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How OTT is changing the shape of Pay TV

Third-party OTT partnerships Reaching out with Pay TV Lite OTT as a broadcast substitute Virtualisation and cloudification Agility to compete with NAGRA_Pub_VideoNet_210x297.indd 1

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04.09.15 11:41 VIDEONET Sponsored by PAY TV OTT ISSUE 34 INTRODUCTION Pay TV operators have always had a big castle (STB platforms and compelling content) surrounded by fertile lands (relatively high ARPU subscribers). The lands beyond were hard to farm (traditional non-Pay TV homes) so remained unsettled until new farming methods (OTT technologies) dramatically improved the yield-to-effort ratio (leading to new, low ARPU pay viewers). New settlers arrived to take advantage (pure-play Videonet gives platform operators, media groups and OTT). Fearing they would raise an army and march on the castle, Pay TV operators channel owners information built fortified outposts (TV Everywhere). they are trying to claim the new pro- and analysis that helps ductive lands for themselves (with Pay TV Lite and online SVOD) using the same them transform themselves farming techniques (OTT). Some of the new settlers bring advanced culture and for the connected era. We goods (great content and increasingly loyal users) and there are some leaders in the are focused on the push Pay TV kingdom who want to trade with them (integrating third-party OTT into the towards any-screen TV, virtualized operations, STB platform). data-driven advertising, This is the tale of the television industry today. In this report we give you the programmatic trading, more real-world version of how Pay TV operators aim to triumph in the OTT era, including HTTP streaming, immersive the strategies and technologies they are using to defend and expand their businesses. television and more personalized TV experiences, John Moulding, Editor-in-Chief, Videonet highlighting trends and best practice in an era of unprecedented disruption and new opportunities. We CONTENTS: HOW OTT IS CHANGING THE SHAPE OF PAY TV deliver our insights through a regular newsletter, special reports and webcasts. • Capturing share of a fast-growing market Pay TV is still growing but OTT is growing faster – much faster. This explains the threat and the Cover photo: opportunity that OTT presents to platform operators. The Yomvi service, illustrated by NAGRA • Bringing OTT partners onto the Pay TV platform Editor Since it became apparent that online SVOD and Pay TV can co-exist, interest has grown in John Moulding ‘onboarding’ OTT providers onto STB platforms. [email protected]

• Reaching new market segments with Pay TV Lite Publisher Pay TV Lite feeds a desire for a more a la carte approach to buying content, which can only be Justin Lebbon accommodated so far on the full-flavour services. [email protected]

Advertising and • OTT distribution as a substitute for IPTV or satellite Marketing Streaming video can be used to increase the overall addressable market for traditional, full-flavour Katrina Coyne, Business Pay TV, with OTT substituting traditional distribution. Development Director +44 (0)20 8425 0966 • New operations paradigms thanks to virtualisation [email protected] The virtualisation of video processing and storage means you can exploit cloud capabilities including SaaS, meaning faster launches. Websites www.v-net.tv • Increased agility to compete with Netflix and Amazon www.futuretvads.com There is an operations revolution underway, taking lessons from the IT and Internet worlds, that www.connectedtvsummit.com enables Pay TV to compete more effectively with rivals.

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04.09.15 13:46 Sponsored by PAY TV OTT SPONSOR’S INTRO: How OTT TV is changing television: moving to the Cloud

By Simon Trudelle, Senior Product Marketing Director, NAGRA he past year has proven to be rich in new OTT ser- In essence, OTT TV sets new expectations for mul- Tvice launches, making it clear to everyone that the tiscreen pay-TV platforms: they have to be cloud-based, premium video and TV content industry, from Hol- address the need for securely delivering live and on- lywood studios to live sports broadcasters, has decided demand content across multiple networks and devices, to leverage the power of OTT and cloud technologies to while ensuring a flexible environment for updating the distribute content over IP networks. In parallel, several platform and optimizing operating costs. Industry lead- leading pay-TV service providers have ramped up their ing operators are already showing the way: the “cloudifi- OTT and multiscreen TV services, including reaching cation” of converged TV systems – at the backend and on agreements with leading ‘pure player’ OTT platforms, to the client side – is happening fast, driven by new feature- enrich their content offerings and deliver more value and sets, time-to-market and cost efficiency. convenience to their subscribers. At NAGRA, we believe that “moving to the cloud” According to recent NAGRA-commissioned in- is both a business opportunity and a must for pay-TV dustry research – highlighted in this report – OTT and service providers. Doing so will ensure they stay in their multiscreen TV are gaining mass adoption and becoming leadership position in an open and dynamic video market a must-have for pay-TV service providers worldwide. Yet environment where they are now competing with some integrating new OTT content platforms and on-demand of their content suppliers, either directly or through Sili- services into existing multi-channel broadcast-centric con Giant resellers. offerings calls for a change in the way pay-TV platforms Having worked with leading pay-TV service pro- are architected and operated, influenced by cloud-based viders to implement strategic transitions to converged technologies. There are three aspects to consider: platforms, NAGRA offers a unique and exciting mix of next-generation cloud-based TV products such as the • OTT TV is a “cloud native” solution, generally MediaLive multiscreen solution that leverages public designed to work on standard virtualized IT in- and private cloud infrastructure, or a pragmatic mix of frastructure. It enables an exciting range of new both, while supporting fast and frequent product re- cloud-based TV services, from start-over TV to full lease deployments. On the client side, with the OpenTV network PVR and VOD capabilities across a large 5 connectware platform and studio-approved anyCAST range of operator and consumer devices; content protection products, NAGRA is also enabling the accelerated integration of third-party premium OTT • OTT TV platforms reach a broad range of fast- services like Netflix into the service provider user inter- evolving consumer devices such as smartphones, face on set-top boxes and other devices. These solutions tablets and PCs that also imply short technology can be deployed on-premise or as SaaS, cloud TV servic- upgrade lifecycles, meaning that apps and services es. This ensures that win-win OTT TV business propo- get regularly (almost constantly) updated, at a rate sitions, in-house defined or from third-party providers, rarely seen before in the broadcast pay-TV world; can be quickly delivered to subscribers with the required best-of-class user experience and security on all devices. • OTT TV is elastic and service-oriented by design, The report that follows takes a comprehensive look addressing peak usage scenarios as well as enabling at OTT TV and the cloud and how both will continue to alternative Software-as-a-Service (SaaS) business transform the infrastructure choices of cable, satellite and models that provide new opportunities for mon- telco service providers over the coming years. It also shows etizing content. how leveraging existing assets and networks while relying on proven market solutions will be key for business success.

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Capturing How OTT is share of a changing the fast-growing market shape of Pay TV Pay TV is still growing but OTT is growing faster – much faster. And that fact sums up both the threat and We investigate how Pay TV operators are the opportunity that OTT video pre- harnessing OTT distribution, and operations sents to platform operators. paradigms from the IT and Internet worlds, to As a result, many operators are defend their turf, reach out to new markets and now moving beyond TV Everywhere make themselves more agile. By John Moulding. (authenticated multiscreen viewing for existing set-top box subscribers) to provide their own standalone OTT services that target different con- sumer segments, either with SVOD (Subscription VOD) or Pay TV Lite (generally a sub-set of the full Pay TV offer, made available on short contracts and with more a la carte freedom) or both. In some cases it is becoming possible for operators to use the same headends for all their multiscreen and OTT distribution, making operations easier. Other Pay TV operators are integrating third-party SVOD, like Netflix and Maxdome, into their set- top box platforms to expand their role as an ‘experience provider’ and to help keep customers on-platform. We are also seeing OTT used instead of satellite or IPTV to make full-fla- vour Pay TV bouquets available to customers who could not previously get them for technical reasons. The need to become more engaged in the OTT video market- place is clear enough. According to the forecasting firm Digital TV Re- search in April, Pay TV subscribers in Western Europe numbered nearly 93 million in 2010, will hit 99 mil- Yomvi from Canal+ - taking full advantage of OTT distribution lion this year and increase to 105

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Source: Digital TV Research million in 2020, but Simon Murray, Despite the number of Pay TV Principal Analyst at Digital TV Re- homes increasing, revenues will search, says: “Despite the number of Pay TV homes increasing, revenues remain flat and ARPU is falling will remain flat at around $32 billion. ARPU is falling in most countries total (it was only 12% of the total in Broadcast Services for Sky in the UK and on most platforms.” 2010). The research firm Ovum reck- speaks for a number of Pay TV op- Also in April, ABI Research ons SVOD will generate two-thirds erators when he says: “OTT is critical said in its ‘OTT and Multiscreen of OTT video business this year on for Sky. It is growing in importance Services Market Research’ that the a world scale. all the time.” Pay TV market has been struggling Consumption of OTT-de- In March, Yomvi de Canal+, a with increasing customer churn and livered content from the Pay TV leading OTT service (then operated maintaining ARPU. The analyst firm operators themselves is increasing. by Canal+ in Spain - now part of Tel- forecasts 3.7% CAGR (compound Sky Deutschland recently revealed efónica) estimated that half a million annual growth rate) to 2020. In con- that 34% of the viewing for ‘Game people watched the El Clasico game trast it predicts 24% CAGR for OTT of Thrones’ was conducted via its between Real Madrid and Barcelo- video to 2019 (following 26% rev- TV Everywhere service. For na live on the platform. There were enue growth this year). ‘House of Cards’, where all the epi- 376,000 devices logged-on, meaning The same company notes sodes were released at the same time, device reach was 29% higher than that SVOD will be the largest OTT the figure was 64%. the previous year. revenue source in Western Europe Matt McDonald, Director of “We are very pleased to see how by 2016, accounting for 47% of the

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nDVR and startover, another ad- vanced time-shifting feature. “Being able to watch recordings on personal devices is very, very appreciated by customers and it is very widely used,” he reports. Eric Abbruzzese says personal recordings will be a primary factor in differentiating TV Everywhere ser- vices, “and likely one of the most dif- ficult to implement widely, thanks to licensing and copyright regulations”. ‘Casting’ will be another fea- ture that shapes the TV Everywhere environment, according to Trudelle, The hybrid IP/broadcast EPG at Canal+ France who can point to another NAGRA customer, the French cable opera- quickly the service is being accepted for open devices.” tor Numericable, as an example of and used by consumers. We believe Euskaltel uses the NAGRA where it is being implemented today. OTT is and will continue to be a key MediaLive multiscreen backoffice“That is a behaviour that is gaining driver for growth over the next few and delivery platform for its Edonon traction and will become a standard years,” Adolfo Remacha, Chief Tech- multiscreen service, which launched feature,” he says. nology Officer, Canal+ Spain, said at in June 2014 and features a large So what are the next steps be- the time. number of live channels. yond a next-generation TVE offer- TV Everywhere (TVE) is the Alejandro Casal Gómez, Con- ing? Earlier this year, NAGRA com- starting point for what could be sultant & TV Manager at KPN, the missioned the research and strategy viewed as the Pay TV operator OTT Dutch telco and IPTV provider, has consultancy MTM to explore the op- migration. Eric Abbruzzese, Re- hailed the importance of multiscreen portunities for Pay TV operators in search Analyst for TV & Video at ABI Research, says TVE is not business critical yet, but almost. In April his 376,000 devices logged-on to the company listed some of the features Real Madrid and Barcelona game needed to combat the growing popu- larity of Netflix, HBO Go and others. live on Yomvi de Canal+, 29% They included mobile device support, higher than the previous year a TVE experience that is streamlined and easy to understand, and content search and recommendation. Simon Trudelle, Senior Prod- uct Marketing Director at NAGRA, which provides a range of multiscreen and OTT solutions to the Pay TV in- dustry, reckons network DVR will soon become a baseline requirement. “It is happening today, deployed,” he notes, pointing to NAGRA custom- ers like Euskaltel in northern Spain. “They have an nDVR service that is inherently multi-device, using differ- ent delivery schemes for the STB and Virtualised headend workflows boost multiscreen (Pic: Ericsson)

VIDEONET | ISSUE 34 | WWW.V-NET.TV Sponsored by PAY TV OTT the OTT market and this included platform – cable operators and telcos a look at operator strategies and ra- scored it 4.2 and satellite operators tionale for investment. The company scored it 3.6. Executives also wanted surveyed 90 senior executives world- to use OTT to leverage increased wide and included a programme of knowledge about customers, partly in-depth interviews with operators, to enable targeted advertising (3.7 premium OTT providers and Pay TV rating). broadcasters. In simple terms, Pay TV op- MTM found that the perfor- erators are focused on TV Every- mance indicators executives wanted where, off-net services that target to most improve, using OTT, were new customer segments and OTT increasing customer satisfaction, re- services that “super-serve customers ducing churn, enhancing brand and on set-top box platforms” over the image, and growing ARPU. Other next three years. According to MTM, drivers, rated in importance between 80% of the respondents think Pay TV 1-5 (and with the average rating operators will increasingly use lin- shown here) included: Attract new ear premium OTT services to offer audience segments (4.3), capture higher quality content formats like viewing share across mobile devices 4K and additional services that sup- (4.2) and provide a new channel to plement their linear broadcast. Guy Bisson, Ampere Analysis market (3.7). MTM also lists the success fac- Asked to rate the importance tors for OTT video according to their tablet app; Provide an integrated of onboarding - bringing third-party level of importance. The top five are: user experience across devices; Pro- OTT services onto your set-top box Offer a service through a mobile/ vide innovative pricing options like day passes; Appeal to a broad range of audience segments; Bundle third- Performance indicators party OTT services with your own service. executives wanted to most We are already seeing the re- improve, using OTT, were sults of this thinking. DISH Network, as one example (the US satellite Pay increasing customer satisfaction TV operator) has integrated Netf- and reducing churn lix onto its STB platform and given the SVOD giant a channel slot on its EPG. It has also launched Sling TV, its standalone Pay TV Lite OTT offer. DISH was the first of the Pay TV Lite providers to explicitly describe its service as “a viable alternative for live television to the millennial audience,” which is how DISH President and CEO Joseph P. Clayton introduced the service. Clayton added at launch: “This service gives millions of consumers a new consideration for Pay TV. Sling TV fills a void for an underserved au- dience.” Simon Trudelle at NAGRA says there is an appetite among Pay Sam Blackman, Elemental Technologies TV operators for targeting a new

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Perceived importance of premium OTT video opportunities Source: Profiting from the OTT explosion: opportunities for pay-TV providers, June 2015

consumer segment that up until now was hard to convert into subscrib- ers. “They are mostly younger people “Any provider looking to without families but with a passion capitalise on a younger - on for some kinds of content. They are not signing up for Pay TV but getting average - demographic should their content somewhere else.” look towards Pay TV Lite” Eric Abbruzzese at ABI Re- search says Pay TV Lite presents a very promising market opportunity, about Pay TV Lite, most notably the that some operators are attaching to although it is immature. “Even so, need to avoid cannibalizing the full- Pay TV Lite. being early to market will be ben- flavour Pay TV offer. And in May, In April, ABI Research made eficial in the long run, by allowing Jeff Heynen, Research Director for it clear how important the analyst a product the opportunity to grow Broadband Access and Pay TV at IHS firm thinks OTT is generally to this along with the changes in the mar- warned that the net result of operator market, referring to Pay TV Lite type ket, rather than spend a long time OTT services aimed at cord-nevers services and onboarding. “While Pay in R&D and miss a lucrative launch and cord-cutters “will be slower reve- TV will continue to hold market ma- window.” He adds: “Any provider nue growth globally, as OTT services jority going forward, the best chance looking to capitalise on a younger - carry a lower ARPU.” for positive growth in the Pay TV on average - demographic should Whether true or not, that does space lies in the implementation of look towards Pay TV Lite.” not reduce the strategic imperative OTT capability in both standalone There are a few concerns

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Partnership strategies for on-platform OTT service provision Source: Profiting from the OTT explosion: opportunities for pay-TV providers, June 2015

and IP-enabled STB capacities. Those that have already embraced Unitymedia Kabel provides these ideas are on track to see future growth in a slowly declining market.” integrated billing and first-line Onboarding is one of the big- customer support for Maxdome gest stories from the last 12 months on its set-top box and we can now see most of the models that are likely to appear. BT integrated billing and first-line cus- premium in Europe for broadband was first to put Netflix onto the ex- tomer support for the service. Nu- according to the quality of service isting Pay TV bill when it integrated mericable pioneered the concept of and speeds offered.” He believes the SVOD service with its IPTV STB the OTT marketplace a few years ago, there is a small revenue share avail- platform. Unitymedia Kabel, the Ger- where you have multiple third-party able to platform operators from the man cable operator, has gone a step online services available via the PC SVOD provider, too. further with Maxdome, providing and set-top box. Broughton says onboarding is Daniel Hesselbarth, Product a strategy for companies who are not Innovations TV & Broadband at Uni- in control of all their content, whereas tymedia, told Connected TV World Pay TV operators with the best con- Summit recently: “We have SVOD tent are still keeping the SVOD pro- as part of the core experience. Max- viders at arms length. Indeed, in its dome is integrated deeply into the study of the OTT market, MTM dis- platform in search and recommen- covered that one-third of respondents dations. You cannot discriminate any do not see bringing third-party pre- more where the content is coming mium OTT services onto their plat- from. The content could come from form as an important opportunity. TVOD [transactional VOD], SVOD MTM noted that, “Major Pay or linear television.” TV operators with access to strong Richard Broughton, Research content rights are well positioned to Director at research firm Ampere sustain a go-it-alone strategy, invest- Analysis, says telcos and cable op- ing in their own on-net and off-net erators see SVOD integrations as a premium OTT services. However, way to boost their triple-play offers. small-scale cable operators and tel- “They are happy to feed broadband cos are likely to find a go-it-alone demand; you can operate a price approach challenging to sustain Ian Trow, Harmonic

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Success factors for OTT video services, by level of importance Source: Profiting from the OTT explosion: opportunities for pay-TV providers, June 2015

trend back in October 2013 with the Decipher highlighted a key conclusion (from its Mediabug me- dia consumption tracker) that SVOD trend back in October 2013: SVOD was not significantly eroding Pay was not significantly eroding TV subscriptions. They noted at the Pay TV subscriptions time: “While subscriptions to SVOD services are on the rise, only 5% of because they lack the scale to effi- an already unforgiving competitive homes have cancelled or reduced ciently develop their own premium environment that will intensify. their Pay TV subscription as a result OTT services.” of an SVOD subscription – well be- The Pay TV industry remains low the average churn rate – and only wary of OTT. Tony Gunnarsson, 6% of SVOD subscribers are think- Senior Analyst for TV at Ovum, the Bringing OTT ing of doing so in the future.” research and consulting company, In Autumn 2013 Virgin Me- recently highlighted the popularity partners onto dia made one of the most significant of original productions from SVOD content ‘distribution’ deals of the providers and the emergence of the Pay TV decade, making Netflix available on streaming services like PlayStation a Pay TV platform for the first time, Vue and Yaveo that he says represent platform and with the SVOD content showing the first services that can truly sub- Decipher, the UK media consult- up in a universal search on the TiVo stitute traditional Pay TV. He talks of ing firm, was early to highlight a key STB platform.

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At Connected TV World Sum- Guy Bisson, Research Director paying households. mit in June 2015, Andrew Kearney, at Ampere Analysis, noted in June “Pay TV operators, across all VP Design at Liberty Global, (which that more US Pay TV homes now platform technologies, must now re- owns ) confirmed that take Pay TV with third-party SVOD alise the importance of services like the cable operator is still committed than take Pay TV alone. “The big Netflix to their own channel line- to onboarding as a key part of what a European markets have some way ups,” he contends. “Bringing SVOD cable operator must offer customers to go before they catch-up, but with services on-platform, something in future. more than 25% of UK homes already have long suggested is key, suddenly “Service providers should taking standalone SVOD services in seems hard to argue with.” think how they express their brand combination with a traditional Pay The message seems to be reso- to the consumer. It might be that TV offer, OTT SVOD from a third- nating. For TalkTalk, the UK broad- content discovery and automated cu- party is becoming standard as part band and IPTV provider, OTT pro- ration, and helping people find their of the in-home channel line-up in vides a route to a richer content offer way through a plethora of content and bringing things together with a consistent experience, is where our It might be that helping people future is. So if you want to go to Netf- lix you can find that, but you can also find their way through a gain access to that content through plethora of content is where the operator.” our future is

VOS from Harmonic enables virtualisation and convergence of headend functions

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“While we would like customers to use our Pay TV content, if they are happy using other OTT services on our platform we are happy” on its set-top box. Will Ennett, Head of Fixed Product Management for of Pay TV Content at TalkTalk said Group, talks of a golden recently: “We are a value player so we age in TV, helped by original pro- are not going to invest in lots of orig- ductions from the pure-play OTT inal content, so our ethos is different providers. Like Kearney, he sees an [to content rich platform operators] opportunity to make everything and working with third-party OTT available in one place, easily. “It providers is a value-add to our ser- could be infuriating for consumers if vice. they want to search across all of this “Our ambition is to be the ag- content,” he says. “It will be like shop- Simon Trudelle, NAGRA gregator of great TV content. While ping for breakfast cereal and having we would like customers to use our to go down every aisle of the grocery recommendation. Some may not Pay TV content, if they are happy us- store to see what is available. want to. Some commentators argue ing other OTT services on our plat- “Someone needs to bring it all that younger consumers are quite form we are happy.” together under one service wrap- happy to find their OTT content He added that TalkTalk can per, and allow you to subscribe to all independently. Nevertheless, in the make money from offering an OTT these services. We can provide a sin- MTM study, 76% of respondents marketplace but the revenues will be gle place for this, as a trusted guide agreed that standalone premium achieved ‘holistically’, meaning OTT and aggregator of all the content that OTT services are valuable potential would help keep people within the is available.” partners for Pay TV operators and service, giving them the opportunity This approach does come telcos. to upsell or monetise them in other with challenges. You need the online The study said: “Operators are ways. providers to open up their meta- pursuing partnerships for various Nicholas Ontiveros, Head data to enable universal search and reasons including keeping audiences on-platform, differentiating their content offers, and/or because they lack the skills and content assets to offer their own premium OTT ser- vices.” It added: “Many industry par- ticipants foresee operators increas- ingly providing distribution, billing and first-level customer support in future – in some cases providing a marketplace and/or selling packages of third-party OTT content and apps, in some ways replicating the linear channel aggregation model.” Christian Van Boven, VP, Mul- tiscreen Product Management & Architecture at NAGRA, likens the organisation of the television and Sky Go from Sky Deutschland

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Harmonic’s Electra X3: appliance form-factor with generic hardware video marketplace to different kinds of shopping experiences. In a fruit What does the OTT provider gain market you wander around and it from an on-net partnership with takes a lot of effort to find what you want. The other extreme is a depart- a Pay TV operator? Reach ment store, extremely well organised with a limited choice of brands. Be- in your backend and on the device more deeply integrated into the Pay tween these two is the shopping mall. side to accommodate the different TV platform than a standard app. “We are talking to operators about the models.” “When you look at the cooperation mall model. When you offer Netflix What does the OTT provider with Unitymedia, we are deeply inte- there is a convenience factor that you gain from an on-net partnership grated into the TV ecosystem. If you bring to consumers,” he says. with a Pay TV operator? According are watching live TV [ProSiebensat.1 Simon Trudelle at NAGRA to Casal Gómez at KPN the answer services] and click on ‘catch-up’ you adds: “Our research with MTM con- is simple: “Reach”. The MTM study always see Maxdome and we are the cluded that this marketplace model lists distribution to the TV set, and only ‘hard-bundled’ service on the will emerge. The best model varies potentially billing, marketing and platform, meaning we are fully com- according to the type of operator – customer support, as incentives. mercially integrated. That is distinct.” whether you are a satellite platform Speaking in June, Filmon Ze- He added: “If we package our that owns 90% of the best content rai, COO & Managing Director at service with other services we tend to rights in a given country or a cable Maxdome, said one way to differen- increase stickiness.” operator who redistributes content tiate an SVOD service from others Hesselbarth at Unitymedia has brands. The key is to have flexibility on the television set is to become

Elemental Technologies illustrates how unified video processing works

VIDEONET | ISSUE 34 | WWW.V-NET.TV Sponsored by PAY TV OTT dismissed concerns that having an the next journey.” the operator has a fragmented base OTT marketplace on their platform The MTM study lists the suc- of legacy set-top boxes.” presents the risk of becoming a dumb cess factors for OTT partnership strat- According to Anthony Smith- pipe while other media companies egies, including technology. These Chaigneau, Senior Product Market- have the customer relationships and include: A fast integration process, ing Director at NAGRA, some set- data. “I don’t think that is a big threat enabled by flexible platform and in- top box software providers are doing because aggregation and presentation tegration resource; High specifica- their part to make the onboarding of the content is important and that is tion set-top boxes to optimise per- process much easier. In January, NA- what our customers appreciate.” formance of applications; Access to a GRA announced a product relation- He says of OTT partnerships: range of supporting tools and services, ship with Netflix that enables the “It is a win-win situation at the mo- such as billing and customer support; pre-integration of NAGRA anyCAST ment. I think they need us and we Off-platform support – especially content protection and the OpenTV need them. For us it complements marketing and cross-promotion. 5 connectware (a hybrid broadcast our content offering.” “Third-party OTT service and broadband STB/gateway soft- Darren Fawcett, CTO at the providers have finite resource to ware platform) with the Netflix ser- set-top box maker Pace (which is support integration and typically vice. The aim is to make it easier for being acquired by ARRIS) says it is prioritise on the basis of expected NAGRA customers to take Netflix crucial that Pay TV operators deploy ROI from the partnership – favour- on-platform. set-top boxes capable of handling the ing platforms that require lower re- The integration includes map- next big thing – which in this context source or offer larger audiences,” the ping of the STB remote control keys means being able to support BBC report states. “Operators also need to Netflix navigation. anyCAST ena- iPlayer or Netflix or other OTT apps. to ensure that their platforms sup- bles an operator to use a single secu- “You own the shop window. People port a high-quality user experience rity service platform to secure content may watch Netflix but they come to for third-party OTT applications, to any network whether it is cable, your shop window before going on which is challenging in cases where satellite, terrestrial, OTT or any com- bination of them. Notably, it secures the whole STB platform including Some set-top box software software within it, going beyond what providers are doing their a DRM like PlayReady does. Smith-Chaigneau notes: part to make the onboarding “OpenTV 5 has Netflix ‘in the box’ process much easier and ready to be launched. All you need is a commercial agreement. From a technical standpoint all the complexity is taken away while the viewer gets all the best content in one place by ‘staying on HDMI 1’.” Reaching new market segments with Pay TV Lite The other major development in OTT strategy is the Pay TV Lite of- fer, where a sub-set of the full Pay TV Multiscreen nDVR is very popular at KPN

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Anyone in Belgium can sign-up to ‘Be tv Go’ and get access to live and on-demand content including exclusive series and movies bouquet is made available in a sepa- channels or content rights. The Bel- rate service to non-STB subscribers, gian cable operator VOO provides a with the content delivered OTT. Typ- good example. The company owns ically you can sign up for content on the Pay TV channel ‘Be tv’, originally a month-by-month basis and some distributed on the VOO network and operators provide one day passes for via partners in Belgium (like cable attractive content like sport. operators Telenet and Numericable) Pay TV Lite feeds a desire for and also in Luxembourg (with Or- a more a la carte approach to buying ange). Now there is an OTT version content, which can only be accom- of the service, free to existing Be tv modated so far on the full-flavour subscribers and available as a stan- Richard Broughton, Ampere Analysis services. With its new Stream offer- dalone offer to non Be tv customers. company wanted to give everyone ing (announced this summer as a Anyone in Belgium can sign- in Belgium the chance to subscribe. Beta product), Comcast will provide up to ‘Be tv Go’ and get access to live “We wanted to make Be tv available an example of Pay TV Lite that is and on-demand content including everywhere.” only available to your own broad- exclusive US and European series and Sky in the UK was early band customers. In Europe it is more movies. There are 24-hour passes for to market with a Pay TV Lite of- common to use Pay TV Lite services sports. The service can be viewed on fer, called NOW TV, which also in- to reach out to anybody, regardless of PCs, iOS and Android tablets, as well cludes 24 hour (and weekly ) sports whose broadband service they take. as the . Manuel subscriptions. The company said at Typically the European Pay TV Hannart Sánchez, Product Man- launch: “NOW TV is a very, very im- Lite pioneers own their own Pay TV ager Pay TV at VOO/Be tv, says the portant means for us to talk to a new audience and so plays an increasingly important part in our distribution story and in the way we monetise our content investments.” Simon Trudelle at NAGRA first talked publicly about the trend for finer Pay TV market segmenta- tion last autumn. He said then: “We have reached an inflection point in the Pay TV industry where OTT delivery and connected devices are opening the way for more granular segmentation of the viewing popula- tion, according to what they are will- ing to pay and what their interests are. “This segmentation is becom- ing a broad reality and it is probably time for every service provider to join the fray and launch [OTT] ser- vices and monetise new consumers NOW TV from Sky with sports day passes available

VIDEONET | ISSUE 34 | WWW.V-NET.TV Sponsored by PAY TV OTT and new experiences. Sometimes shorter contracts. There will be some expensive to get the content via the this means going off-net. It definitely higher marketing costs – though off- OTT service.” means creating more targeted con- set by a reduction in OpEx for this Beyond these warnings, every- tent bundles and presenting them to kind of offer (no truck rolls, for start- thing else is good news. Abbruzzese consumers who are movie-centric or ers). And you risk your brand name if predicts: “As content licensing and sports-centric, and so on.” you produce an unpopular product. pricing settles down and becomes a Sky Deutschland is perhaps There is not just the risk, but bit more predictable, Pay TV Lite will the best example of a Pay TV op- the certainty that there will be some serve as a promising route for opera- erator going down this road. The cannibalisation, he reckons. “How- tors to secondarily reduce churn. Pay company has full Pay TV and its Pay ever, those that drop subscriptions TV subscribers will still drop their TV Lite service called Sky Online in favour of Lite were likely to drop big subscription but in favour of the (launched in October 2014) but also their subscription in the near future alternative Lite offering. its own SVOD service, Snap. This is viewed as a direct alternative to Netf- lix, with thousands of titles including box-sets. “A steady increase in revenues According to Richard and a gradual reduction in Broughton at Ampere Analysis, the churn can be expected with a market for Pay TV lite is growing and one of the aims for operators is to successful Pay TV Lite product” capture an audience base that in the past was unwilling to pay for a full Pay TV offer. “Another incentive [to anyway, so losses should not be sub- “ARPU will likely be unaffect- launch] is to capture audiences that stantial. It will not be as negative as ed or take a small hit near-term [for might be thinking about migrating losing the customer outright.” Pay TV operators who launch Lite away from Pay TV in favour of lower To prevent avoidable cannibal- services], but long-term should rise cost alternatives, or who have already isation you need to maintain the gap to higher than it would be without migrated away.” between the full Pay TV offer and introducing the Lite service,” he con- There are health warnings at- the Pay TV Lite packages, Broughton tinues. “A steady increase in revenues tached to Pay TV Lite offers. Eric Ab- advises. “Do not offer the full con- and a gradual reduction in churn bruzzese (ABI Research) points out tent selection or at least package it can also be expected with a success- that churn rates are expected to be in a way so that if you are a sports ful product.” higher than for full Pay TV because of fan, for example, it is actually more The presence of successful SVOD services in a country does not prevent Pay TV Lite launches, and to some extent may ‘warm-up’ the mar- ket for them. Guy Bisson (Ampere Analysis) says there is an opportu- nity for Pay TV operators to capture a market segment [of non-Pay TV homes] where consumers take SVOD but are interested in supplementing their SVOD viewing with a Pay TV Lite offer. “It seems that the SVOD play- ers have inadvertently created a new segment opportunity that was previ- ously in search of its unique selling point,” he suggests.

Telecom Italia customers who take Sky OTT receive a Sky STB

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Now Yomvi is being used again in Spain as a substitute for classic IPTV, this time with Vodafone Spain

Telecom Italia customers on set-top OTT boxes via the broadband, rather than classic IPTV, network. Telecom Italia distribution households sign two contracts: one with the telco for broadband and as a substitute voice (and maybe mobile), the other with Sky for the television. They get a for IPTV or dedicated Sky decoder, a hybrid STB developed by Sky with Pace. satellite Andrea Zappia, Chief Execu- OTT distribution could be used to tive at Sky Italia declared, “This is a increase the overall addressable mar- great example of two companies em- Nigel Walley, Decipher ket for traditional, full-flavour Pay bracing innovation to open up new TV. This is where OTT substitutes opportunities for growth. For the Spain launched an Internet brand satellite signals where satellite dishes very first time, the millions of Ital- called Yomvi to initially cover the are prohibited, or provides the af- ian customers unable to install a dish TV Everywhere multiscreen offer for fordable reach that multicast IPTV will be able to enjoy all the benefits of existing subscribers. In 2012 Yomvi networks cannot offer, for example. the Sky experience.” was opened up to non-Pay TV cus- A recent illustration is the CANAL+ has certainly dem- tomers who could take out a discrete partnership between Sky Italia and onstrated the growing potential for subscription for the Internet service Telecom Italia where the entire Pay TV companies to harness OTT. only. Today you can sign up for fam- Sky bouquet is made available to Back in October 2011 CANAL+ in ily, football and other genre-specific

Cisco shows which STB functions can be virtualized

VIDEONET | ISSUE 34 | WWW.V-NET.TV Sponsored by PAY TV OTT channel bundles. The QuickStart components initiative, CANAL+ France wanted to CANAL+ also made Yomvi include NAGRA anyCAST content make its full Canal+ premium chan- available to a Spanish telco called protection and studio-approved nel line-up and full Canalsat satel- Jazztel who effectively replaced their DRM, OpenTV 5 HTML5 connect- lite bouquet available to its pay DTT own classic IPTV service (which was ware, NAGRA’s Gravity Edge ref- subscribers. As there was no capacity struggling to reach scale) with this erence user interface and NAGRA to do this via the DTT network, the OTT bouquet, offered over xDSL MediaLive Multiscreen, all pre-inte- company upgraded its DTT set-top lines to set-top boxes. Now Yomvi is grated with a SmarDTV HD set-top boxes to receive OTT content and being used again in Spain as a substi- box. now delivers 140 channels of content tute for classic IPTV, this time with Vodafone Spain, who last October in- troduced a TV service with a hybrid set-top box (the Vodafone Box) that CANAL+ France upgraded its combines local DTT signals with the DTT set-top boxes to receive OTT Yomvi OTT content. You can watch content and now delivers 140 the Yomvi programming on a televi- sion or on multiscreen devices. channels via broadband NAGRA has been a technology partner for these two CANAL+ inno- vations, making it possible to stream Isaac Mendoza, Head of TV into the terrestrial homes via broad- adaptive bit rate video to open CE and Digital Services at Vodafone band. devices and hybrid STBs with a ra- Spain, said of this launch: “We want- The content is delivered using tionalised headend. Vodafone Spain ed a technology that would allow us HTTP adaptive bit rate streaming, has made use of NAGRA’s QuickStart to bring premium services and ap- with all content available in HD. The Hybrid solution - a pre-integrated plications to our customers quickly OTT channels are mixed with broad- technology ecosystem designed for while giving us room to grow and cast channels in the same EPG. implementing advanced media capa- innovate.” bilities quickly. In an unrelated CANAL+

Liberty Global is virtualising some headend functions. Picture shows the Horizon platform

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New operations paradigms thanks to virtualization The Pay TV industry is harnessing the flexibility of OTT distribution and also increasingly using technolo- gies from the Internet and IT worlds to increase their agility and reduce Filmon Zerai of Maxdome at Connected TV Summit 2015 operational costs. We are on a jour- ney towards virtualisation of video Software-based video processing processing and storage functions, moving processes that have tradi- is being applied to linear tionally been hosted on set-top boxes multiscreen video, with classic or in operator headends to operator- hosted data centres or data centres broadcast perhaps following owned and operated by third-parties generic server hardware that could to meet the needs “of service pro- – including by companies like Ama- be used for other tasks as well. viders with large-scale operations zon Web Services. Envivio was among the pio- who wish to increase scalability and This process emerged at the neers. Back in November 2011 the simplify hardware management by start of this decade with multiscreen company announced that its Muse combining the IT and headend in- encoding and transcoding products transcoding software, traditionally frastructure.” that removed the processing soft- married to the company’s range of Software-based video process- ware from dedicated ‘pizza box’ style 4Caster hardware processing appli- ing (meaning the software had been hardware appliances that had always ances for multiscreen TV deploy- virtualised to generic hardware) was been designed and optimised spe- ments, was being made available on first applied to multiscreen delivery cifically for the video processing task. HP BladeSystem and ProLiant serv- (with its lower picture quality de- The software was instead put onto ers. This virtualisation was designed mands) and on-demand (which only requires non real-time transcoding). Today it is being applied to linear multiscreen video and there is an ex- pectation that eventually all content, including classic broadcast, will be processed in this way. Sam Blackman, CEO and Co- Founder at Elemental Technologies, (which is being acquired by Ama- zon Web Services) says there are two reasons why the world is transition- ing to software. “The complexity of video has grown exponentially over the past couple of years due to mul- tiscreen and the diversity of devices Virgin Media has integrated Netflix into its TiVo platform and protocols you have to support,

VIDEONET | ISSUE 34 | WWW.V-NET.TV Sponsored by PAY TV OTT which are changing all the time. The second reason is that generic proces- sors are now fast enough.” He thinks we are at an inflec- tion point for video processing today, because ‘software-with-generic’ has The évasion set-top box from VOO caught up with optimised hardware capabilities. “We have had a [soft- ware] solution for HEVC processing “Proprietary hardware is since 2013. There is still no special- ised hardware on the market that can not needed anymore; it can do HD in HEVC,” he cites as evidence. be replaced by virtualised The distinction between vir- hardware that is cheaper and tualisation and the cloud is a subtle one. Once you start to orchestrate easier to manage” different virtualised resources, like in traditional headends, virtualised to make efficient use of hardware, transcoding software on different software within on-premise data which could be used for corporate servers and maybe in different data centres and virtualised software applications in the afternoon but centres, you are stepping into the hosted in third-party data centres. video requirements during prime cloud. And few media companies, NAGRA’s Simon Trudelle says time, for example. He adds that you whether broadcasters or Pay TV op- of virtualisation generally: “Proprie- can scale resources more quickly and erators, are going to be fully vir- tary hardware is not needed any- there are deployment efficiencies, so tualised in the near-term; more; it can be replaced by potentially fast time-to-market with the new world will be virtualised hardware that services and new features. a mixture of dedi- is cheaper and easier to Entire multiscreen headends cated hardware manage and maintain, and backoffices can now be virtu- and which can be run alised and then hosted in the cloud, by third-parties for something that NAGRA has already you.” Christian Van done for customers. Boven (NAGRA) says NAGRA MediaLive is a unified virtualisation allows you back office and platform for the de- livery of TV and multiscreen services that can be operated on-premise or in the cloud on a Software as a Ser- vice (SaaS) basis. The solution cov- ers live TV, catch-up, VOD, network DVR, studio-approved download- to-go, Electronic Sell Through, mul- ti-language audio, subtitles, personal recommendations and promotions, among other things. This solution can be used as a common backend for TV Every- where services and standalone OTT services like Pay TV Lite deployed by operators. When made available as part of a cloud TV platform it enables fast deployment and rapid NAGRA’s anyCAST protects growth in user numbers. A pay-as- content on any screen you-grow business model means

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The Be tv Go service is largely cloud-based but partially on-site, in terms of its operations

flexible – and how operations are be- packaging and publishing of our in- coming more ‘hybrid’. The company formation,” the company explains. built an on-premise multiscreen Thus Be tv Go is largely cloud- headend for its VOOmotion TV based but partially on-site. The cloud Everywhere offer and it has utilised portion uses the NAGRA MediaLive the same headend for the transcod- platform. ing and packaging of its linear Be tv VOO and Be tv executives have channels. This headend is operated credited the cloud solution with ena- and monitored by VOO/Be tv staff. bling a fast commercial launch (it The rest of the Be tv Go ser- took five months to deploy) while vice (including non-linear content managing risks and reducing upfront requirements) is hosted in the cloud. investment. Ed Barton, Ovum The VOO/Be tv operations team are Slowly but surely, the Pay TV even small Pay TV operators can im- in the driving seat for everything re- industry is starting to virtualise. Lib- mediately compete with large inter- lated to the content catalogue com- erty Global is moving headend func- national OTT platforms. position, metadata, modifications, tions like encoding, transcoding and VOO illustrates how deploy- etc. “We provide this information to multiplexing to the cloud, creating ment options have become far more NAGRA, our platform supplier, and a more virtualised delivery infra- they then do the transcoding and structure for its European operating

Free-to-air platforms like YouView include Netflix

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How Unitymedia markets Maxdome to customers on its website uses its multiscreen headend to de- Sky in the UK is re-engineering liver its OTT bouquet to the hybrid its operations for software- broadband/DTT set-top boxes. But this headend still runs in parallel to a based, virtualised transcoding headend that supplies Canal+ chan- of its linear content for Sky Go nels to IPTV partners. and NOW TV So the next stage, after software processing and virtualisation, and in companies, for example. Sky in the this kind of software-based approach parallel with cloud developments, is UK has virtualised the transcoding to video processing is the future. “We the emergence of the truly unified for the on-demand content it makes need an architecture that is fast and headend where OTT and broadcast available on Sky Go and NOW TV responsive in this very dynamic OTT services are all found. The Swedish and is currently re-engineering its world.” Pay TV provider Com Hem looks operations for software-based, virtu- Some Pay TV operators are to be going in this direction, having alised transcoding of its linear con- starting to create economies of scale recently announced a headend that tent for the same services (all using from the headends they built for will support linear video across ca- Elemental Technologies software). their TV Everywhere services. Ca- ble, IPTV and OTT networks. It will Matt McDonald at Sky says nal+ in France, as an example, now simultaneously process live DVB-C, RTP and ABR streams for all Com Hem delivery networks. Harmonic is another headend provider leading the charge towards virtualisation and convergence with its VOS software-based media pro- cessing platform. This supports a whole range of functions that can now be virtualised (or still run on dedicated appliances), including in- gest, graphics, branding, compres- sion and packaging. VOS effectively unifies the entire media processing chain, from ingest to delivery, for broadcast and multiscreen, on a Sky Italia expanded distribution using OTT

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Virgin Media promotes Netflix as a content partner single platform. Sky Italia become one of the first Harmonic customers to adopt “The survival of service providers the VOS platform last year and it is depends on their ability to used for the OTT bouquet delivered to Telecom Italia homes. Sky Italia launch new services ahead of the highlighted the potential to use “a competition” single system for all distribution.” Massimo Bertolotti, Head of Harmonic VOS, with transcoding additional channels and services Innovation and Multimedia Distri- and stream packaging capabilities, faster and more cheaply.” bution at Sky Italia, declared: “The dramatically reduces our costs and According to Ian Trow, Senior survival of service providers de- complexity. It consolidates the num- Director Emerging Technology and pends on their ability to launch new ber of discrete appliances required… Strategy at Harmonic, virtualisation services ahead of the competition. We now have the agility to launch will make converged broadcast and multiscreen headends possible. He lists some of the benefits of virtuali- sation: The flexibility to adapt to new standards, video formats and device types; The ability to expand services without a forklift upgrade to the hea- dend; IT economics thanks to COTS (common off the shelf) blade servers; Reduced cooling, power consump- tion, maintenance and per- sonnel requirements. Dedicated hardware still has a place in head- ends, of course, and we are seeing the emergence of appliance devices (designed for 1RU and 2RU headend rack MediaLive is NAGRA’S multiscreen backoffice platform

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Increased agility to compete with Netflix and Amazon Simon Trudelle (NAGRA) points to the importance of standards-based technologies and interoperability in this new operations environment. This is the basis for best-of-breed solutions that can take advantage of virtualisation and the cloud. When it comes to the cloud- based SaaS model for the video back- office, he says there are two main types of customer. “There are those Yomvi demonstrates what is possible using OTT distribution who need a short time-to-market, and we have proven our ability to bring a platform into operation in Operators will need systems around five months. This is not a flexible enough to accommodate huge market but there are some both virtualised and appliance- players who do not have the time, resources or appetite to build a plat- based video processing form from the ground-up. “The second kind of customer slots) that use generic rather than channel, can then be mapped to the will be running a first-generation optimised hardware inside. So Pay resource that is best suited to each multiscreen platform and will have TV operators will need systems that particular task. realised that while it was fine for are flexible enough to accommodate Trow points out that there will 20,000 simultaneous users they now both virtualised and appliance-based also be a mixed economy in terms of need capacity for 200,000 or 500,000. video processing together – pooling where resources are virtualised, with And that kind of growth could hap- these different resources and treating some operators preferring on-prem- pen quickly in some markets.” them like a whole in terms of how ise and some using off-premise as Van Boven highlights a third you manage and optimise the overall well. Christian Van Boven at NAGRA kind of customer. “Some Pay TV op- compute capacity. agrees. “You will need the flexibility erators want to launch new services Ericsson talks about the need to deploy across multiple private and in new countries without being con- for virtualising the video headend public clouds.” strained by having to run data cen- workflow so you can then make flex- Trow notes that there is some tres themselves. We can work with ible use of dedicated hardware en- headend and playout functionality them on hosted solutions includ- coding and transcoding platforms that will take time to virtualise, like ing public cloud-style deployments, (appliance-based) or software-based editing and colour correction. But which is how Netflix operates.” systems that are virtualised. The he adds: “I expect all of the headend It is worth noting that a SaaS Ericsson Virtualized Encoding plat- functions to be virtualised in around deployment is not an irreversible form provides the umbrella under 5-10 years.” decision. Trudelle says that in the which jobs, like live encoding of a case of NAGRA and its cloud-based

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MediaLive platform, the technolo- even if you deploy a thin-client. Lo- gies are fundamentally the same as cal storage will still be necessary for customers use on-premise. “If you some operators. Functions that can want to move some of the SaaS func- be fully migrated to the cloud in- tions in-house that is feasible and we clude tuner management, catalogue can hand over more control to the management, channel maps, disk customer. That is a commercial deci- space management, planner man- sion rather than a technical one.” agement and record management. There are other types of virtu- Anthony Smith-Chaigneau alisation that are taking hold in Pay (NAGRA) sees a major evolution of TV, including storage. We are going STB middleware software to be more to see various approaches to net- adaptable and flexible while enabling work storage from full network DVR seamless connectivity in the home. (including across the STB and mul- OpenTV 5 from NAGRA is such a tiscreen devices) to hybrid models ‘connectware’ client platform, de- where there is still some local caching signed to address multiple use cases, – maybe 60 minutes worth of storage from ensuring the delivery of cloud- to ensure a good QoE in the event of based functions such as startover TV network failures and to easily accom- or network DVR, where broadband Christian Van Boven, NAGRA modate popular time-shift functions connectivity is available, to providing like live-pause and rewind. When it comes to the STB, The impact of unified rights intelligence can be virtualised even management is obvious when you if storage is not. Cisco talks about a ‘fat hardware, thin software’ model implement advanced multiscreen where you have a home gateway with functions like casting full-sized hard disk drive and mul- tiple tuners but where some of the bi-directional link to the set-top box. intelligence, like dealing with record- According to Ken Morse, CTO embedded DVR functions in a more ing conflicts, could be cloud-based. & VP, Service Provider Video at Cis- broadcast-centric environment. In This works for operators with a co, graphics rendering and the media both cases, OpenTV 5 delivers the player still need to reside in the STB same truly engaging user experience. Trudelle points to one more challenge in a world that is increas- ingly multiscreen, multi-network and hybrid: the way you handle content protection. NAGRA is sim- plifying this part of the operations process, partly thanks to client-side software for hybrid set-top boxes that combines conditional access and DRM and which hardens the STB environment as well as secur- ing content streams. This is more flexible and more robust, the com- pany reckons. In the backend, rights management is unified for different networks and for broadcast and on- demand services. Van Boven says the Be tv is available across Belgium as a standalone OTT offer

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Netflix is already available via Smart TVs and streaming boxes “We need operational transformation as an industry. We need to be faster to market and quicker to react to customer demand” impact of unified rights manage- to warrant press coverage – every 4-6 technology requirements for opera- ment is especially obvious when you weeks. tor OTT success: An integrated user implement advanced multiscreen Daniel Hesselbarth at Unity- experience across devices; A best-in- functions like casting, where users media says: “We need operational class content protection system; Fully transfer content from one device to transformation as an industry. We ‘cloudified’ backend technology; Ser- another. “We can define rights for need to be faster to market and vices offered via a set-top box; The particular content and how that can quicker to react to customer demand ability to cast programmes. be used on a per-device basis and and to solve operations problems.” Earlier this year Ed Barton, whether content can be transferred According to Trudelle, “The Head of TV Research and Analysis at between devices. We can define the modern Pay TV operator will com- Ovum, summed up where he thinks output control rules, like whether pete with platforms like Amazon and the television market is today. “We content can be shared over wireless Netflix, with Internet players who are are on the cusp of the next major networks or just wired.” agile and can add new features to their evolutionary growth phase in visual Taken together, these new op- systems quickly. We have to help our entertainment. erations paradigms help to make Pay customers be as agile as these people. “As the industry hunts for op- TV operators more agile and so com- If they fail to achieve that they will portunities to address slowing tradi- pete with pure-play OTT providers have a hard time keeping up.” tional TV subscription revenues, the like Netflix. They will help compa- In the MTM report, called major trends in technology, in audi- nies like Sky Deutschland achieve ‘Profiting from the OTT explosion: ence consumption and service evolu- their stated goal of bringing some- opportunities for Pay TV providers’, tion offer glimpses of a brighter future.” thing new to customers – big enough respondents listed some of the key In his view: “TV’s best days lie ahead.”

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