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Media Partners Asia India: Sunil Joshi, Regional Account Director, [email protected] Korea: Jee-Yeon Kim, Manager, Affiliate & TV Sales, [email protected]

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Media Partners Asia India: Sunil Joshi, Regional Account Director, Sunil.Joshi@Bbc.Com Korea: Jee-Yeon Kim, Manager, Affiliate & TV Sales, Jee-Yeon.Kim@Bbc.Com Q4/2014 THE ART OF MORE TV (& Consumers) Everywhere Plus Netflix In Japanese Thailand Asian Equities Australia Online Video Pay-TV Content Uptick Advertising Multichannel Mobile Regional Southeast Trends Networks Fashion Leaders Asia Stocks mediabusinessasia.com BBC AD THE WORLD’S STORYTELLER DISTRIBUTION South East Asia: Monty Ghai, Senior Vice President & General Manager, SEA, [email protected] Greater China: Otto Leong, Director, Distribution & Development, [email protected] India: Sunil Joshi, Regional Account Director, [email protected] Korea: Jee-Yeon Kim, Manager, Affiliate & TV Sales, [email protected] ADVERTISING SALES: Sunita2 Rajan, EVP Asia & Australasia, [email protected] MediaBusiness Asia Q4/2014 TradeAds-MediaBisAsiaQ4-2014 FA.indd 1 23/10/14 5:18 pm Q4/2014 4 PAGE FOUR Australian Test For Netflix 6 - 10 ROUND UP 14 COVER STORY A Complex Growth Equation MIB Minister Lifts Morale TV companies in India and Southeast Asia are looking for more ways to add value for existing audiences, Live Sports On Betting Sites while trying to broaden their reach at the same time. Ultra HD’s Clearer Picture Scripps’ Asian Goal Discovery India Goes Solo CULTURE BOX Mobile Chic & Shock Sony’s Entertainment Targets 22 MULTI-CHANNEL NETWORKS An Accelerator For Online Video A fast-growing new sector is Asia Smartphone Use On Top following its own trajectory in Asia. Reuters’ Hybrid News Model 27 ADVERTISING TRENDS Structural Reform KT SkyLife Seeks Revival Pace set by government policy 31 MEDIA MARKETS 12 ASIA BITES Ending On A High $ % THE WORLD’S STORYTELLER A positive outcome for equities SVOD Rivalry In Japan DISTRIBUTION 34 SNAPSHOT South East Asia: Monty Ghai, Senior Vice President & General Manager, SEA, [email protected] Vivek Couto Greater China: Otto Leong, Director, Distribution & Development, [email protected] Market Test For TrueVisions Media Partners Asia India: Sunil Joshi, Regional Account Director, [email protected] Korea: Jee-Yeon Kim, Manager, Affiliate & TV Sales, [email protected] ADVERTISING SALES: Sunita Rajan, EVP Asia & Australasia, [email protected] MediaBusiness Asia Q4/2014 3 TradeAds-MediaBisAsiaQ4-2014 FA.indd 1 23/10/14 5:18 pm Page Four OTT Sprouts In Australia he biggest rival Netflix faces when it launches in Australia and New T Zealand in March next year could be Netflix itself. The SVOD giant already has an estimated ~200,000 customers in Australia, plus up to 35,000 more in New Zealand – all paying subscribers to its domestic service in the US, masking their country of origin with workarounds such as virtual private networks (VPNs). The local leader in both markets is Quickflix, a local DVD rental and video streaming service. Netflix’s footprint already eclipses the incumbent however, without lifting a finger. The main challenge for Netflix could be persuading current customers to switch, especially for the first year or two of a local alternative. Initially program choice will be more limited than the US service, with no mention of its signature original shows such as Orange Is The New Black, which it has sold to a pay-TV platform, Foxtel, in Australia and to a free-to-air broadcaster, TVNZ, in New Zealand. Choice should expand over time. Netflix already eclipses the incumbent, without lifting a finger Broader competition is firming up too. In Australia, Foxtel is planning to www.mediabusinessasia.com bolster its paid online movie offering Presto with TV shows, after halving the EDITOR price of a subscription in August, five months after launch. Meanwhile, free Mike Savage TV network Nine has teamed up with newspaper publisher Fairfax to create VIDEO EDITOR a US$85 million SVOD JV called Stan, likely anchored around non-exclusive Jean Cao back-catalog programming. Australia’s other two major free-to-air networks, REPORTER Seven and Ten, are also eying entry into the market. Synjini Nandi In New Zealand, incumbent pay-TV VP, BUSINESS DEVELOPMENT operator Sky is readying its own paid online Reagan Chan service, Neon, for launch in December, while CLIENT SERVICES MANAGER leading telco Spark pushed out its own offering, Lavina Bhojwani Lightbox, in August. CIRCULATION MANAGER There is room to grow, especially by nibbling Atikah Shaftee into a contracting but still sizable DVD market. BUSINESS SUPPORT Both sales and rentals have fallen in other Myrna Dignadice markets, once SVOD services take hold, but data caps, common in Australia, and broadband CREATIVE DIRECTOR Frances H.Y. Chan connectivity barriers can slow uptake. So far, the only countries in APAC to generate EXECUTIVE DIRECTORS Rupert Wilkinson significant SVOD revenues are China and Japan. Vivek Couto If all goes well, Australia should be next. MAB Mike Savage Editor, Media Business Asia Media Business Asia magazine is published quarterly by Media Partners Asia Limited, © 2014 All Rights Reserved. www.media-partners-asia.com HONG KONG Suite 13A, 50 Stanley Street, Central. Tel: +852 2815 8710 SINGAPORE Level 28, 8 Cross Street, Singapore 048424. Tel: +65 6850 7623 INDIA The Hub, One Indiabulls Centre, Tower 2A, 10/F, Senapati Bapat Marg. Elphinstone Road, Mumbai-400013 Tel: +91 22 6189 9806 EDITORIAL Press releases, comments, feedback - mike@ media-partners-asia.com BUSINESS Advertising, conferences, consultancy - [email protected] SUBSCRIPTIONS New, change of address, renewal - [email protected] INFORMATION - [email protected] Printed by Jet Set Graphic Arts Co., Ltd., Unit A, 15/F, Heung Wah Industrial Building, No 12 Wong Chuk Hang Road, Wong Chuk Hang, Hong Kong 4 MediaBusiness Asia Q4/2014 Page Four MediaBusiness Asia Q4/2014 5 banshee_S3_trade.indd 1 20/11/14 2:17 pm Round Up INDIA New Minister At MIB Lifts Morale Jaitley understands TV’s economic potential Arun Jaitley’s appointment as the new minister of Information and Broadcasting (MIB) has kindled optimism that India’s digitalization timetable – recently pushed back a year, stoking fears of lost momentum – can get back on track. Jaitley publicly championed TV digitalization within days of taking the MIB brief, articulating its economic benefits as well as its potential to drive change, across TV as well as the online landscape by delivering broadband to millions of cable homes. Jaitley also oversees two major portfolios, finance and corporate affairs, adding responsibility for the MIB in November. Broader economic and fiscal challenges will keep Jaitley busy, but his prior knowledge of the broadcast business (he also served a short stint in the MIB 15 years ago), combined with pro-business leanings, has garnered industry support. ONLINE VIDEO TELEVISION Betting Sites Up Their Game A Clearer Picture For Ultra HD Live streams could pose a challenge to TV Optimism, despite slow rollout of traditional HD Selling OTT rights to Commercial services for ultra HD (otherwise known gambling sites has become a as 4K) are nascent worldwide. In the US, Comcast and major source of revenue for DirecTV are planning on-demand offerings for 2015, sports federations. For some joining existing services from KT SkyLife in Korea and tennis events, such as the ATP NTT Plala and Sky Perfect in Japan. World Tour 250 Series or the Momentum should build in the next few years, WTA Tour, betting income with more ultra HD channels rolling out in Korea and now rivals TV income. Japan. Activity will focus on East Asia, as well as North Where available, deals America and Western Europe. with online bookmakers can The rollout of ultra HD’s help under-exposed sports tap funding and broaden predecessor, traditional HD, exposure. In Australia for example, the National turned out to be slower than RBasketball League, which only has two games shown promised, held up by multiple on TV, monetizes online distribution through pay-per- standards and definitions view and gambling sites. The quality of these online that confused consumers and broadcasts is limited to prevent cannibalization, while operators alike. bookmakers restrict live streams to people who have Advocates for 4K are signed up and deposited money on their sites. hopeful these lessons have Traction for improved online alternatives could been learned. The industry has already agreed a lower the value of properties acquired by broadcasters common definition for core 4K resolution, and is now however, impacting future rights negotiations. working on specific standards around sound and color. 6 MediaBusiness Asia Q4/2014 Round Up Cisco Videoscape: Connecting Experiences Your Way Your video experiences: personalized, synchronized, delivered to any screen. Cisco Videoscape empowers service providers and media companies in all markets. It makes sure they can create and connect new synchronized, personalized,CISCOand intuitive multiscreen experiences—at the speed of now. AD To learn more about Cisco Videoscape, visit cisco.com/go/videoscape. MediaBusiness Asia Q4/2014 7 Round Up LIFESTYLE PAY-TV The Scripps Journey & Ultimate Goal Discovery India Goes Its Own Way A future driven by both US and local content Company gears up for a new growth phase Home and lifestyle channel HGTV, a high-rating pay- Discovery has parted ways TV offering in the US, has made its international debut with Multi Screen Media outside North America, landing on StarHub in Singapore (MSM), ending a 12-year ahead of a planned regional rollout. channel distribution JV that It’s a key step for the united Discovery’s channels channel’s owner, lifestyle TV with MSM’s broad portfolio of specialist Scripps Networks Sony India offerings, including Interactive, which wants to Hindi entertainment and achieve leadership in Asia sports. The JV was created across three categories: food, for distribution across a home and travel. HGTV historically fragmented and analog pay-TV marketplace. represents the final piece of Under South Asia head Rahul Johri (pictured), the the jigsaw for Scripps, which opportunity in India, Discovery’s highest growth market already runs Asian Food across Asia, is about capturing a stronger share of wallet Channel, Food Network and Travel Channel in Asia, in in an emerging digital TV landscape.
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