SES’s growth accelerators: Media Solutions
Wilfried Urner, CEO of SES Platform Services & MSC Leader for Video
Investor Day 2016 How services are complementing our satellite infrastructure
1985
SES incorporation Liberalisation of broadcast environment Europe’s first private SPS acquisition satellite operator
Back-end services Analogue to digital provision in Europe switch-over
2004 Launch of HD+ bouquet RR Media acquisition Consumer experience Back-end capabilities Moving to better improvement in Germany development and quality (SD to HD) geographical expansion
2009
Moving to holistic and hybrid solutions 2016 Replication in other key video markets 2014
Smartcast acquisition Back-end capabilities geographical expansion
Investor Day 2016 91 Providing comprehensive end-to-end media capabilities
SES offers a full range of conventional and online video services to clients
Infrastructure Experience Content Production Back-end Provider Consumption Provider Provider
Content Broadcast Online Video Satellite DTH Pay TV Appliances ingestion platforms Platforms distribution (CPEs) Free-To-View backend support Content post- Content Satellite DTC Operators Apps and production Contribution OVP syndication contribution connectivity
Content Remote/smart Teleport services OTT and smart Management playout TVs
Playout
Live Sport
Mainly regional
Global
Investor Day 2016 92 Globalising SES’s media services and solutions
97% of SES PS revenue from Europe; ~⅔ of RR Media revenue outside of Europe Providing global back-end services, based on local capabilities and innovative virtual solutions
16 Offices
Over 900 media customers globally
Over 1,000 TV channels distributed
Over 440 TV channels played out
Over 120 syndicated VoD platforms
Investor Day 2016 93 Solid differentiation potential from other industry players
SES best positioned to fulfil requirements for comprehensive media service delivery
Satellite Media solution operators providers (A) Distribution Infrastructure Satellite capacity [ owned] [ leased] [ own] Online distribution capabilities [ leased] [ leased]
(B) Service Capability Pure system capabilities [partly] Pure service platform capabilities Full operational services [limited]
(C) Media Service Scope Conventional Video Services Online Video Services
(D) Coverage Regional Scope Depending Depending Global Scope on provider on provider
Investor Day 2016 94 Media toolbox
Media Toolbox offers User Experience a wide range of developed components and workflows for
▲ DTH / DTC
▲ Multiscreen (Sat>IP)
▲ Online Video
Experience of SES industry experts ensures to deliver cutting-edge technology for your content business to realise the best user experience
Media toolbox is a one-stop-shop for DTH and OTT distribution
Investor Day 2016 95 Providing a turnkey solution is the best way to approach SES’s existing and new customers
Back-end services Platform implementation
• SOLID satellite services
• LUCID OTT distribution • HD+
• FLUID content management • West-Africa Platform
• Home:TV Features
• UHD North America Platform • Linear, catch-up, VoD, PVR
• SD, HD, UHD
• SAT>IP
Investor Day 2016 96 Case study: shaping the video market in West Africa
Task Benefit ▲ Foster the satellite neighbourhood with ▲ Professional one-service approach for highly professional ground services: prospects in the region, allowing African local and national TV broadcasters to concentrate • Classic TV broadcasting on content, whilst relying on the professional • Promoting national analogue to digital transitions services of SES at adequate price levels
Implementation ▲ Infrastructural set-up of high-end technical equipment directly in the region ▲ Teaming with proven local and national ground services partners SES reaches ~4 million TV • In Lagos/Nigeria: Computer Warehouse Group households in Nigeria and Ghana • In Accra/Ghana: partnership with K-NET (with a ~300 thousand annual growth in Ghana since the launch of the platform in 2009) ▲ Imposing similar quality levels as in other SES regions SES distributes ~50 channels
Investor Day 2016 97 Case study: complementing satellite with terrestrial
▲ Creating a pan-European TV Broadcast and VoD platform for expatriates in Europe
▲ Providing turnkey solution and allowing HOME:TV to concentrate on its core business
Content Program / Delivery via Processing & Playout / CAS / Marketing & Billing sourcing packaging satellite DRM CDN Sales
1 HOME:TV established relationships to content partners worldwide (with the active support of SES)
2 Putting together attractive packages that match the end customers’ demand is a key competence of HOME:TV
3 Feeding, encryption, multiplexing, up-link and downlink of the TV signal provided by SES
4-5 Playout, Set-Top Boxes, Smartcard Handling, Conditional Access System, App development, DRM, CDN by SES
6 Execute rollout, build the brand and acquire new subscribers by HOME:TV
7 Customer Relationship Management (CRM) and Subscriber Management System (SMS), lettershop, billing by SES
Investor Day 2016 98 Growth potential on all parts of the value chain
▲ SES’s world-leading media services provider well placed as a key growth accelerator
Next generation back-end Infrastructure provision Traditional Back-end provision provision Satellite capacity revenue Playout, MAM and teleport OVP and ancillary services revenue USD billion(1) USD billion(1) USD billion(1) 9.6 17.5 8.3 6.9 6.3
9.6
2015 2020 2015 2020 2015 2020
1) Source: NSR
Investor Day 2016 99