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NEWS:
Mobile TV users
grow despite
lack of proven
business model
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EVEN
though the number of mobile TV users is on a continued
upward trajectory, there is no proven business model
so far says market research and consultancy InfoCom.
In InfoCom's latest study, Japan, South Korea and Italy
are the leading markets for broadcast-based mobile TV
services but mobile TV subscriber growth in these markets
is driven mainly by free or partly-free access and rather
large handset availability. The report suggests that
ad-based free-to-air services are dominant in Japan
and South Korea whereas most of all other markets are
dominated by subscription based services, which range
from €1.00 to €17.00 a month (for as low as
2 and as high as 60 TV channels); though, in these markets,
the subscriber base is not taking up. The report also
recognises that third-party service providers ceased
commercial operations in Japan and Germany mainly due
to a non-cooperative attitude of the local mobile operators
as well as a rather limited choice of both channels
and handsets. InfoCom believes that the he on-going
battle on standards, namely streaming over 3G against
broadcasting, is actually leading to market dissemination.
Currently, even though most mobile TV offers in Western
Europe are streamed over 3G, InfoCom says that it has
identified a certain shift towards broadcast standards,
especially DVB-H against others, such as 1-Seg, MediaFLO,
T-DMB or S-DMB. It added that it though the current
market for "made-for-mobile" content (such
as mobisodes for TV shows) was rather small.
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HARMONIC
TICKS ALL BOXES |
| If
there were any dominant themes at his years
IBC, then undoubtedly they included a multi-platform
strategy and specifically an iPhone solution.
Quite a few companies could tick one of
the boxes: Harmonic would claim to be at
the forefront of both. |
It
was at IBC 2008 that Harmonic first announced
its entry into the world of mobile video (NB
not TV) and promised to set the pace. A year
later it can well be argued that Harmonic is
as good as its word. Looking back to September
2008, Harmonic was of the opinion even then
that the ability to deliver any video content
to any device, in real time or on demand, had
become in a short space of time a critical requirement
for video service providers to remain competitive.
In addition to delivering a high quality
Internet video experience on the PC, we believe
that the ability to bring Internet content to
the TV and deliver high quality mobile video
are important value-add services for our customers,'
said Thierry Fautier, Harmonics Director
of Telco Solutions. Fast-forward twelve months
and Harmonic revealed further plans as to how
it can support its customers' efforts to take
advantage of the mobile element of a multi-platform
media offering. This included new products and
new strategies which maybe just as important.
In product terms, the company announced enhancements
to its MediaPrism software suite for multi-screen
video delivery. Deployed in mobile video service
trials with multiple operators, MediaPrism is
claimed to encompass a wider range of functionality
than other multi-screen solutions for the management
and delivery of video to PCs and mobile smartphones.
It included MediaPrism Workflow Manager, which
is designed to control content as it is ingested,
transformed, cached and streamed out to a variety
of receiving devices. Importantly, or even crucially,
the solution includes an iPhone3.0-compatible
video/ad server that supports HTTP streaming,
format conversion, and targeted ad insertion
for multi-screen applications.
MediaPrism
The MediaPrism convergence suite i designed
to leverage service providers existing
infrastructure while enabling new mobile and
Internet video services that offer an anytime,
anywhere user experience and bring incremental
revenue potential to the operator, explained
Fautier at IBC 2009. All elements of the
MediaPrism suite [are designed to provide] a
complete solution that is easy to deploy and
delivers a high quality video service to numerous
devices, including the iPhone, smartphones,
PCs, cable/IPTV set-top boxes and other IP-enabled
devices. But there was a lot more than
just products on Fautiers mind. In an
address to those interested in mobile video
at an IBC Business briefing, he outlined what
he felt would be the winning strategies, that
is to say successful business models, for mobile
video which he defined as the extension of IPTV
to an Internet connected device in any location.
Even though he believed that modern lifestyles
and consumer uptake of the iPhone and similar
mobile devices for multimedia usage had created
demand for video content in all types of formats,
Fautier stated clearly that networks supporting
live streamed mobile TV created high elements
of infrastructure cost for operators. In fact,
he said, it had become clear that streaming
conventional broadcast television to mobile
devices was actually a sub-optimal business
model. There was no getting away from this.
Furthermore the industry had to accept that
having a pay element for end users would ultimately
result in low penetration. Fautier argued that
content could be delivered on demand and augmented
by a wide range of other popular video then
this convenience and choice produces true value
for the consumer. What he foresaw as the optimum
and most cost-effective strategy for IPTV operators,
if not telcos, was a model based on the ability
for users to side-load content in a near DVR
manner using Wi-Fi networks.
Content
on demand
Such a catch up Wi-Fi mobile video optionNB
that both the iPhone and iPod Touch have this
built-inmeans that operators can leverage
their IPTV investment widely and cost-effectively
to a very broad range of mobile devices. And
the user doesnt have to depend on costly
and possibly over-stretched 3G networks. In
other words they can develop a multi screen
service including all the content protection,
automation of content delivery and network quality
of service (QoS) you get with IPTV networks
that Harmonic has managed over a number of years.
Essentially, said Fautier, the operators get
to open revenue streams with a unique selling
point: your content, where you want, when you
want. In a candid briefing with C2M, the Director
of Telco Solutions was clear as to what had
to be done. When looking at streaming,
we can do much better with time shifting,
Fautier told C2M. Lets not fool
ourselves; we cant fix the network if
we dont have intelligent devices. There
have missteps: the technology and thinking was
not right before. The iPhone [offers a] way
to create an ecosystem, and about time.
But he added that the near future would also
see Google, Microsoft and Nokia as key players
in a smartphone market that could likely comprise
over 600 million devices by 2012. And this would
be a market that in his opinion the arrival
of 4G networks would not radically alter.
Leading
the revolution
Harmonic would be at the vanguard of the revolution,
asserted Fautier. The next twelve months would
see tangible proof of the companies mobile
video ambition of being the leading provider
of true multi-platform video delivery platforms
including transcoding, management, delivery
and distribution. Harmonic would, he predicted,
by IBC 2010 have announced formal partnershipsinevitably
with companies in the DRM, middleware and content
delivery network marketsand would have
built up a viable multi-platform ecosystem.
Now that would indeed be setting the pace.
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