The Need for Speed New Developments in Broadband Cable Technology

June/July 2018

The need for speed New developments in broadband cable technology

p DTVE JunJul18.indd 1 01/06/2018 19:06 Complete STB Software Solutions Software Components Teatro-2.0 - Zapper Comedia TV and STB middleware (ARIB, ATSC, DVB, ISDB) Teatro-3.0 - Linux STB Teatro TV Browser (HbbTV) Teatro-3.5 - Android TV STB Teatro CI Host Software (HbbTV) Teatro TR-069 Client Teatro ABR Client Software (HLS, DASH)

ANDROID4TV Broadcast and multicast Pay TV extension to Android TV

Associated software services Pre-integration with value-added services Integration, maintenance, LCM, QA, etc. Voice control, home automation, IoT, targeted advertising, etc.

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pXX iWedia DTVE JunJul18.indd 1 29/05/2018 17:53 Digital TV Europe June/July 2018 Contents

June/July 2018

12. Speed kills

With high-speed broadband increasingly seen as the key competitive battleground for fixed-line service providers, cable operators are constantly looking to stay ahead of their rivals by investing The need for speed New developments in broadband cable technology in new technology, but they also need to prioritise investment to match what their customers

want. Stuart Thomson investigates. p DTVE JunJul18.indd 1 01/06/2018 19:06

18. The VR hotlist

The entertainment world is increasingly adapting to the possibilities of virtual reality, experimenting with a format that stretches far beyond the realms of television. Andy McDonald speaks to some of the leading lights in this nascent but quickly evolving market. 18

22 Smart moves

The battle for the smart home is heating up, as service providers seek to leverage their residential footprint to control Internet of Things devices. Adrian Pennington reports.

26. ANGA COM 2018: the preview

ANGA COM takes place this year at the Köln Messe from June 12-14.Digital TV Europe previews some of the technologies that will be on show. 22

Regulars

2 This month 4 News digest 28 Viewpoint 30 Technology 34 People 36 Final analysis

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p01 ontnts DTVE JunJul18.indd 1 01/06/2018 20:0 This month > Editor’s note Digital TV Europe June/July 2018

Issue no 339 Fast times Published By: KNect365 TMT Maple House is the month of ANGA COM and it therefore only appro- 149 Tottenham Court Road priate that our lead feature article this month should be London W1T 7AD June on broadband cable technology. Tel: +44 (0) 20 7017 5000 Cable operators – in common with other fixed-line network opera- Fax: +44 (0) 20 7017 4953 tors – are increasingly focusing on broadband as the key weapon in their Website: www.digitaltveurope.net multi-play arsenal as they compete to win and retain customers. Increas- ingly, it seems that speed rather than content is king for multi-play service Editor Stuart Thomson providers. Tel: +44 (0) 20 7017 5314 With that in mind, we take a look at the broadband network invest- Email: [email protected] ment strategies of cable operators and the tools available to enable them to compete with fibre and other fixed-line competitors, encompassing new technologies such as Remote PHY and Full Duplex DOCSIS. Contributing Editor Andy McDonald We assess how far these technologies will place cable in a better competitive position against Tel: +44 (0) 20 7017 5293 rivals. We investigate how much interest there is among cable operators in delivering symmet- Email: [email protected] rical bandwidth as well as ultra-fast downstream speeds, and weigh up the relative importance of operators’ competing priorities. Virtual reality has been the object of much hype over the last couple of years and some of the Contributors buzz around the technology has faded recently. However, industry players are still busy develop- Kate Bulkley, Kaltrina Bylykbashi, Andy Fry, ing new applications. Adrian Pennington, Adam Thomas, Also in this issue of Digital TV Europe we compile a short hotlist of compelling entertain- Anna Tobin ment-focused VR services, looking at what inspires VR creatives and assessing how the compa- nies behind these initiatives view their prospects in this market. Correspondents The concept of the smart home has also been the object of much hype and has long been France: Julien Alliot; Germany: Dieter seen as a potential new market for fixed and mobile service providers. Brockmeyer; Italy: Branislav Pekic In this issue, we take a look at the role pay TV and broadband service providers can play in this market. Are their subscribers willing to pay monthly fees for smart home services that would justify an investment in these technologies? What kind of strategy would make sense for Commercial Director Patricia Arescy service providers? We take a look at whether it makes sense to bundle smart home services with Tel: +44 (0) 20 7017 5320 other services such as pay TV and broadband. Email: [email protected] Elsewhere in this issue of Digital TV Europe, we take a look at some of the key technologies that will be on show at ANGA COM and provide our usual mix of news and insight into some of the key industry developments of the last month. l Art Director Matthew Humberstone

Marketing Executive Abigail Dede

Printing Wyndeham Grange, West Sussex

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© 2018 Informa UK Ltd All rights reserved Stuart Thomson, Editor Reproduction without permission is prohibited [email protected]

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p02 Ed ot DTVE JunJul18.indd 2 01/06/2018 20:8 Q&A: Gernot Jaeger, Zattoo

Gernot Jaeger, Chief Ocer, B2B TV solutions at Zattoo, talks about the disruptive TV solution Salt has introduced in Switzerland with Zattoo and Apple.

What are the cornerstones of the TV service that Zattoo implemented the fact, that Salt does not deploy a classical set-top box anymore but together with Apple for Swiss Service provider Salt? fully relies on the Apple TV Box. Furthermore, it is the rst TV service Zattoo has been operating a leading end-to-end white label TV and outside the US where Apple allows the automatic installation of the Salt OTT platform for many years. This platform has now been leveraged to TV application for the Apple TV 4K Box as well as for other iOS devices implement the new service for Salt – this time in close co-operation with using operator login. Apple. As a result, for the rst time outside of the US, Apple TV has been Thus, Salt customers do not have to enter any login data and can made the central TV device, even with an operator login. This means that easily switch between Salt TV and Salt Video. This was implemented by the consumer does not even have to enter complicated login credentials Zattoo in a very short time-frame and was only possible with the strong but can start using the service right away. support of Apple. The entire service is nevertheless of course a multiscreen service, i.e. it comes with apps for mobile devices (iOS, Android) and browser-based How does Salt bene t from using Zattoo’s platform? access. The service is deeply integrated across all these devices and gives First of all, we are able to leverage a market proven, standard setting, access to the full feature set in all use cases. This of course includes live TV fully (geo-) redundant platform. This is an approach that is completely in SD, HD and soon 4K, but also non-linear features such as live-pause, dierent from starting from scratch by integrating various vendors and seven day catch-up or replay TV, VOD and a cloud based personal video components into something that will hopefully work and perform. In recorder for all customers. other words: we are able to provide a ready-for-market product which In this service setup, Zattoo hosts, manages and provides the entire can be heavily adapted and customised to the needs of an operator, TV service end-to-end. Salt leverages its own network, thus ensuring the in this case Salt. It comes with a proven track record, short time to quality of the customer experience with their own infrastructure and service orientation. This combined with the great product that Apple market, operator grade availability and cost eciency. On top of this, we provides, we can make a cutting edge TV and entertainment experience guarantee ongoing further developments of the entire IPTV solution – become reality. we call this the Zattoo ‘Evergreening Roadmap’. This service and this experience then enables Salt to market its TV oerings comprising various product bundles, thus raising ARPU, How has the implementation been received in the Swiss market? retaining existing customers and attracting new ones. Besides a tremendous response in the national and international media, new and existing customers reward the new Salt IPTV oer with sales What makes the solution ‘disruptive’ and what makes this unique gures even better than expected. This makes us very happy. And we outside the US? are of course also happy to see that there are many other operators Zattoo is the rst end-to-end platform to partner with Apple leveraging in Europe, the US and Asia showing increased interest in the Zattoo the new Apple TV 4K Box as a set-top box. What makes it disruptive is platform and in the disruptive service we built around Apple TV.

pXX Zattoo Q&A DTVE JunJul18.indd 1 30/05/2018 15:52 News > digest Digital TV Europe June/July 2018 News digest > 4 Canal+ loses Ligue 1 football > 6 BBC to run ‘first come, first served’ UHD trial for World Cup > 6 Amazon to increase video investment > 8 Comcast preparing all-cash offer for Fox > 10 Industry stakeholders slam copyright reform draft proposals Canal+ loses Ligue 1 football to Mediapro in major upset

By Stuart Thomson > rightsholder Canal+ will carry cede all or part of their rights, the channel Mediapro plans to and thus opens the possibility In a major blow to pay TV leader launch for Ligue 1. for Canal+ to win them back in- Canal+, Spanish broadcaster He said he planned to hold directly”. and producer Mediapro has se- talks with all French operators The auction is nevertheless cured the bulk of the rights to and intimated that one possibili- a major blow for the pay TV op- French Ligue 1 football for the ty would be to come to some sort erator, which has struggled to 2020-24 period. of reciprocal arrangement with arrest a decline in its domestic The results of the auction of Altice France/SFR, which holds Absent from the bidding was subscriber base, but has seen rights by French professional the rights to Champions League Altice France, which has invest- some improvement in the rate football league, the LFP, came football but which did not partic- ed heavily in Champions League of loss in recent quarters. as a surprise. The LFP secured ipate in the Ligue 1 auction. and Europa League rights to The LFP can rest satisfied a record €1.15 billion per season Also joining the list of Ligue build up its TV offering. CEO with an auction that saw its take from the auction despite Canal+ 1 rightsholders for the first time Alain Weill indicated at the end increase by 60% – with two failing to secure a single pack- is Iliad Telecom/Free, which se- of April that the group was un- packages still unallocated – and age of rights and BeIN Media cured lot 6, comprising near-live likely to participate in the auc- attributed its success to invest- securing only one package. highlights of all matches, along tion and said that Altice’s RMC ment by the clubs in delivering Mediapro, which took no few- with magazine programme and Sport channel was working well a quality experience. er than three of the seven pack- video-on-demand rights. The without top-tier French football. The league said that the auc- ages on offer, has committed to company spent €50 million to For its part, Canal+ said that tion had enabled it to partially create a dedicated sports service secure the package. it would look at the possibility of catch up with other European for France to distribute its Ligue BeIN Sport, an existing sub-licensing the rights. In a let- domestic leagues that have hith- 1 rights. Mediapro president rightsholder, has held on to lot ter to employees – and ahead of erto outperformed it in terms of Jaume Roures told journalists in 3, comprising 21:00 Saturday Mediapro’s press conference – securing TV revenues. Paris that his goal was to build a evening matches and matches CEO Maxime Saada said that to Lot 5, which includes the channel to be sold at a price that on Sundays at 17:00. However, “overpay for sports rights in the champions’ trophy and a could attract an audience base with only two matches a week face of all economic logic is not number of other matches, and of around five million subscrib- to offer to subscribers, it may a viable solution” but noted that lot 7, a package comprising ers within two years. Roures struggle to sustain a viable busi- the LFP auction “authorises, for weekly magazine shows, have said that he hoped current ness model. the first time, the awardees to not been allocated.

Geographic and 13th Street, and all OTT > RTL to up VOD free, advertising-financed service Germany of the public broadcast channels German commercial broadcaster with a premium pay product.” of ARD, ZDF, Arte and 3Sat. Sky Go RTL plans to increase investments The comments come after RTL OTT > Sky adds live to Go now offers over 40 live-streaming in its video-on-demand services launched three new VOD platforms Sky Deutschland has expanded the channels, with this number set to after launching three new VOD in Hungary, Croatia and Belgium – range of services available via its expand to over 100 by the end of platforms in the first quarter of the all based on the 6play platform of Sky Go app to include a broad range June. The only linear offerings pre- year. Announcing the company’s Q1 Groupe M6. RTL Play launched in of linear services including Sky viously included were the Sky Sport earnings, RTL Group CEO Bert Ha- Croatia in January and in Belgium Cinema HD, Sky Atlantic HD, Sky channels. Live channels in HD qual- bets said that the company’s VOD in March, while RTL Most! went Sport and Sky Sport Bundesliga. ity can be chosen via the channel investment will have a “clear focus live in Hungary in February. RTL The Sky Go service also includes a list on the app, which can also be on local, exclusive content.” He reported stable Q1 group revenue number of channels from partners used to programme recordings on also said RTL will gradually move of €1.416 billion with underlying such as Fox, TNT Series, National the Sky+ and Sky Q set-tops. to a hybrid model – “combining a revenue up 2.6%.

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p0060810-11 DTVE s Dist JunJul18.indd 01/06/2018 19:8 Q&A: Wongeun Jeon, Alticast

Wongeun Jeon, head of the media experience unit at Alticast, talks about the company’s Dynamic UI and personalised TV

What is Alticast’s Dynamic UI and what does it enable service providers Apex™. Apex allows all of the intelligent, active features of the Dynamic to do? UI to be applied to low-cost and low computational power (less than Today’s viewers are demanding their viewing experiences become 750DMIPS) legacy devices without any technical constraints caused by increasingly more personalised, while allowing for the quick and easy CPU performance, to deliver a sophisticated and graphic-rich UI. discovery of content they want to watch. Alticast’s Dynamic UI™ gives operators the tools they need to provide What are the challenges in applying user behaviour data to the this level of personalisation to their customers. An adaptive, agile and creation of personalised UIs and how are these resolved? intelligent user interface, our Dynamic UI enables operators to go The biggest challenge in applying user behaviour data is that it requires beyond simple content recommendations by personalising the entire an advanced data analytics system to comprehensively analyse users’ viewing experience based on user behavior patterns and content behaviours, tastes and preferences. preference. Dynamic UI is integrated with Alticast’s machine learning data platform, Argus™, for accurately pro ling users. Based on the analysis Beyond content recommendations based on usage, what types of results, Argus segments and categorises the users into target groups to personalisation of the UI might a service provider implement? develop and transmit the proper UI sets. Personalised service is usually thought of as personalised content recommendation. Alticast’s Dynamic UI manages the pay TV service How can the service provider’s customers bene t from this type of through the subscriber’s service usage patterns and content preference. personalisation of the UI? It takes into consideration viewing times, browsing patterns, purchase As viewing behaviour is observed and accumulated, the UI reacts and habits, channel searching, VOD watching, etc. It also looks at metadata optimises based upon the habits and usage patterns of the subscriber. of content purchased, genres normally watched, types of channels most The collected data generates and oers a personalised UI, as well as a frequently viewed and price range of purchased content. The compiled default operator UI, to the end-user who can then choose the UI to which data is then used to generate individualised UI adaptations; thus, they are more attracted, further enhancing the customised experience. allowing operators to personalize the UX through menu con gurations, Additionally, subscribers can bene t from quicker and easier content content recommendations and the screen’s overall look and feel. The discovery and service navigation based on user habits and data end-user can then decide to watch either the operator default UI or their recognition. This, in turn, creates increased satisfaction and loyalty own personalised UI. towards the service they are receiving. For example, consider two viewers who usually watch movies. One viewer generally makes a selection after watching a trailer while From the service provider’s perspective, what opportunities are there the other checks social ratings and reviews. The system will present for making additional revenue from this type of personalisation? personalized UIs and movie recommendations to each user based on With Alticast’s Dynamic UI, operators are able to take personalisation their respective behavior patterns when choosing a movie. to another level by oering UI and content recommendations that Sports fans are given multi-view screen features as well as game stats are custom-made for the individual user rather than for the operator’s and information (i.e. scores and player pro les) on their favourite player entire subscription base. Since a UI template is automatically generated or sports team. Binge watchers are presented with UIs that lter search through the system, time-to-market is signi cantly decreased, allowing menus per genre, country the show is produced or originated in, actor(s) for immediate customer satisfaction. in the show, as well as a list of episodes per season, which will appear on Personalisation and compelling UIs stand to become the key one side of the screen. dierentiator between an operator’s success or failure. Through the Traditionally, dierent UI components are developed individually. use of Alticast’s Dynamic UI, operators have a way to answer their Dynamic UI provides templates for operators to deploy the UI awlessly subscribers’ demands for greater personalisation, less searching and and dynamically, reducing time-to-market. This is imperative in an more time enjoying their favourite shows. This ultimately will reduce industry where media trends are changing at an accelerated pace. churn and help operators stand out from the barrage of competition in Dynamic UI is enhanced by Alticast’s UX virtualisation solution today’s marketplace.

pXX Alticast Q&A DTVE JunJul18.indd 1 30/05/2018 16:40 News > digest Digital TV Europe June/July 2018

million. The agreement establishes (AdC) has rejected remedies pro- The Netherlands the commercial broadcaster as a posed by Altice to secure a green Events strategic partner of Eleven Sports light for its planned acquisition of OTT > KPN to shut Play Poland, with a new management broadcast and media group Media New Europe Market KPN is to shut down its OTT TV board with two members each from Capital. Media Capital is the owner Date: 11 - 14 June service KPN Play on July 2 cit- Telewizja Polsat and Eleven Sports. of Portugal’s leading broadcaster Venue: Dubrovnik Palace Hotel, ing “insufficient demand”. The Eleven said the transaction will TVI as well as production outfit Dubrovnik, Croatia company said that the subscription allow it to consolidate its position in Plural Entertainment and a number W: neumarket.com service, which launched in 2015, did Poland and boost its global expan- of radio stations. Altice said that not get sufficient traction. In June sion plans. Maciej Stec, member of the measures it had proposed ANGA COM the company will make KPN Play the management board of Telewizja were “reasonable” and that it was Date: 12 - 14 June available for free. Programmes will Polsat and Cyfrowy Polsat, not disposed to suggest new ones. Venue: Köln Messe, Cologne, be unavailable after July 2. The will become president of the man- It had previously committed to Germany KPN Play website will remain online agement board of Eleven Sports separating its channel distribution, W: angacom.de until October 1. Network. Current managing direc- content, advertising and digital-ter- tor, Krzysztof Swiergiel will become restrial TV activities into separate VR & AR World CEO of the company. entities, ensuring that channels Date: 12 - 14 June Poland were distributed non-exclusively. Venue: ExCeL London, UK However, the AdC ruled that Altice’s W: tmt.knect365.com/ PROG > Polsat into Eleven Portugal commitments were not specific ar-vr-world Polsat has acquired a “significant enough and failed adequately to stake” in Eleven Sports Poland in PROG > Altice move rejected address the question of potential Broadcast Asia a deal that valued Eleven Sports Portugal’s competition watchdog non-compliance and distortion of Date: 26 - 28 June Network at approximately €80 the Autoridade da Concorrência the market. Venue: Suntec, Singapore W: broadcast-asia.com

BBC to run ‘first come, first served’ UHD trial IBC 2018 Date: 13 - 18 September By Andy McDonald > change view to behind either Venue: Rai, Amsterdam, The goal so they can get up-close to Netherlands The BBC has announced two the action. W: show.ibc.org “cutting edge” trials that will The VR app will also present see it bring this summer’s FIFA users with a range of live match MIPCOM World Cup live to viewers in ul- stats, which will appear from a Date: 15 - 18 October tra high definition (UHD) and virtual coffee table, and when Venue: Palais des Festivals, virtual reality (VR). there is no live game they will Cannes, France All 29 World Cup matches it to prepare for a time when be able to watch highlights on a W: mipcom.com that the BBC is due to broadcast “delivering such large-scale virtual big-screen TV. on BBC One will also be avail- events in such high quality, for “The BBC has brought major Sportel Monaco able in UHD and high dynamic larger audiences, over the open live broadcasting breakthroughs Date: 22 - 24 October range (HDR) on the iPlayer – internet is normal.” to UK audiences throughout the Venue: Grimaldi Forum, Monaco but only as part of a limited trial. The BBC will launch a dedi- history of the World Cup,” said W: sportelmonaco.com “This trial will be available cated BBC Sport VR – FIFA Matthew Postgate, the BBC’s to tens of thousands of people World Cup Russia 2018 app, chief technology and product Broadband World Forum to watch on a first-come, first- which will be available soon on officer. “From the very first Date: 23 - 25 October served basis,” said the BBC. Apple, Android, Gear VR, Ocu- tournament on TV in 1954 and Venue: Berlin Messe, Berlin, The UHD stream will be lus Go and PlayStation VR. The England’s finest hour in 1966, Germany available from the iPlayer home- app will let viewers watch live to the first colour World Cup W: tmt.knect365.com/bbwf screen from as soon as the pro- coverage of all 33 BBC matches in 1970 and full HD in 2006. gramme coverage begins until from a virtual ‘luxury private Now, with these trials we’re giv- Africa Video Forum trial capacity is reached for that box’ in a Russian stadium. ing audiences yet another taste Date: 13 - 15 November match. The BBC said that it will Viewers will look out on the of the future.” Venue: CTICC, Cape Town, use the data it gathers from the pitch from a virtual BBC Sport The UHD coverage will be South Africa trial to help it optimise UHD de- sofa via the box’s viewing win- available in the Hybrid Log- W:tmt.knect365.com/africacom/ livery in the future and will help dow and will also be able to Gamma version of HDR. africa-video-forum

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p0060810-11 DTVE s Dist JunJul18.indd 6 01/06/2018 19:8 Q&A: Roland Sars, Media Distillery

Roland Sars, CEO of Media Distillery, talks about the application of AI to improve the user experience of TV platforms

What do you see as the main ways in which AI can be used to help How do consumers stand to bene t from the new services that this broadcasters and TV operators? technology can support? Nowadays, broadcasters and TV operators are faced with the change in Consumers will benet as the technology enables TV operators and consumer behaviour from linear television to the more extensive use broadcasters to resolve some of the most pressing consumer frustrations of replay environments. If they want to remain relevant, they need to in relation to watching television programmes in a replay environment. act on this change and focus on optimising their replay platforms and These frustrations include missing out on the rst couple of minutes of a VOD platforms. We believe that AI, being much quicker than regular programme because they were not recorded, having to sit through a few technology or human e ort, will enable broadcasters and TV operators minutes of television advertisements, on top of online advertisements, to optimise and continuously adapt their platforms to satisfy new-born before the programme nally starts because the programme started consumer demands. later than scheduled, or wanting to binge watch a programme but not being able to smoothly transition to the next episode. Furthermore, How does Media Distillery’s Deep Content Understanding platform work? the technology, and the real-time metadata specically, will help TV Media Distillery’s Deep Content Understanding platform comprises a operators and broadcasters o er a number of new services in their wide combination of Machine Learning methodologies to recognise replay environment for a better consumer experience. For example, they every visual and audial aspect of video. These methodologies include can o er personal recommendations, short clips based on a consumer’s speech detection, logo detection, face recognition, object recognition, favourite topic or personalised and in-video search options. topic detection and OCR recognition. By using a synergistic approach of combining the di erent technologies, we can provide highly accurate To what extent does this type of application reect changing viewing results. patterns among consumers? Linear television is losing ground to video-on-demand: consumers What bene ts can the metadata generated by this technology in real increasingly watch video content when it suits them, not when the time bring to operators? television guide tells them to. Yet the replay environments of television The benets of this are that broadcasters and TV operators will learn and operators have not been optimised and are not user-friendly at all. As a know what is inside their video content: who is on screen and when, result, software companies, such as Netix and Amazon, which have a what a programme is about, or when a programme started and ended. strong focus on consumer experience, are taking away consumers from These forms of metadata are vital for TV operators to be able to optimise the traditional television operators. By using AI applications to o er an their replay environment. Essentially, the metadata helps broadcasters optimal consumer experience in their replay environments, television and TV operators enhance their platforms more like Netix and YouTube, operators will be able to compete with the software companies that are for example. conquering the media industry.

pXX Media Distillery Q&A DTVE JunJul18.indd 1 31/05/2018 12:15 News > digest Digital TV Europe June/July 2018

CAB > Eleven to launch integrate Netflix’s service into which will be open to other digital- Global Wrap Eleven Sports has secured the Telefónica’s TV and video platforms terrestrial broadcasters in the Portuguese rights to UEFA Cham- in Europe and Latin America. Tele- country, promises to “improve the Some 24% of all media con- pions League and Spanish La Liga fónica’s first Netflix deployments in experience of consuming television, sumption across the world will football ahead of a launch in the Latin America will be announced in allowing interactivity, thanks to be mobile this year, up from country. Both agreements run from the coming weeks, while a Spanish HbbTV technology”. The trio said just 5% in 2011, according to the beginning of the 2018-19 season launch is currently planned for the they were working together to Zenith’s Media Consumption for three years until the end of the end of 2018. The agreement marks launch the platform that will group Forecasts 2018. The Publicis 2020-21 season. Eleven has struck the first deal between Telefónica the audiovisual content of all three Media-owned ad agency said a deal with cable operator Nowo to and Netflix, which already has with the objective of improving it expects the proportion to debut its channels in the market. distribution arrangements in place the diversity and quality of the reach 28% by 2020 as the The rights secured by Eleven for its with Orange and Vodafone in the free-to-air TV offering and the user mobile internet takes share Portuguese launch are currently Spanish market. experience for those accessing from almost all other media. held by Sport TV, jointly owned by HbbTV services in the country. A Music streaming service Vevo Olivedesportos, pay TV operator OTT > Broadcasters’ OTT plan second phase of the project will see is to phase out its owned and NOS, Altice Portugal/Meo and Spanish public broadcaster RTVE the launch of a new OTT TV service operated platforms in favour Vodafone Portugal. and commercial broadcasters Me- that will distribute additional con- of focusing on YouTube. The diaset España and Atresmedia have tent. LOVEStv will launch on June streaming outfit said that confirmed that they have teamed 14 on a trial basis. The service will would focus on distributing its Spain up to launch a new joint interac- initially offer catch-up TV content catalogue of music videos and tive platform based on the HbbTV from the previous week, along original content to reach its OTT > Telefónica takes Netflix hybrid TV standard, with plans for with startover functionality, and growing audience of YouTube Telefónica and Netflix have an- a new OTT TV service to follow. improved programming guide and and would explore ways to nounced a global partnership to The platform, branded LOVEStv, content recommendations. work other platforms to further expand its access to content. Customer satisfaction with Comcast preparing all-cash offer for Fox streaming video services such as Netflix in the US far exceeds By Kaltrina Bylykbashi > with respect to both the spin-off that for traditional pay TV serv- of ‘New Fox’ and the regulatory ices, according to the American Comcast has confirmed that it risk provisions and the related Customer Satisfaction Index is considering making an all- termination fee, would be at (ACSI), an annual survey of cash offer for the Fox assets that least as favourable to Fox share- consumer attitudes to services have been offered to Disney for holders as the Disney offer.” including pay TV, video stream- US$52 billion (45 billion). The news follows reports that ing, ISPs and fixed and wireless Comcast said it is, “consider- Comcast had asked investment phone. Customer satisfaction ing, and is in advanced stages of banks to increase a debt facility digital platforms – Facebook, with pay TV services fell 3.1% preparing, an offer for the busi- by as much as US$60bn so it Amazon, Netflix, Google,” said year-on-year on average to nesses that Fox has agreed to can make the offer. Ed Barton, chief analyst of en- land on an ACSI score of 62 out sell to Disney.” Late last year Comcast made tertainment at Ovum. of 100, while streaming video These assets include Fox’s a US$64 billion offer to Fox in UK hedge fund The Chil- services, included in the survey entertainment networks, movie competition with Disney, but dren’s Investment Fund (TCI), for the first time, achieved a studios, television production this bid was ultimately rejected. which has built up a 7.4% stake score of 75. Hong Kong-based and international assets. They Fox cited regulatory hurdles. in 21st Century Fox, urged the telco PCCW’s entertainment do not include the Fox News With Comcast upping this offer, Fox board to “immediately arm PCCW Media has launched Channel, Fox Business Network what this will mean for the Dis- engage” with Comcast. TCI, a new OTT TV platform, Now E, and Fox Broadcasting Company, ney/Fox merger is unclear. which is run by Sir Christopher offering a mix of Asian drama which are to be separated into “Of course the main thing Hohn, highlighted a potential series and movies and sports, what is referred to as “New Fox”. is it drives the price up. We conflict of interest related to that is available on a range Comcast said: “Any offer for expect the battle for consolida- capital gains tax that could lead of devices including a new Fox would be all-cash and at a tion amongst TV distributors, the Murdoch family to prefer Android TV box. The service premium to the value of the cur- content and channel owners to Disney’s offer and said that this includes content from partners rent all-share offer from Disney. continue because many people must be “an irrelevant consider- such as HBO, MOViE MOViE, The structure and terms of any believe scaling up is essential ation” in weighing up the merits Now Baogu, Viu and others. offer by Comcast, including to compete against the scaled of the Comcast offer.

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p0060810-11 DTVE s Dist JunJul18.indd 8 01/06/2018 19:8 Q&A: Charles Dawes, TiVo

Charles Dawes, senior director, international marketing at TiVo, talks about voice search, unmanaged devices, the rise of Android TV and machine learning.

To what extent have consumers embraced voice search as a tool for What impact is adoption of Android TV as an operator platform having content discovery and what more needs to be done to encourage its use? on the market and what are the advantages and disadvantages to Over the past year, we have seen voice really starting to take off with service providers of using this technology? consumers. In our own research(1), we’ve seen access to voice-based search Android TV used to be a major concern for the pay TV community, as rise to over 24 percent, with over 70 percent of people saying they find it questions around the experience, security and control featured high on easy to find the content they are looking for. We’ve also seen that the users the agenda. Google has listened to operators, and with the latest Android of truly “conversational” products, like the TiVo Bolt Vox, which have more TV Operator Tier has ensured that these concerns are addressed. This is advanced ‘Natural Language Understanding’ (NLU), and can handle multi- great, as it allows operators to choose to use a class-leading customer faceted queries – such as “show me all the Bill Murray comedies from the interface like TiVo Experience 4 and still take advantage of everything 80’s with a four-star rating” – have a 21 percent higher weekly usage than that is oered by close integration with the Google Play store. other more basic services. Key to encouraging usage is how the services are being advertised to consumers through our operator partners. Where How can machine learning enhance content discovery and how operators have embraced voice in their advertising – as Sky has done with Sky transformative is the use of this technology likely to be? Q – we see strong and maintained growth, as consumers realise the added Machine learning is bringing rapid change to the realm of content simplicity it brings to their lives on a daily basis. Voice interaction is entering the discovery in a number of ways. Most importantly it is helping to make mainstream as tech giants like Google, Amazon and Apple heavily promote sense of the vast unstructured data sources that are available on the voice-based features and drive consumer adoption. Done right, voice not only internet, nding information that is relevant, and helping enhance the helps users get to their content faster, but also enables operators to expose structured data that is supplied by companies like TiVo. These content users to a much greater breadth of content. The ideal offering for operators is sources and formats are constantly evolving, so you can’t simply one that combines a deeply media-focused vertical content solution with the just write a set of rules to process them. The system itself must take broader voice ecosystems of Google, Alexa, Siri, etc. advantage of the latest Articial Intelligence (AI) to adapt itself and continue to surface the most relevant information in real-time, at the How far are TV operators embracing unmanaged IP devices and apps to right moment, without slowing down. With the industry fragmenting so distribute their service o erings to subscribers? What are the advantages quickly, and consumers being faced with more compelling content and and what remaining concerns do they have? ways to discover that content, machine learning will oer the speed and We see many operators looking to take advantage of devices that consumers accuracy that is needed to keep up with consumers’ needs and desires. have purchased to consume entertainment, as it can help to lower their capital expenditure costs and deliver a service that consumers are coming What are the most compelling applications for the use of machine to expect – namely their subscription services being available where they learning technology currently being investigated? choose to watch them. The ‘TV Everywhere’ revolution was the pre-cursor One of the most interesting areas is how technology can be used to this, where operators provided service to subscribers via an app on their to enhance the work of human experts. From helping nd the most mobile phone or through the web, but we’re now seeing this evolve to the appropriate content acionados to curate an ever more specic set point where we have operators – like BT in the UK – combining their own of content options – for example, your catalogue of Spanish horror content along with the UK public broadcasters, Net ix, Amazon Prime and lms that need a true fan to review. Machine learning can also help to Sky’s Now TV, into one experience. Only a few years ago, those services bring scale at speed to the world of metadata, by comparing inputs would have been seen as too competitive to the operator to contemplate from both machines and human editors for consistency and accuracy. providing them to their customer. This type of content integration is a key It can also help to surface meaningful results and recommendations cornerstone of the TiVo Experience 4 product, allowing consumer access to that enable contextually relevant discovery by assessing current events content from many sources in one interface. In a market that is increasingly and connecting and presenting timely entertainment content to the fragmented, there is a window for providers to serve as the starting point for customer. consumers’ entertainment experience, and guide them through the maze of content options. (1) TiVo Q4 2017 Online Video and Pay-TV Trends Report

pXX TiVo Q&A JunJul18.indd 1 30/05/2018 16:33 News > digest Digital TV Europe June/July 2018

and Europa League Media rights, will Sweden take over as CEO. Andreas Walker, UAE United Kingdon who has previously held a number PROG > MTG takes control of senior roles for MTG, RTL and SAT > MBC widens horizons IPTV > BT to offer Amazon MTG has upped its stake in Zoomin. MTG subsidiary ESL, has been ap- Dubai-headquartered broadcaster BT is to include Amazon Video as TV from 51% to 100% after agree- pointed as Zoomin.TV’s new CFO. MBC Group plans to place more fo- part of its TV offering as it pivots its ing to buy out the digital video cus on Saudi Arabia and neighbour- fixed broadband service to become network’s founders Jan Riemens ing markets. The media company part of a “converged network divi- and Bram Bloemberg. MTG acquired Switzerland said the move is in line with “current sion” under new consumer business the remaining 49% of Zoomin.TV transformational positive changes” CEO Marc Allera. In addition to the from Adversa Media Groep, which CAB > UPC takes Höfe in Saudi Arabia – including premium Amazon Video app BT said it would is controlled by Riemens and Blo- Liberty Global-owned UPC Swit- content production. The decision make Sky’s Now TV available to emberg, paying €6.2 million in cash zerland has acquired the Höfe follows a strategy meeting held TV customers from next year. The and settling Adversa’s €11.3 million region cable network belonging in the presence of more than 100 addition of Amazon’s offering makes of shareholder loans to Zoomin.TV. to infrastructure group EW Höfe, top executives at MBC Group’s BT the first UK service provider to Riemens and Bloemberg have been leaving its owner to focus on build- headquarters at Dubai Media City, embrace the e-commerce giant’s serving, respectively, as CEO and ing out a fibre network. The cable chaired by MBC Group chairman Prime Video service, allowing users chief financial officers of Zoomin. network currently serves around Waleed Al-Ibrahim. Al-Ibrahim used to access Amazon’s roster of exclu- TV, but with the deal have stepped 15,000 homes in the Höfe area. UPC the meeting to highlight the view sive TV series and movies . The new down to pursue new opportunities. Switzerland has been a long-stand- that expansion and in-market oppor- BT TV app will also allow custom- MTG announced that Roger Lode- ing partner of the group. The deal tunities, especially in Saudi Arabia, ers to download and play content wick, a former executive at TEAM means that subscribers will now will broaden MBC’s horizons and on the move for the first time. In Marketing who was responsible for pay their monthly connection fees create more opportunities across addition to BT’s set-tops, the app will the sale of UEFA Champions League directly to UPC. the entire group. be available on platforms including

Industry stakeholders slam copyright reform draft proposals

By Stuart Thomson > contracts every year with indi- ency requirements were to be vidual rightsholders. established and implemented.” Both public broadcaster organi- “For EBU Members this is a French authors copyright so- sation the EBU and a group rep- very disappointing conclusion. ciety SACD meanwhile said that resenting authors of audiovisual Member States had ample op- the draft was “a missed chance” works have expressed dissatis- portunity to ensure pragmatism to make progress towards en- faction with different aspects of and common sense but unfortu- suring “a just remuneration for the compromise position agreed The EBU said that the agreed nately the conclusion will result audiovisual and cinema authors by the European Council on cop- position had “failed to create a in cumbersome bureaucratic everywhere in Europe”. yright reform in the EU. sensible balance between pro- procedures for our members,” SACD said that the failure to The Council’s permanent viding transparency to authors said EBU head of European af- embed a general right to remu- representatives committee, and performers on the one fairs Nicola Frank. neration from digital platforms Coreper, agreed a position on hand, and the workability and “We are disappointed that the meant that the proposal may the draft directive that will serve pragmatism required on the call made from the EBU for a end up worsening an already as the body’s mandate when it other”. It said that it was con- more balanced approach has not out-of-date framework. “In the kicks off negotiations with the cerned by an obligation to report been taken on board. Whilst we countries in which such a right European Parliament once the autiomatically and individually support the principles of trans- is recognised, authors’ societies latter agrees its own position. to authors and performers on parency and also fair remunera- can negotiate agreements, col- With regard to authors rights, the use of their works at least tion, this conclusion is simply lect and distribute remunera- the draft calls for collective bar- once a year, arguing that such not practical and realistic in its tion; in other states, when this gaining between rights holders as approach places “an unprec- ambition. Public service media right doesn’t exist, authors are and distributors to be “consid- edented burden on the creative play a unique role within our almost assured of never being ered as an option” to ensure industries at a time when they societies, investing over €16 bil- remunerated,” it said. transparency and calls for a tran- are already facing significant lion in content every year. The SACD said it counted on the sitional period to enable organi- market disruption”. capacity of our members to con- European Parliament’s judicial sations to adapt to new transpar- The EBU said that broadcast- tinue to invest would be serious- affairs committee adopting a ency requirements. ers manage as many as 250,000 ly challenged if costly transpar- more favourable position.

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Samsung Smart TVs, Apple TV and Nickelodeon channels. Nick Play will Comcast’s bid, Hancock took the Google Chromecast. EE customers offer both full-length TV episodes view that the merged entity “would Zimbabwe will also be able to view BT Sport and short form content and will not have a significantly larger pres- app features, including the ability include titles like The Thundermans, ence in the UK news market than OTT > Kwesé Iflix launch to cast direct from their mobile to Hunter Street, Henry Danger, that already exercised by Sky plc Kwesé Iflix, the joint venture be- their TV with inclusive data ,for SpongeBob SquarePants and Pig, and Sky News, and would have no tween Kwesé owner Econet Media the first time from the start of the Goat, Banana, Cricket. greater ability to influence the news and emerging market SVOD service forthcoming football season. EE agenda”. The DCMS statement Iflix, have launched a new mobile will also offer Google Chromecast SAT > Comcast Sky decision makes it more likely that Comcast app in Zimbabwe. The Kwesé Iflix and Apple TV support, enabling Comcast has received a boost in will be able to proceed with its bid, app will be available to Econet customers to share content from its bid for Sky as UK secretary of giving weight to the US group’s Wireless mobile subscribers and will their mobile to the big screen. state for culture, media and sport argument that it would not face offer live linear content – including EE customers will also be able to Matt Hancock has said he is “not the same regulatory scrutiny that coverage of all 64 FIFA 2018 World access a range of new mobile TV minded” to intervene. While the has delayed 21st Century Fox’s Cup games – alongside a line-up experiences throughout the year. UK Enterprise Act grants Hancock attempt to acquire the 61% of Sky of on-demand and entertainment the power to intervene in media that it does not already own. Fox’s programmes. Kwese Iflix said that CAB > Nick Play on Virgin mergers on public interest ground, own bid is subject to approval by the app’s sport offering will also Viacom International Media he said that the evidence presented the UK competition watchdog, the include select NBA games while Networks (VIMN) has launched its so far does not seem to justify such Completion and Markets Authority. the entertainment content will Nick Play video-on-demand app via a move. Comcast formally notified The organisation had until the end include thousands of programmes Virgin Media in the UK. The rollout the European Commission of its of May to deliver its verdict, leaving spanning international, regional marks the UK debut of VIMN’s first intention to acquire Sky on May Hancock until June 13 to make a and local programmes curated mobile streaming app featuring 7, leaving it to Hancock to decide final decision. If Fox is cleared, it will especially for an African audience. long form content, with the Nick whether or not the bid warranted have to increase its bid from the Econet Media-owned pay TV provid- Play app available free to Virgin the issuing of a European Interven- current £19 billion (22 billion) to er Kwesé has acquired a “significant Media customers who subscribe to tion Notice (EIN). In assessing top Comcast’s £22 billion offer. stake” in Iflix Africa in February.

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p0060810-11 DTVE s Dist JunJul18.indd 11 01/06/2018 19:8 Technology focus > Broadband cable Digital TV Europe June/July 2018 Speed kills

With high-speed broadband increasingly seen as the key competitive battleground for fixed-line service providers, cable operators are constantly looking to stay ahead of their rivals by investing in new technology, but they also need to prioritise investment to match what their customers want. Stuart Thomson investigates.

is the killer app. High- Cable operators in particular have managed for the last two decades. Thanks to DOCSIS Speed speed broadband is now to build their broadband subscriber bases technology, cable has been able to stay one step the key competitive battleground between by outperforming telecom rivals on speed. ahead of telcos, which have adopted a variety fixed-line service providers. While some Broadband revenue-generating unit net of technologies to squeeze more out of their operators have adopted a strategy of acquiring additions have offset long-term declines in legacy copper networks but have ultimately exclusive content rights to differentiate their legacy analogue TV subscriber numbers. reached a point where the only way forward is services, for the most part telecom and cable DOCSIS – the CableLabs standard for to dig up the ground and lay fibre. operators alike increasingly see TV as a useful delivering broadband internet over hybrid Nevertheless, the growing prevalence of tool to sell bundled offerings rather than their fibre-coax cable networks that were originally fibre in some areas means that cable operators central area of focus. Increasingly, the true designed to provide broadcast TV signals, has can’t afford to rest on their laurels. competitive differentiator is speed. been the gift that keeps on giving for cable Over the last couple of years, cable operators

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at introducing a distributed architecture, which incentive to look to Remote PHY. He says that as pushes intelligence in the network closer to the operators are under constant pressure to limit home and limits what needs to be performed at capital expenditure and operating expenditure a central location. while reducing churn, a distributed access architecture offers a neat solution, enabling them to stay ahead of the game without tearing Remote PHY up their existing infrastructure. “The R-PHY-based distributed architecture is The benefits of a distributed access architecture a tempting alternative for cable operators eager are in the first instance about saving space to take a quantum leap but still needing to run and power in centralised headends and hubs. old legacy systems during the transformation. Increasingly, the focus has been on Remote Continuous improvement in network PHY, a technology that separates the QAM reliability and visibility is critical for cable modulation and demodulation functions of television industry in competition with other the CMTS from other headend functions and infrastructure providers,” says Narjus. “Digital locates this closer to the edge of the network. fibre links offer a clear path to full IP delivery, This can provide a number of advantages for which is welcomed by many operators who see cable operators. IP as a catalyst for access network convergence. “The first benefit is a dramatic reduction in Many operators have heavily occupied regional space and power in the headends and hubs. headends running out of space and the R-PHY- Separating the functions of the CCAP core based architecture enables headend space from the Physical layer access network interface savings.” [PHY], enables CCAP cores to be used more Narjus says that operators face a choice of efficiently, enabling them to support up to four four different cable architectures – Remote times the number of service groups, thereby PHY, Remote MACPHY, where both the dramatically reducing space and power,” says physical layer and media access controller are John Holobinko, director of business strategy located at the node, pushing on with traditional at Cisco’s cable access business unit. segmentation of the network into smaller In addition to saving space and reducing service areas, and finally, laying fibre-to-the- the amount of power required, Holobinko home in the ground. says that a distributed access architecture With a distributed architecture, says Narjus, simplifies network management by enabling operators have a choice between deploying cable operators to replace “cumbersome Ethernet networks in some instances and analogue combining networks” in hubs with investing in DOCSIS infrastructure. Remote 10Gigabit Ethernet optics and layer two and PHY enables the use of existing HFC plant and three switches. The key technology building therefore enables upgrades without civil works block of a distributed architecture, Remote – a major cost saving for service providers. PHY enables operators to digitise the stretch However, he adds, deploying this type of between hub and remote node, eliminating network does require interaction between TV analogue fibre optical networks that are and broadband teams in a way that operators difficult to install and maintain. may not be used to. Holobinko also says that extending the IP If a Remote PHY network is used for linear network all the way to the node opens up the TV, there may be a need for software upgrades possibility of extending intelligence to the node with requirements that TV engineers are and enabling automation of RF installation and unaccustomed to, while DOCSIS specialists have been able to set the realistic goal of a better remote view of the network, something may not be used to dealing with broadcast delivering Gigabit broadband speeds to the Cisco has invested in. capacity management and PSI/SI tables home – a useful benchmark for marketing Finally, he says, a distributed access network required for set-top boxes. purposes as much as something that the “lays the groundwork for network virtualisation average consumer will use. These operators in the future”. Operators, says Holobinko, will have invested in new technologies to deliver be able to take full advantage of this when ‘cloud Immediate savings high-speed broadband services more efficiently, native’ CCAP becomes a reality (see sidebar). including high-density Converged Cable Hanno Narjus, senior vice-president, For Asaf Matatyaou, vice-president, solutions Access Platform (CCAP) headend systems and network products at broadband cable and product management, cable edge business the latest iteration of the DOCSIS standard – technology specialist Teleste, agrees with at Harmonic, in addition to bringing many DOCSIS 3.1 – as well as, increasingly, looking Holobinko that IP migration is a key goal and practical benefits to operators, Remote PHY is

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p 12-116-1 odnd l DTVE JunJul18.indd 1 01/06/2018 18:2 Technology focus > Broadband cable Digital TV Europe June/July 2018

highly cost-effective. by enabling them to digitise the network from technology. However, where there is a long “Remote PHY delivers immediate savings, the headend to the node, pushing digital- distance between the headend and the node, including dramatic opex savings with the RF to-analogue conversion down to the node. Remote PHY provides an immediate benefit. portion of the CCAP solution moving from This delivers a better signal-to-noise ratio and The obvious inference is that Remote PHY headends to the field in Remote PHY nodes,” provides a better performance for subscribers. provides a greater benefit in geographies such he says. It gives operators more wavelengths and allows as the US than it does in densely populated “With RF distributed into the field, space, them to simplify the core network. and cabled Europe. In the case of Stofa, it power and cooling savings are substantial. Liberty Global, Europe’s largest multinational made sense to move to Remote PHY because Capex is also reduced, with the opportunity cable network operator, is pursuing Remote the operator wanted to upgrade to DOCSIS to consolidate equipment in centralised PHY as an access architecture for the future 3.1. Where operators feel compelled to deliver locations or data centres when combined with and sees many use cases for the technology, an upgrade to deliver higher speeds in a a virtualised CMTS/CCAP approach. These according to Seamus Gallagher, vice-president, competitive market, they may look ahead and savings more than justify the shift to Remote access network strategy. upgrade to Remote PHY at the same time. PHY, as well as the opportunity to enable According to Gallagher, Remote PHY While there are “no major commercial virtualisation as part of a cable access solution.” will help the operator compete even more imperatives” for Remote PHY, it does deliver According to Cisco’s Holobinko, the effectively in the future. advantages such as creating more space in the marginally greater cost of building a remote The key advantages, says Gallagher, include headend. Instead of upgrading their headend PHY network is “slightly more than the cost the improved signal-to-noise ratio that facility to support the growth of their network, of building a conventional network” but the Remote PHY delivers, with a three-to-six dB operators might look to a distributed access “initial investment premium is more than improvement both downstream and upstream architecture to avoid having to re-house their offset by operational savings”. over existing node split techniques. Remote equipment. A distributed architecture, by Holobinko in fact contends that it could PHY also delivers the same signal-to-noise enabling digitisation between the headend and be more costly not to build a Remote PHY improvement when upgrading the optical the node, also enables the operator to put more network, pointing out that the trend towards access network to support 1.2GHz. wavelengths on existing fibre plant, creating so-called N+0 networks, where there are no The technology also allows operators to savings. amplifiers between the node and the home, deliver a signal-to-noise improvement by Ciocirlan points out that investing in is not really practical if operators continue to replacing analogue DWDM systems. Finally, Remote PHY means that operators also have to deploy conventional analogue optics and RF says Gallagher, it enables operators to limit invest in higher-level management platforms combining in the headend. increases in power consumption, space and that enable them to manage and control the “In N+0 networks there are more than 10 air-conditioning in centralised facilities. elements of the platform. “Previously, the CMTS was the last digital part of the network,” he says. “Things are “Remote PHY delivers immediate savings, changing with Remote PHY. You are digitising to the node and there are more nodes than including dramatic opex savings with the RF CMTSs. You have to manage all these new portion of the CCAP solution moving from devices.” headends to the field in Remote PHY nodes.” Asaf Matatyaou, Harmonic Two-way street

times the nodes as the network it replaces. It “Combining all of these benefits together will One possible reason for investing in a is a daunting challenge to implement this allow Liberty Global to execute infrastructure distributed access architecture is that it is a number of nodes and service group splits change quickly that significantly enhances fundamental building block towards delivering both in the field and the headend, using a customer stability and reliability while driving Full Duplex DOCSIS, the forthcoming iteration conventional cable architecture,” he says. more efficient techniques and capital into the of the DOCSIS standard that will enable One European operator that has already access network. Decoupling the hardware and operators to deliver symmetrical bandwidth rolled out Remote PHY is Denmark’s Stofa, software in traditional CMTS/CCAP which services at ultra high-speeds. which is working with technology provider Remote PHY enables allows us to scale our Is there likely to be demand for this type Arris on the deployment. network much more gracefully in the future,” of service? The main factor that could lead For Cornel Ciocirlan, chief technology says Gallagher. cable operators to seek to deploy symmetrical officer, EMEA at Arris, upgrading to Remote Arris’s Ciocirlan says that the extent to which bandwidth services is competition from PHY simply makes sense as operators need Remote PHY benefits an operator will depend fibre networks that are by their very nature to upgrade their networks to be able to offer on a number of factors related to the operator’s symmetrical. 1.2GHz for competitive reasons in any case. specific network architecture. “Cable operators have high interest in In terms of the practical advantages of doing In some cases it is easy to split nodes and delivering symmetrical bandwidth services so, he highlights the way it frees up operators create smaller service areas using existing for consumption and competitive purposes.

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p 12-116-1 odnd l DTVE JunJul18.indd 1 01/06/2018 18:2 Learn how ARRIS is REDEFINING CONNECTIVITY

Visit arris.com to learn more about our solutions and products.

p1 is DTVE JunJul18.indd 1 01/06/2018 11:21 Technology focus > Broadband cable Digital TV Europe June/July 2018

Symmetrical services – over 1 Gbps – enable cable operators to compete against FTTH, Towards the virtual headend where symmetrical services have been a historical differentiator. While the take rate Introducing a distributed access architecture way to virtualisation of the headend. for symmetrical services is lower than other via Remote PHY brings many advantages “Decoupling RF signals from the core tiers, this tier is priced higher and is a key to cable operators and can enable them to means you can move towards virtualisation marketing tool to win and retain subscribers,” deliver better services. Ultimately, however, of the headend,” he says. While virtualisation says Matatyaou. a greater benefit could be that it liberates of the headend involves technology that “still However, Matatyaou believes that operators operators from hosting the central headend in has to be proven”, he says that this shift will already have the tools they need to deliver a specific physical location, enabling them to ultimately enable operators to scale their symmetrical services without waiting for Full scale their operations according to demand. infrastructure in response to demand. Duplex DOCSIS. He cites Swedish operator Seamus Gallagher, vice-president, access The virtualised headend is clearly Com Hem, which launched a symmetrical network strategy at Liberty Global, says that something operators have in their sites, but service using DOCSIS 3.1 on a trial basis using the key benefit of Remote PHY ultimately there is still much work to be done to achieve this technology in Stockholm. will be that it opens the way to virtualisation that goal, says Ciocirlan. According to Cisco’s Holobinko, it is possible of the cable headend. Currently operators that cable players facing fibre competition add capacity through managing chassis, could look to deploy Full Duplex DOCSIS as line cards, ports and licences and “because Ciocirlan: distributed “a pre-emptive move” to preserve their base this takes so much time, we sometimes do it architecture is a staging under the threat of moves by fibre players in the over 12 months before it is needed to avoid post on the way to the future to offer 10Gbps symmetrical bandwidth congestion”, he says. virtualised headend. via next-generation PON networks. Cable, the With a combination of a data centre- argument goes, can pre-empt this by investing located virtual CCAP headend and Remote in Full Duplex DOCSIS to protect their existing PHY, it will be possible “to physically deploy base, “making the business case more difficult the Remote PHY in the cabinet in the field “There is still significant work to be done for their competition”. and for all other resources to be spun up compared with rolling out a distributed access Cable, says Holobinko, could also use Full automatically once the Remote PHY device infrastructure using our E6000 core for Duplex DOCSIS to offer advanced services registers itself on the network for the first example. The standards have been designed to business customers as an alternative to time”, says Gallagher. around the traditional CMTS being connected deploying fibre or as a way to offer a service “This would be a paradigm shift and to a Remote PHY. To evolve one step beyond immediately ahead of deploying fibre in the will allow for just-in-time capacity delivery, that and virtualise the core introduces some future. meaning zero congestion, better customer complexity around processing video streams,” Finally, says Holobinko, operators could use experience, lower churn and better capital he says. “It is a lot easier to move to Remote Full Duplex DOCSIS to offer cellular backhaul efficiency,” he says. PHY in the initial deployment. As things services via their existing HFC infrastructure Cornel Ciocirlan, chief technology officer, move on you could decide to separate the for 5G networks that require small cells. EMEA at Arris, confirms that distributed video processing out of that and think about Not everyone is convinced. From a European access architecture is a staging post on the virtualisation as well.” perspective, Teleste’s Narjus sees little demand for symmetrical bandwidth either from consumers or from operators. where networks serve multiple dwelling units With this in mind, operators are increasingly “Fully symmetrical bandwidth is not a and where there is a lack of fibre – all factors focusing on bandwidth reclamation in the consumer requirement. Their requirement is common in Europe – making the case for Full downstream through initiatives such as the sufficient bandwidth for the services they Duplex DOCSIS is challenging. deploying MPEG-4 set-tops to replace legacy use. There are almost no services that require Arris’s Ciocirlan – another technologist with MPEG-2 devices and planning for migration to fully symmetrical high bandwidth,” he says. a European perspective – is inclined to agree, IPTV, particularly for long-tail content. Narjus says that operators believe the network arguing that competition from fibre is not yet For Ciocirlan, the appetite for Full Duplex bottleneck is the downstream segment – and a major driver in many places and making DOCSIS has mostly come from the US so far, that is perhaps even more the case now than the point that consumers appreciate topline but even here it is not widespread. He points it was a few years ago. While he concedes that downstream speed more than symmetrical that the technology will “take a year or two FTTH competition could lead some operators capability. before it is mature enough from a network to look to symmetrical bandwidth, he points “Peer-to-peer traffic is pretty much perspective”, with sufficient Remote PHY out that this is far from a universal situation. disappearing and streaming is taking over devices deployed. Operators will also need to Narjus also believes that “the shift to Full and that is one factor. Growth in downstream invest in Full Duplex DOCSIS cable modems. Duplex DOCSIS will not be painless as capacity has held steady while demand for “It will be two years before it becomes a viable European networks differ across the regions”. upstream capacity growth has fallen in the last technology – it is not something imminent,” Where there is extensive underground cabling, year or two,” he says. says Ciocirlan.

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Zed Nelson. Liberty Global A Liberty Global engineer at work: network investment remains a key priority.

services combined with a quality network. He says that when operators are planning for the long run, it is important to look at their strategy for migration to fibre and to invest with that in mind. He says that Remote PHY is “an excellent investment to deliver IP services and it really offers a targeted upgrade to the areas and to the customers who really need the new capacity and service right now”. Arris’s Ciocirlan points to a wider set of priorities that have to be balanced to ensure that limited resources are deployed to best advantage. Expanding reach is a significant growth in popularity of consumption of large priority for operators, but Ciocirlan also points Symmetrical alternatives amounts of interactive high-resolution content out that cable operators still have a major in real-time, perhaps involving facial or gesture advantage over telecom players that are forced Narjus and Ciocirlan’s view is borne out by recognition, meaning there is little opportunity to place additional fibre in the ground in order Liberty’s Gallagher, who says his company’s to compress it. to offer ultra-fat services. focus on asymmetric services reflects the “large Teleste’s Narjus agrees that symmetrical Behind expanding reach, cable operators disparity between downstream consumption high-speed broadband is not a priority for most are therefore also focused on investing in and upstream consumption of our customers” operators. “For many operators utilising 204 DOCSIS 3.1 to deliver more downstream – something he quantifies as 10:1 in favour of MHz bandwidth per coaxial cable is already capacity alongside bandwidth reclamation downstream traffic. a tenfold improvement by comparison to and expanding the spectrum available to Nevertheless, says Gallagher, symmetrical the current situation and enough for years to them on their HFC plant. “In the process of services may have a larger role to play in come,” he says, referring to the alternative way addressing these, sometimes a distributed Liberty’s fastest growing market segment, B2B. to deliver higher upstream capacity. access architecture makes a lot of sense. People However, even here, he believes that capacity For Holobinko, deploying a 200MHz high- will adopt Remote PHY and node splits as they demand will be served in the short term at least split system has two disadvantages. It can only are needed,” he says. by the introduction of DOCSIS 3.1 rather than support peak return path bandwidth in the For Liberty Global, expanding the reach of Full Duplex DOCSIS. 1Gbps range, not enough to combat the threat its network has been a priority in recent years. While Liberty is “participating in a number posed by fibre operators, and it will cause Gallagher says the cable giant is also expanding of CableLabs and industry initiatives” around problems for operators that use bandwidth in its range of services to encompass 1Gbps-plus Full Duplex DOCSIS, he adds that the N+0 the 100MHz range for forward path signals to services, starting with a recent launch based architecture required for its implementation test and control set-top boxes. Retiring these on DOCSIS 3.1 in Bochum in Germany, with will only apply to a small proportion of the devices could be costly for some operators. further launches planned throughout this year company’s footprint even by 2023. across the company’s European footprint. For operators that need to provide a Gallagher says that Liberty also has plans symmetrical service now, the alternative is Current priorities to develop symmetrical services through a to upgrade the network to deliver 200MHz combination of DOCSIS 3.1 in the upstream, upstream, which could deliver around 1.5Gbps Holobinko says that operators remain focused spectrum expansion and the development of depending on the state of the network. on digitisation of their networks, including the new technologies involving the use of high For Ciocirlan, upgrading the upstream path deployment of a distributed access solution with capacity, high frequency transmission between to 200MHz would provide more than sufficient Remote PHY, virtualisation – meaning that 1GHz and 2.5GHz on its coax infrastructure. bandwidth for any application that exists today. cloud native applications will replace dedicated “Our challenge is to continue to strike the “If a subscriber gets 500-800Mbps upstream hardware – distribution, meaning deploying balance in ensuring we allocate both capital they will be getting a significantly better service. next-generation HFC access technologies that and resource time to be successful on all There is no app today that requires such a could include Full Duplex DOCSIS along with these fronts supporting traditional footprint humungous amount of bandwidth either up smart nodes, and automation of the network, extension, product enhancements and or down, so it would be more a competitive meaning the use of telemetry, analytics and innovative solutions to ensure success now marketing exercise,” he says. machine learning technologies. and market competitiveness both medium To make large amounts of upstream For Narjus, the key priority for new and long term across residential and business bandwidth actually useful would require customer acquisition is to deliver 1Gbps-plus segments.” l

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p 12-116-1 odnd l DTVE JunJul18.indd 1 01/06/2018 18:2 Technology focus > Virtual reality Digital TV Europe June/July 2018 The VR hotlist The entertainment world is increasingly adapting to the possibilities of virtual reality, experimenting with a format that stretches far beyond the realms of television. Andy McDonald speaks to some of the leading lights in this nascent but quickly evolving market.

Factory 42 collaborated with David Attenborough on Hold the World

operator’s experiments with 3D television. is moving very quickly and the possibilities of Factory 42 While the TV industry’s flirtation with this what we’ll be able to do in the very near future technology has since largely fallen by the are incredibly exciting.” Factory 42 is an immersive production studio wayside, Cassy believes that we are “still in the Cassy says that Factory 42’s focus is on and creative agency co-founded by former Sky Stone Age of the possibilities for immersive interactive VR and giving people “experiences, executive John Cassy and BAFTA-winning content,” with virtual, augmented and mixed encounters and abilities they could never director Dan Smith. Since its launch in 2016 reality experiences likely to become more normally have in their real lives”. While he the company has partnered with the likes of intertwined as time goes on. is not convinced that mono 360° video will Sky, the Royal Academy of Arts and the English “The VR market is maturing and evolving stand the test of time as a storytelling device, National Ballet on projects including Hold the every day. Two years ago there was over-hype he describes stereo 3D 360° as a “much more World – an interactive audience with David – everyone was jumping on the bandwagon,” powerful” format. Attenborough set in London’s Natural History says Cassy. “We always expected there to In terms of uptake, better hardware – Museum that shines light on rare specimens be a shake out, a flight to quality and some specifically smaller, cheaper and better headsets from the museum’s collection. companies really pushing the boundaries – will help the traction of the consumer VR At Sky, Cassy oversaw a number of on what is possible in terms of interactive market. However, Cassy says that the content commercial projects, including the pay TV storytelling in this medium…. The technology side of the business also needs to improve

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and more high-quality experiences released largest live events, including the Live 8 concert Vaughn says the narratively-driven – particularly from trusted and well-known series; and CEO Bruce Vaughn, who spent experience was designed to include moments brands. While TV companies like Sky and the almost 25 years at Walt Disney Imagineering of awe, wonder and fear, culminating in a BBC are currently making bets on VR, Cassy focusing on creativity and innovation at the sense of collaboration and accomplishment. says a lot of the investments from the television company’s theme parks. The feedback, he says, was “extremely positive” world are “relatively tentative” as broadcasters “It is our belief that the way mass audiences with Dreamscape now planning to open its test audience responses and commercial will adopt VR is through location-based VR first permanent location at the same LA mall models. In the longer term he anticipates experiences,” Vaughn tells Digital TV Europe. later this year. greater investment. “Location-based VR creates a uniquely social “While some companies are focused on “Entertainment-focused interactive immersive and highly repeatable experience that fosters creating VR centres aimed at early adopters, or content will play a significant role in helping the an immediate sense of collaboration and trust ones that cater just to gamers, we’re focusing medium move from the niche to the everyday – one that is shared. Users can step into each on an entirely new commercial art form that for a mass audience. We expect the creators world and fully immerse themselves.” appeals to mass audiences,” he says. “To take who marry the best of game development Dreamscape offers untethered VR VR to a larger consumer market, we need skills with TV and film production skills to experiences that allow participants to explore experiences that take the best of gaming, emerge as the winners in the entertainment and interact within cinematic worlds. Its movies and theme park attractions and allows space. Some of the most-used experiences technology was created by Swiss research people to simultaneously be an observer and will involve gamification, many will involve institute Artanim as part of its work in the a participant. Also, the technology is what’s a social aspect,” says Cassy. medical industry and Vaughn claims it is behind the magic; it’s not the magic. We have “All content makers in VR have to think unique in how it creates a latency-free shared to focus on narrative and experience, and the hard about why a consumer would put on a and social experience. “It’s this combination tech should almost be invisible.” VR headset, particularly when the worlds of of group activity, unparalleled immersive tech, For Vaughn, there is enormous public TV and games already contain so many great and vibrant storytelling that’s defining our fascination with VR but the technology is “not choices.” approach.” quite ready for the home”. As he sees it, taking The company has won backing from major a location-based approach at this stage both entertainment companies including AMC broadens the consumer opportunity and taps Dreamscape Immersive Entertainment, Nickelodeon, 21st Century Fox, into an appetite in the market for ‘destination and Warner Bros and closed a US$30 million retail’. Dreamscape Immersive is a location-based Series B round of funding in December. Since “In addition to entertainment experiences, VR company with a firm footing in the then it has hosted a sold-out pop-up at the the possibilities of what location-based VR entertainment world. Founded in January Westfield Century City Mall in Los Angeles – can offer are endless. We see opportunities 2017, the company’s leadership team includes: an experience called Alien Zoo that transported for location-based VR in categories such as chairman Walter Parkes, an Academy Award up to six visitors at a time to a virtual space training – medical, design, sports, military – winning producer of films including Men in zoo where they were able to interact with education, empathy, therapy, communications, Black and Minority Report; co-chairman Kevin endangered interplanetary creatures like healing, travel and connecting elderly and Wall who has produced some of the world’s ‘frogcats’ and ‘megaraffes’. immobile people to loved ones and the world.”

Vreal

Vreal is a service that turns virtual reality games into shared experiences, expanding on the gaming broadcast idea popularised by services like Twitch and YouTube Games and applying it to the VR gaming world. “We were inspired by the opportunity to create a better way to consume VR entertainment while you are in VR,” says company founder and CEO Todd Hooper. Vreal allows content creators to share VR titles with an audience watching from their own headsets. “As a viewer, I’m not tied to the player’s perspective like I am when I’m watching a

Dreamscape’s Alien Zoo VR experience sold out in LA earlier this year.

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YouTube video or hanging out in chat with my including support for more VR games and Since then it has developed a handful of favourite streamer. I have full agency to move livestreaming.” acclaimed animated VR experiences, winning around and experience VR content from any Asked what conditions are needed for a its first Emmy for best interactive media for perspective I want, while getting a richer social significant consumer VR market to emerge, Invasion!, which Fan says has become “the experience with friends who are in the VR Hooper likens the current VR market to the top downloaded VR app across the entire VR world with me.” early days of mobile gaming. “People expected ecosystem”. Baobab announced Crow: The Like many new services in the VR space, the ‘killer app’ for mobile to come from the Legend at the Cannes Film Festival earlier Vreal blurs the boundaries of what an existing publishers. Instead it arose from newer, this year, an experience inspired by a Native entertainment service can offer by combining smaller companies like SuperCell and King, American story that is voiced by talent including elements of gaming and social media. “We see which nobody anticipated. It’s still very early in John Legend, Ready Player One’s Tye Sheridan Vreal as complementary to video platforms VR, and we see great new games and exciting and Oprah Winfrey. It also recently premiered like YouTube, Twitch, and Mixer,” says Hooper. hardware announcements every month. Jack, Part 1 at the Tribeca Film Festival – an “What we offer is an immersive livestream/ There’s already a passionate community of VR experience that combines immersive theatre social experience for people who have VR gamers that are looking forward to every new with VR technology and animation. headsets. Vreal also gives content creators the announcement.” “People oftentimes ask us, ‘Is this ability to make video content for their audiences storytelling? Is it a game? Is it a film? How watching on flat screens, so we absolutely see do you categorise it?’ I like to say that it’s a that as complementary for existing platforms.” Baobab Studios completely different medium and we try It is still early days for the company, which to create new terms instead of using old raised US$11.7 million (€10.1 million) in Baobab Studios was co-founded in late 2015 by ones,” says Fan. “Our creative vision for VR Series A funding in February ahead of the CEO Maureen Fan, the former vice president of is that you can have the empathy of film, launch of its service. The round was led by games at Zynga, and chief creative officer Eric the agency of games, and the motivation of Axioma Ventures and included new investors Darnell, an animated film veteran who directed real life.” Intel Capital and Akatsuki Entertainment all four Madagascar films and Antz! during a VR allows for “bigger-than-life stories”. Technology Fund. It also resulted in games long and successful spell at Dreamworks Viewers care about the characters, as they industry veteran Chet Faliszek and Maker Animation. would in a film, but are also able to engage and Studios’ former chief audience offer Chris Fan tells Digital TV Europe that when her respond, as they are in a games engine-driven Williams joining the board. engineers at Zynga, famed for its Farmville experience. Unlike a videogame, the focus is Hooper says the investment will primarily franchise, hacked a new game into a VR not to ‘win’. “We feel this is something that’s be used to bring Vreal to market, with an headset for fun she realised “it was the future unique to VR, and we think it has a huge, early access release on the Steam platform of animation”. Darnell, she says, “was sold profound impact on showing humans what it slated for this summer that will support once he put on the mobile headset,” realising means to be human.” HTC Vive, Oculus Rift, and Windows Mixed that VR provides the opportunity for audiences While it is difficult to predict a timeline for Reality headsets. “At first you’ll be able to to form deeper bonds with characters than the mainstream adoption of VR, Fan says that party up with friends and watch recorded VR traditional media. Fan and Darnell joined right now the key challenges are low consumer content together. Over time we’ll add features forces and Baobab Studios was born. penetration of VR headsets, friction using the hardware and, most importantly, a lack of high quality content. “The number-one thing that needs to happen is the creation of more higher-quality VR content,” she says. “People purchase consoles and platforms because they feel the content is worth it. We need more high-quality content to entice users to purchase headsets and a continuous stream of high quality content to have people continue to come back to VR/AR.” Fan says that the VR market has changed tremendously since Baobab was founded, but in an unexpected way. She describes a natural tech cycle for new technologies that goes from hype, to disillusionment to enlightenment and admits VR is currently “in the trough of disillusionment”. However, Fan is confident

Baobab Studios’ Crow: The Legend debuted at the Cannes Film Festival this year.

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that VR will live up to its potential. “The ability for VR to create moving, worlds for decades, Watson points out that a “Technology takes much longer than people engaging and memorable experiences – when number of broadcasters and TV companies expect to disrupt. However, when it does, the it’s done right – seems unparalleled when have also been dipping their toes in the disruption is much larger than expected,” compared to other traditional mediums,” says water over recent years. “Many recognise the she says. “When we talk to the best venture Watson. “We feel we have a responsibility, potential, as well the barriers, and want to learn capitalists, none of them question to this dayif as part of our remit to innovate for future VR story-craft while giving audiences fantastic VR will become a thing. The question is when audiences, to explore that potential.” experiences.” is it going to arrive and how do you time it To date, the BBC has produced a number Experimentation is a good thing, but correctly?” of experimental ‘true VR’ pieces, like We Wait, Watson cautions that a “deluge of low quality “We believe the market for VR animated The Turning Forest, and Home - A VR spacewalk, experiences” could put people off this new experiences and interactive VR experiences as well as 360° video experiences like its recent medium and claims there is a careful balance is going to be strong. The benefit of VR is two-part virtual reality news documentary that must be struck. Her advice for anyone about taking you to a completely different series Damming the Nile. Watson says the BBC looking into the VR space now is to put the place, a different world. It’s about escaping is interested in exploring both true VR and 360° audience at the heart of the experience, explore which is why I think it makes for truly great video, with both formats able to transport the what resonates and give people a good reason entertainment.” viewer to another place. While true VR offers to put a headset on. more immersion, 360° video is less expensive “For a broadcaster, and especially for the and quicker to produce, which is beneficial for BBC, we’re looking at how VR can help us BBC VR Hub content such as news. in our core mission to inform, educate and “As technology evolves there could well be entertain. We’ve already seen from our projects In December the BBC launched a virtual a merging of the two technologies to create and experiments so far that it certainly can.” reality production studio, BBC VR Hub, in a hyper-realistic, interactive VR that makes the “From putting people in the shoes of a bid to explore the nascent technology. Head of distinction less clear,” says Watson. “Volumetric migrant making a perilous journey, to taking commissioning for VR Hub, Zillah Watson, and light-field video are two examples helping people back in time and experiencing major tells Digital TV Europe that the BBC’s focus is to to blur the lines.” historical events, and even sending people into create high-quality, high-impact pieces that will While gaming is a natural market for virtual space, the reaction from audiences has been interest audiences and give them a first taste of reality, not least because the videogames overwhelmingly positive. We’re just scratching what may follow in this medium. industry has been developing stunning virtual the surface of what’s possible.” l

The building blocks for an emerging consumer market

The potential of virtual reality is clear, but uptake may well be limited by the lack of capture are two examples of how VR production various building blocks need to fall into place killer apps and compelling content,” he says. techniques are evolving, with Intel opening a for a significant consumer market to emerge, “However the lack of a large installed base of state-of-the-art volumetric capture studio in Los argues Futuresource market analyst Michael users makes many in the content community Angeles in January, well placed to cater for the Boreham. One is a reduction in the price of PC- nervous to make significant investment in major Hollywood studios. based VR, another is an increase in consumer content creation until the installed base of users “The content community is engaged in awareness through rollouts of location-based VR reaches critical mass for fear of not making good developing new creative and production experiences and VR uptake in the workplace and return on their investment.” techniques. When these challenges are in education. Third is the development of must- The release of new all-on-one headsets – like overcome, then the industry and consumers will have VR applications. the Oculus Go, Vive Focus and Lenovo Mirage have a greater understanding of the benefits of “Gaming and 360° aside, the use-case Solo – are likely to help the overall uptake of VR VR and there will be a clearer road map to app for VR has yet to become established,” says as they are cheap compared to the HTC Vive or development,” says Boreham, who claims VR is Boreham. “The content community faces a Oculus Rift, which also need to be tethered to unlikely to go the same way as 3D TV because critical challenge in trying to find those killer expensive PC hardware. This new category of the technology stretches far beyond home apps or use-cases that will make VR ubiquitous VR headsets also has advantages over mobile entertainment and gaming. in the lives of consumers. At this stage there is a VR options – they are less likely to overheat, “Entertainment VR should not be lot of experimentation being undertaken in the have a better battery life in VR mode and better perceived as an extension of existing forms gaming, broadcast and feature film communities screens than smartphones placed into Gear VR of entertainment but a form in its own right. to find the key must-have applications that will or Google Daydream headsets. There is a need to shift the perception of push VR to the mainstream.” Parallel to this, work continues to establish the consumers and the industry of what Boreham claims that the content community the best ways for VR content to be created. entertainment means beyond traditional formats is currently caught in a ‘chicken and egg’ Google’s developments in light field technology of cinema and TV and what VR brings to the situation when it comes to VR. “Consumer and Microsoft and Intel’s work on volumetric table, this process will take time.”

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p18-21 VR Hotshots DTVE JunJul18.indd 21 01/06/2018 18:11 Technology focus > Smart homes Digital TV Europe June/July 2018 Smart moves The battle for the smart home is heating up, as service providers seek to leverage their residential footprint to control Internet of Things devices. Adrian Pennington reports.

margins on pay TV, landlines networks can take some comfort from the huge With and DVRs under pressure from Well-positioned growth potential predicted for the smart home. over-the-top providers, multi-service operators ABI Research forecasts a compound annual are using their broadband connections and According to Digital TV Research, pay TV growth rate of 24% to US$39 billion globally established relationship with residential revenues will fall by US$12 billion ( 10 for this market between 2015 and 2020. customers as the foundation for a burgeoning billion) in North America, by US$566 million Analyst outfit ADL meanwhile estimates that smart home business. Diversifying into in western Europe, and by US$28 million in smart home revenues will grow by 12% a year adjacent digital home markets can augment eastern Europe by 2022 as revenues are eaten until 2020 in Europe. There will be 73 million traditional lines of business as part of a by OTT multiscreen services. smart homes in the US by 2021 and 80.6 quintuple-play, drive growth in ARPU or With pay TV revenues declining, traditional million in Europe, according to Berg Insight, increase customer stickiness. service providers with good broadband in a market valued at US$47 billion by 2020,

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according to Strategy Analytics. might mean that one or several smart home gives customers the ability to connect an ever- There’s another key statistic to think about. devices and services – for example security or increasing amount of wireless devices in the According to GfK Research, 64% of people aged lighting –have to be set up again with a new home and let you simply and easily manage all 25 to 34 already own at least one smart home provider.” of that within your home.” technology. It may be that service providers’ That’s provided they subscribe to Comcast’s best prospect for growing their customer bases WiFi platform xFi. “Broadband providers are could yet come from cord-cutting millennials Smart home players the most logically placed to offer smart home who often resist traditional residential bundles, and security solutions…. a role that will only marketing promotions and product offers. Operators are arguably in a position to increase as homes become more connected,” Broadband and pay TV service providers become major smart home players for four says Simon Trudelle, senior director, product are “relatively well positioned” according to main reasons. Connectivity is key since smart marketing at technology provider Nagra. Ovum, to deliver smart home services as home services require high-speed wireless “However, with this growth comes the potential they already have a footprint in the home broadband inside the home and ultra- for greater exposure, and therefore a need to in terms of CPE devices such as broadband broadband connectivity to the home for the play a larger role in supporting consumers. routers and set-top boxes, have a known exchange of data. Owning the connectivity Service providers can’t simply sit by and wait brand, typically already have technical support enables operators to partner with third party for crises to occur.” engineers, and an existing billing relationship service providers as well as to offer their own Research conducted by Futuresource in the with the customer. “However, monetising services. They have an existing presence inside UK, France, Germany and US shows that the the smart home is not easy,” warns Michael the home. It’s believed customers would rather main purchase triggers for consumers are Philpott, senior practice leader, consumer and not add another device from a third party when convenience and safety. The same research entertainment services at Ovum. “It requires significant investment and typically delivers a long-term return on investment. Capitalising “Broadband providers are the most logically on the smart home opportunity from a revenue perspective therefore won’t be for every service placed to offer smart home and security provider.” The required investment depends solutions.” on the business model pursued. Futuresource Consulting argues that there are two major options: a ‘loose bundling’ model requiring Simon Trudelle, Nagra less investment and a ‘tight bundling’ model. In the case of the former, service providers they already have a hub or CPE from their revealed that security companies are the most do not own infrastructure in their customers’ operator. Most customers already trust their trusted to provide smart home services and homes but have a billing relationship with pay TV operators with personal information mobile phone providers are the least trusted. them, explains market analyst Filipe Oliveira. and billing. Finally, customer service teams Pay TV providers come in the middle of the “This is often the case for mobile phone and technicians are already in place for what research outfit’s ‘trust index’. operators. Entering the smart home requires should be fast implementation of equipment “There is work to be done by those providers investment in marketing and in the devices to and services and troubleshooting. However, to persuade consumers that they are the right be bundled. Margins for new devices tend to utilities and security companies also have their smart home partners,” concludes Oliveira. be above average within consumer electronics eye on the smart home prize. For utilities, For example, a certain proportion of and, if the goal is driving ARPU, this can be the climate control is the obvious entry point. For households will be willing to pay for a right strategy. However, there are limitations security companies, connected cameras and professional home security service – i.e. in terms of increasing stickiness, as the remote monitoring are the initial proposition. one that sends professional security staff or relationship with the customer is loose and Pay TV providers and telcos on the other hand emergency services to your home in case of a they will need additional incentives or high will tend to offer packages that include multiple break-in – if there is a big enough perceived satisfaction to stay after the contract ends.” services such as security and lighting. value in that type of service. In the tight bundling scenario, service “Subscribers are willing to pay for services “The issue is that not all consumers are providers own CPE infrastructure and that bring security to their homes and make willing to pay for such services, and many benefit from their existing billing capability. their lives easier and more comfortable,” smart home applications don’t have a big “Investment will still be required in marketing suggests Oliveira. In the US, Comcast has enough value to warrant paying a monthly fee,” and devices, but players might also have to begun extending its smart home offering says Philpott. “Bundling smart home services invest in technical support for the new devices outward from the Xfinity Home security with pay TV and broadband can reduce the and services being bundled,” says Oliveira. service it launched back in 2011. initial subscriber acquisition cost, which can “Even though this model requires higher “We’re introducing a new advanced wireless provide the pay TV or broadband service investment, the strategy is more likely to prove gateway that can get you up to 1Gig WiFi provider with an advantage over other types effective from both an ARPU and customer speed,” says David Watson, president and CEO of player. However, just as with pay TV and stickiness perspective as leaving the provider of Comcast Cable on a recent earnings call. “It broadband bundles, not all consumers want a

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bundle so service providers must be careful to Swedish service provider Com Hem is other things. However, the R&D costs involved get their go-to market strategy right.” leveraging its fairly unique, culturally specific in building the necessary infrastructure relationship with 20,000 property owners will remain forbidding for most. One factor – private or tenant owner associations – hindering rollout is the cost of fitting out older Limited take-up to introduce a Facebook style network for homes. Another obstacle is that consumers will their tenants. Services include messaging not want to interact with a number of different There are cautionary tales for those who don’t that informs building tenants of a meeting, interfaces. This smart home business is also judge the market right. Telefónica-owned operational instructions for appliances highly competitive and fragmented. Amazon’s O2 UK shuttered its smart home offering at or notifications for when the communal Alexa and Microsoft’s Cortana, along with the end of last year barely a year after launch laundry room is free. This lo-fi start, aided by vendors like Apple, with Homekit & Siri, and following limited take up. technology from German TV and broadband Samsung, with SmartThings, are upping the This may speak to a wider difficulty in technology provider ABOX42, could be added ante with increasingly popular home hub convincing the UK market of the economic to with more sophisticated applications like products. benefits of such devices. In a Deloitte survey monitoring for water leaks, potentially saving Google’s Assistant, for example, will be of last year, 48% of British consumers owned the property owner some cash. installed on devices including Logitech no smart home solutions. Some 170,000 “We know providing some services for free Harmony remote controls, smart lights from Deutsche Telekom households in Germany, opens up the market for later add-ons. That’s ADT, Xiaomi, and IKEA, air conditioners however, have been able to manage smart how the TV business has worked for us –we and humidifiers from Hisense and as of last home services through their router since May have a collective basic TV tier and we upsell month the Hopper set-top box from US pay 2017. The operator has added its Magenta to pay TV,” says Com Hem product director TV provider DISH. SmartHome package to its Speedport Smart Joel Westin. “We intend to use the same for This fragmentation could however provide router, allowing users to manage a range of the smart home. For example, we can add an opportunity for service providers – if they connected devices such as an alarm system for individual alarms or charge a fee for third can provide the user experience and single doors and windows. It launched the Qivicon parties to access the service, such as local fast trusted interface – the grail of the gateway to smart home platform in 2013, which Magenta food restaurant deliveries.” the home. “Consumers will want to interact SmartHome is built on. A service provider might be tempted to with one or two interfaces that are easy to use Smart home services also need to be create its own ecosystem to keep exclusive and facilitate interoperability among devices,” bundled at attractive price points. According ownership of valuable usage data, among says Oliveira. l to another Futuresource survey, 55% of all consumers who have not adopted smart home technology explain that this is because such Choosing the right use-case devices are “too expensive”. With this in mind, increasing stickiness might be a wiser strategy When it comes to smart home services, Nokia complement these in-home services with mobile than driving ARPU, the analyst suggests. suggests there are four main use-cases for monitoring. However service providers approach operators to consider. These are: home security Analyst group ADL segments the market a the smart home, whether as providers of services using devices such as door and window little differently. It brackets home security with independent solutions or part of quintuple-play sensors to automatically trigger alarms or relay energy and utility management under home services, such solutions are likely to remain data and video to a monitoring service; the automation and sees these services being niche products that only the largest operators provision of remote and automatic control of centralised around a unique user interface. It with established infrastructures can support, a home for things like heating, ventilation, and forecasts a 6% annual growth for these services suggests Trudelle. As an alternative for small air conditioning; smart metering for monitoring until 2020. The configuration, maintenance, and mid-sized players, he points to the option the energy efficiency of appliances; and digital repair and support services available for of building smart home services on top of the health services such as remote consultations. digital home devices, such as PCs, TVs, game infrastructures that service providers already Operators can potentially partner with consoles is another promising segment of the have in place, and then partnering with third security companies to provide 24/7 monitoring smart home market – one expected to grow parties to help them establish and grow market and home automation. However, such an at 5% CAGR until 2020. ADL also earmarks share. Kudelski Group, for example, provides offering has low revenue potential as customers the e-health sector as an opportunity for HomeScout, a home security solution that will expect an entry-level service comparable telcos to offer “a unique cost control lever for scans and monitors devices within a smart with the self-install kits they can buy from health stakeholders by dematerialising some home to identify potential weaknesses. electronics shops and DIY stores. Nokia advises healthcare components.” However, since a While smart home security is the logical operators to bundle home automation with variety of players including device makers and start point for which “at least some consumers another service. The company believes home pharmaceutical companies are entering the are willing to pay a monthly fee”, according security has the greatest potential. Digital health market, the value sharing mechanism “is highly to Philpott, “service providers will need to will be driven by private healthcare providers dependent on standardisation scenarios”, be more innovative to create mass-market and insurance companies but operators can making the potential for operators uncertain. propositions.”

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from and

14 October 2018 Carlton Hotel, Grand Salon, Cannes Celebrating innovation in content, distribution and delivery

Now in their 4th year, the Content Innovation Awards – from Digital TV Europe and Television Business International - have rmly become established as the premier international event celebrating innovation in content, distribution and delivery and the wide-ranging achievements of the companies and individuals who bring video content to the world.

Key dates Entry submission deadline: July 2 Shortlist announced: August 7 Awards ceremony: October 14

2018Visit contentinnovationawards.com for Enterfrom and more information on this year’s categories now! and sponsorship opportunities

Patricia Arescy Tel: +44 (0)20 7017 5320 Email: [email protected] Michael Callan Tel: +44 (0)20 7017 5295 Email: [email protected] www.contentinnovationawards.com

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p2 18 DTVE JunJul18.indd 1 01/06/2018 11: ANGA COM 2018 > Preview Digital TV Europe June/July 2018

ANGA COM 2018: the preview

ANGA COM takes place this year at the Köln Messe from June 12-14. Digital TV Eu- rope previews some of the technologies that will be on show.

is used by some of the largest applications in cable headends. Amino Broadpeak pay TV operators globally to Modulo also provides optical HALL 7 STAND A51 HALL 7 STAND B73 deliver time-shifted TV services, transmission to and from fibre according to the company. It nodes operating in the DOCSIS 3.1 WHAT’S NEW? allows subscribers to launch frequency spectrum. DEV will Android TV solutions multiple recordings on various also use ANGA COM to show the channels simultaneously without first 162 L-band Matrix with up to WHAT DOES IT DO? any constraint on the available 20 outputs. The 162 Matrix fits At ANGA COM, Amino will bandwidth or the number of into a 2RU chassis and has a high highlight what it describes as tuners on the reception device, degree of flexibility, according to its operator-ready Android TV WHAT’S NEW? the company says. With Cloud DEV Systemtechnik. The number solutions. The company says that Multicast ABR solutions and cloud PVR, service providers can deliver of input and output channels its implementation of Android PVR start-over and catch-up TV, as can be changed, connectors and TV has been enhanced for pay well as impulsive recording, using impedances can be adjusted at TV services with higher levels of WHAT DO THEY DO? a shared copy or private copy any time. In addition to electrical customisation. Demonstrations Broadpeak will use ANGA COM model. The recorded content can and optical inputs, the 16 Matrix will highlight Amino’s dual-mode to demonstrate its nanoCDN be processed on the fly to be supports variable gain and tilt flexibility to run Android TV or multicast ABR solution, which viewed on any device type. settings and can be controlled Linux without changing hardware makes live HTTP video delivery locally, via the DEV Web Interface and access to a variety of partner to any device scalable by turning CONTACT or SNMP. DEV Systemtechnik apps, all certified to meet the millions of broadband gateways, www.broadpeak.tv will also use ANGA COM to Operator Tier specifications and cable modems, WiFi routers, and showcase its RF-over-fibre requirements. Amino will also set-tops into active components solution Optribution product, as highlight Operation Upcycle, its of an operator’s content DEV Systemtechnik well as other solutions for the programme to support operators delivery infrastructure. As the HALL 8 STAND P8 transmission and switching of to deploy a common platform first provider of ABR multicast RF signals. DEV will be exhibiting that upgrades existing legacy technology, Broadpeak claims to with Axing AG at ANGA COM. hardware. Amino says that this be revolutionising live multiscreen saves the expense of a swap- video delivery. The company’s CONTACT out, and delivers the essential solution leverages home networks, www.dev-systemtechnik.com components required for a TV allowing operators to manage transformation, including a TV the consumption peaks of live UX, growth in subscriber base, multiscreen services for millions WHAT’S NEW? Teleste reduced CAPEX and quicker of simultaneous viewers using a Modulo HFC HALL 7 STAND G31 time to market. Amino will also few megabits per second from showcase cable-IP transition their network, according to the WHAT DOES IT DO? capabilities, illustrating how company. nanoCDN has been DEV Systemtechnik will use ANGA it can hels operators migrate deployed by leading operators COM to highlight its latest product their services to IP-based worldwide for live television developments for transmission service delivery via its Enable delivery to any screen. Several and switching of RF signals. software and Move platform with use-cases for nanoCDN will be Headlining DEV’s showcase will be demos showing implementations. shown, including ultra-low latency its DOCSIS 3.1-ready Modulo HFC WHAT’S NEW? Finally, the company will highlight for live video streaming and quick headend platform. Modulo HFC Remote PHY device its Engage suite of service start, which prevents the buffering is a modular headend platform assurance management tools. at the beginning of a live content for HFC networks. The system WHAT DOES IT DO? stream to ensure quality of can be used for passive signal Teleste will use ANGA COM to CONTACT experience for end users. distribution as well as for active launch a new, DOCSIS 3.1 Remote www.aminocom.com Broadpeak’s Cloud PVR solution amplification and redundancy PHY device for distributed access

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p26-2 i DTVE JunJul18.indd 26 01/06/2018 18:8 Digital TV Europe ANGA COM 2018 > Preview June/July 2018

networks. The device, called full duplex–capable RF design: into viewer behavior for robust 1080i with 30fps to 720p with DAN300, provides operators provides an optional RF overlay content discovery optimisation. 60fps or from SPTS to MPTS, with a solution with which to for forward path capability in TiVo Entertainment Metadata according to WISI. Finally, the substantially increase their data order to utilize the full spectrum; is designed to help operators ABR Transcoder 3840 features transmission capacity. According supports legacy and out-of-band engage their customers with deep, low energy consumption and low to Teleste, the DAN300, has been services and applications; and descriptive information coupled operational costs, the company designed to provide operators is compact and energy efficient with high-resolution celebrity and says. WISI has integrated its multi- with a smooth way to deploy To ensure interoperability with athlete images designed to make headend platform, Chameleon distributed architecture in CCAP cores, DAN300 is compliant their experiences immersive and into the globally-deployed All their networks. “The Remote with CableLabs Remote PHY visually appealing, or to enable Seeing Eye (ASE) monitoring PHY technology creates major specifications. It can also be them to tap into TiVo’s scalable and troubleshooting tool. This opportunities for operators who upgraded for Full Duplex DOCSIS, matching and enrichment services multi-view monitoring platform wish to take a quantum leap which makes it a future-proof to improve operational efficiency. features a visual mosaic of video to networks with substantially investment for operators who thumbnails and gives operators higher capacity. To support are looking for a reliable solution CONTACT greater visibility and reliability operators in benefitting from for network transformations, www.tivo.com within their network, according the technology’s potential and to according to Teleste. to WISI. The faster detection and perform faster roll-outs, we have troubleshooting of errors in the create a portfolio of carefully CONTACT WISI transmitting of TV channels and designed Remote PHY products, www.teleste.com streams allows to the operator to meeting the requirements of reduce outages significantly and future technology transformation. increase customer satisfaction At ANGA COM 2018 we will be TiVo HALL 8 STAND R11 while also lowering operational pleased to introduce DAN300, HALL 7 STAND H19 costs. Additionally, WISI says the latest addition to our WHAT’S NEW it has optimized the encoding portfolio, in which high capacity, WHAT’S NEW? Headend solutions for content capabilities of Chameleon. Thanks extensive interoperatibility Cubi solutions; next-gen platform; providers and operators to higher density, the costs for with CCAP cores and flexibility personalised content delivery; encryption per TV channel have towards future needs have Entertainment Metadata WHAT DO THEY DO? decreased significantly, according been taken into account from At ANGA COM WISI will showcase to the company, something that is scratch,” says Olli Leppänen, VP WHAT DO THEY DO? optimised headend solutions for important for network operators of distributed access business At ANGA COM TiVo will highlight content providers and operators and content providers supplying for Teleste. DAN300 is designed Cubi Solutions, which the of next generation networks. TV channels and video streams to and optimised for Remote company says are designed to This includes the debut the Inca the hospitality industry that need PHY networks. It converts a 10 help pay TV operators get to ABR Transcoder 3840 along with to protect and encode content, gigabit IP connection into 1.2 market quickly with value-based new features for Tangram and according to the company. GHz full spectrum, coax-based user experiences. Cubi Solutions Chameleon. The new Inca ABR Chameleon now supports the data transmission and makes it offer hybrid entertainment Transcoder 3840 is optimised for new standard for broadcasting possible for operators to address discovery and quick, effective multiscreen & OTT applications via satellite (DVB-S2X) and offers consumers’ increasing demands guidance that unify listings for and can transcode up to 24 HD additional features such as traffic for faster broadband connectivity, linear TV, VOD and OTT sources, or 48 SD channels to multi- shaping and real-time transport according to Teleste. The product the company says. TiVo’s Next-Gen bitrate profiles. Thanks to its high stream monitoring. WISI has also provides operators with the Platform is designed to provide density, a large number of TV integrated support for the visual features needed for the last engaging features and services channels can be processed in a monitoring platform, All Seeing mile over coax and deep digital for operators’ managed Linux single rack unit for OTT delivery, Eye into its high-density platform fibre implementations and, with and Android TV set-tops. The according to WISI. In addition, the Tangram. Tangram operators now its compact design, it can also Next-Gen Platform enables quick, company says it has improved profit from more efficient channel save space and energy in the easy access to content, and will the flexibility and security of encoding options provided by new installations, according to the simplify operators’ transition to investment significantly for the software licenses for Pro:Idiom company. According to Teleste, IPTV, according to TiVo. At ANGA operator. The high density is and Samsung Lynk, according the DAN300 Remote PHY device COM, TiVo will also highlight maintained even when source to WISI. Finally, Tangram now meets CableLabs specifications, Personalised Content Discovery. codecs, bit-rates or formats are supports the satellite broadcasting ensuring multivendor The company says that its changed by the content owner, standard DVB-S2x. interoperability; provides platform powers personalised which helps operators plan OTT support for both DOCSIS 3.1 and search, recommendations, projects with confidence – e.g. CONTACT DOCSIS 3.0 modems; includes conversation and deep insights from MPEG-2 to MPEG-4, from www.wisi.de

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p26-2 i DTVE JunJul18.indd 2 01/06/2018 18:8 Viewpoint > Stuart Thomson Digital TV Europe June/July 2018

Already facing a challenge from Comcast in the shape of its competitive bid for Sky, which in turn could complicate the Disney agreement, the Murdochs now must weigh up the threat of a direct bid for Fox.

Comcast saddles up for Fox hunt

rise of sub- fore the outcome of the AT&T case is known. pace. In the case of Comcast, taking control Comcast’s scription vid- Those shareholders have every reason to wait of Fox’s assets will give it access to a much- eo-on-demand and the decline of advertising- as, at the very least, a Comcast bid could force enlarged library of content as well as an ex- based broadcasting is a well-established – and the price up. panded portfolio of network brands at home sometimes hotly contested – trend in the me- In addition to the hurdle of securing regu- and abroad. dia distribution world. latory clearance, it has been pointed out that In distribution, a deal would join Comcast’s Comcast’s recent statement that it is in “ad- Comcast’s proposal for an all-cash bid would 30% stake in Hulu to Fox’s 30% stake, giving vanced stages of preparing” an all-cash offer for play to the disadvantage of the Murdochs be- Comcast effective control of an OTT direct-to- the 21st Century Fox assets the latter has prom- cause it could lead to a big capital gains tax bill. consumer play in the US – and also in Japan ised to Disney presents a fresh headache for the However, while the Murdochs hold 40% of – to help offset the long-term decline in its Murdoch clan. Already facing a challenge from Fox’s voting stock, the Disney bid will only give domestic pay TV base. Regulatory restrictions Comcast in the shape of its competitive bid for them a vote in line with the number of shares preventing Comcast exercising control of Sky, which in turn could complicate the Disney they own, giving other shareholders more pow- Hulu that were imposed at the time of its ac- agreement, the Murdochs now must weigh up er to accept or reject it. How attractive Com- quisition of NBCUniversal, which previously the threat of a direct bid for Fox. cast’s offer will be to Fox’s other shareholders held the stake, are set to expire later this year. When Comcast made a reported US$64 bil- will depend on whether it is big enough to off- On the other hand, victory for Disney, which lion move on Fox last year, Fox’s board rejected set any tax disadvantages to them and on how also has a 30% stake, would give it effective this in favour of Disney’s lower-priced offer on attractive they find the prospect of hard cash control of Hulu, so the stakes are quite high. the grounds that it could struggle to secure the over the variable value of shares. Internationally, Comcast could gain control approval of US regulators. AT&T’s attempt to Beyond the Game of Thrones aspects of the of Sky either through its separate bid for the acquire Time Warner, the subject of a legal bat- overlapping battles for Fox and Sky, what does operator or through a combination of that and tle between the telecom giant and the US De- all of this say about the future of Comcast in a successful bid for Fox’s assets. On the other partment of Justice, served as a warning. particular and the media and pay TV business hand, if Fox acquires Sky first, Comcast could The timing of Comcast’s latest statement is in general? potentially acquire Sky later along with the oth- crucial in this respect. It comes ahead of a con- For Comcast, the strategic benefits of ac- er Fox assets that were previously promised to fluence of decisions within a few days of each quiring Fox’s assets are that it would give the Disney. A successful bid for Fox’s assets would other in mid-June that will likely play a signifi- company a much bigger international play in also give it 100% control of Star India. cant role in determining the outcome. both content and distribution – in the shape of Acquisition of these companies would give First up is a judgment on the US govern- Hulu, Sky and Star India – and would give it Comcast an international pay TV operation ment’s case against AT&T. A favourable out- much more scale in content in general, marry- with growing revenues and profitability at a come for the telecom operators would make a ing NBCUniversal with Fox’s sports networks time when its own pay TV operation in the US Comcast bid for Fox much more likely – and as well as the National Geographic and FX ca- is facing unprecedented challenges. more likely to secure the approval of Fox’s ble networks. Strategically, acquiring Fox’s assets makes shareholders. Both the content and distribution pieces are a lot of sense for Comcast. Whether it makes Second, UK culture, media and sport secre- attractive, at least in theory. sense to the number crunchers is another tary Matt Hancock is scheduled to take a final In content, scale is increasingly seen as cru- matter, particularly in view of the likely debt decision on Fox’s bid to acquire the shares in cial for success in a world where the percep- load that will be required to finance the deal. Sky that it does not already own. tion is that internet players as Facebook, Ama- The many moving parts – from overlap- Third, the European Commission must zon, Apple, Netflix and Google (the so-called ping bids to regulatory hurdles – mean that make a decision on whether Comcast’s rival FAANG group, or FANG, depending on your the only thing that can be said with certainty bid for Sky can go ahead. view of the ultimate likely impact of Apple’s about Comcast’s bid is that it creates a huge Comcast’s decision to make its intentions stalled moves into content) are making most amount of uncertainty. Actually, there is one known now makes it less likely that Fox share- of the running. Consolidation among more other certainty – which is that it will be inter- holders will approve Disney’s acquisition be- established media players has been gathering esting to watch how it all plays out. l

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Mediap29 IBC Expres DTVE 210 JunJul18.indd x 297.indd 1 29/05/201831/05/2018 18:3614:25 Technology > in focus Digital TV Europe June/July 2018 Technology in focus Infrastructure equipment and product news for digital media distribution

In Brief Sky News uses machine-learning at Royal Wedding

MTS taps Huawei Sky News teamed up with AWS events, including sports. Russian service provider MTS Elemental to use new cloud-based “While we can’t speak for Sky has teamed up with Chinese machine learning technology to en- News or their plans, it’s easy to see technology giant Huawei to hance its coverage of the UK royal how technology like this can be deploy a single multimedia plat- wedding between Prince Harry and used to enrich almost any type of form for TV services. MTS has Meghan Markle, which was held in live video content. partnered with Huawei to create Windsor in May. Sports, news, and entertainment what it describes as a unified Sky News used machine learn- content can all be enhanced by multimedia platform to develop ing and media services to name service for real-time identification machine learning-enabled video its TV products further across guests as they entered St. George’s of guests and tagging with related workflows,” said Wymbs. all distribution channels, includ- Chapel, Windsor, and enrich the information. “As one example, imagine a ing mobile, cable, satellite TV video content with facts about the Sky News used the Amazon cycling race. It takes a long time and IPTV. The service provider attendees. CloudFront content delivery to watch, and not every viewer is said that the transition to a new Sky News collaborated with network to unify the content for going to be satisfied with a five- platform would accelerate the Amazon Web Services (AWS) and distribution to viewers. UI Centric hour long, linear presentation of introduction of innovative new two AWS technology partners, designed and developed the front- the race. products and their integration GrayMeta and UI Centric. As guests end application and video player to “What if users could also access with other products offered by made their way into the chapel, enhance the experience and user certain aspects of the event that the operator and its partners. AWS captured live video and sent interface accessed by Sky News are most interesting to them? That MTS has committed to invest it to cloud-based AWS Elemental viewers. may be big climbs, or crashes, but RUB2.5 billion (€35 million) in Media Services for multiscreen The image recognition technol- it could also be things like the mo- the project. viewing optimisation. ogy could have a wide range of ment their favourite racer caught An on-demand video asset, applications including in sports, a breakaway, or fell off the back of Kaltura acquires Rapt including catch-up functionality, according to AWS Elemental chief the peloton.” TV technology outfit Kaltura has was also generated. In parallel, Sky marketing officer Keith Wymbs. Wymbs said that social sharing acquired interactive personal- combined the GrayMeta data analy- Wymbs said the technology of this enhanced content could add ised video startup Rapt Media sis platform with the Amazon Re- could have a wide range of applica- “yet another layer of user interac- for an undisclosed amount. The kognition video and image analysis tions to enhance digital coverage of tion”. acquisition follows a partnership agreement struck between the pair last year. Rapt Media cus- ORS taps Insys for SimpliTV OTT service tomers include Mercedes, EMC Dell, Alight Solutions and eBay. Austrian public broadcaster ORS eight channels, which were avail- application software, server hard- The company, which was found- has tapped Insys Video Technolo- able on iOS and Android devices. ware, Dell EMC storage systems ed in 2011 and raised US$12 mil- gies to provide the platform for an The new InsysPLAY-powered and eight instances of the AWS lion in funding, offers interactive enhanced version of its SimpliTV service will enable them to watch Elemental Delta video delivery video technology for a range OTT TV service. over 40 live channels from mul- platform. The service includes a of use-cases, including leading ORS will use the InsysPLAY plat- tiple providers on platforms from new floating video player, which viewers through a video experi- form to provide simpliTV viewers tablets and mobile phones to TVs integrates with EPG functionality ence that is personalised to with an enhanced user experience and web browsers with features in- to deliver a viewing experience their choice and can be tailored and expanded selection of content cluding catch-up TV, nPVR, pause/ while browsing programming. for marketing or educational across a broader range of consum- resume across multiple devices, API integration between Insys- purposes, enabling personalised er devices, according to Insys. and content recommendations. PLAY and AWS Elemental Delta learning for students. SimpliTV previously offered its Insys supplied an OTT platform enables ORS to offer services like customers basic live streaming of including back-end and front-end catch-up and nPVR recording.

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ntitld-19 0 01/06/2018 1:8 Digital TV Europe Technology > in focus June/July 2018

BBC predicts internet broadcasting evolution In Brief

The BBC’s technology chief has “For the BBC the question SES broadcasts 8K predicted we are not far from a Postgate: about our IP future becomes not Satellite operator SES broadcast time when all media is delivered Question of just when, but also how. Not only an 8K television signal via its over the web and called on the when not about how quickly we can get satellite system for the first time UK industry to come together as how BBC will there, but how best and under during its annual SES Industry we move into this IP era. become a web what conditions.” Days event in Luxembourg. The Speaking at the DTG Summit broadcaster. The BBC’s technology chief demonstration featured an 8K in London in May, the BBC’s chief said that for the web to be an signal transmitted via a single technology and product officer, “We believe that the days when effective distribution network 36 MHz transponder on the Matthew Postgate, said that the all media is distributed over the it needs to not only be robust, Astra 3B satellite. SES said that BBC’s current 11-year charter internet are not too far away but also universally available to the demo relied on the DVB-S2X period will be “one of transition” and there are many reasons everyone in the country without standard, which enables greater and said that change is already why we are optimistic about this exception. efficiency, with the video en- underway. next phase of our industry,” said Postgate said that fixed and coded in HEVC and transmitted While the BBC will continue to Postgate. wireless networks would currently at a rate of 80 Mbps – four times cater for both people who watch “The impact of on-demand is struggle with the live output the higher than for a 4K signal. and listen to traditional linear already apparent. That is only the BBC’s broadcast networks deliver channels and those who use the beginning. TV is going to evolve every day – especially on a week- Peace TV taps Vision247 web as their premium consump- into something more immersive, end of big events like the Royal Hybrid TV technology platform tion method, Postgate said that more pervasive, more interac- Wedding and the FA Cup Final. provider Vision247 has launched the question is “not when, but tive and more personalised. We However, he predicted the applications for smart phones how we will make the transition to already see the beginning of this problem of data caps and buffer- and a desktop interface for being an internet broadcaster”. shift.” ing will disappear over time. Peace TV Network, an interna- tional Islamic TV channel broad- casting in multiple languages Hotstar sets concurrent user streaming record and featuring Islamic orators and scholars. The service sup- Indian streaming video service streaming IPL, eight million viewers ports live TV, video-on-demand, Hotstar has set a new world record would have been a big deal for catch-up TV in English, Urdu, for online streaming, with 8.26 mil- the whole tournament. Crossing Bangla and Chinese, an EPG lion concurrent viewers, according eight million simultaneous users is and VOD metadata enabling to the company’s CDN provider a testimony to the power of Vivo community-generated ratings Akamai. stan ICC Champions’ Trophy final IPL and evidence of the abiding and recommendations. On May 22 Hotstar streamed the cricket match, the highest in the passion of cricket fans. It is not just first qualifier match of this season’s APAC at that time. about the scale, however. It is about Swisscom taps Ateme for Vivo Indian Premier league cricket The opening week of Vivo IPL reinventing the sports experience virtual headend project between Sunrisers Hyderabad and 2018 broke this record with 5.5 mil- online and constantly raising the Swisscom has tapped TV Chennai Super Kings, with 8.26 lion concurrency recorded on April, bar. Our objective is to create the technology provider Ateme to million peak concurrent viewers 10 followed by a peak of 7.1 million future of social TV. And we are provide its Titan virtual encod- tuning in simultaneously. Over on April 25. proud that the tech that we are ing platform for its MediaCloud four hours, more than 26 million The Vivo IPL 2018 tournament, building is expanding the frontiers project. Swisscom’s MediaCloud viewers tuned into Hotstar to watch now in its final week, ends this of online video.” project is designed to create an the match. Sunday. This is the fifth year that Parimal Pandya, vice president, IPTV virtualised video headend According to Akamai, the previ- Hotstar has streamed the tourna- media, APJ, Akamai Technologies, system based on video transcod- ous record is believed to have been ment. The current edition of the said: “Over the past year and a half, ing to manage numerous TV established by YouTube when Felix tournament has included features Hotstar has broken several online input formats. Ateme said that Baumgartner’s space jump in 2012 such as Watch’NPlay, a skill-based viewing records at the regional its virtualised and containerised saw a peak of just over eight million game that tests cricket fans’ level. A contributing factor was transcoder enables Swisscom to concurrent viewers tuning in to knowledge as they watch, virtual technology from Akamai playing a enhance its MediaCloud project watch the event. reality and feeds available in eight role in bringing down the latency with virtualised, cloud-based Last year recorded a peak con- languages. drastically so users can enjoy the technology, delivering lower currency of 4.8 million simultane- Ajit Mohan, CEO, Hotstar said: live action almost as well as people operating costs. ous viewers during the India-Paki- “Four years ago, when we started watching it on their television.”

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ntitld-19 1 01/06/2018 1:8 Technology > in focus Digital TV Europe June/July 2018

In Brief Sky to build new innovation centre in London

Turner using Accenture UK-based pay TV operator Sky is roles and to address the shortage Turner is using the Accenture to build a new dedicated innova- of female talent in the industry, Video Solution platform to help tion centre on its Osterley campus the new centre will become the manage and operate some of its in West London. The new space home of new Get into Tech for online video services – includ- will house technology engineers Young Women scheme. ing Filmstruck in the UK and and software developers focusing Based on the success of Sky’s Cartoon Network TV Every- on innovation across Sky’s broad- Get into Tech course, which the where (TVE) in Asia Pacific. cast and streaming platforms, company claims has already and the best products available The Accenture Video Solution consumer products and new areas helped over 100 women train to - from satellite to streaming Sky is a cloud-based, open platform such as virtual reality. be coders, the new programme has led the way. The launch of this that integrates digital video The innovation centre will cover will provide girls of school leaving dedicated innovation centre will management, distribution and about 6,500 square metres in age the chance to train for free as enable us to push the boundaries monetisation. It is scalable area. According to the pay TV a coder, with further opportuni- even further,” said Sky CEO Jer- and adaptable, letting Turner outfit, it will further strengthen ties at the Sky Software Academy emy Darroch. “The development integrate components from the Sky’s tech expertise, adding to its when they have completed the of the west London campus re- platform along with proprietary existing sites in Leeds and Milan. course. The re-development of flects Sky’s journey over the past and third-party solutions. With three dedicated technology Sky’s campus has included the 29 years. Just as we have moved hubs, the group says it will be in construction of five new buildings from porta-cabins to a world-class Oregan launches SparQ a stronger position to extend its designed to promote the free flow working environment we have Digital TV software and leadership in delivering customers of people and ideas, enabling tal- also grown from a satellite busi- services company Oregan has a high-quality viewing and user ent to collaborate and deliver the ness to Europe’s leading direct to launched the latest version of its experience. As part of Sky’s com- best outcomes for customers. consumer media company with advanced set-top box client mid- mitment to attracting and devel- “Sky customers have always content, consumer technology dleware solution, SparQ, aimed oping more women in technology enjoyed cutting edge technology and innovation at its core.” at legacy Linux set-top boxes and Android TV. Oregan said that the open standards-based Canal+ to use Apple TV 4K as its set-top box offering resolves the differences between the current security Canal+ has struck a partnership able via the IPTV boxes of Orange, and performance requirements with Apple to enable its subscrib- Free and Bouygues, with which of modern-day TV services ers to rent the Apple TV 4K box Canal+ has distribution agree- and the hardware capabilities for €6 a month and use it as their ments. of STBs that were deployed primary TV box to receive the pay The pay TV outfit recently up to a decade ago. SparQ is TV operator’s services. launched a new version of its designed to let operators offer In a move described by ing an overlay of live statistics. satellite box. The 4K Ultra HD- multiple over-the-top services Canal+ CEO Maxime Saada as a Canal+ has already made its capable G9 was launched in Janu- with varied content security “philosophical revolution” in its MyCanal app available via the Ap- ary, providing satellite and OTT requirements, while allowing for distribution strategy, Canal+ will ple TV box. However, the commer- services to multiple devices. remote device management, offer the Apple TV box, described cial alliance goes a step beyond Canal+ subscriptions via Apple analytics and quality of service by Saada as “the best decoder on that by offering Apple TV as a TV will begin from €19.99. Howev- monitoring. the market”, instead of providing decoder for Canal+ subscribers. er, Apple will likely be hoping that its own IPTV box. The move is targeted primarily users of the box are more likely TiVo deal with Fnac Darty Canal+ subscribers who use Ap- at younger consumers who are than the average consumer to TiVo has agreed a multi-year li- ple TV will have access to content willing and able to change their subscribe to additional higher-tier cence deal covering the consum- in 4K and HDR, the Apple App existing TV box for Apple TV, services. Canal+ has not divulged er electronics brands of the Fnac Store, Apple Music. Siri and other and for those who subscribe to the terms of its agreement with Darty Group. The multi-region features. Canal+’s OTT TV service. Apple, including how much it is European intellectual property Canal+ is also offering an en- Canal+ will continue to provide investing in acquiring Apple TV license enables Fnac Darty to hanced sports offering with Multi- a dedicated satellite box for those devices to rent to its customers. deploy patented TiVo innova- Live functionality – meaning that taking its DTH offering – currently “We are proud to offer Apple tions in its own branded set-top several live streams can be viewed about two in five of its overall TV 4K and our unique selection box (STB) and TV products. simultaneously on the same base in metropolitan France – and of programming to our millions of screen, and Mode Expert, provid- Canal+ will continue to be avail- subscribers in France.

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ntitld-19 2 01/06/2018 1:8 Digital TV Europe Technology > in focus June/July 2018

Netgem’s UK SoundBox HD-Amazon Prime offer In Brief

TV technology outfit Netgem Alazard said that selling the T-2 taps Amino for 4K has launched an all-in-one smart box direct to consumers via Slovenian service provider T-2 soundbar and TV box in the Amazon would be followed up has tapped UK-based outfit UK market in partnership with by further direct-to-consumer Amino to provide technology to Amazon. distribution agreements and by support the operator’s launch Netgem has struck a deal with deals with service providers. of the country’s first 4K UHD TV Amazon to offer its SoundBox HD Alazard said that the serv- service. Amino said it is deploy- direct to consumers via the Ama- ice provider target market for ing technology that will under- zon website along with a year’s the device would typically be pin a major service upgrade, subscription to Amazon Prime for utility companies and smaller which will expand T-2’s service a price of £249. at Netgem, speaking to DTVE at broadband providers that want to include 4K UHD content and Netgem has also developed the recent TV Connect event in to deploy a ready-to-go service value-added Video on Demand an Alexa video skill, which the London. quickly. and Subscription VOD services. company said is “working well” Alazard said there was “clear Alazard said that Netgem’s on the existing version of the box demand for a high-quality main aim with these devices was Edge stake in Airbeem and can be used by owners of the soundbar to complement the new to attract small to medium sized Creative industries investment Echo Dot device. range of thinner TVs” that lack service providers, competing outfit Edge Investments has Netgem plans to integrate high-end speakers. with the likes of Roku and other invested in a “significant” minor- Alexa directly into the SoundBox, As well as Freeview TV, the streaming devices. ity stake in OTT TV distribution meaning that an Echo Dot will device includes access to an Beyond the UK, Netgem platform provider Airbeem. not be needed to make it work, a on-demand kids hub featuring also plans to launch the device Airbeem’s software-as-a-service feature that will be released in a services such as Hopster, a music in France and Germany, and platform is designed to enable month or so, according to Emma hub and SVOD services such as possibly in other markets, said content owners to publish and Alazard, head of communications Hayu from NBCUniversal. Alazard. make money from video content delivered direct to consumers across multiple devices. Microsoft: web standards ‘re-imagining TV’ Starz Play deal with New web media standards consti- Simmons. “The same thing is hap- Intigral tute an inflection point that will pening here with media. The same Starz Play has agreed a allow the broadcast industry to standards are creating a mobility three-year deal with Intigral, a “reimagine television,” accord- of web media experience, so we’re provider of IP video products ing to Microsoft media platform in a position where we need to and billing services in the MENA architect, John Simmons. re-imagine media consumption or region. The agreement will make Speaking at the recent DTG re-imagine television.” Starz Play’s content library avail- Summit in London, Simmons Discussing this re-imagined able through Intigral’s Jawwy said that the industry is seeing media consumption, Simmons de- TV box and application, allowing a comparable inflection point to scribed three tiers of commercial becoming a channel.” subscribers to access 10,000 the internet in 1993 when HTTP, web media: tier one is bandwidth- “This is what is made possible hours of on-demand content HTML and the Mosaic browser constrained linear content from by that standardisation, where it across devices. created a new web experience. cable, satellite or telco providers; takes away the friction that would Simmons drew a parallel tier two is direct-to-consumer prevent say all the work that Euskaltel Netflix button between 1993 and 2018 when the offerings such as Netflix; and tier Netflix had to do to get on every Spanish cable operator Euskaltel emerge of the Common Media Ap- three is long-tail or niche content device that you have in the home. has introduced direct access plication Format (CMAF), Dynamic that he argued is being made Once you have these standards, via a dedicated remote control Adaptive Streaming over HTTP practical by global internet stand- getting a channel distributed button to Netflix on its 4K (DASH), HMTL media extensions ards for commercial media. broadly becomes a relatively easy set-top boxes across its own and progressive web apps are “I’m talking about every sports thing, opening up this third tier.” Basque Country network and for creating a mobility of web media franchise having their own chan- “All of these changes in the subscribers to Galicia network experience. “What had happened nel,” said Simmons, describing his internet, all of these web stand- R. The operators said that the was Tim Berners-Lee had not just ‘tier-three’ of content. “I’m talking ards, constitute an inflection point functionality would be extended invented HTML and HTTP, he had about every magazine you see in and an opportunity for you in the to Telecable. reimagined the internet,” said the magazine stand potentially broadcast world to reimagine TV.”

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ntitld-19 01/06/2018 1:8 People > Places Digital TV Europe June/July 2015

On the move

Modern Times of investor relations for KPN, Reynaud’s appointment has been Sports media outfit Perform Group, Group chief replaces Jan Wildeboer. He takes accompanied by a revamp of which operates the DAZN sports strategy officer his post on June 1. Stammeijer the management team. Nicolas OTT TV service, has named former Gabriel Catrina worked in the telecom sector team Jaeger, previously treasurer and ESPN president John Skipper (pictured) is set for ING Wholesale Banking before head of investor relations, has been as executive chairman. Skipper, to become chief joining KPN in 2010. Reinout Van named as director of finance, while based in New York, will oversee all financial officer Ierschot, currently senior investor Camille Perrin has been appointed of Perform Group’s operations and of Nordic Entertainment Group as relations officer, will take over day- as director of marketing. Other strategy and report to the Board. MTG prepares to divide its business to-day management of the investor appointments include Shahrzad Simon Denyer, Perform Group’s in two. Catrina will combine the relations team. Sharvan as deputy secretary founder, will continue as CEO based group CFO role with his previously general, and Aude Mercier as in London. announced position as EVP, chief TV industry director of human resources. strategy officer and head of M&A veteran Vernon OTT for Nordic Entertainment Group, Sanders has Danish telco distribution effective July 1. Meanwhile Peter been drafted TDC’s CEO platform Nørrelund, who is currently in as co-head Pernille Airbeem has executive vice-president and CEO of television Erenbjerg named former of MTG Sport, will become EVP, at Amazon (pictured) is Ericsson exec head of product development Studios. Working alongside Albert to leave after Thorsten and incubation from July 1. He Cheng, he will oversee creative a transition Sauer as executive chairman. also becomes co-CEO of MTG’s and production units for Amazon period, with Sauer was previously president eSports business DreamHack Prime Video. While at NBC, Sanders Mike Parton named as temporary of Ericsson Broadcast and Media with immediate effect, working worked on hit series including chairman. Parton is currently Services, now known as Red Bee alongside current president and 30 Rock, The Office, Friday Night chairman of Tele2, where he led Media. CEO Marcus Lindmark. MTG’s Lights, This is Us, The Blacklist and the merger of the Swedish mobile current head of legal – M&A and the recent revival of Will and Grace. group with cable operator Com German cable operator Tele corporate legal affairs, Johan He left NBC last year and signed a Hem. Parton is also chairman of UK Columbus is making a series of Levinsson, will become MTG Group production deal with Universal TV. transmission outfit Arqiva, which is changes to its senior executive general counsel from July 1. 25% owned by TDC’s new owner team. Chief marketing officer Vodafone CEO Vittorio Colao Macquarie Group. Tobias Schmidt is leaving the Chip Canter, formerly general is to step down in October after company on June 15. All marketing manager of Verizon’s Go90 video 10 years in charge. Colao will be OTT TV and sales activities for residential service, has joined OTT technology replaced by group chief financial technology business will now be combined and outfit Massive Interactive. Canter, officer Nick Read on October 1. outfit Piksel has merged under the newly created who left Verizon in 2017, has joined Prior to this, at the company’s named former role of chief commercial officer. as global chief revenue officer. annual general meeting on July EBU director Tele Columbus has named Stefan 27, Read will become group chief of technology Riedel as CCO. Riedel, who took up Media intelligence firm Kantar executive-designate and deputy and innovation his new post on June 1, comes from Media has appointed the CEO of CFO Margherita Della Valle will Simon Fell to its board. Fell led the Switzerland’s second-largest online its Millward Brown UK research take over as group chief financial team spearheading developments ticket sales outfit Starticket, where agency, Louise Ainsworth, as CEO officer and will join the board. in media technologies and he has been CEO since 2016. Tele of its EMEA business. Ainsworth innovation at the EBU. Previously Columbus has also named Roland will take up her new role on June Iliad Telecom/Free has named he served as CTO at Heathrow Schleicher as chief operating 25 and will sit on the Kantar Media Thomas Reynaud as its new CEO, Airport and worked on the launch officer, effective as of July 1. The executive committee, reporting to replacing Maxime Lombardini, of Freeview HD in the UK. He has former McKinsey consultant CEO and chairman Andy Brown. who is stepping aside to take also served as director of future will oversee the expansion of over as president of the group’s technologies at UK commercial operational functions and digital Dutch telco KPN has named administrative board – in broadcaster ITV, has chaired the transformation. l Wouter Stammeijer as executive effect, chairman. Lombardini Technical Council at the UK’s vice-president of strategy. replaces Cyril Poidatz, who Digital Television Group, and was Please email contributions to: Stammeijer, who is currently head becomes secretary-general. chairman of the HD Forum. [email protected]

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BCA18_MarVPAd_AdvancedTelevision_210x297_D1.inddpXX BCA DTVE JunJul18.indd 1 1 29/05/201819/3/18 6:23 17:50 PM Final analysis > Kate Bulkley Digital TV Europe June/July 2018

“The content arms race – driven by the FAANGs’ deep pockets and big ambitions – has changed the way the legacy media companies are doing business.”

FAANGs bite in Europe

rise of Netflix as a global and consumers is no mean feat, especially when nation for this may be that ProSiebenSat1 has The premium drama content the announcements keep coming. too many VOD platforms; it operates four, commissioner has been a huge wake-up call Google announced this month that including an advertising VOD service with to the television business. This proverbial flea YouTube will re-brand its premium video Discovery. Meanwhile, Sky Ticket, the Ger- in the fabric of the TV ecosystem continues to subscription service to YouTube Premium man equivalent of Now TV in the UK, has rock a lot of business models as broadcasters, and will send it to Europe, with planned been through a repositioning but is still not a producers and platforms have all scrambled launches in a number of European countries, heavily marketed service. to figure out how to deal with this new, deep- including Denmark, Finland, France, Ger- Netflix’s strategy is particularly successful pocketed beast. many, Ireland, Italy, Norway, Russia, Spain, as it benefits from distribution partnerships Netflix is still making waves – its latest Sweden and the UK. However, even before such as the ones it has with Deutsche Tele- coup is signing up the Obamas to produce YouTube Premium’s announcement, it has kom and Vodafone. Amazon has just done a films and series for the streaming platform – been very clear that Europe is a key target ter- bundling deal with BT in the UK and is soon but other big tech platforms are also gaining ritory for the FAANGs. likely to find some German partners too. traction as they dive into the video business. Against this backdrop, the latest European On-demand viewing, both ad-supported Ominously known by the collective moniker broadcaster to increase its focus on VOD is and subscription VOD, is now an expecta- of FAANG (Facebook, Amazon, Apple, Netf- RTL, whose new CEO Bert Habets is concen- tion among viewers who have bought into lix and Google) these players are continuing trating on a hybrid digital approach that com- the idea of binge watching ever since Netflix to shake-up the business, from writing big bines free, advertising-financed services with broke the linear viewing mould. But, while no cheques for original commissions to signing a premium pay product across a number European TV expert expects linear TV view- exclusive talent deals with showrunners and of its territories. Some are calling RTL’s ap- ing to go away any time soon, the VOD battle- writers, to getting into live programming, in- proach a ‘German Hulu’. RTL launched a ground is still in the testing phase about how cluding sports. Indeed, everything seems to new free channel in Germany based on ac- best to find and keep viewers’ attention. be in their collective cross hairs. quired US content. Called Now US, it will be It’s ironic that the regulators are partly The content arms race – driven by the exclusively available to the VOD platform be- to blame for the current situation. Both in FAANGs’ deep pockets and big ambitions – fore broadcast and then for 30 days after the Germany (in 2011) and in the UK (in 2009), has changed the way the legacy media com- linear broadcast as well. RTL is also working plans for an online joint venture among tradi- panies are doing business, both driving big on better collaboration on how to scale up its tional broadcasters were stopped because of a M&A events as they try to scale up as well as digital businesses. fear that it would threaten competition in the causing a re-think in how to leverage talent This comes at a time when Amazon and broadcasting marketplace. Now, the whole relationships, do co-productions and create Netflix are both doing strong business in Ger- idea of partnerships among PSBs and non- new bundling strategies. A big part of the cur- many. In 2017, Amazon’s VoD service out- FAANGs has returned with a vengence. rent fight back by broadcasters, content pro- paced all others in the market including Netf- No battle is lost until the final blow is ducers and pay TV operators is around video- lix, according to research by Enders Analysis. struck, but the FAANGs have the upper hand on-demand, box sets and direct-to-consumer It estimated Amazon’s subscriber count to be and it will take major efforts across Europe to offers. Creating competing on-demand and 3.7 million and Netflix’s to be 2.7 million in carve out a viable VOD business that works streaming services and working on a better the country, with both services still growing. both for broadcasters and their audiences. l understanding of what customers want has Maxdome, ProSiebenSat1’s OTT service, become a mantra. How to re-align and re- is limping along in terms of monthly views, Kate Bulkley is a journalist specialising imagine content offerings and services in a well behind the top four VOD competitors – in media and telecommunications. landscape where there is so much choice for Amazon, Netflix, ARD and RTL. One expla- [email protected]

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