, chief analyst with Point Topic said: "The scale of the task is massive and in order to achieve it there needs to be co-operation between government, the regulator and operators such as BT."
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Telefonica TV strongGains in IPTV conributed to strong numbers from Spain’s Telefonica. It added 109,500 TV subs in the last quarter of 08 making a total of 2.2 million. While the majority are in S. America, it added nearly 20 per cent to IPTV numbers in Spain for a total of 612,000.
02 TV in Czech Republic added 6,435 in the quarter to make 114,496. Overall, driven by high growth in Latin America, Telefonica had operating income of E7.6 billion (down 15 per cent YonY but ahead of expectations) on sales of E57.9 billion.
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German cable network operator Tele Columbus reported revenues of E259 million for 2008 growing 11.6 per cent compared with 2007. Including all cable networks outside its core coverage the revenues reached around E300 million. The number of digital TV subscriptions grew 65 per cent to 118,000.
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Netflix to offer "streaming only"Netflix has said the company plans to offer its online streaming service on a stand-alone basis. Netflix customers currently pay a fixed monthly subscription fee for access to the company's popular by-mail DVD service as well as its online streaming service.
McCarthy said that the company still remains focused on providing a bundled offering, but said he understands that some viewers will find a stand-alone streaming service to be compelling, particularly as more compatible devices become prevalent.
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Codetel, Alcatel-Lucent IPTV for Dominican RepublicAlcatel-Lucent has announced that Compania Dominicana de Telefonos (Codetel), the leading teleco operator in the Dominican Republic, has launched a nationwide IPTV offering, providing subscribers across the country with high-quality TV programming, video on demand and other multimedia content services. Enhanced features include picture in picture, karaoke entertainment and digital video recording.
The new IPTV service supported by Alcatel-Lucent’s end-to-end IPTV solution, including the Microsoft Mediaroom IPTV and multimedia software platform - offers Codetel’s customers an enhanced video experience. It positions Codetel as the first operator to provide advanced new features in the Dominican market.
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MTS expands IPTV services with 2Wire2Wire, a provider of broadband solutions, has confirmed that MTS Allstream has selected its HomePortal intelligent gateways to enable a major expansion of its IPTV services in Manitoba, Canada. This expansion is part of MTS's long-term broadband evolution strategy to bring television, Internet, phone, and home security and automation together on one platform. MTS's expansion effort has already started with a rollout in Portage la Prairie, Manitoba. Additional rollouts in the cities of Winnipeg and Brandon are planned for 2009.
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Thursday 26th February
Virgin Q4 "resilient", content drags
ITV/C4/Five merge?
International strategy on illegal downloads
Half of web users have illegally downloaded
OpenTV profits
Zon launches 100 Mbps triple-play
Dave+1 rebranded
NDS for Tele Columbus and PrimaCom
TechniSat confirmed as Freesat manufacturer
Grass Valley chief promises business as usual
BBC’s Red Button F1
SysMedia and Icareus alliance
Virgin Q4 "resilient", content dragsBritish cable operator Virgin Media posted fourth-quarter revenue and operating cashflow in line with forecast, and said it had continued to show good resilience in the face of the downturn. Virgin Media said it had made 15,000 net new customer additions in the quarter, compared with 24,000 a year ago, and sold 185,500 products of either broadband, TV or telephony in the three months to end-December. Monthly churn has fallen from 1.4 per cent to 1.2 per cent over the past 12 months while monthly cable ARPU (Average Revenue Per Unit) increased to £42.30.
Chief Executive Neil Berkett said it was getting slightly harder to attract new customers, but keeping them was becoming easier as the group improves its offering. "If there is a resilient sector I think we're in it," Berkett said, adding the company would not get arrogant and would continue to manage its cost base.
Fourth-quarter revenue was £1.03 billion (E1.16bn) pounds and operating cashflow was £320 million. The firm's net loss for the three months to 31 December widened to £241 million from £163 million a year earlier. Part of the increase was write downs on its shopping stations Bid-TV and Price-Drop TV of £55 million because of a drop in consumer spending and the loss of one of their Freeview channels.
Burkett wouldn’t comment on the rumoured sale of the content business, but went out of his way to assure that the poor results in the shopping division were immaterial in the context of the overall content results.
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ITV/C4/Five merge?ITV has reportedly drawn up plans for a three-way merger with Channel 4 and Five. ITV, which is expected to report a huge drop in profits when it unveils its annual results for 2008, believes merging the UK's three main commercial broadcasters may be the best way to guarantee its survival. ITV executives are believed to have outlined the plan to government along with several other options.
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International strategy on illegal downloadsThe UK culture secretary, Andy Burnham, is aiming to have the framework of an international strategy to combat illegal internet downloads agreed with US and European partners by the autumn.
The plan, part of a five-pronged strategy to bolster the ailing music industry, was outlined by the government minister at a parliamentary reception last night involving groups including the BPI, which represents UK record companies.
The ultimate aim of the plan would be to develop a memorandum of understanding with other governments that would make the UK's own initiatives to combat internet piracy more likely to succeed. Burnham said that the government is seeking a 70 per cent to 80 per cent reduction in illegal downloads in the UK.
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Half of web users have illegally downloadedAlmost half of web users have used illegal file sharing sites, with Limewire (34 per cent) and BitTorrent (25 per cent) the most popular, according to research from Tiscali. In a survey of over 1,000 consumers, 46 per cent have used a peer-to-peer site (P2P), but 53 per cent have never knowingly downloaded music illegally, according to research by Tiscali.
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OpenTV profitsOpenTV has announced financial results for its fourth quarter and full year ended December 31st, 2008. OpenTV moved from a $5.2 million net loss in 2007 to a $9.6 million profit in 2008 on revenues of $116.5 million against $110 million in 2007.
"2008 marked the first profitable year in OpenTV’s history. We exceeded both our revenue and net income guidance for the year by improving our service delivery to customers and by building a more efficient operating structure," said Ben Bennett, OpenTV’s Chief Executive Officer. "We remain focused on growing our core businesses and continue to solidify our market position with the deployment to date by our customers of more than 121 million units. Although we are pleased with our 2008 results, we are also mindful of the current economic environment and the impact it may have on our customers and our business."
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Zon launches 100 Mbps triple-playPortuguese cable operator Zon Multimedia is launching its new triple-play broadband packages, with speeds of 50 and 100 Mbps, TV and telephone service. The 50 Mbps offer will cost E57.90, while the 100 Mbps has a monthly fee of E64.99. Besides Internet with unlimited traffic, both packages include 93 TV channels (including HD) and unlimited phone calls. The operator says it will make available the new Zon3Fly packages by the end of March to a potential 500,000 households.
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Dave+1 rebrandedFollowing its acquisition of an additional slot on Freeview for a Dave +1 service in January of this year, UKTV is breaking with traditional broadcasting conventions to rebrand this time-shift channel as Dave ja vu as part of its ongoing activity to create a portfolio of multiplatform brands. Dave ja vu will replace Dave +1 on all platforms immediately and is thus available to view in 17.5 million homes nationwide via Freeview, Sky Digital and Virgin Cable.
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NDS for Tele Columbus and PrimaComNDS has announced that Tele Columbus and PrimaCom, together forming Germany’s third-largest cable operator, have selected NDS’ advanced MediaHighway middleware solution to power their pay-TV business, further reinforcing MediaHighway’s leadership in the German pay-TV industry.
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TechniSat confirmed as Freesat manufacturerFreesat has appointed TechniSat Digital as a manufacturer of high definition digital satellite receivers for 2009. TechniSat Digital Group is a consumer electronics organisation specialising in premium DVB products. TechniSat will be launching with the HDFS Satellite HD digital receiver – a premium product for the reception of all Freesat SD and HD services which will also include extended features and functionality.
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Grass Valley chief promises business as usualFollowing the recent news that Thomson intends to sell its Grass Valley broadcast technology business, senior VP Jeff Rosica has taken the opportunity to confirm that the division remains "fully focused" on the success of Grass Valley and its customers, and that all current customer project deployments will continue to be carefully managed.
"As Thomson moves forward with the sale of the Grass Valley business, the company will be making future announcements and will work to keep the media, and our customers, informed of any news that would be appropriate," Rosica added, also confirming that Grass Valley would continue to introduce new products at April's NAB expo in Las Vegas.
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BBC’s Red Button F1
From Colin Mann in LondonThe return of Grand Prix racing to the BBC for the first time since 1996 will see the broadcaster introduce coverage that promises to be the most comprehensive in the history of the sport, with all on-track sessions brought live through TV, Radio, Red Button, broadband and the BBC iPlayer.
F1 fans will be able to customise their viewing experience through BBC Sport's multiplatform offering with options such as: split-screen action, live leaderboard, in-car cameras, choice of commentary, live online streaming, live text, interactive forums, circuit guides and blogs.
The BBC’s approach signals the most high-tech treatment of the sport for UK viewers since Sky Digital introduced an interactive service on its satellite platform in 2002. The pay-per view service failed to attract sufficient subscribers and was dropped after one year.
Through the Red Button, viewers will be able to access: All on-track sessions live, including practice, qualifying and race; Choice of three different streams on race day: The main network feed with a choice of commentary from network and 5 Live; Split screen comprising: main network feed, in-car camera and leaderboard and Rolling highlights.
Formula 1 fans will be able to view any action they may have missed through the BBC iPlayer. All Grands Prix will be available for downloading up to seven days after broadcast. Once the footage has been downloaded, it will be available for viewing for up to 30 days.
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SysMedia, leading specialist in subtitling solutions and content management and production systems for interactive TV and teletext, has formed a multi-level strategic alliance with Icareus, specialists in TV-centric interactive services and technologies. Icareus will become technical partners with SysMedia for interactive digital TV and mobile TV. This involves the integration of SysMedia’s multi-platform Gold content production and management system with Icareus‚ playout solutions across MHP, tru2way, DVB-H and MHEG-5 platforms.
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Wednesday 25th February
Virgin content on block again?
Court rules against France Telecom on soccer
Losses grow at Liberty Global
Chernin leaves News Corp, Murdoch Jnr in?
TV, Internet and mobile usage keeps increasing
Web videos boost TV ads
2008 global FTTH shipments rise
SARFT to complete DTV coverage in 3 years
UKTV's Yesterday to launch in March
Spirent and IneoQuest join forces
Virgin content on block again?Virgin Media is expected to begin the sale of its content division within weeks hoping to raise £500 million (E567m). The sale would include Virgin's 50 per cent stake in UKTV the JV with the BBC.
Analysts have speculated Virgin will try again to sell non-core assets as it seeks to pay down debt. Interested parties are thought to include BSkyB, NBC Universal, RTL Group, several private equity groups and the BBC when it comes to the JV where they have preferential rights. The content assets were put up for sale in 2005 but no one bid the £800 million then targeted.
Virgin Media operates a content segment through its wholly owned subsidiaries Virgin Media Television and Sit-up TV. Overall, the content division generated revenue of £348 million in 2007, posting a pre-tax loss of £6.9 million. In 2006, the division generated revenue of £362 million, posting a pre-tax profit of £7.2 million.
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Court rules against France Telecom on soccerA French commercial court has told France Telecom to stop linking subscriptions to its Orange Foot soccer channel exclusively to its broadband packages.
Rival broadband providers Iliad and Neuf Cegetel had complained to the court that it was unfair for Orange Football to be available only to France Telecom's broadband subscribers. A France Telecom spokesman said the company was studying the court decision.
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Losses grow at Liberty GlobalLiberty Global posted a fourth quarter net loss of $752.6 million compared to a net loss of $197.2 million for the same period last year.
The company’s losses grew despite adding subscribers, increasing revenue and generating more money from operations at its cable systems in 15 countries in Europe, Asia and South America. For the year, it lost $788.9 million versus $422.6 million in 2007.Fourth-quarter revenue was $2.6 billion, up 4 percent from $2.5 billion a year earlier. For the year Liberty Global generated $10.6 billion revenue, up 17 percent from $9 billion a year earlier.
The company added 2.4 million subscribers worldwide in 2008. Nearly 17 million customers subscribe to Liberty Global’s television, voice or Internet services.
The losses climbed as the company increased spending on infrastructure, rolling out very high-speed technology and it says it accelerated some infrastructure investment in the fourth quarter to take advantage of a discount from a vendor.
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Chernin leaves News Corp, Murdoch Jnr in?The departure of News Corporation’s long serving COO Peter Chernin could lead to James Murdoch moving to join his father in the US sooner than many expected.Chernin, who has run New Corp's Fox film and TV studios and broadcasting business for the past 12 years has been the counterweight in the Murdoch family-controlled business empire.
Ever aware of the likely ultimate outcome of succession management at News Corp, the veteran had often quipped that he was "warming a seat for a Murdoch". That Murdoch, after Rupert's elder son Lachlan left News Corp's senior management to return to Australia in 2005, is widely recognised to be James.
For now, when Chernin goes in June, Murdoch Snr will take over his responsibilities.
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TV, Internet and mobile usage keeps increasingThe Nielsen Company has reported that viewing of video on television, Internet and mobile devices continues to increase and has reached new heights. In its fourth quarter "Three Screen Report", Nielsen said that the average American watches more than 151 hours of TV per month, an all-time high. Meanwhile, Americans who watch video over the Internet consume another 3 hours of online video per month and those who use mobile video watch nearly 4 hours per month on mobile phones and other devices.
Nielsen also reported that digital video recorded (DVR) and other time-shifted television is watched at double the pace as video online at 7 hours, 11 minutes per month. Yet in a potential indicator of how audiences could time-shift in the future, young adults (age 18-24) watch video on the Internet and on a DVR at the same rate - about 5 hours per month.
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Web videos boost TV ads
Online video campaigns can extend TV advertising reach by a third, as young adults spend less time watching TV, according to research by Utarget.Fox and MediaCom. Fifty per cent of adults in broadband homes remembered seeing the ads online or on TV, with one in three only recalling the pre-roll ads online.The research included data from BARB showing consumers, aged 18 to 44, with broadband were underexposed to the TV campaign, which only achieved a 40 per cent reach, compared to a 45 per cent reach with those who did not have broadband. The study found 18 to 44-year-olds spend 30 minutes less each day watching television.
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2008 global FTTH shipments riseAccording to market research company Dittberner, annual FTTH shipments were up 71 per cent in 2008. Q4 2008 shipments rose slightly, but still broke 3 million for the first time.
The Japanese market remains the main driver for FTTH, adding a little over 700,000 subscribers in the fourth quarter to close in on 14.5 Million FTTH and FTTB subscribers. The North American, Korean and China markets showed steady growth. Dittberner expects that the FTTH shipment jump in 2008 will be followed by 5 per cent growth in 2009 and then growth will be flat for 2010 and 2011.
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SARFT to complete DTV coverage in 3 years
At the 2009 Broadcast Development Forum, Jiang Wenbo, director of the State Administration of Radio and Television (SARFT)'s Academy of Broadcasting Planning, stated that terrestrial digital television coverage is expected to be extended to 37 cities in China by the end of the year, including all provincial capitals. Within 3 years coverage will be extended nationwide.
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UKTV's Yesterday to launch in MarchUKTV's final factual channel to rebrand as part of its second phase of activity to create a portfolio of multi-platform brands will launch on Monday 2nd March 2009 alongside a new and complementary website.
Currently known as UKTV History, Yesterday will primarily target upmarket 30 plus couples, with the notion that "whilst a few are avid history fans, most enjoy their history in more accessible and entertaining forms." Yesterday will be viewable via Freeview, Sky Digital and Virgin Cable.
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Spirent and IneoQuest join forcesSpirent Communications, a global player in network testing and IneoQuest Technologies, supplier of video quality solutions, have entered into a technology agreement. The companies say this exclusive global partnership will offer the industry's only end-to-end video quality test suite that allows network equipment manufactures (NEMs) to ensure that their solutions provide the highest possible Quality of Experience.
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Tuesday 24th February
Canvas to compensate for Kangaroo?
Green light for TV consolidation in Spain
Bids for Portuguese 5th TV channel rejected
ITV offloading Freeview business?
Major US cablecos want networks online
Positive results for Telenet
FilmOn.tv: goes live
Fox Channels Italy launches FlopTV
Nagravision selected for Tivù Sat
New Chello channels on Digital+ móvil
Viasat F1 for Latvia
Canvas to compensate for Kangaroo?The BBC’s plans to create a "next-generation Freeview" – along with ITV and BT – the so-called Project Canvas – will face regulators’ scrutiny as they seek to establish it isn’t the recently banned Project Kangaroo by another name.
As well as high-definition Freeview broadcasts, Canvas will bring on-demand viewing to the television, via the BBC iPlayer and ITVPlayer which largely run on PCs now. The BBC Trust, the corporation’s governing body, will test whether the venture is in the interest of licence-fee payers and gauge its impact on the market.
Crucially for the regulators, Canvas will be an open platform, to which any other broadcaster or developer could add their content. It is hoped that Channel 4 and Five will also join the service, which is planned to launch in 2010. Any broadband provider will be able to offer a Canvas box on their network.
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Green light for TV consolidation in Spain
From David Del Valle in Madrid
The Spanish Government has paved the way for consolidation in the commercial TV market following its decision to lift the 5 per cent limit in cross-ownerships of TV companies, opening the door to possible mergers between broadcasters at a time when networks are facing a dramatic fall in ad revenues (a 15 per cent fall in the last year) and tougher competition from new DTT channels.
The new rule will now allow two broadcasters to merge on condition that their average share does not exceed 27 per cent of the total share, and there remains at least three different private TV companies with a nationwide coverage and with a different editorial line. In addition, none of the TV companies will be able to operate more than two DTT multiplexes with a national coverage or one with Regional coverage.
Under these conditions a merger between Mediaset-controlled Tele 5 and Antena 3 TV would not be possible as they combined have an average share of more than 32 per cent. But, other merging combinations among the existing six private TV channels (Tele 5, Antena 3, La Sexta, Cuatro, Net TV and Veo TV) are possible. The most likely candidates could be Antena 3 TV and La Sexta as both have been exploring that possibility.
Broadcasters have welcomed the measure on the grounds that it is necessary "to financially strengthen TV companies that are being affected by the advertising downturn ".As for public television, the new law states that national public television will not be able to have more than 25 per cent of the broadcast spectrum, 50 per cent in the case of Regional and Local TV channels.
Concerning non-European partners, the law lays down that those companies that do not belong to the European Union (also including Norway, Island, and Switzerland) will not be able to have more than 50 per cent of shares and will be obliged to meet the reciprocity principle (an investment in Spanish TV companies will follow a similar investment in the investor company in its country). This clause would prevent the Mexican Televisa from taking over La Sexta in which it currently has a 40 per cent stake.
The new legislation also imposes the obligation for the national DTT broadcasters to distribute their content through at least one satellite operator to complete the DTT coverage in those areas where terrestrial distribution is not possible.
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Bids for Portuguese 5th TV channel rejected
From Branislav Pekic in RomePortugal’s broadcasting regulator (ERC) has rejected the only two bids submitted on the tender for the 5th free-to-air terrestrial TV channel.
According to ERC, Zon Multimedia’s bid was rejected due to the lack of technical and human resources, while Telecinco’s bid received the thumbs down due to a lack of economic and financial viability. The two bidders now have ten working days to respond to ERC’s decision, after which will follow another ten working days for a review of the situation. The final decision will be published at the end of March.Zon Multimedia has said it will analyse ERC’s decision in order to provide the necessary clarifications within the set deadline. The operator is also considering the possibility of including an experienced international partner if it gets the licence for the 5th TV channel. For its part Telecinco admits it is surprised with the intention to exclude its bid, adding that they will submit to the ERC all of the elements considered necessary, including information regarding potential investors in the project.
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ITV offloading Freeview business?ITV is reportedly considering selling digital television business SDN as it weighs its options to raise extra funds. The broadcaster's executive chairman, Michael Grade, is finalising plans to raise cash as the group faces a slump in advertising revenues and further pressure from servicing its debt and pension fund. Grade has just over a week before he presents what is expected to be a radical rescue plan to the City as part of ITV's annual results on 4th March.
Selling SDN - which operates the Freeview multiplex that hosts Channel Five's channels, as well as the shopping channel QVC - could raise about £200 million (E226m). Although the business is profitable and brought in revenues of £36 million in 2007, up 44 per cent on 2006, it is not seen as central to ITV's core identity as a producer-broadcaster.
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Major US cablecos want networks onlineComcast and Time Warner Cable are talking with owners of the major cable television channels about ways to give subscribers online access to much of the their programming. Discussions have taken place in recent months and include network owners such as NBC Universal, and cable networks as MTV, TNT.
The operators hope the Web services, which could launch this year, will attract new subscribers despite popular free-to-watch websites such as hulu.com, by offering a large amount of previously unavailable video.
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Positive results for TelenetShares in Belgian cable company Telenet rose 5 per cent high after the group reported 2008 earnings above market expectations and forecasts strong growth in 2009. Telenet ended 2008 with 609,000 digital TV homes, The total number of its cable TV homes, both analogue and digital, hit 2,402,000 thanks in part to the acquisition of the Interkabel networks television business. The group reported revenues of E1018.8 billion, up 9 per cent versus the prior year; and an EBITDA of E505.6 million, up 14 per cent year-on-year.
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FilmOn.tv: goes liveThis week, FilmOn.com, a leading video-on-demand provider, launches www.filmon.tv, a new online video portal. FilmOn.tv. Television channels from across the world will be available live with just a basic Internet broadband connection (1 Megabyte per second) using simple players such as Windows Media Player. Content currently available through the site includes Sky News, the BBC World Service and a host of American TV channels.
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Fox Channels Italy launches FlopTVFox Channels Italy (FCI), the local branch of Fox International Channels, has launched FlopTV, a web TV portal entirely devoted to comedy. Floptv is a creation of FoxFactory (FCI’s business unit dedicated to the development of programmes, new-media productions and branded entertainment) and FCI’s New Media Department.
Floptv’s schedule hosts original and acquired productions as well as user-generated content. In contrast to more traditional television, Floptv programming experiments with fresh formats and production styles, while acting as a springboard for new Italian talent in an evolving media environment.
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Nagravision selected for Tivù Sat
Nagravision will provide the conditional access system (CAS) for Tivù Sat. Tivù Sat is the free-to-air satellite service jointly owned by Italian broadcasters RAI, Mediaset and Telecom Italia Media. Scheduled for market introduction in June of 2009, the free service will be offered to all households unable to receive the digital terrestrial television FTA channels during and after the analogue terrestrial switch off that is planned for completion by the end of 2012.
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New Chello channels on Digital+ móvil
Five Chello Multicanal channels, Odisea, Canal Cocina, Decasa, Historia TM, and BIO TM have been added to "Digital+ móvil", the Spanish mobile TV platform. The five new channels will be simultaneously broadcast live on TV and on mobile phones, thus increasing the platform’s offering to 19 live channels.
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Viasat F1 for LatviaViasat Broadcasting has acquired the exclusive live broadcasting rights to the FIA Formula One World Championship for Latvia for the 2009, 2010 and 2011 seasons. Races will be broadcast live on TV3. The practice and qualification will be broadcast live on the newly launched localised premium pay-TV channel Viasat Sport Baltic. Viasat already held the exclusive rights for Estonia and Lithuania until the end of the 2010 season.
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Monday 23rd February
Microsoft for Kangaroo bounce back?
Ofcom applications for HD capacity
Sogecable, revenues up, subscribers down
Premium programming still ‘value purchase’
80% of broadband users prefer traditional video viewing
Hulu blanks Boxee
India DTH market is bright spot
CCTV plans nationwide Internet TV station
FiOS, U-Verse subs most satisfied
SCTE assessing 3D standardisation
BBC3 chief in at Sky
Anevia and Vianeos bring IPTV to French Stadium
Switch partners with Macquarie
Microsoft for Kangaroo bounce back?Microsoft is reportedly holding talks with the BBC, Channel 4 and ITV to launch an Internet TV service that could see Project Kangaroo resurrected under the MSN brand.
Speaking to Revolution, Ashley Highfield, who was with the BBC and then Kangaroo before becoming Microsoft's UK managing director, confirmed that the computer giant is working on plans for its own VOD offering. "I am in conversation with broadcasters and content providers to see what Microsoft could do by partnering in this area," he said. The planned initiative forms part of Highfield's strategy to reinvent MSN as the web's leading content portal by boosting the amount of audio-visual content across the site. "We need to work with broadcasters as equal partners and make sure they get full accreditation without trying to slap the MSN brand on top and take too much credit."
Highfield believes the Competition Commission's decision to block Project Kangaroo has left the online video market wide open, providing a significant opportunity for Microsoft and he has already met with Project Kangaroo's stakeholders about picking up the pieces. "It would be really bad news for the market if the decision to block Kangaroo were to cause a long-term hiatus and take away the impetus that the iPlayer generated in moving long-form video consumption to the web," he says.
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Ofcom applications for HD capacityOfcom has received two applications from the PSBs who are eligible to apply for capacity sufficient for a fourth High Definition service on Multiplex B. The applicants are Five and a joint bid from Channel 4 and Welsh-language broadcaster S4C. Ofcom is now considering both applications and expects to publish its decision in April 2009.
Channel 4 and S4C have applied to launch a new Freeview offering that would include a HD video on demand service. The service would push programming from around the world to hard disks inside set top boxes during the early hours of the morning. But it’s just one part of a three-pronged application to occupy capacity on the so-called Multiplex B radio spectrum that’s due to be reorganised.
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Sogecable, revenues up, subscribers down
From David Del Valle in Madrid
Spain's largest pay-TV group, Sogecable, hit a record E1.87 billion in revenues for 2008, but failed to stop the fall in subscribers as the company lost 30,000 pay-TV clients in its up-for-sale digital DTH platform Digital Plus on the year.
Sogecable's free-to-air channel Cuatro increased by 13.7 per cent its ad revenue to E292 million and achieved a 8.6 per cent audience rating three years after its launch. Its pay-TV platform, Digital Plus, with more than 2 million subscribers, saw its ad sales fall by 8.1 per cent to E26.2 million.
At Digital+, subscription revenues increased by 0.8 per cent for Q4 2008 as overall subscriber numbers fell by 26,000 on the quarter and 30,000 on the year. Increased average revenue per user of E44.5 per month however, up from E41.7 in Q4 2007, helped take Q4 subs revenues to a record E1.14 billion
In January, talks over the E2.5 billion sale of the business were put on hold after Telefonica and Vivendi refused to move beyond E2 billion.
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Premium programming still ‘value purchase’Nearly 40 per cent of US internet-enabled households subscribe to premium entertainment services that offer DVD delivery, music downloads or video games on demand, according to a report released Wednesday by market research firm The NPD Group.
The reason, according to NPD, is that consumers today are looking for value. "For just a few dollars a month consumers can get a vastly expanded library of movies, music or gaming options," Crupnick said, "and that represents real value, especially as many consumers are economising by spending more time at home."
he firm found that 18 per cent of web households subscribe to a DVD delivery service like Netflix, while six per cent subscribe to an online music service like Rhapsody or eMusic. Satellite radio claims 12 per cent of such households, while premium gaming offerings like Xbox Live attract 12 per cent as well.
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80% of broadband users prefer traditional video viewing
Broadband has transformed video viewing habits in Western Europe, where over 20 per cent of broadband households have watched a film or TV programme online in the past six months, according to international research firm Parks Associates, whose The Impact of Online Video in Europe , addresses these changes in viewing habits.
European consumers are adopting online viewing habits with some reluctance, however. The white paper reports that for all the countries surveyed, the UK, Germany, Spain, Italy, and France, over 80 per cent of broadband households prefer a more traditional option for viewing video, including going to the cinema or watching a DVD. Many consumers are watching video online only because of the availability of free content, both legitimate and illegitimate.
"It will be difficult for companies to sell video streams and downloads to consumers in Europe when there is this undercurrent of reluctance," said John Barrett, director, research, Parks Associates. "Even if all piracy issues are resolved, the realities of consumer preferences could still undermine the service plans of content providers, if they don't understand their customers."
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Hulu blanks BoxeeHulu is bowing to the demands of its content masters and has asked to be removed from Boxee’s media centre platform. Boxee had no formal relationship with Hulu and was just gaining some traction with users. Up to this point, Boxee had provided access to Hulu, Netflix, ABC, CBS, MTV and more for free.
Hulu CEO Jason Kilar explained in a blog post: "Our content providers requested that we turn off access to our content via the Boxee product, and we are respecting their wishes. While we stubbornly believe in this brave new world of media convergence — bumps and all — we are also steadfast in our belief that the best way to achieve our ambitious, never-ending mission of making media easier for users is to work hand in hand with content owners. Without their content, none of what Hulu does would be possible, including providing you content via Hulu.com and our many distribution partner websites."
Boxee blogs: "two weeks ago Hulu called and told us their content partners were asking them to remove Hulu from boxee. we tried (many times) to plead the case for keeping Hulu on boxee, but on Friday of this week, in good faith, we will be removing it."
Hulu’s move and earlier actions from Apple (AAPL) to prevent Boxee from running on an Apple TV highlight how Boxee is not entirely in control of its destiny. The company received $4 million in VC funding from Union Square Ventures and Spark Capital last year.
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India DTH market is bright spot
The worldwide market for pay-Direct-to-Home (DTH) satellite television rose significantly in 2008, with an estimated 18 percent rise in subscriptions, reports In-Stat. The primary reason for this increase was strong growth in the Indian market, which more than doubled to about 9 million subscribers at the end of 2008, the high-tech market research firm says.
"India now has five pay DTH satellite providers with a sixth expected to enter the market early in 2009," says Mike Paxton, In-Stat analyst.
In-Stat research also found: There will be nearly 200 million DTH pay-TV subscribers worldwide by 2012. Worldwide revenues will eclipse $142.7 billion by 2011. Eastern Europe had the strongest regional subscriber growth rate in 2008, with an increase of 63.5 per cent over 2007.
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CCTV plans nationwide Internet TV stationAccording to China's State Administration of Radio Film and Television, the official website of China Central Television CCTV.com will soon open a nationwide Internet TV station.
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FiOS, U-Verse subs most satisfiedDespite their relatively short market history, Telco IPTV providers are well-positioned, and lead in customer satisfaction and brand loyalty, according to a survey just published by analyst firm Strategy Analytics. Over 80 per cent of Verizon FiOS and AT&T U-Verse television customers reported to be "very" or "extremely" satisfied with their provider. Cable customers, on the other hand, had the lowest satisfaction levels, with Time Warner Cable subscribers the most likely to churn if offered a compelling price discount.
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SCTE assessing 3D standardisationThe Society of Cable Telecommunications Engineers (SCTE) has confirmed that its American National Standards Institute (ANSI)-accredited SCTE Standards Program has begun to investigate the standardisation required for the carriage of next generation 3D content on cable networks.
The SCTE Engineering Committee, which oversees the Society’s development of technical standards covering all aspects of cable networks, has approved a project to examine the delivery of 3D content over cable networks. The new project, ‘3D over Cable’, will focus on identifying necessary or desirable changes to existing SCTE standards, including transport protocols, to facilitate the provision of 3D content by cable operators.
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BBC3 chief in at SkyFormer BBC3 controller Stuart Murphy has been appointed as the director of programmes at Sky1. Murphy, who is currently creative director at independent production house Twofour, maker of Sky1's Noel's HQ, will replace Richard Woolfe, who is moving to head Channel Five.
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Anevia and Vianeos bring IPTV to French StadiumAnevia, a video service infrastructure provider, and Vianeos an IPTV middleware provider, have confirmed the deployment of their IPTV solution at French Grenoble "Stade des Alpes" stadium.
Vincent Meddour, Anevia Sales Manager comments: "Grenoble stadium is one of the first sport players to innovate with a new technology. IPTV perfectly suits professional sport values: strong emotion with HD, universality with user friendly management and performance with quick evolution to new services like nPVR or Catch up TV."
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Switch partners with MacquarieIPTV player Switch Media is preparing for wide growth in the Asia-Pacific region of video-based traffic and has selected Macquarie Telecom’s hosting arm to provide a data hosting solution for Switch’s video-on-demand and video content management applications.
Switch Media said the partnership fits with plans to grow services in the Australian and Asia-Pacific markets and capitalise on increased take-up of internet TV services. Switch Media’s current clients include Fairfax Media, the ABC and the Australian Government.
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