August/September 2018 Accenture: a four-point plan for media Gavin Mann on how established players will survive and prosper ACCENTURE SPECIAL PROMOTION pOFC DTVE AugSep18.indd 1 31/08/2018 15:53 pXX CSG DTVE AugSep18.indd 1 29/08/2018 10:43 Digital TV Europe August/September 2018 Contents 12 12. Broadcasting in the age of AI Artificial intelligence is already having a profound effect on the media and TV space, but what applications hold most promise and what challenges need to be overcome? Andy McDonald reports. 20. The age of Android From being an also-ran in the TV operating system space, Google’s Android TV now could be 20 set to sweep all before it, following the introduction of the service provider-friendly Operator Tier. Stuart Thomson reports. 28. Advances in advertising As consumers fragment across platforms, how can advertisers be sure of the value of their investment? Adrian Pennington reports. 28 32. Accenture: a four-point plan for media Media and entertainment businesses face an unprecedented array of challenges as big tech companies move into content creation and distribution. To survive and prosper, established players need to guard their core business while forging a path to unlock new revenue streams through innovation, says Accenture’s Gavin Mann in this sponsored feature. 36 36 Experience counts Keeping audiences engaged is key to any successful video service, but how are traditional content providers adapting to today’s content market? Anna Tobin reports. 44 44. IBC 2018: the preview This year’s IBC exhibition will take place at Amsterdam’s RAI from September 15-19.Digital TV Europe takes a look at some of this year’s technologies. Regulars 2 This month 4 News digest 42 Viewpoint 50 Technology 54 People 56 Final analysis Visit us at www.digitaltveurope.com 1 p01 Contents DTVE AugSep18v3am.indd 1 04/09/2018 20:12 This month > Editor’s note Digital TV Europe August/September 2018 Issue no 340 The data issue Published By: KNect365 TMT Maple House data is the thread that runs through this issue of Digital TV 149 Tottenham Court Road Europe. The control of data, its use to deliver new consumer London W1T 7AD Big experiences, and its role as fuel for the global ambitions of big tech organ- Tel: +44 (0) 20 7017 5000 isations, are key to the future of the media business. Fax: +44 (0) 20 7017 4953 In this issue of the magazine we look at four topics in which data plays Website: www.digitaltveurope.net a starring role. The first is the growing importance of artificial intelligence in media. Editor Stuart Thomson The application of AI is seen to have the potential to revolutionise the Tel: +44 (0) 20 7017 5314 video distribution business, but what does the application of AI mean in Email: [email protected] practice? We look at the potential of AI to make TV more highly person- alised than ever before through applications such as facial recognition, voice-control and the analysis of emotions. Contributing Editor Andy McDonald Control of data is at the core of Google’s business of delivering services to consumers global- Tel: +44 (0) 20 7017 5293 ly, including video services through the Google Play store. Google has long coveted a stronger Email: [email protected] position in the TV space, not only as a service enabler, but also as a technology provider through its Android TV platform, and has made a number of attempts to persuade TV operators of the advantages of its technology. Those operators have in the past been reluctant to team up Contributors with Google because they fear, among other things, loss of control of their consumer data and Kate Bulkley, Kaltrina Bylykbashi, Andy Fry, dilution of their brand. Over the last year or so, however, the introduction of the Android TV Adrian Pennington, Adam Thomas, Operator Tier has transformed Google’s fortunes in the TV business. In this issue, we look at Anna Tobin the advantages offered by this platform for service providers. Data is of course most crucial to Google’s core advertising business. Commercial broadcast- Correspondents ers have seen their advertising revenues come under threat from a variety of directions, includ- France: Julien Alliot; Germany: Dieter ing the growing appeal of online content. In order to secure their future, they urgently need to Brockmeyer; Italy: Branislav Pekic make more money from their online activity as well as from legacy broadcast operations. This means accurate audience data. In this issue, we look at initiatives to provide better audience measurement across digital platforms and some of the challenges faced by broadcasters in this Commercial Director Patricia Arescy space. Tel: +44 (0) 20 7017 5320 Data is also at the heart of delivering a personalised user experience to TV consumers that Email: [email protected] matches what they have come to expect from online platforms such as Netflix. In this issue of Digital TV Europe, we also look at the ways in which TV operators are trying to deliver a user experience that serves as a differentiator and provides something that can compete with OTT Art Director Matthew Humberstone providers. Finally in this issue, we take our customary annual look at some of the technologies that will Marketing Executive Abigail Dede be on show at the forthcoming IBC in Amsterdam, as well as providing our usual round-up of industry news and technology developments. l Printing Wyndeham Grange, West Sussex To subscribe to this magazine or our daily email newsletter please visit digitaltveurope.net/registerhere © 2018 Informa UK Ltd All rights reserved Stuart Thomson, Editor Reproduction without permission is prohibited [email protected] Visit us at www.digitaltveurope.com 2 p02 Ed Note DTVE AugSep18v3am.indd 2 04/09/2018 20:04 Q&A: Steve Oetegenn, Verimatrix Steve Oetegenn, President, talks about the benets of cloud technology and a connected content distribution platform for content providers and operators. To what extent is the potential of the cloud to make content creation and • Offers improved distribution efficiency by encrypting content just distribution more ecient still untapped? once with decryption keys and playback policies distributed separately The cloud helps deliver a radically new economic model for the and securely via Verimatrix RightsConnex for final end-device playout. infrastructure itself, reducing upfront hardware and software investments. On the hardware side, operators can convert up front capital costs into • Provides higher visibility into the process on a level not available more ecient operating costs. The software-as-a-service (SaaS) model before through automated viewership reporting and QoE analytics exploits similar factors to cut costs by converting licenses to ongoing service based on the functionality available from Verspective Analytics. agreements in which operators only pay for what they use. But the largest untapped eciencies come from the fact that the • Eliminates revenue leaks from premium content and provides anti- infrastructure is virtualised so that functionality is dissociated from location, piracy protection from a trusted Verimatrix security envelope around which opens up the ecosystem to new operational benets not previously the entire platform. possible. Third-party ecosystems can be connected or accessed very easily just by relocating content using pointers. By eciently and securely connecting a centralised content library to a network of global video service operators, Viewthority ultimately creates To what extent are the interests of content providers and service a collaborative and transparent environment that opens up new markets, operators aligned in relation to the use of cloud technology to make their new viewers, and new revenue streams. businesses more ecient? They both share a need to streamline and secure distribution of their How central is data and analytics to the vision of a connected platform video assets. While content providers wish to broaden and accelerate the and what benets can this deliver to participants? monetisation of assets, they need new tools to ensure content security, The ability to have unprecedented access to real-time data and analytics enforce distribution windows and downstream playback policies, and obtain is a major advantage of integrating content distribution functionality usage reporting. Video service operators, on the other hand, desire easier and into a single platform. Granular content usage, royalty reports and faster access to compelling content, combined with a reduction in cost and consumption analytics data, delivered on a timely basis, not only increases distribution complexity from the point of origination to the viewers. contract compliance eciency, but also provides viewer insights, which By centralising the content and security workows via a common cloud enable content and services to become more compelling and engaging platform with a single point of integration, both content providers and over time. video service operators gain signicant distribution eciencies through As the content industry expands and fragments, it becomes harder reduced and streamlined workow processes. to conduct trade in the traditional way involving direct negotiation over rights, bitrates and formats. This new approach, armed with timely and What might a connected content distribution platform look like in streamlined reporting, provides an automated platform where content practice and what additional benets would it bring to content providers discovery and negotiation, as well