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London <strong>2012</strong><br />

Ad insertion<br />

HbbTV<br />

IP&TV World<br />

Forum review<br />

www.csimagazine.com<br />

Connected<br />

TV<br />

may/june <strong>2012</strong><br />

<strong>Broadcasting</strong> <strong>the</strong> <strong>2012</strong><br />

<strong>Olympic</strong> <strong>Games</strong>


Contents<br />

21 Opinion<br />

Red Bee Media’s Andy Bryant argues that content discovery<br />

needs art not just algorithms<br />

05 News<br />

All <strong>the</strong> latest industry news and analysis<br />

12 Analyst corner<br />

IHS Screen Digest’s Guy Bisson notes <strong>the</strong>re is still<br />

much room for channel brands to expand <strong>the</strong>ir HD<br />

offers across Europe<br />

14 HbbTV<br />

An analysis of <strong>the</strong> latest rollouts and developments of<br />

<strong>the</strong> hybrid broadcast broadband standard<br />

18 COVER STORY - <strong>2012</strong> <strong>Olympic</strong>s special<br />

What can we expect from <strong>the</strong> first ‘Digital <strong>Olympic</strong>s’<br />

on <strong>the</strong> multi-screen, online and interactive fronts?<br />

Editor’s report:<br />

22 Executive interview<br />

<strong>CSI</strong> speaks to Verizon’s Brian Whitton about <strong>the</strong> customer<br />

experience and support challenge <strong>the</strong> operator<br />

faces with connected TVs<br />

24 Advertising and ad insertion<br />

Cable sees targeted advertising as a way of multiscreen<br />

monetisation, with tablets being <strong>the</strong> sweet spot<br />

26 Business intelligence<br />

The value of data has exploded for broadcasters in <strong>the</strong><br />

multi-channel environment. What needs to be done?<br />

28 Show review<br />

Over-<strong>the</strong>-top strategies and o<strong>the</strong>r key takeaways from<br />

this year’s IP&TV World Forum<br />

35 Energy efficiency<br />

An inside look at HGI’s energy saving work<br />

“If content is keen <strong>the</strong>n metadata is queen.” This is how one executive neatly summed up<br />

content discovery, which is an issue facing <strong>the</strong> entire industry. As users are increasingly faced<br />

with <strong>the</strong> ‘paradox of choice’ - whereby <strong>the</strong> proliferation of content across channels, devices<br />

and platforms is actually leading to frustration and lower customer satisfaction - it can be<br />

argued that <strong>the</strong> content discovery experience is flawed. This is a fascinating field, where<br />

EPGs, search and recommendation and now second devices have a large role to play. An interesting argument<br />

on how we can bring some artistic creativity to <strong>the</strong> science can be found on p21. In different ways,<br />

data is crucial to broadcasters too. Channel 4 recognises this fact by calling data <strong>the</strong> new oil. The fear is<br />

that if broadcasters don’t get to grips with it <strong>the</strong>n a company like Google will come in and eat <strong>the</strong>ir lunch.<br />

An expert view on how <strong>the</strong>y can capture and analyse this data effectively is offered on p26. Goran Nastic<br />

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News<br />

First 3D over DTT to launch in Italy<br />

news in brief<br />

HighTV is launching <strong>the</strong> world’s first<br />

3D channel over a terrestrial network<br />

later this year in Italy.<br />

Italy was chosen as <strong>the</strong> first<br />

country for <strong>the</strong> DTT 3D channel<br />

because of its high penetration of 3D<br />

enabled TV sets. According to<br />

HighTV CEO Erik Klein some 1.5<br />

million such units have been sold<br />

<strong>the</strong>re and expects this to grow to 2.5<br />

million as a result of <strong>the</strong> <strong>Olympic</strong>s<br />

and European football<br />

championships.<br />

Overall, Klein estimates that<br />

around 8% of TV sets globally<br />

currently have 3D capability while<br />

over 60% of sets over 40 inches are<br />

3D enabled. He labels 3D as being as<br />

significant a development as <strong>the</strong><br />

introduction of colour television.<br />

“3D brings depth which is a whole<br />

different perception that feels you<br />

can engage with characters on a<br />

different level,” Klein said at<br />

Telenor’s press event in Oslo.<br />

He admits though that <strong>the</strong>re is a<br />

need to understand who is watching<br />

3D channels at home and that <strong>the</strong><br />

broadcaster is engaged in analysing<br />

viewership habits.<br />

The company will launch <strong>the</strong><br />

Italian channel over <strong>the</strong> country’s<br />

DVB-T2 network with a local partner<br />

in <strong>the</strong> next two to three months, also<br />

making it one of <strong>the</strong> first localised<br />

3D channels.<br />

Established in 2006 (around <strong>the</strong><br />

time that Avatar was in post<br />

production), HighTV has a library<br />

of 400-500 hours of 3D content,<br />

spanning genres such as sport,<br />

cooking, fitness, reality and travel.<br />

The channel is broadcast via<br />

seven satellites in 37 countries,<br />

with Telenor, UPC and Dish in <strong>the</strong><br />

US being <strong>the</strong> biggest platforms to<br />

carry it. Ano<strong>the</strong>r 11 deals have<br />

been signed at MIP TV, with<br />

services to start in Korea, China<br />

and Canada.<br />

HighTV is also looking towards<br />

holographic TV and has two<br />

production teams that have created<br />

around ten hours of content. The<br />

problem, according to Klein, is that<br />

holographic requires a 360 degree<br />

production to see <strong>the</strong> front and<br />

back, which means shooting from<br />

six different angles.<br />

German DTH fully digital<br />

Satellite TV is purely digital in<br />

Germany following switch-off of<br />

analogue television and radio<br />

signals. Satellite operator Astra<br />

first broadcast analogue TV<br />

channels in <strong>the</strong> late 1980s and<br />

<strong>the</strong> capacity on 19.2° East will<br />

now be used for new digital TV<br />

channels and HDTV services. A<br />

large proportion of cable<br />

meanwhile remains on analogue<br />

(only 38% of subscribers were<br />

digital as of April 2011) with<br />

cable operators in no rush to<br />

digitise <strong>the</strong>ir networks. Many are<br />

resisting <strong>the</strong> DSO in order to gain<br />

an advantage by providing access<br />

to analogue secondary and<br />

tertiary TV screens in <strong>the</strong> home.<br />

There is no set date for cable to<br />

go 100% digital.


News<br />

news in brief<br />

Elisa launches Euro OTT service<br />

New Twitter record set<br />

The Champions League match<br />

between Chelsea and Barcelona<br />

has overtaken Superbowl to<br />

become <strong>the</strong> most tweeted<br />

sporting event. The semi-final<br />

second-leg at <strong>the</strong> Nou Camp<br />

peaked at 13,684 messages per<br />

second, which beat <strong>the</strong> previous<br />

record of 12,233 tps set during<br />

February’s Super Bowl between<br />

<strong>the</strong> NFL’s New York Giants and<br />

New England Patriots. According<br />

to Twitter, <strong>the</strong> all time record<br />

belongs to a broadcast of <strong>the</strong> film<br />

Castle in <strong>the</strong> Sky in Japan, which<br />

saw a peak of 25,088 tweets per<br />

second, showing <strong>the</strong> popularity of<br />

TV programmes on <strong>the</strong> social<br />

media site.<br />

Finland’s Elisa has become <strong>the</strong><br />

latest service provider to embrace<br />

over-<strong>the</strong>-top by launching a TV<br />

Everywhere service targeting<br />

extreme sports enthusiasts<br />

across Europe.<br />

The EpicTV offer, which<br />

launches this month across 15<br />

European countries, will provide<br />

live and on-demand content,<br />

ranging from three-minute clips<br />

to films, focused on extreme<br />

sports such as surfing,<br />

snowboarding, base jumping,<br />

mountain biking and climbing.<br />

It is available as a subscription<br />

only service priced at EUR6.90<br />

a month.<br />

EpicTV will launch initially on<br />

PCs, iPads and Samsung connected<br />

TVs, with Android iOS platforms<br />

and o<strong>the</strong>r smart TV brands to follow<br />

in July. Microsoft PlayReady and<br />

Widevine DRMs are providing <strong>the</strong><br />

multi-platform security for <strong>the</strong><br />

initiative. Users can register a<br />

number of devices to view <strong>the</strong><br />

content on each account with<br />

au<strong>the</strong>ntication performed via<br />

Facebook or credit card.<br />

The service is powered by Tvinci’s<br />

back-end OTT platform, which<br />

handles functions such as DRM and<br />

content management, EPG<br />

customisation, social, payments,<br />

analytics and o<strong>the</strong>r services.<br />

According to Adina Eckstein, VP of<br />

product delivery at Tvinci, <strong>the</strong><br />

company has won three OTT<br />

contracts since IBC with <strong>the</strong> latest, a<br />

European satellite operator, to be<br />

announced soon.<br />

Having operated a managed IPTV<br />

network since 2006, this is Elisa’s<br />

first foray into <strong>the</strong> OTT arena,<br />

which service providers are<br />

increasingly using to widen <strong>the</strong>ir<br />

geographic reach to new and niche<br />

audiences. The company estimates<br />

<strong>the</strong>re is a European market of over<br />

ten million affluent extreme sports<br />

fans it is targeting, delivered via<br />

commercial third party CDNs across<br />

European territories.<br />

Netflix looks to new Euro market<br />

Online video streaming service<br />

Netflix has moved to a Q1 loss as<br />

a result of greater costs related to<br />

its international expansion but it<br />

hasn’t stopped <strong>the</strong> company from<br />

looking to launch in one more<br />

European country before <strong>the</strong> end<br />

of <strong>the</strong> year. It is thought that of<br />

<strong>the</strong> three million new subscribers<br />

Netflix gained through its<br />

international launch around two<br />

million are estimated to have<br />

come from <strong>the</strong> UK and Ireland<br />

due to <strong>the</strong> poor performance in<br />

Latin America. Although Netflix<br />

still expects it will take two years<br />

to reach sustained profits as it<br />

builds up its network in Europe,<br />

<strong>the</strong> company said it will target an<br />

additional European market<br />

before end-<strong>2012</strong> (with speculation<br />

mounting around Germany).<br />

New products certified by Cable Europe<br />

The Cable Europe Labs Certification<br />

Board has certified Euro-<br />

DO<strong>CSI</strong>S products from Motorola,<br />

Cisco, Samsung and Technicolor<br />

under its latest certification wave.<br />

Products that successfully passed<br />

testing by <strong>the</strong> independent test<br />

lab Excentis used by <strong>the</strong> industry<br />

group, and which are ready<br />

for deployment in European markets<br />

are:<br />

• Samsung SMT-G7440 –<br />

EuroDO<strong>CSI</strong>S 3.0 Cable Modem in<br />

a Set Top Box<br />

• Cisco EPC2325R2 –<br />

EuroDO<strong>CSI</strong>S 2.0 Cable Modem<br />

• Samsung SMT-C5120 –<br />

EuroDO<strong>CSI</strong>S 2.0 Cable Modem in a<br />

Set Top Box<br />

• Technicolor TC7200 –<br />

EuroDO<strong>CSI</strong>S 3.0 + EuroPacketCable<br />

1.5 EMTA<br />

Moreover, a CMTS from Motorola<br />

- BSR64000 has been granted a ‘verified<br />

for base feature set’ label following<br />

<strong>the</strong> release of testing results from<br />

Certification Wave 46. It is <strong>the</strong> first<br />

ED3.0 CMTS to get a European<br />

label. Under this approach, vendors<br />

can submit for ‘base’ feature set plus<br />

o<strong>the</strong>r feature sets, such as IPv6,<br />

upstream and dynamic channel bonding<br />

and multicast, among o<strong>the</strong>rs.<br />

Also during Q1, a cable modem<br />

from AVM, a Samsung set-top box<br />

and an EMTA from Ubee Interactive<br />

have been certified.<br />

Cable Europe Labs said this is<br />

contributing towards achieving <strong>the</strong><br />

broadband goals laid down in <strong>the</strong><br />

Digital Agenda for Europe, with<br />

fur<strong>the</strong>r EuroDO<strong>CSI</strong>S solutions<br />

expected.<br />

EUR15bn spent on Euro TV content<br />

<strong>CSI</strong> multi-screen<br />

Make sure you visit us at<br />

csimagazine.com to see our new<br />

look and interactive digital<br />

edition, including easy to use<br />

tablet experience, with up to <strong>the</strong><br />

minute news and analysis.<br />

European commercial broadcasters<br />

spend more than EUR15 billion a<br />

year on television content, according<br />

to new research.<br />

The study, commissioned from<br />

<strong>the</strong> E-media Institute by <strong>the</strong><br />

Association of Commercial<br />

Television in Europe (ACT), found<br />

<strong>the</strong> aggregate spend in 15 countries<br />

on programming was equivalent to<br />

EUR41 million.<br />

France invested about EUR5.4bn<br />

on content and <strong>the</strong> UK EUR6.3bn,<br />

where BSkyB alone paid out<br />

EUR2.3 billion. Overall, around 40%<br />

of broadcasters’ revenues are<br />

reinvested in next season’s schedule.<br />

The study also found <strong>the</strong> number<br />

of non-linear services, such as VoD<br />

platforms and catch-up TV, more<br />

than doubled from 146 at <strong>the</strong> end<br />

of 2008 to 314 in 2011 although<br />

no figures were given on spend in<br />

<strong>the</strong>se areas.<br />

06 May-June <strong>2012</strong> www.csimagazine.com


ITV to bring Shazam enabled ads<br />

Your vision...<br />

A deal between Shazam and ITV will see <strong>the</strong><br />

broadcaster become <strong>the</strong> exclusive distributor for<br />

Shazam functionality in <strong>the</strong> UK broadcast<br />

advertising space as part of its drive towards closer<br />

second screen integration.<br />

Under <strong>the</strong> deal, ITV Commercial will be <strong>the</strong><br />

exclusive UK sales force offering<br />

advertisers <strong>the</strong> chance to have<br />

<strong>the</strong>ir traditional 30 second TV<br />

spots Shazam-enabled with <strong>the</strong><br />

media discovery company’s<br />

audio-recognition technology<br />

for <strong>the</strong> first time as <strong>the</strong>y look<br />

to enhance <strong>the</strong>ir campaigns<br />

and connect directly with<br />

audiences.<br />

The ten million-plus<br />

viewers in <strong>the</strong> country who<br />

have Shazam installed on<br />

<strong>the</strong>ir smartphones, will be<br />

able to use <strong>the</strong> app to<br />

interact with <strong>the</strong> ads to<br />

enter competitions, get<br />

additional information about a brand or product,<br />

view additional content or download free music.<br />

Shazam already has a similar deal in place in <strong>the</strong><br />

US, with shows and events such as American Idol,<br />

<strong>the</strong> Grammys and <strong>the</strong> Super Bowl, where more<br />

than half of <strong>the</strong> advertisers in chose to enable<br />

<strong>the</strong>ir ads.<br />

“Shazam’s audio-recognition<br />

technology is at <strong>the</strong> forefront of<br />

<strong>the</strong> second screen movement<br />

which is transforming <strong>the</strong> way<br />

consumers interact with content<br />

including advertising,” said Simon<br />

Daglish, group commercial sales<br />

director at ITV.<br />

Although not ad related,<br />

Channel 4 recently became <strong>the</strong> first<br />

terrestrial broadcaster in <strong>the</strong> UK to<br />

launch a mobile application that<br />

reacts to watermarked audio triggers<br />

within a broadcast to unlock exclusive<br />

content as <strong>the</strong> second screen wave hits<br />

<strong>the</strong> industry.<br />

SES opens door for satellite<br />

multi-screen<br />

Satellite operator SES has led <strong>the</strong> way in creating a<br />

new IP-based satellite reception technology that<br />

demodulates and converts satellite signals to IP for<br />

in-home distribution.<br />

A demo of <strong>the</strong> SAT-IP involved multi-switches<br />

showing <strong>the</strong> distribution of satellite programmes<br />

over various IP-based infrastructures<br />

(CAT5 E<strong>the</strong>rnet, Power Line, Plastic Optical<br />

Fibre and WiFi). Programme streams are<br />

forwarded over <strong>the</strong> data network transparently,<br />

without transcoding, using standard<br />

network protocols.<br />

In a SAT-IP environment, all IP-enabled devices<br />

will be able to receive satellite programming,<br />

enabling a true multi-screen experience.<br />

“With SAT-IP, large varieties of satellite offers<br />

including <strong>the</strong> most important line-up of HD<br />

channels will be accessible for consumers on<br />

IP-enabled devices in highest and original satellite<br />

picture quality and without using internet<br />

connectivity,” said Thomas Wrede, VP of<br />

reception systems at SES.<br />

SES is positioning <strong>the</strong> communications<br />

protocol as a new and open standard for<br />

manufacturers for satellite in-home distribution.<br />

Current prototypes already allow for <strong>the</strong> reception<br />

of up to eight programmes on eight different<br />

screen devices at home.<br />

The first SAT-IP based products are scheduled<br />

to be available later this year.<br />

• Sky Germany has won exclusive multi-screen<br />

payTV rights for all live Bundesliga football<br />

matches under a four year deal.<br />

The award from <strong>the</strong> German Football League<br />

(DFL) covers <strong>the</strong> rights for all platforms,<br />

including those currently held across satellite,<br />

cable and web, and adds IPTV and mobile. It<br />

covers <strong>the</strong> upcoming 2013/14 season through to<br />

2016/17.<br />

On average Sky, which has over three million<br />

subscribers, will pay a license fee of EUR485.7<br />

million per season for <strong>the</strong> 612 live matches<br />

per season.<br />

Modern Times Group, meanwhile, has acquired<br />

multi-screen rights for Champions League football<br />

in <strong>the</strong> Czech Republic for <strong>the</strong> next three years.


News<br />

news in brief<br />

Hotel installs Android IPTV<br />

A hotel in Croatia has become<br />

<strong>the</strong> first in <strong>the</strong> world to install an<br />

interactive IPTV system with<br />

Android IP set-top boxes. Hotel<br />

Dubrovnik in <strong>the</strong> capital city of<br />

Zagreb deployed an IPTV system<br />

from Russian company NetUP,<br />

which allows guests to access TV<br />

and VoD content using Androidbased<br />

IP set-top boxes from<br />

Vestel. The solution also consists<br />

of Cisco network management<br />

equipment and third-party<br />

streamers for distributing TV<br />

signal into DVB-C and IP. A<br />

variety of Android apps and guest<br />

services are supported by <strong>the</strong><br />

system.<br />

Sky buys Acetrax<br />

BSkyB has acquired Zurich-based<br />

online video service Acetrax as<br />

<strong>the</strong> satellite broadcaster looks to<br />

penetrate smart TVs and o<strong>the</strong>r<br />

connected devices. Acetrax is a<br />

pan-European premium VoD<br />

operator in seven countries: <strong>the</strong><br />

UK, Ireland, France, Italy,<br />

Germany, Austria and<br />

Switzerland. It has formed<br />

partnerships with most of <strong>the</strong><br />

major connected TV<br />

manufacturers such as Samsung,<br />

LG and Panasonic, and has<br />

predicted that it will reach 60<br />

million embedded Acetrax apps<br />

across Europe by 2015.<br />

EchoStar to close US cable<br />

business<br />

EchoStar Technologies is ceasing<br />

<strong>the</strong> sale of set-top boxes to US<br />

cable operators, choosing instead<br />

to focus on international cable,<br />

satellite and telecoms markets.<br />

The cost-competitive nature of<br />

<strong>the</strong> US cable market was said to<br />

offer “insufficient revenue return<br />

opportunities”. Similar rumours<br />

continue around Cisco’s and<br />

Motorola’s STB operations.<br />

Canal Digital to launch follow-me TV<br />

Nordic payTV operator Canal<br />

Digital is launching one of <strong>the</strong> first<br />

“follow me TV” services in Europe,<br />

which will enable subscribers to<br />

start watching video content in<br />

one room and resume in ano<strong>the</strong>r<br />

after pausing.<br />

The move is part of <strong>the</strong> company’s<br />

strategy to increase customer<br />

satisfaction and loyalty and reduce<br />

churn, according to Patrik<br />

Hofbauer, CEO of Telenor<br />

Broadcast whose group umbrella<br />

Canal Digital falls under. Canal<br />

has close to one million subscribers<br />

in <strong>the</strong> Nordics, a market of<br />

around ten million households that<br />

is close to saturation.<br />

The multi-room HD DVR set-top<br />

box is being supplied by Advanced<br />

Digital broadcast (ADB) and <strong>the</strong> service<br />

will role out across <strong>the</strong> Nordics<br />

in <strong>the</strong> coming months.<br />

The Canal Digital to Go TV anywhere<br />

service recently launched,<br />

which makes a range of content<br />

available on multiple devices,<br />

although <strong>the</strong> channel line-up remains<br />

limited due to rights issues with content<br />

owners.<br />

Hofbauer added that <strong>the</strong> company<br />

sees social TV and companion devices<br />

as o<strong>the</strong>r services that will drive loyalty.<br />

At this stage, this involves support<br />

for subscribers recommending<br />

content to friends via Facebook, while<br />

20,000 customers are using <strong>the</strong><br />

iPhone as a remote control, for<br />

example.<br />

Hofbauer estimates that half of<br />

customers are online as <strong>the</strong> same<br />

time as <strong>the</strong>y are watching TV so tapping<br />

into this proportion that is<br />

multi tasking is a big opportunity<br />

going forward. “It is something we<br />

need to understand and develop our<br />

business for,” he said, speaking at<br />

Telenor’s international press day.<br />

DO<strong>CSI</strong>S 3 drives CMTS port growth<br />

Every region worldwide saw CMTS<br />

port growth in 2011, as cable operators<br />

worldwide continue <strong>the</strong>ir<br />

DO<strong>CSI</strong>S 3.0 transformations,<br />

according to Infonetics Research<br />

Global CMTS port shipments hit<br />

record levels in 4Q11 and are up<br />

48% for <strong>the</strong> full year. However,<br />

CMTS revenue is not keeping pace<br />

with port shipments because revenue<br />

per downstream continues to drop<br />

(down 31% in 2011), as more highdensity<br />

downstream-only cards are<br />

introduced and as <strong>the</strong> market continues<br />

to shift towards license-based<br />

upgrades in regions outside North<br />

America.<br />

Combined CMTS and edge QAM<br />

revenue grew 5% in Q4, ending <strong>the</strong><br />

year on a high note, up 17% from <strong>the</strong><br />

year-ago quarter. For <strong>the</strong> full year,<br />

CMTS and edge QAM manufacturer<br />

revenue grew 6% to $1.7 billion.<br />

Cisco is <strong>the</strong> only of <strong>the</strong> top four<br />

CMTS vendors that gained CMTS revenue<br />

market share last year, growing<br />

from 51% to 59% of <strong>the</strong> global market.<br />

French group tackles UHD TV<br />

French research consortium 4EVER<br />

has established a three-year project<br />

to advance <strong>the</strong> technologies<br />

supporting <strong>the</strong> production and<br />

delivery of Ultra High Definition<br />

Television, in <strong>the</strong> process taking in<br />

such things as HEVC compression<br />

and increased colour depth.<br />

The research programme was<br />

launched with <strong>the</strong> aim of<br />

reducing <strong>the</strong> bandwidth<br />

required for <strong>the</strong> delivery of<br />

ultra-HDTV using High<br />

Efficiency Video Coding<br />

(HEVC), also known as<br />

H.265, <strong>the</strong> next-generation<br />

compression standard<br />

developed jointly by ISO/<br />

MPEG and ITU-T/ VCEG.<br />

Currently a draft, it is expected to<br />

be submitted for final standardisation<br />

approval in January 2013 as<br />

MPEG-H Part 2.<br />

Initially a large part of <strong>the</strong><br />

research effort will be invested in <strong>the</strong><br />

evaluation of <strong>the</strong><br />

television experience enhancement<br />

that can be offered from not just<br />

higher resolutions, but also higher<br />

frame rates, increased colour depth,<br />

surround sound, and more.<br />

4EVER members include Orange<br />

Labs, Ateme, France Télévisions,<br />

GlobeCast, TeamCast, Technicolor<br />

and Doremi, as well as <strong>the</strong><br />

Télécom ParisTech and INSA-<br />

IETR University labs.<br />

The consortium expects to<br />

demonstrate a first complete ultra<br />

HD production and transmission<br />

chain within one year, and several<br />

field trials are planned throughout<br />

<strong>the</strong> 4EVER project for sports events,<br />

music concerts and o<strong>the</strong>r live shows.<br />

08 May-June <strong>2012</strong> www.csimagazine.com


Smart TVs need USP - survey<br />

Your way<br />

A new UK survey has confirmed that most people<br />

buy a smart TV with no specific intent to actually<br />

connect <strong>the</strong> device to <strong>the</strong> internet.<br />

Only one third (37%) of British consumers<br />

planning to buy a smart TV said that connecting it<br />

was a factor in buying one, with <strong>the</strong> most<br />

common reason being to have a more up-to-date<br />

TV, according to YouGov.<br />

Moreover, only half (53%) of smart TV owners<br />

correctly identified a smart TV as a TV that<br />

directly connects to <strong>the</strong> internet without <strong>the</strong> need<br />

of ano<strong>the</strong>r device, while a quarter of owners have<br />

never used it to connect to <strong>the</strong> internet.<br />

Again, quality is by far <strong>the</strong> most important<br />

criteria: among people who already a smart TV<br />

picture quality is cited by 96% of owners as <strong>the</strong><br />

most important feature, followed by <strong>the</strong> size of <strong>the</strong><br />

screen (93%) and sound quality (89%).<br />

“The ‘smart’ part of a Smart TV is not yet <strong>the</strong><br />

main reason people are buying <strong>the</strong>m; it’s more<br />

about future-proofing <strong>the</strong>ir TV set in <strong>the</strong> same way<br />

that lots of people bought HD TVs even before<br />

HD channels were available. We see <strong>the</strong> profile<br />

(in terms of tech adoption) as very similar<br />

between iPad and Smart TV owners at <strong>the</strong><br />

moment,” said Dan Brilot, YouGov’s media<br />

consulting director.<br />

To this end, manufacturers need to understand<br />

what <strong>the</strong> universal selling point (USP) of a smart<br />

TV is, he added.<br />

Sony leads <strong>the</strong> way in terms of devices sold,<br />

followed by Samsung (33%) <strong>the</strong>n Panasonic<br />

(16%). However, almost two-thirds (62%) of<br />

people planning to purchase one in <strong>the</strong> next 12<br />

months are considering Samsung. Some 26% say<br />

<strong>the</strong>y plan to buy an Apple TV, even though <strong>the</strong><br />

manufacturer has not yet launched one.<br />

In terms of usage, over a third of smart TV<br />

owners say <strong>the</strong>y now spend more time watching<br />

TV through on-demand services, such as BBC’s<br />

iPlayer, than <strong>the</strong>y do watching traditional linear<br />

TV. This behaviour is even more pronounced<br />

amongst 18-24 year olds with a Smart TV, 53% of<br />

whom say <strong>the</strong> majority of TV <strong>the</strong>y watch is<br />

on-demand – as well as smart TV owners with preschool<br />

children (51%).<br />

Delivered by NDS<br />

Cablecom in new channel spree<br />

UPC’s Swiss subsidiary UPC Cablecom is launching channel 3+, all included in its basic Mini package.<br />

26 new digital TV channels, including six in HD, in The remaining new HD channels in Germanspeaking<br />

Switzerland are <strong>the</strong> public service broad-<br />

what is <strong>the</strong> largest activation project in <strong>the</strong> company’s<br />

history.<br />

casters 3Sat HD, KiKa HD, WDR HD, NDR HD,<br />

The channels will be added starting 5 June with BR HD, SWR HD all included in <strong>the</strong> Mini package<br />

22 existing channels to be broadcast in HD. In along with ZDFneo HD and RTL Nitro in <strong>the</strong><br />

German-speaking Switzerland, two new digital Classic package. The Comfort package will now<br />

channels, RTL Nitro and Glitz HD, will be added also include <strong>the</strong> niche channel 13th STREET<br />

while 12 existing channels will be available in HD Universal in HD and <strong>the</strong> new channel for women,<br />

quality in <strong>the</strong> future.<br />

Glitz, also in HD.<br />

As previously announced, cablecom will be offering<br />

<strong>the</strong> three German private channels SAT.1, digital and UPC will look to tap into this by adding<br />

More than half of households in Switzerland are<br />

ProSieben and kabel eins in HD quality for <strong>the</strong> first fur<strong>the</strong>r HD channels in its line up, which has until<br />

time in Switzerland, as well as Swiss entertainment now consisted of between 11 and 25 channels.<br />

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News<br />

Cisco/NDS reflects multi-screen focus<br />

news in brief<br />

Cisco’s $5 billion purchase of NDS<br />

underscores <strong>the</strong> industry’s shift in<br />

focus away from set-top box hardware<br />

towards software and services that can<br />

help play a part in <strong>the</strong> transition to<br />

payTV multi-screen, according to IHS<br />

Screen Digest. As <strong>the</strong> opportunity<br />

crystallises fur<strong>the</strong>r, <strong>the</strong> analysts forecast<br />

that <strong>the</strong> number of multi-screen<br />

devices active on global pay-TV networks<br />

will rise to 303.7 million units<br />

in 2015, from 29.5 million in 2010.<br />

This contrasts with a relatively flat<br />

performance of <strong>the</strong> STB market,<br />

where <strong>the</strong> installed base of set-top<br />

boxes will grow at a rate of only 9%<br />

during <strong>the</strong> same period, compared to<br />

a 59% CAGR of active multi-screen<br />

devices.<br />

The multi-screen device category<br />

comprises a range of products,<br />

including smartphones, media<br />

tablets, portable media devices, video<br />

game consoles, personal computers<br />

and internet connected TVs.<br />

“Over <strong>the</strong> long term, multi-screen<br />

device access increasingly will<br />

become <strong>the</strong> core metric that<br />

determines <strong>the</strong> scale of operators’<br />

coverage,” said Tom Morrod, senior<br />

principal analyst of TV Technology<br />

for IHS. “To cash in on this trend,<br />

operators need DRM technology and<br />

a compelling user interface (UI) that<br />

can be ported across multiple<br />

devices.”<br />

400,000<br />

300,000<br />

200,000<br />

100,000<br />

0<br />

Source: IHS Screen Digest April <strong>2012</strong><br />

Worldwide Forecast of Multiscreen<br />

Devices Active on Pay-TV<br />

Networks (thousands of Units)<br />

On <strong>the</strong> Cisco/NDS acquisition,<br />

Morrod notes that Cisco has<br />

pushed hard to establish its multiscreen<br />

solution, Videoscape, and<br />

NDS provides key components to<br />

support this. Security that can tie<br />

toge<strong>the</strong>r broadcast and broadband<br />

content streams is vital to<br />

maintaining value. In general, he<br />

adds that as Google look set to sell<br />

off Motorola’s set-top box business,<br />

<strong>the</strong> industry may be on <strong>the</strong> cusp of<br />

a significant shake-up of pay-TV<br />

technology vendors.<br />

2009 2010 2011 <strong>2012</strong> 2013 2014 2015<br />

VoD = 1% of Euro TV revenue<br />

A new study has found that videoon-demand<br />

only represents 1% of<br />

total television revenues in<br />

Europe despite recent growth.<br />

There are estimated to be 435<br />

individual catch-up and VoD<br />

services available across 30<br />

regional markets (<strong>the</strong> E30) but<br />

<strong>the</strong>y are usually ad funded or<br />

available through public funding.<br />

The report, led by consultancy<br />

Attentional on behalf of <strong>the</strong><br />

European Commission, looked at<br />

<strong>the</strong> implementation of <strong>the</strong><br />

Commission’s Audiovisual Media<br />

Services directive. Overall TV<br />

sector revenues have been flat at<br />

EUR77 since a similar study in<br />

2008 while Europe’s five largest<br />

TV markets still generate 70% of<br />

all revenue.<br />

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Analyst corner<br />

Not old news yet<br />

With 144 new HD channel feeds last year, <strong>the</strong>re is still much<br />

room for brand expansion in Europe<br />

HDTV is old news, right?<br />

Been around forever. The<br />

channel business is all<br />

about 3D and multi-screen<br />

delivery now. True, it’s easy<br />

to think like that, given <strong>the</strong><br />

near universal uptake of<br />

HDTV sets in UK homes, <strong>the</strong> advertising<br />

campaigns from major operators around <strong>the</strong>ir HD<br />

tiers and <strong>the</strong> launch of HD on digital terrestrial as<br />

<strong>the</strong> UK approaches analogue switch-off. But an<br />

analysis of <strong>the</strong> channel portfolios of major<br />

international groups suggests <strong>the</strong> reality is a little<br />

different.<br />

Let’s take a little step back in time. Just like <strong>the</strong><br />

early days of payTV itself, <strong>the</strong> drivers for HD<br />

channel launches centred on two key genres:<br />

sports and movies. The reasons were not just<br />

about consumer demand. Not only did both <strong>the</strong>se<br />

forms of content benefit most obviously from an<br />

HD feed, but <strong>the</strong>re was already a significant stock<br />

pile of HD-ready content by <strong>the</strong> time international<br />

pay operators launched <strong>the</strong>ir HD offers.<br />

The first HD channel launches <strong>the</strong>n were<br />

focused almost exclusively on <strong>the</strong>se two genres.<br />

The next wave of launches focused on two o<strong>the</strong>r<br />

key payTV driving genres, this time, those that<br />

drive basic payTV: documentary and<br />

entertainment. Again, both were fuelled by decent<br />

levels of content access and a clear business case<br />

for launch.<br />

But what has happened since <strong>the</strong>n? Certainly,<br />

new HD channels have continued to launch:<br />

during 2011, 144 new HD channel feeds appeared<br />

across Europe. But an analysis of genres shows<br />

that groups are staying firmly within <strong>the</strong>ir comfort<br />

zones, with a continued focus on just <strong>the</strong> four key<br />

genres.<br />

Next phase: genre diversification<br />

Launching an HD channel has always been<br />

something of a balancing act. The increased<br />

HD channels by genre:<br />

Major international channel owners<br />

Children’s 3<br />

Cultural 2<br />

Documentary 19<br />

Entertainment 30<br />

Lifestyle 2<br />

Movie 43<br />

Music 2<br />

News 5<br />

Sport 30<br />

HD channels by genre:<br />

major channel groups<br />

Childrens - 2%<br />

Cultural - 2%<br />

Documentary - 14%<br />

Entertainment - 22%<br />

Lifestyle - 1%<br />

Movie - 32%<br />

Music - 1%<br />

News - 4%<br />

Sport - 22%<br />

transmission, programming<br />

and play-out costs coupled<br />

with a reluctance among<br />

platforms to increase affiliate<br />

fees and <strong>the</strong> limited opportunity for advertising<br />

uplift means <strong>the</strong>re has to be a strong business<br />

case for pushing forward with a new HD feed.<br />

None<strong>the</strong>less, channel providers and platform<br />

operators seem to be missing a trick with <strong>the</strong> lack<br />

of genre diversification that is evident across<br />

Europe. Even among <strong>the</strong> new HD channel<br />

launches of <strong>the</strong> major owners in 2011, it is a<br />

struggle to find an HD channel that falls outside<br />

<strong>the</strong>se four genre areas. There are creeping signs of<br />

change, with a handful of kids, news and lifestyle<br />

channels that previously would not have got a<br />

look in on <strong>the</strong> HD launch plan.<br />

In <strong>the</strong> SD channel market, genre diversification<br />

is something that occurs well into a group’s<br />

lifecycle. Channel owners tend to rely on one or<br />

two key genres for a good number of years before<br />

growth targets demand diversification to target<br />

new audiences and demographics. We are less<br />

than a decade into <strong>the</strong> world of HD in Europe, so<br />

it is perhaps not surprising that <strong>the</strong> major owners<br />

have yet to enter this phase of diversification.<br />

Outside of <strong>the</strong> major channel owners, a few<br />

niche areas are becoming well served: a large<br />

number of adult HD channels have launched<br />

over <strong>the</strong> last two years, for example. For <strong>the</strong><br />

major groups, <strong>the</strong> next areas of focus seem likely<br />

to be lifestyle, kids and cultural channels. Old<br />

news or not, whatever route is next taken, one<br />

thing is certain: <strong>the</strong>re is plenty of growth, and<br />

opportunity, left in <strong>the</strong> HD channel market<br />

for those adventurous enough to take an HD leap<br />

of faith.<br />

Guy Bisson is research<br />

director, television, at IHS<br />

Screen Digest. In this regular<br />

column, he gives <strong>CSI</strong> readers<br />

exclusive insight from <strong>the</strong><br />

company’s new channel strategies service<br />

12 May-June <strong>2012</strong> www.csimagazine.com


HbbTV<br />

The evolution of broadcast<br />

Already reaching maturity in Germany, HbbTV is not only<br />

set for rollout across Europe but also in o<strong>the</strong>r parts of <strong>the</strong><br />

world, says Adrian Pennington<br />

Despite some criticism from<br />

certain quarters, HbbTV<br />

has been accepted by<br />

Europe’s national<br />

broadcasters as a de-facto<br />

standard with interest<br />

spreading to commercial<br />

operators and to o<strong>the</strong>r parts of <strong>the</strong> globe on <strong>the</strong><br />

back of new DRM and adaptive streaming<br />

capabilities.<br />

With estimates of 60 million HbbTV compliant<br />

TV sets in Western Europe by 2014, HbbTV<br />

appears to have settled as a ‘must have’ industry<br />

standard. Almost every European country has<br />

endorsed and/or adopted <strong>the</strong> standard, and <strong>the</strong><br />

remaining countries are trialling HbbTV or have<br />

near-term plans to deploy it.<br />

First demonstrated in 2009, impetus to hybrid<br />

TV was given by 20 members of <strong>the</strong> EBU last<br />

December who agreed to a European-wide rollout<br />

during <strong>2012</strong>. These included TVR (Romania),<br />

RTE (Ireland); RAI (Italy); RTVE (Spain); TRT<br />

(Turkey); YLE (Finland); MTV Magyar Radio<br />

(Hungary); ORF (Austria); RTBF (Belgium);<br />

NRK (Norway) and TVP and TVN in Poland<br />

(see table, on next page).<br />

“HbbTV is a standard (as a technology<br />

solution), which is favoured by broadcasters, as<br />

<strong>the</strong>y do not lose control over <strong>the</strong> content and<br />

environment,” says Shirlene Chandrapal, VP of<br />

connected TV at Smartclip. “We see HbbTV as<br />

one part of <strong>the</strong> connected TV world, which can<br />

be described as <strong>the</strong> broadcaster-driven<br />

counterpart to <strong>the</strong> smart TV approaches by<br />

CE-manufacturers.”<br />

The most mature market is Germany, which<br />

now has a wide range of HbbTV services and<br />

receivers in support of programming at ARD,<br />

ZDF and Bavaria’s Bayerische Rundfunk.<br />

German sports channel Sport1 is to use Teveo’s<br />

HbbTV platform for distribution of its signal to<br />

areas where <strong>the</strong> channel is not carried by <strong>the</strong> local<br />

or regional operator and Eutelsat’s German<br />

subsidiary, KabelKiosk, has launched a hybrid<br />

service for cable homes. Services available<br />

through ‘KabelKiosk choice’ include VOD and<br />

catch-up TV, while network operators can<br />

customise pages with regional news, RSS feeds,<br />

clips, or marketing campaigns.<br />

France Télévisions is backing <strong>the</strong> HbbTV<br />

variant TNT 2.0, GlobeCast and France 24 are<br />

launching an exploratory HbbTV service with<br />

Orange and SES; while TF1 will launch its digital<br />

brand MyTF1 on HbbTV this autumn.<br />

Danish national broadcaster DR is into a yearlong<br />

pilot HbbTV-based TV anytime service<br />

partnered with Nordija. The new service, Dr Nu,<br />

“We see HbbTV as<br />

one part of <strong>the</strong><br />

connected TV world,<br />

which can be<br />

described as <strong>the</strong><br />

broadcaster-driven<br />

counterpart to <strong>the</strong><br />

smart TV approaches<br />

by CE-manufacturers.”<br />

is available via <strong>the</strong> dr.dk website and is based on<br />

Nordija’s fokusOn middleware.<br />

Dutch broadcasters (SBS, NPO and RTL) are<br />

aligning in a choice of HbbTV as <strong>the</strong>ir standard<br />

for hybrid connectivity. NPO is conducting<br />

HbbTV trials on its Canal Digital satellite DTH<br />

platform and Ziggo cable networks. These trials<br />

will begin with Sony Bravia CTV sets with built-in<br />

satellite tuners as well as HbbTV support,<br />

although o<strong>the</strong>r leading CE manufacturers - Philips<br />

and Samsung - plan to join <strong>the</strong><br />

burgeoning Dutch hybrid<br />

market with HbbTV sets by<br />

year end.<br />

Spain’s public broadcaster<br />

RTVE, Mediaset Spain and<br />

telco Telefónica, have entered into a three-way<br />

alliance to trial an HbbTV service, with Mediaset<br />

España making video content available from its<br />

internet TV portals and Telefónica adding its web<br />

TV service, Terra TV, into <strong>the</strong> mix.<br />

In Eastern Europe, Czech TV has teamed with<br />

Slovak digital TV hardware producer ANTIK<br />

Technology to test an HbbTV service with 40,000<br />

subscribers, while Polish broadcaster TVN started<br />

HbbTV tests in March <strong>2012</strong>.<br />

The UK situation is more complex but FTA<br />

satellite service Freesat has revealed that <strong>the</strong><br />

second generation ‘G2’ spec for its receivers will<br />

use HbbTV to take advantage of digital TV<br />

chipsets being developed for that standard.<br />

YouView, meanwhile, will launch with a<br />

proprietary Flash-based implementation.<br />

“Although MHEG-5 is now effectively a legacy<br />

technology, <strong>the</strong> DTG-promoted CTV platform has<br />

not announced deployment, no receiver<br />

conformance regime and it seems inevitable that<br />

this platform will morph into an HbbTV profile,”<br />

says Keith Potter, CEO, Digital TV Labs, a<br />

member of <strong>the</strong> HbbTV Steering Group as well as<br />

vice chair of its Testing Group.<br />

Major events this summer - <strong>the</strong> <strong>Olympic</strong>s and<br />

<strong>the</strong> UEFA European football championship - will<br />

likely boost <strong>the</strong> purchase of HbbTV-ready TV sets.<br />

The EBU is offering three white-label HbbTV<br />

applications for <strong>the</strong> <strong>Olympic</strong>s free of charge to<br />

members, who can customise <strong>the</strong>m to offer a<br />

range of interactive services. Spain’s RTVE is one<br />

participant in <strong>the</strong> scheme.<br />

Aligning with o<strong>the</strong>r standards<br />

It is interesting to observe <strong>the</strong> increase in <strong>the</strong><br />

number of operators - paid and free - reviewing<br />

HbbTV as an evolution of <strong>the</strong>ir current platforms.<br />

Growth is being partly driven by <strong>the</strong> desire to<br />

standardise on <strong>the</strong> delivery of content and <strong>the</strong><br />

tools that can be used to manage <strong>the</strong>m.<br />

“A neutral platform allows <strong>the</strong>se operators to<br />

increase <strong>the</strong> range of set-top box vendors that can<br />

supply <strong>the</strong>m and allows <strong>the</strong>m to bring much of<br />

14 May-June <strong>2012</strong> www.csimagazine.com


HbbTV<br />

Broadcasters committed to HbbTV<br />

TVR<br />

RTE<br />

RAI<br />

RTVE<br />

TRT<br />

YLE<br />

MTV Magyar Radio<br />

ORF<br />

RTBF<br />

NRK<br />

Nordig<br />

TF1, France 5<br />

SBS<br />

TVN, TVP<br />

Romania<br />

Ireland<br />

Italy<br />

Spain<br />

Turkey<br />

Finland<br />

Hungary<br />

Austria<br />

Belgium<br />

Norway<br />

Scandinavia<br />

France<br />

The Ne<strong>the</strong>rlands<br />

Poland<br />

<strong>the</strong> specification of <strong>the</strong> product back in-house,”<br />

observes Bob Hannent, chief technologist at<br />

Humax, which has committed to utilising HbbTV<br />

and OIPF-based (Open IPTV Forum)<br />

technologies in a number of projects.<br />

“This is an important step, given <strong>the</strong><br />

competitive pressures facing commercial broadcasters<br />

today,” says Steve Morris, systems architect<br />

at ANT Software. “They wouldn’t do this if<br />

<strong>the</strong>y didn’t think it made commercial sense. It is<br />

yet ano<strong>the</strong>r big sign of <strong>the</strong> commitment that is<br />

being made to HbbTV as a cross-border solution<br />

for interactive services coming from <strong>the</strong> EBU.”<br />

It is also <strong>the</strong> first successful standard to enable<br />

a horizontal market for OTT services and<br />

interactive applications. “O<strong>the</strong>r than with MHP,<br />

richness of content was until now only possible<br />

through proprietary standards, but <strong>the</strong> evolution<br />

of web technologies has provided a significant<br />

platform to build bold and flexible content<br />

services,” notes Hannent.<br />

There are discussions intended to more closely<br />

align HTML5 and OIPF so that content creation<br />

for one platform can be re-used on ano<strong>the</strong>r. The<br />

Nordic specs for Scandinavia include HbbTV for<br />

iTV services, which Morris expects to be an area<br />

of significant future deployments.<br />

Version 1.5 of <strong>the</strong> HbbTV spec, which is<br />

partly a browser-based technology, adds support<br />

for HTTP adaptive streaming based on <strong>the</strong><br />

MPEG DASH standard (which TNT 2.0 is<br />

<strong>the</strong> first platform to deploy) for an improved But HbbTV has to evolve and make sure it<br />

viewing experience.<br />

doesn’t lag behind, warns Ye Wang, director of<br />

This will not only improve <strong>the</strong> quality of product management, DTV, at software firm<br />

<strong>the</strong> content, but will also allow content providers Access. “We must look to HTML-5. Everything in<br />

to protect <strong>the</strong>ir content with DRM technologies, 1.1 and 1.5 is not relevant to HTML-5 based on<br />

notes Peter Hutchins, product marketing<br />

feedback I have heard but it is a key element we<br />

at Espial.<br />

must incorporate.”<br />

It also adds support for improved access to<br />

EPG data from <strong>the</strong> broadcast, enabling<br />

The DRM challenge<br />

broadcasters to produce full seven-day EPGs and There remain fur<strong>the</strong>r challenges, some common<br />

manufacturers to build EPGs using HTML for to any system built on a public standard.<br />

deployment across a range of receivers.<br />

“Harmonising different approaches and different<br />

Above and below: HbbTV-based hybrid services in France and Germany<br />

www.csimagazine.com May-June <strong>2012</strong> 15


HbbTV<br />

“HbbTV is <strong>the</strong> first<br />

successful standard<br />

to enable a horizontal<br />

market for OTT services<br />

and interactive<br />

applications.”<br />

speeds of adoption by different countries<br />

is tricky but we can be confident that we<br />

will find a way,” says Wang.<br />

Although v1.5 offers an interoperable approach<br />

to DRM, this is practically, and politically,<br />

difficult to standardise on, “requiring at least two<br />

vendors to be selected – that is if any at all can be<br />

agreed upon at all,” notes Humax’s Hannent,<br />

“The UK’s DTG in <strong>the</strong> UK has standardised<br />

on an OIPF/HbbTV variant, but has currently<br />

been unable to make <strong>the</strong> leap towards fixing a<br />

content protection mechanism,” says Hannent.<br />

The French appear to have agreed on Microsoft<br />

PlayReady and Marlin, and <strong>the</strong> Germans are<br />

letting <strong>the</strong> market decide on a de-facto from<br />

content providers.”<br />

Support of multiple DRM with a common<br />

encryption will allow service providers to provide<br />

secure streaming to HbbTV 1.5 sets, and is a<br />

major step in making CTVs useful devices for pay-<br />

TV services and VoD.<br />

However, warns Jean-Marc Racine, managing<br />

partner, Farncombe, retail devices are not pay-TV<br />

devices, and <strong>the</strong> control and maintenance of <strong>the</strong><br />

security of <strong>the</strong> device will be a challenge. “The<br />

industry has to take it into account and integrate<br />

it in its operating mode. This is not yet <strong>the</strong> case,<br />

and HbbTV and <strong>the</strong> device manufacturers<br />

integrating it with DRMs or Ultraviolet are facing<br />

similar challenges that will need to be addressed,”<br />

he says.<br />

Potter at Digital TV Labs agrees: “Unlike a<br />

closed, vertical operator environment where<br />

application interoperability is guaranteed by<br />

intensive testing of a one or two proprietary STB<br />

implementations, HbbTV applications will be<br />

running on hundreds of<br />

different digital TV devices<br />

that are uncontrolled by<br />

<strong>the</strong> operator or content<br />

provider.<br />

“In <strong>the</strong> UK this problem<br />

was partially solved by a<br />

good industry test suite via<br />

<strong>the</strong> DTG and a strict<br />

conformance regime tied to<br />

<strong>the</strong> Freeview Logo, yet<br />

writing MHEG<br />

applications still required<br />

lots of interoperability<br />

testing,” says Potter.<br />

Conformance test issues<br />

HbbTV is planning an ‘honesty box’ conformance<br />

system, where manufacturers self-certify <strong>the</strong>ir<br />

compliance to <strong>the</strong> standard. “Many operators<br />

completely underestimate <strong>the</strong> interoperability<br />

problems <strong>the</strong>y will encounter unless <strong>the</strong>y<br />

implement some type of manufacturer<br />

conformance enforcement, through a logo, white<br />

list or controlled certificate-based au<strong>the</strong>ntication<br />

system,” advises Potter.<br />

As HbbTV services begin to take off and<br />

become increasingly more sophisticated, <strong>the</strong> need<br />

to closely monitor <strong>the</strong> performance of <strong>the</strong><br />

network in order to improve customer services<br />

and reduce churn will become more important.<br />

“Consumers may not be able to take full<br />

advantage of <strong>the</strong> service due to compatibility<br />

issues with <strong>the</strong>ir existing hardware and software,<br />

requiring <strong>the</strong>m to upgrade <strong>the</strong>ir current set up,”<br />

says Jean Schmitt a Director at JDSU. “HbbTV<br />

does, after all, require an HD terminal device and<br />

broadband connectivity, which may involve<br />

additional costs.”<br />

Getting <strong>the</strong> TV or set-top box connected to <strong>the</strong><br />

internet is ano<strong>the</strong>r challenge. Until wireless<br />

networking and o<strong>the</strong>r alternatives to E<strong>the</strong>rnet<br />

such as powerline networking becomes <strong>the</strong> norm<br />

in smart TVs and set-top boxes, connection rates<br />

will remain low.<br />

“The industry can’t expect users to run<br />

E<strong>the</strong>rnet cables around <strong>the</strong>ir homes just to<br />

connect <strong>the</strong>ir TV,” says Morris.<br />

Work must also be done to build applications<br />

and portals for connected TV which are simple<br />

to use for <strong>the</strong> consumer. New features like<br />

<strong>the</strong> Red Button which allows <strong>the</strong> start of an<br />

OTT application directly out of a linear<br />

streamed TV broadcast channel, combined with<br />

DRM and streaming protocols, will enable<br />

premium content services and support<br />

multi-device usage.<br />

“HbbTV can potentially offer <strong>the</strong> best of both<br />

worlds through both ‘red button’ applications and<br />

through manufacturer portals,” says Morris.<br />

“Application developers and manufacturers will<br />

need to focus on <strong>the</strong> quality of <strong>the</strong>ir apps, ra<strong>the</strong>r<br />

than <strong>the</strong> quantity – offering a huge number of<br />

apps in a TV portal can confuse <strong>the</strong> user ra<strong>the</strong>r<br />

than helping <strong>the</strong>m.”<br />

According to Smartclips’ Chandrapal, one<br />

<strong>the</strong>ory is that populating TV screens with<br />

suppliers’ apps will put customers off because it<br />

complicates <strong>the</strong> viewing process. “However, we<br />

see through fast growing traffic numbers that<br />

consumers are attracted by apps, extending <strong>the</strong><br />

consumption of linear broadcast through<br />

interactive music channels, casual games, catch-up<br />

TV offerings or VoD stores.”<br />

New features going forward<br />

Long term, Farncombe’s Racine expects<br />

connected TVs and OTT services to capture a<br />

significant part of <strong>the</strong> viewing habits of European<br />

consumers. “Connected devices are a fantastic<br />

opportunity for established player to diversify<br />

<strong>the</strong>ir services and attract new audience, it is also a<br />

threat as it opens <strong>the</strong> door to competitors, and<br />

certainly creating a clear strategy on how to<br />

address <strong>the</strong>m is more important than ever.”<br />

Future features and standardisation of HbbTV<br />

includes <strong>the</strong> development of open APIs that go<br />

beyond next HbbTV releases, cloud assisted<br />

services, and even face recognition and gesture<br />

control, reports Schmitt.<br />

“With strong existing alternatives including<br />

IPTV, cable and YouTube (still <strong>the</strong> leading<br />

provider of online video), broadcasters need to<br />

determine what extra value employing <strong>the</strong><br />

additional interactivity that HbbTV services<br />

provide will add for consumers and, indeed,<br />

whe<strong>the</strong>r <strong>the</strong>re’s currently sufficient market<br />

demand to make it economically viable to invest<br />

in,” argues Schmitt.<br />

The technology may also go global. HbbTV has<br />

also caught interest in <strong>the</strong> US, Japan, Australia,<br />

China (which is conducting trials) and Malaysia,<br />

where <strong>the</strong> imminent terrestrial DVB-T2 roll-out<br />

has specified HbbTV.<br />

16 May-June <strong>2012</strong> www.csimagazine.com


<strong>Olympic</strong>s special<br />

London <strong>2012</strong><br />

Going for gold<br />

Touted as <strong>the</strong> first Digital <strong>Olympic</strong>s, Adrian Pennington<br />

reports on <strong>the</strong> multi-screen, online streaming and interactive<br />

initiatives due to take place during <strong>the</strong> <strong>2012</strong> <strong>Games</strong><br />

Records always tumble<br />

around an <strong>Olympic</strong> <strong>Games</strong><br />

and <strong>the</strong> broadcast of it is<br />

no exception. Host<br />

Broadcaster <strong>Olympic</strong><br />

<strong>Broadcasting</strong> Services<br />

(OBS) has a mandate to<br />

deliver more and more coverage at <strong>the</strong> best possible<br />

quality and to be seen to pioneer new technology<br />

to do so. This year, of course, is touted as <strong>the</strong><br />

‘Digital <strong>Olympic</strong>s’, which more specifically<br />

signifies that <strong>2012</strong> will see a tipping point in <strong>the</strong><br />

balance of viewing between linear TV and online<br />

interactive services.<br />

The dominant viewing media of course remains<br />

TV with a total global TV audience expected of<br />

five billion, but in mature markets streaming<br />

media will play a major role in keeping audiences<br />

up to date with almost every aspect of every sport<br />

- live.<br />

“The London <strong>Olympic</strong>s are expected to fuel<br />

broadcasters and service providers worldwide to<br />

add significant live multi-screen and time-shifted<br />

viewing capacity,” says ABI Research senior<br />

analyst Sam Rosen. “Broadcasters are preparing<br />

IP video for laptops, tablets and smartphones to<br />

support viewing of live events while at work, as<br />

well as augmenting <strong>the</strong>ir VoD capabilities to<br />

provide audiences with control of which sports to<br />

watch at home. Many will experiment with new<br />

video distribution to customers including through<br />

Facebook, HTML5 websites optimised for<br />

multiple screens, dedicated iPad or Android apps,<br />

and apps for connected TV products.”<br />

Leading <strong>the</strong> charge is host broadcaster <strong>the</strong><br />

BBC, which will have up to 24 simultaneous live<br />

streams running across its digital platforms. At<br />

Beijing, it had eight. It wants to make its 2,500<br />

hours of coverage (more than double that of any<br />

previous <strong>Games</strong>) available across desktop<br />

browser, mobile, connected TV and tablets.<br />

Online this includes ‘dynamic semantic<br />

publishing’ - a page for all 302 medal events, a<br />

page for all 240 countries and a page for every<br />

athlete (up to 12,000 of<br />

<strong>the</strong>m).<br />

The 24 HD streams will be<br />

available via BBC Sport’s<br />

website, <strong>the</strong> BBC Red Button<br />

service and corresponding<br />

EPG channels and also for cable and satellite<br />

providers. These services are being built by <strong>the</strong><br />

platform operators <strong>the</strong>mselves in line with BBC<br />

product, technical and user experience (UX)<br />

designs.<br />

“While it is significantly more complex to<br />

design and deliver standard services for connected<br />

TV, we are working hard to make sure our<br />

audiences have as much choice and access as<br />

possible on all platforms, alongside our core<br />

digital offer on <strong>the</strong> BBC Sport website,” says Phil<br />

Fearnley, general manager of news and knowledge<br />

at BBC Future Media. “Over time <strong>the</strong> lines will<br />

blur between IP and broadcast channels, and<br />

between platform boundaries.”<br />

“As <strong>the</strong> digital rights holder for <strong>the</strong> games, <strong>the</strong><br />

BBC has a responsibility to exploit <strong>the</strong> games and<br />

our rights across all screens,” he adds. “The<br />

London <strong>Olympic</strong>s will provide <strong>the</strong> perfect<br />

backdrop for an explosion in take-up of digital<br />

services and in <strong>the</strong> process see digital<br />

18 May-June <strong>2012</strong> www.csimagazine.com


<strong>Olympic</strong>s special<br />

consumption go mainstream.”<br />

The multimedia galleries in BBC Sports’ brand<br />

new production facility in Salford can handle 18<br />

streams and up to ten red button outputs<br />

simultaneously.”<br />

“The big future change is <strong>the</strong> move from red<br />

button to IPTV, which <strong>2012</strong> will definitely boost<br />

with multiple launches on IP platforms - but<br />

fundamentally IP is ano<strong>the</strong>r output,” says BBC<br />

Sport’s technical executive, Charlie Cope. “What<br />

matters is our ability to deliver in HD from here<br />

(MediaCity) which we could not do from TV<br />

Centre.”<br />

OBS<br />

OBS will produce 600 more hours than for<br />

Beijing, totalling 5,600, all in HD and stored on<br />

EVS XStoreSAN media servers. The material will<br />

be available throughout <strong>the</strong> <strong>Games</strong>; in Beijing,<br />

material had to be deleted every three days. Audio<br />

will be produced in 5.1 with all channels<br />

embedded in <strong>the</strong> HD stream.<br />

A Broadcast Data Feed will contain a<br />

comprehensive set of competitor information,<br />

logging data, transmission information and event<br />

results and scores to help broadcasters trigger<br />

graphics, prepare schedules, and distribute<br />

information to websites or o<strong>the</strong>r applications.<br />

The broadcast compound which houses <strong>the</strong><br />

Technical Operations Centre (TOC) serves as <strong>the</strong><br />

transmission hub of <strong>the</strong> venue. All TV and radio<br />

signals (multilateral and unilateral) will pass<br />

through <strong>the</strong> International Broadcast Centre<br />

facilities under <strong>the</strong> direction of OBS.<br />

Signals related to <strong>the</strong> multilateral transmission<br />

and <strong>the</strong> unilateral coverage are transported from<br />

<strong>the</strong> TOC to <strong>the</strong> IBC via a contribution network of<br />

fibre optic, radio frequency (RF), microwave and<br />

satellite transmission facilities. The circuits of <strong>the</strong><br />

contribution network are received at <strong>the</strong><br />

Contribution Centre in <strong>the</strong> IBC and controlled,<br />

processed and distributed by <strong>the</strong> Distribution<br />

Centre.<br />

Here <strong>the</strong> signals are synchronised and<br />

processed to provide both SD-SDI and HD-SDI<br />

video signals. Audio signals will be delayed as<br />

required to match <strong>the</strong> video and embed <strong>the</strong> audio<br />

into <strong>the</strong> SDI stream for rights holders requesting<br />

digital distribution.<br />

For new media operations OBS will provide<br />

international signals from all of <strong>the</strong> venues in<br />

different compressions (16-20 Mbps, 6-10 Mbps,<br />

1.5- 2.5 Mbps, 2500-500 Kbps).<br />

“One of <strong>the</strong> big changes is <strong>the</strong> introduction of<br />

tablet devices into <strong>the</strong> market, almost all sales of<br />

which have occurred since Vancouver,” notes<br />

Mark Hyland, QuickPlay’s general manager,<br />

EMEA. He expects <strong>the</strong> penetration of tablets,<br />

plus <strong>the</strong> critical availability of higher resolution<br />

content, to result in new records being set for <strong>the</strong><br />

volume of consumption on portable devices.<br />

CTV<br />

QuickPlay is a technology partner of Canada’s<br />

Bell Media (and its subsidiary CTV) which with<br />

Rogers Media formed a consortium to win <strong>the</strong><br />

rights to London <strong>2012</strong>.<br />

“We are building on what we achieved at<br />

Vancouver, which in itself was built on learning<br />

from NBC’s digital delivery of <strong>the</strong> 2008 <strong>Games</strong>,”<br />

says Mark Silver, senior digital director. “For<br />

Vancouver we ingested, edited and encoded clips<br />

into a MAM in a traditional broadcast manner.<br />

For London <strong>the</strong> intention is to create <strong>the</strong> same<br />

content but not rely on broadcast systems for<br />

anything o<strong>the</strong>r than creating <strong>the</strong> live TV product.<br />

We will produce rough cuts from <strong>the</strong> digitally<br />

The London<br />

<strong>Olympic</strong>s will see<br />

digital consumption<br />

go mainstream Over<br />

time <strong>the</strong> lines will<br />

blur between IP and<br />

broadcast channels,<br />

and between platform<br />

boundaries.” – BBC<br />

encoded stream for 100% of our on-demand video<br />

content and make those clips available across<br />

devices without touching <strong>the</strong> broadcast<br />

environment.”<br />

“We need to produce digital-like TV, which<br />

means ensuring that <strong>the</strong> TV pictures have a digital<br />

story running in parallel to it,” says Silver. “We<br />

are trying to keep users engaged in content<br />

regardless of <strong>the</strong> platform it is viewed on so that<br />

<strong>the</strong> two media complement each o<strong>the</strong>r.”<br />

The consortium is also keen to make<br />

complementary and contextual use of social<br />

media so that whe<strong>the</strong>r audiences are watching on<br />

TV, PC or mobile a story is told in a way that<br />

compels <strong>the</strong>m to use o<strong>the</strong>r digital media – TV, PC<br />

or mobile – to find out more.<br />

“One of <strong>the</strong> areas were we continue to struggle<br />

is scalability,” he adds. “While OBS provides a<br />

great deal to rights holders, <strong>the</strong> onus is still on us<br />

for video streaming, for example, so picking a<br />

partner which allows you to scale without<br />

significant capital expenditure is important.”<br />

Remote production by fibre<br />

High profile live event productions require <strong>the</strong><br />

ability for uncompressed video links during <strong>the</strong><br />

production lifecycle. Net Insight says it has<br />

received orders from several media service<br />

providers to deliver its Nimbra multi-service core<br />

switching (MSR) platform to handle video<br />

transport between major broadcasters and <strong>the</strong><br />

TV/media centre.<br />

As a specific example, <strong>the</strong> Nimbra MSR<br />

platform will be used by Swedish telco<br />

TeliaSonera International Carrier to deliver<br />

remote production of <strong>the</strong> <strong>Games</strong> for clients over<br />

its fibre-based media network. TeliaSonera is<br />

providing broadcasters from Scandinavia, Japan,<br />

Korea and Brazil access to eight TV studios<br />

located at <strong>the</strong> edge of <strong>the</strong> <strong>Olympic</strong> site to create<br />

content for <strong>the</strong>ir <strong>Olympic</strong> coverage.<br />

From <strong>the</strong> studio facilities, broadcasters will be<br />

able to take live studio feeds, routed over<br />

TeliaSonera’s network, across borders to a<br />

centralised location within <strong>the</strong> broadcaster’s<br />

headquarters.<br />

“This saves money and time in terms of not<br />

having to send an OB truck and OB production<br />

team out on-site,” says <strong>the</strong> telco’s UK MD Dan<br />

Pope. “Studio personnel can access content<br />

anywhere, on an as-needed basis, enabling <strong>the</strong><br />

studio crew to remotely control, produce and edit<br />

media content seamlessly over a virtual studio<br />

network.”<br />

The solution is able to provide a real-time, low<br />

latency network technology that enables<br />

centralised production and remote workflows with<br />

<strong>the</strong> same quality as if <strong>the</strong>y were on site.<br />

“People have done this on metro area fibre, but<br />

this will be <strong>the</strong> largest distance anyone has done<br />

long haul. When you look at this concept in detail<br />

we are providing an exact replica of what would<br />

normally be done in an OB truck. Graphics and<br />

o<strong>the</strong>r parts of <strong>the</strong> process have typically been<br />

www.csimagazine.com May-June <strong>2012</strong> 19


<strong>Olympic</strong>s special<br />

added remotely but <strong>the</strong> difference here is that<br />

literally every single function in a truck can and<br />

has been moved to wherever you want it. You can<br />

only do so on a fibre-based network and<br />

compressing using JPEG-2000 (not MPEG4).<br />

Even though a 4-camera production does use up a<br />

bit more bandwidth, JPEG-2000 is incredibly<br />

suitable for this sort of application because of its<br />

low latency and minimal delays.”<br />

The latency between London and Stockholm<br />

over fibre, argues Hope is “<strong>the</strong> odd millisecond.<br />

London to New York around 70ms and fur<strong>the</strong>r<br />

afield 300-350ms. By contrast, satellite would<br />

be longer.”<br />

NBC’s multi-screen delivery<br />

NBC will deliver its most extensive <strong>Olympic</strong>s<br />

coverage to viewers this Summer, with all events<br />

streamed in real time on at least one NBC<br />

platform (broadcast, cable, or digital). Live<br />

streams will be available across NBC’s mobile<br />

platforms, offering 360-degree coverage. Helping<br />

<strong>the</strong> broadcaster achieve this are a clutch of<br />

Harmonic storage and transcoding products.<br />

Harmonic is providing Omneon MediaGrid<br />

shared storage systems and ProMedia Carbon<br />

enterprise transcoding software to NBC<br />

<strong>Olympic</strong>s, a division of <strong>the</strong> NBC Sports Group,<br />

during its coverage of <strong>the</strong> <strong>2012</strong> London <strong>Olympic</strong>s.<br />

The media storage and transcoding systems will<br />

enable NBC <strong>Olympic</strong>s to quickly create content<br />

for NBC<strong>Olympic</strong>s.com, mobile devices, and IPTV<br />

and VOD services.<br />

To ensure a fast turnaround for on-demand<br />

content, NBC <strong>Olympic</strong>s will use a ProMedia<br />

Carbon transcoding farm to generate <strong>the</strong> highquality<br />

multiformat video delivered on-demand to<br />

TVs, PCs, and mobile devices.<br />

MediaGrid storage systems will operate with<br />

Avid edit and media management platforms to<br />

facilitate a file-based highlights production<br />

workflow in which multiple editors can instantly<br />

access content.<br />

Incoming HD content from various venues will<br />

be recorded on Sony XDcam XDS-PD1000<br />

systems and transferred along with a low-res proxy<br />

to a 288-TB MediaGrid at <strong>the</strong> International<br />

Broadcast Centre. Simultaneously, those fullresolution<br />

recordings will be replicated and<br />

transferred by Harmonic’s ProCast IP<br />

acceleration solution over a 10G circuit to a 432-<br />

TB MediaGrid system at NBC’s ‘30 Rock’ facility<br />

in New York City. In both London and New York,<br />

ProMedia Carbon will perform transcoding of<br />

content on <strong>the</strong> MediaGrid systems.<br />

Avid’s Interplay media asset management<br />

system provides access to proxy versions of newly<br />

captured content for shotlist creation, as well as<br />

extensive live logs and stats, scoring, and timing<br />

information embedded as metadata. The resulting<br />

shotlists will be sent out to distribution outlets or<br />

delivered to edit rooms when needed for<br />

broadcast.<br />

In addition to <strong>the</strong> MediaGrid and ProMedia<br />

Carbon systems at <strong>the</strong> IBC and 30 Rock, NBC<br />

<strong>Olympic</strong>s will use 72-TB MediaGrid systems along<br />

with ProMedia Carbon transcoders at <strong>the</strong> three<br />

largest venues – track and field, gymnastics, and<br />

swimming — integrated with EVS XT servers to<br />

offload content over a 1-Gbps connection,<br />

enabling <strong>the</strong> broadcaster to keep event footage<br />

readily available over <strong>the</strong> course of <strong>the</strong><br />

competition.<br />

Ericsson is also providing a range of products<br />

to NBC <strong>Olympic</strong>s including MPEG-4 AVC<br />

encoders, receivers, multiplexers and satellite<br />

modulators as well as a team of support engineers<br />

in both London and New York.<br />

TV is king though<br />

Even though <strong>the</strong> <strong>Games</strong> is a multi-device event,<br />

<strong>the</strong> TV broadcast platform is <strong>the</strong> most important<br />

one for <strong>the</strong> broadcasters, points out Simon<br />

Farnsworth, head of contribution services at<br />

GlobeCast. “This time, you are going to see more<br />

data feeds being delivered, such as live scoring<br />

and results. These data feeds allow broadcasters<br />

to do more with that information back at <strong>the</strong>ir<br />

base - perhaps with enhanced graphics or<br />

interactive platforms for connected devices such<br />

as an iPad app that can show video alongside<br />

scores and o<strong>the</strong>r information,” he says.<br />

Recent research of 2,000 people undertaken by<br />

UK DTT platform Freeview reinforces this idea,<br />

indicating that what consumers want most are<br />

technologies that enhance current television<br />

viewing behaviour and give <strong>the</strong> viewer a more<br />

personalised experience. Catch-up, TV anytime<br />

and an enhanced EPG came top of <strong>the</strong> wish list.<br />

3D viewing and mobile TV, meanwhile, are<br />

considered less appealing but still “nice to have”.<br />

“In <strong>the</strong> melee of <strong>the</strong> television world, it’s often<br />

easy to get caught up in industry hype on <strong>the</strong><br />

latest fad. We must make sure that technology<br />

isn’t running ahead of consumers in terms of<br />

what <strong>the</strong>y actually want,” warns Freeview MD Ilse<br />

Howling.<br />

Once all is said and done, it will be interesting<br />

to see what proportion of <strong>the</strong> <strong>Games</strong> is viewed<br />

across each device type, platform, live and<br />

on-demand, once <strong>the</strong>se figures are released after<br />

<strong>the</strong> event. Only <strong>the</strong>n can claims of a first truly<br />

Digital <strong>Olympic</strong>s be judged.<br />

3D <strong>Olympic</strong>s<br />

While it has polarised opinion, 3D<br />

technology should enhance <strong>the</strong> overall<br />

experience and lends itself well to certain<br />

<strong>Olympic</strong> sports.<br />

To this end, <strong>the</strong> BBC has said it will<br />

broadcast some events in 3D during this<br />

year’s London <strong>Olympic</strong> <strong>Games</strong> as part of its<br />

trials of <strong>the</strong> technology. The trial coverage<br />

will be broadcast via <strong>the</strong> BBC’s HD channel<br />

and will include <strong>the</strong> Opening Ceremony, <strong>the</strong><br />

Closing Ceremony and The Men’s 100m<br />

final, as well as a highlights package at <strong>the</strong><br />

end of each day.<br />

Eurosport will broadcast more than 100<br />

hours of 3D programming over <strong>the</strong> course of<br />

<strong>the</strong> event, with payTV broadcasters Sky and<br />

Virgin gaining from <strong>the</strong> content.<br />

In <strong>the</strong> US, Panasonic and NBC will<br />

partner to make <strong>the</strong> <strong>Games</strong> available in 3D<br />

to all US distributors who carry <strong>Olympic</strong><br />

coverage on cable, satellite and telco, <strong>the</strong><br />

first time that <strong>the</strong> <strong>Games</strong> will be distributed<br />

in <strong>the</strong> US in 3D. The 3D broadcasts, which<br />

will be produced by OBS and shown on nextday<br />

delay, will span multiple competitions<br />

throughout <strong>the</strong> <strong>Games</strong>, including <strong>the</strong><br />

opening and closing ceremonies, gymnastics,<br />

diving and swimming.<br />

20 May-June <strong>2012</strong> www.csimagazine.com


Opinion<br />

It’s in <strong>the</strong> blend<br />

Content discovery needs art not just algorithms,<br />

argues Andy Bryant<br />

Is it just me or does working in TV <strong>the</strong>se<br />

days require mastery of an ever-increasing<br />

barrage of new technical concepts?<br />

Content discovery is emerging as one of<br />

<strong>the</strong> major <strong>the</strong>mes in our industry and<br />

within a couple of minutes of exploring it<br />

on Google my screen was swamped with<br />

terms like flexible API, TV-centric app,<br />

recommender system tools, collaborative filtering<br />

and search algorithms.<br />

I turned to good old Wikipedia for clarity: “As<br />

operators compete to be <strong>the</strong> gateway to home<br />

entertainment, personalised television is a key<br />

service differentiator”. That sums it up nicely,<br />

along with <strong>the</strong> neat observation from C21’s<br />

Jonathan Webdale after <strong>the</strong> recent CES show in<br />

Vegas that “if <strong>the</strong>re was one thing that stood out…<br />

it was <strong>the</strong> fact that <strong>the</strong> internet and television are<br />

becoming one”.<br />

As <strong>the</strong> content discovery gold rush intensifies<br />

(and, to declare an interest, Red Bee Media has<br />

just launched its own set of services in this space<br />

under <strong>the</strong> RedDiscover banner), I believe <strong>the</strong> key<br />

question is this: to what extent will <strong>the</strong> consumer<br />

experience be shaped by an artful blend of<br />

innovative technologists and brilliant designers?<br />

In a session recently with media researchers<br />

Decipher, <strong>the</strong>ir MD Nigel Walley made <strong>the</strong> point<br />

that a few years ago UK broadcasters and<br />

platforms tended to abdicate responsibility for<br />

innovation in this area to “future media” or VoD<br />

teams, with <strong>the</strong> “artists” responsible for creativity<br />

and brands getting a bit detached. As we rapidly<br />

reach <strong>the</strong> point at which all producers,<br />

broadcasters, platforms and device manufacturers<br />

need <strong>the</strong>ir own strategies and solutions to help<br />

viewers search, get recommendations and find<br />

<strong>the</strong>ir content, <strong>the</strong> balance needs to be redressed.<br />

In <strong>the</strong> words of Google’s executive chairman, Eric<br />

Schmidt, in Edinburgh, we “need to bring art and<br />

science back toge<strong>the</strong>r”.<br />

I believe that <strong>the</strong> winners in content discovery<br />

will not just be those with <strong>the</strong> whizziest<br />

algorithms but those who recognise <strong>the</strong><br />

importance of what Jane Cunningham and<br />

Phillippa Roberts call ‘The Aes<strong>the</strong>tic Code’. Their<br />

book Inside Her Pretty Little Head explores <strong>the</strong><br />

differences between men and women when it<br />

comes to decision making. Writing about female<br />

motivation and what it means for marketing<br />

(which is, perhaps, a helpful antidote to <strong>the</strong><br />

traditionally male-dominated world of<br />

technology), <strong>the</strong>y say: “The aes<strong>the</strong>tics of<br />

something have a profound appeal that goes way<br />

beyond <strong>the</strong> systematic and <strong>the</strong> conscious”.<br />

Services that inspire<br />

The market is in its infancy but, for inspiration,<br />

iPad users can already turn to Fanhattan<br />

(fanhattan.com), a “digital entertainment<br />

discovery service”. Its elegant user experience<br />

(UX) design helps you delve deeper and deeper<br />

into multiple layers of content in a really fluid and<br />

intuitive way. Even <strong>the</strong> most casual browsing can<br />

take you seamlessly from episode details of a<br />

show to a simple array of viewing options,<br />

Metacritic reviews, social media feeds, cast bios<br />

and o<strong>the</strong>r relevant material, without ever making<br />

you feel lost. It is a wonderfully immersive<br />

experience that makes it easy to discover new<br />

content and new contexts. Ano<strong>the</strong>r inspiring iPad<br />

app is yap.TV, which enables you to log in via<br />

Facebook and interact with your friends and<br />

fellow fans via a visually rich EPG.<br />

At Red Bee Media we’re seeing an increasing<br />

number of advertisers learning from media brands<br />

and creating <strong>the</strong>ir own content portals with<br />

innovative UX design. A good example is<br />

Mercedes-Benz.tv, which successfully employs a<br />

“timeline” interactive pattern that allows users to<br />

browse though a surprisingly large library of video<br />

content via fluid scrolling or navigation buttons<br />

(eg, Style, Motorsport or TV ads) to jump to key<br />

points/areas within <strong>the</strong> timeline. Users also have<br />

<strong>the</strong> ability to re-organise <strong>the</strong> content along <strong>the</strong><br />

timeline or filter it for greater personal relevance.<br />

Staying with <strong>the</strong> iPad, we can also draw<br />

inspiration from <strong>the</strong> ways in which magazine apps<br />

like Wired, GQ and Flipboard have been<br />

executed, allowing something that feels quite<br />

familiar to be extended with additional interactive<br />

functionality, through personalised filtering of<br />

content or mixing more functional elements (such<br />

as an EPG) with editorial content. iPad<br />

magazines also offer <strong>the</strong> ability to zoom out and<br />

get an overview of <strong>the</strong> whole magazine, <strong>the</strong>n jump<br />

back in at a different level. This shows evidence of<br />

designers thinking hard about human interaction<br />

and behaviour patterns ra<strong>the</strong>r than adding<br />

increasingly complex functionality simply because<br />

technology enables it.<br />

Returning to Wikipedia’s description of<br />

Content Discovery, <strong>the</strong> “key service differentiator”<br />

will not just be <strong>the</strong> technically ingenious<br />

personalisation underpinning <strong>the</strong> new gateways to<br />

entertainment but <strong>the</strong> brand understanding,<br />

creativity and design artistry applied to <strong>the</strong> user<br />

experience.<br />

Andy Bryant is director of creative at Red<br />

Bee Media<br />

www.csimagazine.com January-February <strong>2012</strong> 21


Executive interview<br />

Supporting multiple screens<br />

Verizon’s executive director of access technologies, Brian<br />

Whitton, tells Goran Nastic of <strong>the</strong> customer experience and<br />

support challenge <strong>the</strong> operator faces with connected TVs<br />

GN: Tell me a little<br />

about your multiscreen<br />

strategy.<br />

BW: Our platform<br />

for payTV is FiOS.<br />

Over that we offer<br />

managed broadcast<br />

linear and live TV,<br />

as well as managed<br />

VoD. We also offer<br />

an app called FlexView which allows you to get<br />

on-demand OTT content delivered to multiple<br />

screens, TV, PC, tablets and smartphones. It also<br />

enables users to start watching video on one<br />

device and continue on ano<strong>the</strong>r.<br />

As a starting point, 26 of our linear TV<br />

programmes are also delivered over our CDN so<br />

subscribers can watch on devices like <strong>the</strong> Xbox, as<br />

a connected app (Ed: Verizon uses Velocix CDN<br />

equipment). The 26 channels were launched in<br />

December 2011, and <strong>the</strong> number will grow.<br />

This multi-screen approach aims to ensure that<br />

FiOS subs don’t churn but also acts as a potential<br />

opportunity to be a sales lead for penetrating<br />

additional subscribers and market share.<br />

GN: What do you see as <strong>the</strong> main<br />

challenge or barrier to Verizon’s –<br />

and o<strong>the</strong>r operators’ – presence on<br />

connected TVs?<br />

BW: It’s about managing <strong>the</strong> experience to <strong>the</strong><br />

end-user. So now if <strong>the</strong> set-top box were to go<br />

away physically and be replaced by some software<br />

that’s in TV, now we have to make sure that <strong>the</strong><br />

same level of rigor is carried forward on certifying<br />

and testing and qualifying that software in <strong>the</strong> TV<br />

so that it behaves in functionality like a set-top.<br />

Because if it doesn’t, if <strong>the</strong> customer is having<br />

issues, say bugs, <strong>the</strong> TV resets, or <strong>the</strong>re is a loss of<br />

video quality, who are <strong>the</strong>y going to call? They<br />

will call <strong>the</strong> operator, someone like Verizon; we’ll<br />

get that phone call. The effect of that is to drive<br />

cost back into our business. So just because I see<br />

a nice slide that says <strong>the</strong> STB is going away, it<br />

may not necessarily be a case of seeing savings.<br />

You really have to be guarded. Verizon is a<br />

large company, with thousands of technicians; we<br />

have to train <strong>the</strong>m to support, maintain and<br />

debug STBs, but at least we only have five or six<br />

models to worry about. If all of a sudden all that<br />

software goes into a TV, <strong>the</strong> technicians have to<br />

be trained to support all those TVs - that’s hundreds<br />

– so obviously our operating expenses could<br />

increase if we have to become experts from a customer<br />

care perspective on all <strong>the</strong>se TVs.<br />

GN: So you think service providers will<br />

invariably bear <strong>the</strong> brunt of such support<br />

issues, ra<strong>the</strong>r than <strong>the</strong> CE makers?<br />

BW: That could be an outcome and if that were<br />

to be <strong>the</strong> case it would undermine <strong>the</strong> rate of<br />

adoption in displacement of set-tops for software<br />

–based clients in TVs. So for this emerging<br />

model, for market opportunity to really take off, it<br />

will be important for TV/CE manufactures to<br />

understand and adopt <strong>the</strong> approach of hardening<br />

and making resilient <strong>the</strong>ir TV and <strong>the</strong> functionality<br />

that represents <strong>the</strong> set-top so that we have same<br />

level of reliability and our customers get <strong>the</strong> same<br />

experience. If that doesn’t happen <strong>the</strong>n <strong>the</strong> cost<br />

structure becomes in doubt, <strong>the</strong> customer experience<br />

becomes questionable and that would potentially<br />

thwart <strong>the</strong> growth of <strong>the</strong> market.<br />

GN: IMS has forecast that 80% of CTVs<br />

will have integrated WiFi by 2016. Do you<br />

think this will get people to connect <strong>the</strong>ir<br />

sets more or is <strong>the</strong>re a wider issue here?<br />

BW: It could stimulate usage, but I also think<br />

it’s a potential risk. When our customers are purchasing<br />

payTV quality <strong>the</strong>y expect high quality<br />

and a seamless experience. WiFi is an unlicensed<br />

frequency and this is where technologies like<br />

MoCA help out. You could <strong>the</strong>n use coax to deliver<br />

<strong>the</strong> OTT service without <strong>the</strong> fear of service<br />

impairment, I don’t know of any CTVs that have<br />

integrated MoCA but know that those discussions<br />

are ongoing between <strong>the</strong> CTV and chip makers.<br />

GN: PayTV cord cutting:<br />

are you a believer?<br />

BW: No I’m not. I think<br />

cord cutting got a considerable<br />

amount of notoriety or<br />

visibility in <strong>the</strong> press. It was<br />

distorted because of <strong>the</strong><br />

marketplace conditions, <strong>the</strong> economy was in a<br />

poor situation. Cord cutters, especially those at<br />

university, are easy to spot as potential adopters<br />

of only OTT viewing. However, <strong>the</strong>y are using<br />

tablets, PCs, laptops and such personalised<br />

devices, but as <strong>the</strong>y graduate and start families,<br />

<strong>the</strong> idea of <strong>the</strong>m sitting in <strong>the</strong>ir living room<br />

continuing <strong>the</strong> same lifestyle is unlikely. I think<br />

ultimately we will see today’s so-called cord<br />

cutters are just tomorrow’s MSO/MVPD<br />

consumer, so I don’t see this as an issue.<br />

GN: Do you potentially see payTV<br />

providers going more towards a la carte<br />

offerings, ei<strong>the</strong>r to counter <strong>the</strong> potential<br />

OTT threat or for o<strong>the</strong>r reasons?<br />

BW: A lot of what’s happening with OTT is<br />

stimulated not so much by technology adoption;<br />

ra<strong>the</strong>r its catalyst is tied back to <strong>the</strong> cost of <strong>the</strong><br />

bundled payTV services. And as that cost<br />

continues to get more expensive, growing<br />

considerably faster than inflation, I think <strong>the</strong><br />

conditions could be <strong>the</strong>re for a la carte to<br />

emerge as a possible outcome. This is my own<br />

personal view although our CEO did recently<br />

make references to <strong>the</strong> potential of such a la<br />

carte offerings.<br />

22 May-June <strong>2012</strong> www.csimagazine.com


<strong>2012</strong><br />

AWARDS<br />

10th ANNIVERSARY<br />

The winners will be announced at<br />

IBC, on Friday 7 September <strong>2012</strong><br />

Enter now<br />

Deadline for Entries: May 28 <strong>2012</strong><br />

www.csimagazine.com/awards<br />

For awards enquiries contact:<br />

emilia.alvarez@csimagazine.com<br />

+44 (0)207 562 2439


Advertising<br />

Who needs ad insertion?<br />

Cable companies are looking to targeted advertising for<br />

multi-screen monetisation, with tablets being <strong>the</strong> sweet<br />

spot, discovers Philip Hunter<br />

Targeting and personalisation<br />

are going to be critical for<br />

success in <strong>the</strong> multi-screen<br />

era where content is<br />

increasingly both time and<br />

place shifted. So far <strong>the</strong><br />

emphasis for multi-screen,<br />

and to an extent catch-up TV as well, has been on<br />

combating churn and holding up ARPU, and<br />

<strong>the</strong>refore halting revenue decline ra<strong>the</strong>r than<br />

opening new sources of it. But as <strong>the</strong> volume of<br />

viewing on alternative screens grows, so will<br />

opportunities for new revenues that operators<br />

cannot afford to miss.<br />

Targeting will be crucial for all <strong>the</strong> new revenue<br />

opportunities, both for upselling content and<br />

delivering adverts that are much more relevant for<br />

<strong>the</strong> viewer. Both require <strong>the</strong> same infrastructure<br />

even if <strong>the</strong> business rules are slightly different,<br />

capable of selecting adverts or promotions<br />

according both to <strong>the</strong> context of <strong>the</strong> surrounding<br />

content and <strong>the</strong> identity of <strong>the</strong> viewer. This<br />

applies equally whe<strong>the</strong>r <strong>the</strong> operator is promoting<br />

its own services, or inserting an advert for a<br />

third party.<br />

There are several challenges to overcome on<br />

<strong>the</strong> way. These are not principally technical since<br />

most of <strong>the</strong> underlying standards and mechanisms<br />

are now more or less complete, but relate to <strong>the</strong><br />

business model and <strong>the</strong> rate of growth in viewing<br />

on alternative platforms.<br />

“This is not so much a technological hurdle as<br />

a business hurdle,” agrees Jeff Brooks, VP of<br />

business development at Arris, whose Skyvision<br />

Ad Manager platform is being enhanced to<br />

support advanced advertising. “The main hurdle<br />

exists in aggregating <strong>the</strong> fragmented nature of this<br />

type of delivery, so that those purchasing <strong>the</strong><br />

advertisements experience <strong>the</strong> same measure of<br />

simplicity, reach, and monetisation as today’s<br />

linear insertions”.<br />

But <strong>2012</strong> could be <strong>the</strong> year multi-screen<br />

advertising comes of age as operators approach<br />

<strong>the</strong> required critical mass of viewers. “An operator<br />

needs to have a sufficient volume of viewers for a<br />

multi-screen service before it gets interesting from<br />

an advertising perspective,” says Gidi Gilboa,<br />

senior product marketing manager for advertising<br />

solutions at NDS (which was incidentally recently<br />

acquired by Cisco primarily for its content<br />

security and multi-screen software capabilities,<br />

including its dynamic addressable advertising<br />

platform). “We’ve now started to see this happen<br />

in some deployments. In this respect, advertising<br />

will become more important<br />

in multi-screen environments<br />

going forward as eyeballs shift<br />

to this new type of viewing.”<br />

Operators need to be prepared for this even if<br />

<strong>the</strong>y are not inserting adverts yet, in order to<br />

avoid losing out on revenue when <strong>the</strong> time comes,<br />

and ensure <strong>the</strong>y do not fall behind competitors in<br />

<strong>the</strong> emerging market for targeted ads. This means<br />

having <strong>the</strong> platform in place, with critical<br />

mechanisms being measurement of ad<br />

engagement, insertion, addressability, and<br />

campaign management. Measurement will be<br />

needed whe<strong>the</strong>r <strong>the</strong> aim is to present specific ads<br />

for single screen viewing with one-to-one targeting,<br />

or just to replicate <strong>the</strong> ads of <strong>the</strong> main broadcast<br />

stream, exploiting multiple screens as alternative<br />

points of access. Ei<strong>the</strong>r way, measurement is<br />

needed to provide <strong>the</strong> evidence of engagement<br />

that will bring in revenues.<br />

Insertion and addressability need to support<br />

different levels of targeting down to households<br />

and devices as well as <strong>the</strong> less fine grained<br />

demographic groups used at present. This goes<br />

hand in hand with campaign management to<br />

exploit addressability, with <strong>the</strong> aim of exploiting<br />

<strong>the</strong> unique advantages of each platform.<br />

“Operators leveraging <strong>the</strong>se technologies will<br />

be best placed to seize <strong>the</strong> benefits of advertising<br />

on multiple screens,” argues Gilboa. But this<br />

raises an important question that will determine<br />

success in multi-screen monetisation, which is<br />

finding <strong>the</strong> right formula for targeting across <strong>the</strong><br />

different screen types and sizes. “The larger <strong>the</strong><br />

screen, <strong>the</strong>n <strong>the</strong> longer viewers spend consuming<br />

video, so we tend to talk about “snacking” on<br />

mobile, “browsing” on tablets, and “watching” on<br />

TV,” notes Boris Felts, vice president of product<br />

marketing at video encoding specialist Envivio.<br />

“On <strong>the</strong> o<strong>the</strong>r hand, <strong>the</strong> smaller <strong>the</strong> screen <strong>the</strong><br />

more interaction you see.”<br />

The tablet may prove to be <strong>the</strong> sweet spot for<br />

targeted advertising <strong>the</strong>refore, with enough<br />

viewing to present brands and advertisers with an<br />

enticing target audience, but also with ample<br />

scope for targeting and interactivity. “The tablet<br />

sits at an interesting crossover point between<br />

24 May-June <strong>2012</strong> www.csimagazine.com


Advertising<br />

Consumer willingness to share personal information<br />

Q. Please indicate how much you agree or disagree with <strong>the</strong> following statements<br />

Among Total Consumers Summary of Agree<br />

Strongly/Somewhat<br />

I would be willing to provide more personal<br />

information online if that meant I could receive<br />

advertising more targeted to my needs and interests<br />

I am comfortable with having my web browsing<br />

activity tracked so that I could receive advertising<br />

more targeted to my needs and interests<br />

Source: Deloitte Media Democracy Survey, 2010<br />

US<br />

%<br />

“video consumption” and “interaction” and<br />

<strong>the</strong>refore it should be <strong>the</strong> prime candidate for<br />

one-to-one targeted ads,” says Felts.<br />

“It’s also important to remember that most<br />

applications on tablets use a log-in or o<strong>the</strong>r form<br />

of user au<strong>the</strong>ntication, so from this perspective<br />

<strong>the</strong>re are no real issues in audience targeting. The<br />

operator will know who has logged on to a<br />

particular app and be able to target accordingly,”<br />

he adds.<br />

One-to-one vs traditional targeting<br />

Technically <strong>the</strong>n one-to-one advert targeting to<br />

smart phones, tablets and PCs is, or soon will be,<br />

possible for most operators, but this comes back<br />

to <strong>the</strong> business model, and <strong>the</strong> question of<br />

whe<strong>the</strong>r it is desirable or likely to bring in extra<br />

revenues for <strong>the</strong> operator. In <strong>the</strong> immediate future<br />

one-to-one targeting is unlikely, according to<br />

Aseem Bakshi, general manager of advertising at<br />

SeaChange, whose Adrenalin platform brings<br />

toge<strong>the</strong>r <strong>the</strong> back office components needed to<br />

deliver targeted advertising insertion for linear,<br />

catch up, VoD and multi-screen services. This is<br />

because SeaChange believes local ad replacement<br />

is <strong>the</strong> most promising application for multiple<br />

screens in <strong>the</strong> short term, complementing<br />

traditional regional advertising on linear channels.<br />

“Local ads delivered to multiple devices<br />

constitute a financial opportunity for many<br />

operators and OTT distributors,” says Bakshi.<br />

“Although <strong>the</strong>re are solid reasons for<br />

re-transmitting linear TV to multi-screen devices,<br />

<strong>the</strong>re is greater potential for replacing local ads in<br />

linear streams in <strong>the</strong> same manner that <strong>the</strong>y are<br />

inserted by <strong>the</strong> content distributors on a regional<br />

basis for traditional TV.” This of course does not<br />

require one-to-one targeting, but does exploit <strong>the</strong><br />

geographical location features available with IP<br />

delivery over <strong>the</strong> Internet or mobile networks.<br />

NDS has been musing over <strong>the</strong> same question.<br />

“Our NDS Dynamic can do one-to-one targeting<br />

today, especially on personal devices that are<br />

Canada<br />

%<br />

Germany<br />

%<br />

France<br />

%<br />

Japan<br />

%<br />

26 23 14 23 26 4<br />

21 21 24 22 27 5<br />

UK<br />

%<br />

registered, activated and authorised through our<br />

system,” notes Gilboa. “The question is more<br />

about <strong>the</strong> ad sales models on <strong>the</strong>se platforms and<br />

whe<strong>the</strong>r <strong>the</strong>se will be “internet like” models with<br />

<strong>the</strong> one-to-one targeting approach, or closer to TV<br />

that tends to be more regional, or based on<br />

targeting wider demographic audiences. There<br />

is no doubt multi-screen will open new<br />

opportunities in this respect and that we’ll see<br />

some one-to-one approaches where it makes sense<br />

from a business perspective.”<br />

Some of <strong>the</strong> leading cable operators are well<br />

placed in that <strong>the</strong>y have already deployed some<br />

targeting with ad replacement within VoD and<br />

catch-up services, such as SeaChange’s customers<br />

Virgin Media in <strong>the</strong> UK and Rogers Cable in<br />

Canada. “Both operators are using <strong>the</strong>ir growing<br />

VoD tier for ad or promo insertions pre-roll, postroll<br />

and mid-roll,” says Bakshi.<br />

Regulatory questions are still widely to be<br />

addresses worldwide, particularly related to<br />

addressable one-on-one advertising, with common<br />

consensus that this will take time. Sky’s AdSmart<br />

technology technology, which is set to roll out in<br />

2013, will only see occasional ad spots devoted to<br />

addressable ads and without a healthy premium<br />

at first.<br />

According to Nick Adams, head of digital<br />

development at MindShare UK, perhaps some 8%<br />

of TV advertising revenue will come from some<br />

form of targeting by 2016. He believes that<br />

addressable ads will likely to appeal initially to<br />

direct marketing organisations ra<strong>the</strong>r than mass<br />

market brands.<br />

Not a question of standards<br />

The standards though to facilitate advert targeting<br />

and insertion around catch up and multi-screen<br />

are now fairly mature, with <strong>the</strong> two main<br />

contenders being <strong>the</strong> Society of Cable<br />

Telecommunications Engineers (SCTE) 130, and<br />

<strong>the</strong> Internet Advertising Bureau (IAB) Video Ad<br />

Serving Template (VAST). These are sometimes<br />

regarded as being alternatives, and it is true cable<br />

operators in particular will have to support both,<br />

but <strong>the</strong>re are some important differences. Both<br />

are based on XMP protocols for encoding, but<br />

SCTE 130 was designed for addressable<br />

advertising across all platforms focusing mostly<br />

on VoD and linear ad insertion, while VAST is<br />

pitched squarely at online advertising. VAST<br />

<strong>the</strong>refore includes guidance for handling <strong>the</strong><br />

leading video players including Microsoft<br />

Silverlight and Adobe Flash.<br />

A crucial difference is that VAST does not<br />

decide when to show <strong>the</strong> ads, which is up to <strong>the</strong><br />

player in <strong>the</strong> online world. SCTE 130 on <strong>the</strong><br />

o<strong>the</strong>r hand decides when to play ads whe<strong>the</strong>r with<br />

VoD or linear content, although of course for<br />

VoD <strong>the</strong> user determines when <strong>the</strong> content as a<br />

whole is viewed.<br />

A key point, as Envivio’s Felts notes, is that<br />

SCTE 130 is widely used for <strong>the</strong> back end<br />

infrastructure within linear services, but when <strong>the</strong><br />

adverts are transferred to an online platform,<br />

streaming and web standards are also involved.<br />

Operators <strong>the</strong>refore need to understand both.<br />

“Transposing <strong>the</strong> traditional linear ad<br />

architecture requires a good understanding of<br />

SCTE130, but also of all <strong>the</strong> adaptive bit rate<br />

technologies, as well as all <strong>the</strong> web-based<br />

advertising models,” says Felts. But above it<br />

requires understanding of how users will respond<br />

to and interact with ads on <strong>the</strong> different<br />

platforms, which will determine how <strong>the</strong>y are<br />

constructed and presented.<br />

The C3 window<br />

The ability to insert mid-roll ads is<br />

constrained by <strong>the</strong> so called C3 catch-up<br />

window. This is <strong>the</strong> three day period after<br />

<strong>the</strong> scheduled showing during which an<br />

operator is contractually obliged to show <strong>the</strong><br />

original ad sold with <strong>the</strong> programme. The<br />

idea is that because most catch-up viewing<br />

occurs within this three day window, it is<br />

treated as part of <strong>the</strong> overall package. It<br />

enables <strong>the</strong> operator to monetise <strong>the</strong> main<br />

catch up viewing in effect by counting it as<br />

part of <strong>the</strong> total viewing figure, but it does<br />

mean that scope for ad replacement around<br />

catch up is confined to pre- and post-roll,<br />

until <strong>the</strong> C3 window has expired. Advertising<br />

deals need to evolve to take account of <strong>the</strong><br />

fact that some catch up viewing occurs on<br />

alternative screens such as tablets,<br />

presenting greater opportunities for targeting<br />

and interactivity.<br />

www.csimagazine.com May-June <strong>2012</strong> 25


Business intelligence<br />

Turning data into<br />

information<br />

Suranjan Som explores and<br />

analyses <strong>the</strong> value of data –<br />

described by Channel 4 as <strong>the</strong><br />

new oil - in today’s multi-channel<br />

broadcasting environment<br />

The broadcasting industry is<br />

undergoing something of a<br />

revolution. After a number of<br />

false starts IPTV is finally<br />

taking off and <strong>the</strong> industry is<br />

readying itself for a new<br />

world in which <strong>the</strong> consumer<br />

is in control. They get to decide not only what <strong>the</strong>y<br />

watch, but when <strong>the</strong>y watch it, on what device and<br />

how <strong>the</strong>y interact with <strong>the</strong> content.<br />

This concept of personalisation and<br />

interactivity is creating an explosion in<br />

applications around TV. Downloadable apps<br />

enable you to interact with o<strong>the</strong>r fans online in<br />

real time, sharing your likes, dislikes and<br />

commentary. They provide a portal through which<br />

broadcasters and <strong>the</strong>ir partners can deliver a<br />

multitude of additional services – from interviews<br />

with <strong>the</strong> stars through to games and competitions,<br />

forums and even opportunities to purchase<br />

merchandise. The upshot of all of this is that<br />

suddenly broadcasters and content providers have<br />

an overwhelming amount of data at <strong>the</strong>ir<br />

fingertips. And data means information. But<br />

first you have to figure out how to turn one into<br />

<strong>the</strong> o<strong>the</strong>r.<br />

Taking a step back<br />

Before we start talking about data let’s take it<br />

back a little bit. We tend to think of TV through<br />

<strong>the</strong> internet as something very new but in actual<br />

fact <strong>the</strong> IPTV landscape has been around for a<br />

considerable time in <strong>the</strong> UK. Four to five years<br />

ago we had companies like Home Choice who<br />

even <strong>the</strong>n were built around <strong>the</strong> concept of<br />

accessing TV content through <strong>the</strong> internet. They<br />

failed for two main reasons: Firstly <strong>the</strong>re was <strong>the</strong><br />

issue of bandwidth. Connections were too small<br />

and often unreliable and<br />

speeds were too slow. The<br />

second reason is that <strong>the</strong><br />

video compression technology<br />

at <strong>the</strong> time was simply not<br />

efficient enough. With today’s<br />

technology you can transmit<br />

high quality videos over a low<br />

bandwidth with good results; this is something<br />

you couldn’t even imagine five years ago.<br />

The ability to deliver content over <strong>the</strong> internet<br />

also has a significant impact on <strong>the</strong> cost of being<br />

a player in <strong>the</strong> broadcasting industry. Traditional<br />

means of content delivery are expensive and when<br />

we say traditional that includes digital – that is to<br />

“Business intelligence<br />

was not a priority for<br />

broadcasters but as<br />

<strong>the</strong> industry moves to<br />

online and multiplatform<br />

this has now<br />

changed and it is<br />

fundamental to <strong>the</strong>ir<br />

survival.”<br />

say cable and satellite broadcasting. The reduction<br />

in costs of internet delivery brings along with it<br />

<strong>the</strong> opportunity to reach a global audience and<br />

means we are already seeing new IPTV players<br />

come in to <strong>the</strong> market.<br />

Google has already invested significantly in<br />

Google TV platform technology. Version one<br />

failed as it was priced out of consumer reach and<br />

<strong>the</strong> interface was considered by many to be too<br />

geeky. Version two is much more attractive and<br />

looks like it’s going to change <strong>the</strong> game. Apple is<br />

also eyeing <strong>the</strong> same space. The Apple TV<br />

offering originally had TV on demand only.<br />

Recently, with an update to apple iOS, <strong>the</strong>y can<br />

now stream NBA basketball games live, so <strong>the</strong><br />

shift we are seeing in IPTV is not just around<br />

internet-type content, but also live TV.<br />

Lower cost to market entry means that we will<br />

continue to see a sharp rise in <strong>the</strong> number of<br />

broadcasters out <strong>the</strong>re. At <strong>the</strong> moment,<br />

broadcasting stations are expensive and is<br />

<strong>the</strong>refore only an offering for <strong>the</strong> rich. However, if<br />

<strong>the</strong> cost barrier goes down <strong>the</strong>re will be more<br />

broadcasters across <strong>the</strong> world. This will <strong>the</strong>n<br />

create ‘TV Beyond Borders’. For example, if you<br />

are from China you would be able to watch one of<br />

your regular TV shows whilst sitting in <strong>the</strong> UK.<br />

This is because it is not restricted by traditional<br />

broadcasting structures; all you need is an internet<br />

connection and you can watch from wherever you<br />

are. This is both an opportunity and a problem<br />

for broadcasters. The reach any programme can<br />

now have is phenomenal but how do you know<br />

who is watching what and when?<br />

Interestingly broadcasters like Sky and Virgin<br />

are ahead of <strong>the</strong> game in this regard. Although<br />

<strong>the</strong>re was significant resistance from both<br />

operators when <strong>the</strong> YouView platform was<br />

released because of fears it would eat into <strong>the</strong>ir<br />

dominance in <strong>the</strong> cable and satellite market, <strong>the</strong>y<br />

were in fact already well set up to deliver IPTV via<br />

<strong>the</strong> set top boxes that already had this built in to<br />

<strong>the</strong>m. These same boxes are also able to capture<br />

and feedback data about what and when<br />

customers are viewing. This same capability can<br />

be used to capture and feedback data about <strong>the</strong><br />

content <strong>the</strong>y are viewing via <strong>the</strong>ir broadband<br />

connection. It also opens up <strong>the</strong> possibility of Sky<br />

using <strong>the</strong> lower cost IP route to deliver niche<br />

content ra<strong>the</strong>r than <strong>the</strong> traditional and much<br />

more expensive satellite route.<br />

So it seems that Sky and Virgin may have <strong>the</strong>ir<br />

noses in front when it comes to IPTV but that,<br />

one would suspect, is all set to change - largely<br />

due to <strong>the</strong> issue of data. The key thing is that this<br />

switch will generate huge amounts of data, huge<br />

amounts of viewing analyses and customer<br />

insights. It will be down to <strong>the</strong> companies who<br />

can leverage this information before o<strong>the</strong>rs who<br />

will succeed in <strong>the</strong> space. Some of <strong>the</strong> newer<br />

competitors in this space are better placed to do<br />

this than o<strong>the</strong>rs. Companies like Google have<br />

built an empire on understanding data and this<br />

puts <strong>the</strong>m well ahead of <strong>the</strong>ir competitors when it<br />

26 May-June <strong>2012</strong> www.csimagazine.com


Business intelligence<br />

comes to making sense out of <strong>the</strong> huge volumes<br />

of information to <strong>the</strong>m. In five years time it is<br />

likely to be Google, alongside o<strong>the</strong>r big players in<br />

<strong>the</strong> technology space (like Apple), that will have<br />

<strong>the</strong> biggest power base in <strong>the</strong> industry.<br />

Making sense of Big Data<br />

Being able to capture, combine and analyse<br />

information is potentially <strong>the</strong> most critical aspect<br />

in ensuring <strong>the</strong> survival of <strong>the</strong> traditional<br />

broadcasters. Companies across many industries<br />

have been trying to get a better handle on <strong>the</strong>ir<br />

information for years – it’s what <strong>the</strong> information<br />

management and business intelligence (BI)<br />

industries have been built on. For broadcasters<br />

however, it was not a priority. Traditionally <strong>the</strong><br />

BARB data gave <strong>the</strong>m what <strong>the</strong>y needed to know<br />

about what people were watching. As <strong>the</strong> industry<br />

has moved online however, <strong>the</strong> channels, devices<br />

and volumes of data have multiplied. This has<br />

brought BI to <strong>the</strong> fore for this industry.<br />

Let’s take a look at what is driving <strong>the</strong> surge in<br />

data. Take, for example, <strong>the</strong> concept of ‘social<br />

TV’. One person sits down to watch <strong>the</strong>ir<br />

favourite programme and <strong>the</strong>y have also<br />

downloaded a social TV application direct to <strong>the</strong>ir<br />

TV. Using this <strong>the</strong>y connect through <strong>the</strong>ir social<br />

networks to o<strong>the</strong>r people also watching <strong>the</strong><br />

programme and paste a link through Facebook<br />

and Twitter. Through that link five more people<br />

view <strong>the</strong> programme, <strong>the</strong>y also ‘like’ it and post it<br />

on <strong>the</strong>ir timelines. The programme has now gone<br />

viral across <strong>the</strong> social network. This is where <strong>the</strong><br />

concept of ‘Big Data’ comes into play. Huge<br />

volumes of information are available to those that<br />

can harness it – not just about what people are<br />

watching but who <strong>the</strong>y are, how <strong>the</strong>y<br />

communicate and what <strong>the</strong>y like to share. This is<br />

invaluable to <strong>the</strong> advertising on which all<br />

commercial broadcasters depend.<br />

The link between data and advertising is<br />

crucial. In <strong>the</strong> UK around two years ago online<br />

advertising overtook TV advertising. Its growth<br />

suggests that in ano<strong>the</strong>r two years or so online<br />

advertising will probably overtake print<br />

advertising as well. What broadcasters have to be<br />

able to offer is insight that will enable advertisers<br />

to reach <strong>the</strong> right people, at <strong>the</strong> right time and on<br />

<strong>the</strong> right platform. What <strong>the</strong>y do with <strong>the</strong><br />

information, to some extent, is difficult to predict.<br />

There is still considerable debate on <strong>the</strong> merits of<br />

targeted advertising and how far it is possible to<br />

take it. It may still in many cases be more cost<br />

effective to take an advertising message out to a<br />

wider audience. What <strong>the</strong> data does do, however,<br />

is enable advertisers to make informed decisions<br />

about <strong>the</strong>ir strategy around this.<br />

The Big Data message is not just one that has<br />

to be heeded by <strong>the</strong> broadcasters <strong>the</strong>mselves. The<br />

type of content we are talking about (video<br />

content) is big. This <strong>the</strong>refore results in an<br />

infrastructure challenge. Unless network providers<br />

like AOL ensure <strong>the</strong>ir infrastructures can cope<br />

with this we may see a re-emergence of <strong>the</strong><br />

problems of five years ago – namely bandwidth<br />

and reliability. This presents <strong>the</strong>m with a bit of a<br />

headache and it seems likely that network<br />

providers may seek to charge <strong>the</strong> broadcasters –<br />

ra<strong>the</strong>r than <strong>the</strong> consumer - for IPTV traffic.<br />

Despite <strong>the</strong>se changes we don’t expect <strong>the</strong><br />

traditional linear schedule to go away anytime<br />

soon. The fact is that if you are going to interact<br />

with o<strong>the</strong>r people around content you need to be<br />

viewing that content at <strong>the</strong> same time. This will<br />

have an impact in <strong>the</strong> future of how people will<br />

continue watching TV. It is similar to having an<br />

MP3 player or listening to <strong>the</strong> radio. The<br />

majority of people still prefer listening to <strong>the</strong><br />

radio, even with all <strong>the</strong> adverts, as most people<br />

enjoy <strong>the</strong> social element this offers, likewise it can<br />

be said that people enjoy being given a schedule<br />

ra<strong>the</strong>r than make <strong>the</strong> decisions <strong>the</strong>mselves.<br />

The situation is complex but it is clear that<br />

<strong>the</strong>re is a huge amount of insight into customer<br />

behaviour now available and anyone in this<br />

industry has to stay on top of that information in<br />

order to be competitive. Not all of this data is<br />

available to broadcasters now, though <strong>the</strong> industry<br />

is already taking significant steps down that path.<br />

What is critical for any company serious about<br />

this market is investment in an infrastructure that<br />

can capture and analyse this data effectively, as<br />

well as being scalable enough that, as more<br />

information becomes available, adding it to <strong>the</strong><br />

‘data pot’ is easy.<br />

For broadcasters, true business intelligence is<br />

now fundamental to <strong>the</strong>ir survival.<br />

Suranjan Som is information management<br />

strategist at IMGroup, a company that<br />

provides strategies and services for<br />

information management for industries<br />

including media and broadcast.<br />

www.csimagazine.com May-June <strong>2012</strong> 27


Show review<br />

IP times are a changing<br />

The IP&TV World Forum is rebranding as TV Connect to<br />

reflect a shifting industry landscape. As over-<strong>the</strong>-top and<br />

multi-screen become real-world developments, <strong>the</strong>re was a<br />

practical feel in <strong>the</strong> air as to what this really means for all<br />

players involved. Goran Nastic reports<br />

This year’s IP&TV World<br />

Forum saw a 10% increase in<br />

attendee numbers to 7,163<br />

visitors, <strong>the</strong> highest in <strong>the</strong><br />

show’s eight year history.<br />

Growth in exhibitors has also<br />

resulted in new space created<br />

in <strong>the</strong> adjacent hall of London’s Olympia, where<br />

conferences were held to make room for new<br />

exhibitors on both floors of <strong>the</strong> original hall.<br />

Organisers Informa decided to rebrand <strong>the</strong><br />

event as TV Connect for 2013, with thoughts of<br />

<strong>the</strong> converging TV market in mind, which <strong>the</strong>y<br />

believe should push <strong>the</strong> show towards fur<strong>the</strong>r<br />

growth. Broadening of scope was also reflected in<br />

<strong>the</strong> keynotes, which ranged from NBC and Sony<br />

Network Entertainment to MTV and Twitter,<br />

complimenting more traditional vendors and<br />

service providers like Deutsche Telekom, Ericsson<br />

and Huawei.<br />

IPTV always meant many things to many<br />

people, and was most commonly associated with<br />

closed managed networks, typically telco-based, of<br />

TV delivery. The future now – while still IP<br />

centric – is widely perceived to be one of over <strong>the</strong><br />

top and multi-screen delivery, one where<br />

technologies such as adaptive-bit rate streaming,<br />

HTML5 and CDNs rule.<br />

Coming not long after Cisco announced its<br />

$5bn mega acquisition of NDS, its largest in<br />

years, <strong>the</strong> news nicely set <strong>the</strong> tone for <strong>the</strong> event to<br />

follow in that multi-screen and over-<strong>the</strong>-top indeed<br />

acted as <strong>the</strong> overarching <strong>the</strong>mes. Verimatrix CEO<br />

Tom Munro made <strong>the</strong> point that multi-screen was<br />

finally moving away from PowerPoint<br />

presentations to real-world deployments.<br />

As was <strong>the</strong> case during <strong>the</strong> Cable Congress on<br />

<strong>the</strong> cable side, <strong>the</strong>re was a sense among <strong>the</strong> telco<br />

community that <strong>the</strong> migration of IP video to<br />

cloud-based infrastructures is better suited for<br />

multi-screen services, and that such broadcasting<br />

in <strong>the</strong> cloud plays to <strong>the</strong>ir strengths as IP service<br />

providers.<br />

As TDG analyst Colin Dixon recently put it:<br />

“It underscores an inevitable fact that all payTV<br />

operators must face: <strong>the</strong>ir future is tied to<br />

broadband delivery and <strong>the</strong> internet. The extent to<br />

which <strong>the</strong>y incorporate IP will determine in many<br />

ways <strong>the</strong> extent to which <strong>the</strong>y survive in a multiscreen<br />

or quantum universe.”<br />

For operators <strong>the</strong> issue is no longer if <strong>the</strong>y will<br />

“We are learning<br />

along <strong>the</strong> way and it<br />

requires new skill sets<br />

for cable operators. It<br />

will be very much<br />

about Web technologies<br />

in <strong>the</strong> future.”<br />

Com Hem CTO<br />

Martin Kull<br />

launch on broadband, but how long <strong>the</strong>y can<br />

afford to wait before <strong>the</strong>y do, Dixon argued.<br />

Why payTV providers should go OTT is a<br />

question that cropped up often during <strong>the</strong> show.<br />

Answers that came in reply ranged from “it’s<br />

cheaper to reach a wider (global) audience that<br />

way” and “user interfaces are better looking” to<br />

“it’s necessary to fight <strong>the</strong> threat from purely<br />

online players.”<br />

This was posited by Peter White, principal<br />

analyst at Rethink Research,<br />

during a Verimatrix breakfast<br />

briefing on <strong>the</strong> first morning<br />

of <strong>the</strong> show, who bluntly made<br />

<strong>the</strong> point that “‘if your content<br />

is not on a tablet, you’re<br />

dead”. OTT has been painful<br />

“like pulling teeth, and doing<br />

it very slowly”, he noted,<br />

because it involves a change in viewer and<br />

industry habits, but most operators now recognise<br />

<strong>the</strong>y have no choice but to embrace it to strive<br />

and survive.<br />

Is this purely a defensive move? “Just to cut<br />

churn is not reason enough to embark on multiplatform.<br />

There is not enough imagination going<br />

round,” he noted.<br />

In reality, it’s probably a mix of motivations<br />

forcing service providers into this realm,<br />

depending on <strong>the</strong> specific market environment.<br />

Speaking on <strong>the</strong> same panel, CTO of Swedish<br />

cable operator Martin Kull hinted that multiscreen<br />

moves were both defensive and offensive.<br />

“We need to be on our toes and launch services to<br />

attract and keep customers. We need to add value<br />

and grow our subscriber base, and we think OTT<br />

and multi-screen can do this. It’s a good business<br />

model for expanding footprint into new<br />

households that aren’t penetrated as yet.”<br />

To do this, Kull said <strong>the</strong> cableco needs to have<br />

TV and VoD in open networks, and any<br />

broadband connection. “We don’t want TV<br />

delivery silos, we want an integrated and unified<br />

platform for doing that”, which is something that<br />

Com Hem is developing toge<strong>the</strong>r with Verimatrix<br />

and Ericsson.<br />

Parks Associates analyst Brett Sappington,<br />

incidentally, predicts that <strong>2012</strong> will see significant<br />

amount of such integration, with operators trying<br />

to put disparate technologies into one unified<br />

offering. Much like Com Hem, French telco<br />

Orange is migrating its entire IPTV subscriber<br />

base to a new service that incorporates over-<strong>the</strong>top<br />

content and native multi-screen, based on a<br />

joint Viaccess and Orca platform. Taking in<br />

millions of customers, it represents <strong>the</strong> single<br />

largest migration of its kind.<br />

In terms of content rights, Kull alluded to <strong>the</strong><br />

need for flexible CA that can handle different<br />

rights depending on where <strong>the</strong> customer is, such<br />

28 May-June <strong>2012</strong> www.csimagazine.com


Show review<br />

as on-net, off-net, in <strong>the</strong> home, outside <strong>the</strong> home<br />

etc), and different device types. Sales provisioning<br />

and support for all <strong>the</strong>se services and networks<br />

should not be underestimated ei<strong>the</strong>r, he warned.<br />

“We are learning along <strong>the</strong> way and it requires<br />

new skill sets for cable operators. It will be<br />

very much about Web technologies in <strong>the</strong> future,”<br />

he said<br />

Some broadcasters, content owners and<br />

operators have started taking a VoD service to<br />

smart TVs, with Turner, MTV, Telstra, FastWeb<br />

and Viasat among those to have deployed on <strong>the</strong><br />

platform. Viasat has in a sense started competing<br />

with itself with a pure-OTT offering that goes<br />

against its payTV service (Sky will do <strong>the</strong> same in<br />

<strong>the</strong> UK with its upcoming Now TV OTT service).<br />

Operators need to work with content owners to<br />

enable <strong>the</strong>se new business models, which have to<br />

change to keep up with <strong>the</strong> times. Steve Oetegenn<br />

of Verimatrix noted how streaming services may<br />

need higher ra<strong>the</strong>r that less security. Many studios<br />

won’t allow HD movies online, for example, due<br />

to security concerns. He thinks that once <strong>the</strong><br />

business models change, <strong>the</strong>n consumer behaviour<br />

will shift to online forms of distribution legally<br />

too, reducing piracy. For now, security and<br />

ensuring consistent high-quality performance<br />

remain challenges, but <strong>the</strong>y are being overcome.<br />

Countries where piracy is highest are also<br />

those that lack advanced consumer services and<br />

broadband, lacking offerings like Netflix and<br />

Hulu, as Irdeto’s Christopher Schouten pointed<br />

out. “If you offer a reasonably priced, attractive<br />

and legitimate service <strong>the</strong>y will probably use that<br />

over piracy,” he argued.<br />

All in all, <strong>the</strong> war to win payTV hearts and<br />

minds will go on in Europe, with Rethink<br />

forecasting that in a market of 200 million payTV<br />

homes across <strong>the</strong> region, OTT will reach 87<br />

million, mainly through tablets, which is identified<br />

as <strong>the</strong> key land-grab battleground.<br />

While OTT can help gain some share, <strong>the</strong><br />

reality is that <strong>the</strong>re aren’t many low hanging fruits<br />

any more in terms of new subscribers, and <strong>the</strong><br />

name of <strong>the</strong> game is more about retaining<br />

customers, especially <strong>the</strong> higher value ones that<br />

are expensive to lose. This is why most operators<br />

(and content owners such as HBO through HBO<br />

Go) see multi-screen as an essential future of <strong>the</strong>ir<br />

portfolio despite not knowing how to monetise<br />

this offering yet.<br />

Monetisation is an issue that crept up again<br />

and again as it is clear <strong>the</strong>re are no de facto<br />

“We have to<br />

elevate consumers<br />

from<br />

<strong>the</strong> ‘freemium’<br />

model we have<br />

created as an<br />

industry while<br />

<strong>the</strong>re is still<br />

time.”<br />

answers as yet. There is some anecdotal evidence<br />

of consumer willingness to pay. Irdeto’s own<br />

Media 3.0 survey shows that in Spain and Italy<br />

consumers are willing to pay EUR5 a month for<br />

multi screen. “We have to elevate consumers from<br />

<strong>the</strong> ‘freemium’ model we have created as an<br />

industry while <strong>the</strong>re is still time.”<br />

ITV, <strong>the</strong> UK’s main commercial broadcaster is<br />

working with Irdeto in trialling different payment<br />

options, effectively trying to find out if consumers<br />

are willing to pay for content over and above its<br />

existing catch up content (incidentally, 20% of<br />

ITV Player on-demand viewing now takes place<br />

on mobile devices).<br />

There are also arguments in favour of targeted/<br />

addressable advertising, but for now though,<br />

churn reduction is <strong>the</strong> main business driver<br />

behind deploying OTT/multi-screen services.<br />

Multi-screen allows service providers to keep<br />

<strong>the</strong> higher end customers, stopping <strong>the</strong> erosion of<br />

business value altoge<strong>the</strong>r. If revenues don’t go up,<br />

at least <strong>the</strong>y are not going down, noted Ericsson’s<br />

Simon Frost. “Content is still king but<br />

convenience is queen.”<br />

Fragmentation is ano<strong>the</strong>r challenge. “Most<br />

platforms use modern Web technologies but<br />

doesn’t mean you can take <strong>the</strong> same app and use<br />

it to work on any device. Technology<br />

fragmentation is bigger than we thought, and I<br />

don’t believe in standardisation any time soon. I<br />

believe everyone has to deal with this problem<br />

ra<strong>the</strong>r than hoping something comes out in <strong>the</strong><br />

future,” said Michael Lantz, CEO of Accedo,<br />

whose company has extensive experience in <strong>the</strong><br />

connected TV space.<br />

Common standards such as HTML5 and<br />

DASH to ease broadcaster and operators’ plight,<br />

but most service providers are “terrified” when<br />

<strong>the</strong>y realise <strong>the</strong> scope of <strong>the</strong> challenge when<br />

transitioning to multiple platforms, admitted<br />

Alcatel-Lucent’s Jim Guillet.<br />

For a start, OTT, social TV and <strong>the</strong> second<br />

screen are a whole new world away from <strong>the</strong><br />

structured set-top box model.<br />

On <strong>the</strong> network side, implementation needs to<br />

be evolutionary. Start by taking <strong>the</strong> back office<br />

and content management into <strong>the</strong> cloud. Keep<br />

popular content at <strong>the</strong> edge, closer to <strong>the</strong> home,<br />

he says. ALU, for its part ,has a range of<br />

partnerships, including <strong>the</strong> likes of Microsoft,<br />

Apple and <strong>the</strong>Platform, to help with <strong>the</strong><br />

migration, and purchased Velocix in <strong>the</strong> CDN<br />

space which it sees as central in managing<br />

opportunities in IP video.<br />

Of <strong>the</strong> company’s 60+ IPTV installs, Guillet<br />

claims that every one wants to - and will - go<br />

down <strong>the</strong> multi-screen route.<br />

Motorola, incidentally, will continue to<br />

enhance and expand its Medios multi-screen<br />

portfolio with multiple CDNs as a key part of that<br />

offering, highlighting this type of network’s<br />

importance as more video is streamed over<br />

broadband pipes.<br />

The technology, which wasn’t <strong>the</strong>re a couple of<br />

years ago, is here now. Business models haven’t<br />

caught up yet. They probably will, but this will be<br />

<strong>the</strong> really hard part.<br />

Of <strong>the</strong> new companies that made an<br />

appearance at <strong>the</strong> show were Comigo, an<br />

Israeli start-up founded by <strong>the</strong> co-inventor of<br />

<strong>the</strong> USB stick, Dov Moran. The company<br />

promises a “unique UX across devices”<br />

mixed in with personalisation and social<br />

TV capability such as Facebook integration<br />

and <strong>the</strong> ability of friends to promote content<br />

virally. It is hoping to tackle <strong>the</strong> market<br />

which is in a “state of chaos” as everyone<br />

fights for a slice of <strong>the</strong> pie. The main targets<br />

are hybrid IPTV/OTT operators in<br />

Europe, for which it offers a solution that<br />

combines software for mobile devices like<br />

smartphones and tablets, a set-top box, and<br />

a server application. The set-top box smart<br />

TV solution will be integrated into <strong>the</strong><br />

Android OS.<br />

30 May-June <strong>2012</strong> www.csimagazine.com


Connected TV<br />

Almost everything<br />

on <strong>the</strong> box<br />

Shirlene Chandrapal discusses what effect connected<br />

TVs will have on how advertisers can communicate with<br />

<strong>the</strong>ir audiences<br />

In <strong>the</strong> past few years we have seen TVs<br />

becoming more like PC monitors. PC<br />

monitors becoming more like TVs is a<br />

process well underway. On one hand TVs<br />

have been designed with increasingly<br />

complex graphical user interfaces, while<br />

on <strong>the</strong> o<strong>the</strong>r PC monitors have seen <strong>the</strong>ir<br />

size and resolution improve to make <strong>the</strong>m more<br />

suitable for watching video content.<br />

The two devices are converging. If early indications<br />

are anything to go by, it seems that <strong>2012</strong> will<br />

be <strong>the</strong> year in which this convergence is taken to a<br />

new level, and <strong>the</strong> connected TV becomes a mainstream<br />

reality. We’re already seeing users spending,<br />

on average, ten times more time watching<br />

content on connected TVs than <strong>the</strong>y do on PCs,<br />

so it is little surprise that Strategy Analytics has<br />

forecast that 1.6 billion connected TVs will be<br />

installed worldwide by 2014.<br />

As TVs become increasingly connected to <strong>the</strong><br />

internet, to smartphone and tablets, and to games<br />

consoles among o<strong>the</strong>r devices - <strong>the</strong> medium will<br />

become more interactive. This interactivity will<br />

bring a completely new element to <strong>the</strong> way in<br />

which we consume content, one which will need<br />

to be considered closely by everyone in <strong>the</strong> content<br />

chain, from TV show producers, right<br />

through to advertisers.<br />

A new TV ecosystem<br />

There are three ways in which <strong>the</strong> TV ecosystem<br />

is changing; through content, <strong>the</strong> connection of<br />

o<strong>the</strong>r devices to TV and how we physically react<br />

to <strong>the</strong>se devices. These changes will not only have<br />

a profound impact on <strong>the</strong> way television and<br />

internet content is consumed, but <strong>the</strong>y will have<br />

an equally important impact on <strong>the</strong> world of<br />

advertising, offering brands a revolutionary new<br />

way to introduce consumers to <strong>the</strong>ir products<br />

and identity.<br />

“The way we physically<br />

interact with<br />

CTVs will change to<br />

help enable this application<br />

convergence,<br />

including gesture<br />

recognition technologies<br />

and voice<br />

recognition UIs.”<br />

off <strong>the</strong> television programme<br />

<strong>the</strong>y are watching. The way<br />

viewers find programmes will<br />

also change fundamentally,<br />

with <strong>the</strong> preferences you set<br />

and your friends’ recommendations<br />

from social networks replacing <strong>the</strong><br />

programme guide.<br />

Secondly, existing devices will be co-opted<br />

into <strong>the</strong> connected TV ecosystem to provide<br />

consumers with <strong>the</strong> method of interactivity<br />

that best suits <strong>the</strong>m. As surfing <strong>the</strong> internet on<br />

your TV becomes possible, <strong>the</strong> smartphone or <strong>the</strong><br />

tablet will become an extension of <strong>the</strong> television.<br />

With connected TV, viewers will vote, access rich<br />

content, blog, tweet and access a plethora of<br />

applications all via <strong>the</strong>ir TV sets, but through <strong>the</strong><br />

devices that <strong>the</strong>y feel comfortable with.<br />

Lastly, <strong>the</strong> way we physically interact with<br />

<strong>the</strong>se devices will change to help enable this<br />

application convergence. Samsung has developed<br />

gesture recognition technologies for connected<br />

TVs meaning that <strong>the</strong> days of remote controls will<br />

soon be long gone. Viewers will control <strong>the</strong>ir TVs<br />

purely by use of hand gestures, in <strong>the</strong> same way<br />

Microsoft Kinect has changed <strong>the</strong> way players<br />

interact with Xbox 360 games. The rumoured<br />

Apple TV, meanwhile, might well run on voice<br />

recognition, based on <strong>the</strong> Siri software currently<br />

used for <strong>the</strong> iPhone 4S.<br />

These improved user interfaces will mean that<br />

<strong>the</strong> connected TV will live up to its promise of<br />

being a true multi-application platform. Users will<br />

be able to intuitively and seamlessly use<br />

simultaneous applications on <strong>the</strong> devices in a way<br />

that has not been possible before.<br />

Firstly, <strong>the</strong> new TV experience will mean<br />

that broadcast content, video content, internet<br />

content and personal content is all seamlessly<br />

blended toge<strong>the</strong>r, and this means that <strong>the</strong> TV<br />

ecosystem will need to become more integrated,<br />

collaborative and interactive than ever before.<br />

It will soon be common for television viewers<br />

to be able to post blogs, send tweets or update<br />

<strong>the</strong>ir Facebook profiles without <strong>the</strong> need to turn<br />

A game changer for brands<br />

Advertising on CTV is a completely new advertising<br />

environment. It offers brands an opportunity<br />

to reverse <strong>the</strong> decline seen in traditional television<br />

advertising. Forrester Research, <strong>the</strong> analyst house,<br />

has predicted that online advertising spend will<br />

overtake that of TV by 2016 and provides <strong>the</strong><br />

chance to create a multichannel brand presence,<br />

enabling marketers to deliver advertising opportunities<br />

which are both targeted and effective.<br />

32 May-June <strong>2012</strong> www.csimagazine.com


Connected TV<br />

Broadcasters will be able to track viewer<br />

reaction to content in real-time and learn more<br />

about audience behaviour from social networking<br />

interaction. The result is that brands will have to<br />

work harder to target <strong>the</strong>ir demographic and keep<br />

audiences engaged; after all, while we may watch<br />

<strong>the</strong> same TV shows, we may not see <strong>the</strong> same<br />

advertisements. Viewers will also become<br />

increasingly distracted from traditional linear<br />

television because of <strong>the</strong> almost-endless range of<br />

media offered by connected TVs and<br />

recommendations from o<strong>the</strong>r viewers will be<br />

more and more important to <strong>the</strong>m.<br />

The real game-changer for brands<br />

however, will be <strong>the</strong> use of online video<br />

advertising formats. Feedback from<br />

smartclip’s customers suggests that <strong>the</strong><br />

uptake of online video ads is encouraging,<br />

with similar usage patterns to traditional<br />

TV and general internet use.<br />

Online video holds <strong>the</strong> potential for a<br />

more direct and genuine customer relationship<br />

through <strong>the</strong> integration of social<br />

media. With engaging content and CTV’s<br />

bigger screen, brand awareness<br />

will increase.<br />

With interactive<br />

content you know that<br />

people are actively watching <strong>the</strong> TV so awareness<br />

and involvement is increased compared to<br />

traditional TV. This brings with it many benefits<br />

to advertisers, content producers and brands<br />

alike, but also creates numerous challenges<br />

which can only be addressed if organisations can<br />

deliver a clear and consistent message across<br />

multiple platforms.<br />

In addition to this, competition will become<br />

fierce as brands compete with more video on <strong>the</strong><br />

internet. Ads will need to be engaging and worth<br />

watching so brands will become more creative.<br />

Techniques such as gamification – where<br />

game elements are included in marketing<br />

campaigns to make <strong>the</strong>m ‘stickier’ –<br />

and incentives will generate ROI,<br />

with ideas such as pop-up shops and<br />

competitions gaining popularity.<br />

The added value of interactive<br />

video ads will be adopted by<br />

consumers, as <strong>the</strong> use of HTML5<br />

creates an easy-to-use interface for<br />

video content which is easier to<br />

engage with than on linear TV. By<br />

delivering ad content<br />

that is truly social,<br />

fun or informative<br />

to consume and<br />

engagingly presented, brands will be able to more<br />

effectively win over new customers. The<br />

connected TV provides just <strong>the</strong> toolkit for brands<br />

to achieve this.<br />

We have a vision of <strong>the</strong> Connected TV as<br />

sitting at <strong>the</strong> centre of a unified communications<br />

and entertainment hub. From voice and gesture<br />

command technology, personalised content<br />

discovery to tailored advertising experiences<br />

based on preferences, TV is becoming<br />

increasingly interactive.<br />

Manufacturers are beginning to think about<br />

how TV interacts with o<strong>the</strong>r devices, for example<br />

using a tablet or mobile as a remote control. It<br />

will provide <strong>the</strong> common factor that unites social<br />

media with broadcast technology, and mobile<br />

devices with <strong>the</strong> fixed-line environment. The<br />

profound effect this will have on <strong>the</strong> way people<br />

consume and interact with content is only just<br />

becoming clear.<br />

The next few years will no doubt provide a<br />

range of fur<strong>the</strong>r innovations that will build on <strong>the</strong><br />

connected TV concept and lead to a completely<br />

new viewing experience for <strong>the</strong> future.<br />

Shirlene Chandrapal is vice president of<br />

connected TV at smartclip<br />

www.csimagazine.com May-June <strong>2012</strong> 33


Guest column<br />

A question of spectrum<br />

With <strong>the</strong> analogue shutdown in <strong>the</strong> UK almost complete, <strong>the</strong><br />

DTG is now turning its attention to <strong>the</strong> upcoming issue of<br />

LTE spectrum and TV white spaces<br />

With <strong>the</strong> final<br />

digital<br />

switchover<br />

(DSO) to<br />

complete in<br />

under six<br />

months<br />

time, much of <strong>the</strong> digital television industry’s<br />

focus is now on <strong>the</strong> future uses of radio spectrum<br />

(<strong>the</strong> invisible electromagnetic waves that carry<br />

voice, video and data transmissions through <strong>the</strong><br />

air) released by turning off <strong>the</strong> analogue signal.<br />

Radio spectrum is used to connect wireless<br />

devices such as mobile phones, laptops, tablets,<br />

game consoles and, increasingly, enable <strong>the</strong>m to<br />

communicate with each o<strong>the</strong>r.<br />

As a result of significant growth in demand<br />

for wireless applications and services over <strong>the</strong> last<br />

few years, most of <strong>the</strong> spectrum in <strong>the</strong> UK is now<br />

in use. Therefore it is important that <strong>the</strong> industry<br />

ensures <strong>the</strong> available spectrum is used as<br />

efficiently as possible.<br />

The Digital TV Group (DTG) is currently<br />

working with industry to explore two major uses<br />

of <strong>the</strong> spectrum: Long Term Evolution (LTE) –<br />

<strong>the</strong> fourth generation mobile telephony data<br />

network referred to and known by some as 4G,<br />

and TV whites spaces – wireless<br />

networks built<br />

to use TV frequencies that can be used to improve<br />

broadband performance. The latter will see <strong>the</strong><br />

introduction of white space or ‘smart’ devices<br />

such as in-home appliances and energy monitors<br />

or enable rural broadband delivery by choosing<br />

unused frequencies available in <strong>the</strong> area to<br />

maximise efficient use of <strong>the</strong> spectrum.<br />

Impact on D-Book – and beyond<br />

The DTG’s RF working group is currently looking<br />

at co-existence with DTT and is investigating <strong>the</strong><br />

current sensitivity and selectivity requirements in<br />

<strong>the</strong> D-Book RF chapter to determine whe<strong>the</strong>r<br />

improvements in receiver performance can be<br />

made to optimise <strong>the</strong> coexistence of TV. This may<br />

result in a modified D-Book chapter and<br />

subsequent changes in <strong>the</strong> conformance regime if<br />

deemed necessary.<br />

We have also joined <strong>the</strong> Cambridge TV White<br />

Spaces Consortium, which has just completed a<br />

trial to assess <strong>the</strong> potential of TV white spaces to<br />

deliver cost-efficient broadband access to rural<br />

communities and offload wireless data demand in<br />

cities. The DTG has provided <strong>the</strong> consortium<br />

with advice and information about industry<br />

coordination, interoperability and coexistence<br />

with DTT. The trial found that TV white spaces<br />

can be successfully utilised to help satisfy <strong>the</strong><br />

demand for wireless connectivity. The consortium<br />

members are now recommending that Ofcom<br />

complete its development<br />

of <strong>the</strong> enabling<br />

regulatory framework<br />

in a manner that<br />

protects licensees from<br />

harmful interference<br />

and encourages<br />

innovation and<br />

deployment.<br />

It is imperative that<br />

any future mobile<br />

network does not<br />

interfere with current<br />

broadcast equipment.<br />

With this in mind, <strong>the</strong> DTG’s test<br />

house: DTG Testing recently<br />

conducted tests on its receiver<br />

collection to ascertain how<br />

consumer receiver equipment<br />

will respond to LTE. The<br />

results will be used to inform public bodies<br />

responsible for spectrum allocation of any impact<br />

on terrestrial television broadcasts, alert<br />

manufacturers to potential issues with <strong>the</strong> RF<br />

tuner elements of <strong>the</strong>ir products - giving <strong>the</strong>m<br />

opportunity to design and implement appropriate<br />

protection, and specify target protection values in<br />

future revisions of <strong>the</strong> D-Book.<br />

2013 will see <strong>the</strong> reorganisation to complete<br />

<strong>the</strong> clearance of <strong>the</strong> 800 MHz band for LTE. A<br />

recent World Radiocommunication Conference<br />

(WRC) proposed assigning in <strong>the</strong> 700MHz band<br />

for co-primary mobile use. If <strong>the</strong> conference in<br />

2015 agrees that harmonisation for mobile use,<br />

this would mean a significant European re-plan or<br />

frequency allocations and has <strong>the</strong>refore had an<br />

impact on Ofcom’s 600MHz auction plans and<br />

<strong>the</strong>ir Future UHF consultation.<br />

With <strong>the</strong> introduction of new spectrum uses,<br />

<strong>the</strong> requirements for interoperability to protect<br />

and serve <strong>the</strong> consumer are just as important as<br />

ever. As technology inevitably develops fur<strong>the</strong>r,<br />

<strong>the</strong> DTG will continue to bring <strong>the</strong> relevant<br />

organisations toge<strong>the</strong>r to enable <strong>the</strong> seamless<br />

delivery of digital technology to consumers across<br />

<strong>the</strong> UK.<br />

Simon Gauntlett is technology<br />

director at <strong>the</strong> DTG, <strong>the</strong> industry<br />

association for DTV in <strong>the</strong> UK.<br />

This is <strong>the</strong> latest in a line of<br />

regular guest columns to<br />

provide <strong>CSI</strong> readers with updates on <strong>the</strong><br />

DTG’s initiatives and activities.<br />

34 May-June <strong>2012</strong> www.csimagazine.com


Energy efficiency<br />

Green thinking<br />

Dr. Lindsay Frost and Oliver Lamparter from <strong>the</strong> Home<br />

Gateway Initiative discuss energy-saving steps for<br />

broadband services<br />

In today’s broadband reality, people expect<br />

<strong>the</strong>ir devices and services to become<br />

connected in a blink of <strong>the</strong> eye, a push of<br />

<strong>the</strong> button, or a click of <strong>the</strong> mouse. We<br />

don’t want to wait, yet in order to provide<br />

instant service connections, our<br />

broadband devices must always be<br />

working in <strong>the</strong> background. And that background<br />

work – powering on <strong>the</strong> integrated circuits,<br />

interfaces and displays, monitoring data traffic,<br />

preparing for user input – consumes expensive<br />

electricity.<br />

Tackling <strong>the</strong> challenge of delivering responsive<br />

services while avoiding wasted power is a major<br />

topic within <strong>the</strong> work of <strong>the</strong> HGI (Home Gateway<br />

Initiative), a global consortium of service<br />

providers and manufacturers who are connecting<br />

homes (determining <strong>the</strong> ways that broadband data<br />

is delivered to homes) and enabling services<br />

(ensuring that <strong>the</strong> broadband services meet <strong>the</strong><br />

real requirements of people in <strong>the</strong>ir homes).<br />

HGI’s energy efficiency work has been<br />

structured in three phases. The first two deal with<br />

making <strong>the</strong> broadband equipment deployed in<br />

customers’ home more efficient. The third phase<br />

goes fur<strong>the</strong>r, to enable users to proactively<br />

manage <strong>the</strong>ir whole-home energy consumption. In<br />

this article, we explain how all this comes toge<strong>the</strong>r<br />

Function idle-state on-state<br />

and why <strong>the</strong> service providers are committed to<br />

energy efficiency in <strong>the</strong> home environment.<br />

Motivation<br />

Let’s start by looking at <strong>the</strong> reasons why<br />

broadband service providers and device<br />

manufacturers care about saving energy, both<br />

within <strong>the</strong>ir networks and in particular, in <strong>the</strong>ir<br />

customers’ homes. After all, <strong>the</strong> consumers pay<br />

<strong>the</strong> energy costs in <strong>the</strong>ir own homes, so why<br />

should this be of concern to broadband providers?<br />

Firstly, telecom network providers are often<br />

near <strong>the</strong> top of <strong>the</strong> list of single companies<br />

consuming <strong>the</strong> most electricity and <strong>the</strong>refore<br />

<strong>the</strong>ir “good citizen” behaviour is closely<br />

monitored by governments and regulators.<br />

Voluntary codes of conduct and mandatory<br />

regulations are strong constraints on <strong>the</strong>ir own<br />

networks as well as in regard to <strong>the</strong> equipment<br />

<strong>the</strong>y deploy to customers’ homes. HGI has helped<br />

its member companies to provide helpful input as<br />

<strong>the</strong>se regulations have evolved.<br />

In <strong>the</strong>ir own networks, service providers are<br />

saving energy and costs by upgrading equipment.<br />

But service providers’ networks typically generate<br />

less than 2% of <strong>the</strong> national CO2 footprint,<br />

whereas homes produce about 15% (although<br />

only a piece of that is for infotainment).<br />

2011/<strong>2012</strong> 2013/2014 2011/<strong>2012</strong> 2013/2014<br />

central functions + ADSL 2.6 2.4 3.8 3.4<br />

WAN interface<br />

4 Fast E<strong>the</strong>rnet ports 4x0.3 = 1.2 4x0.2 = 0.8 4x0.4 = 1.6 4x0.4 = 1.6<br />

single radio IEEE 802.11b/g 0.7 0.7 2 1.5<br />

Wi-Fi interface<br />

(23 dBm EIRP)<br />

USB ports 2x0.25 = 0.5 2x0.1 = 0.2 2x0.25 = 0.5 2x0.1 = 0.2<br />

Total equipment 5.0W 4.1W 7.9W 6.7W<br />

Figure 1: European Broadband Code-of-Conduct v4 (ADSL, 4 port, Wi-Fi b/g example)<br />

Steps that are taken to<br />

assist consumers to reduce<br />

energy consumption in both<br />

broadband, and in o<strong>the</strong>r areas,<br />

may <strong>the</strong>refore have higher<br />

paybacks overall. Service<br />

providers are also turning home energy efficiency<br />

into a competitive differentiator, by helping <strong>the</strong><br />

consumer to save power. Consumers have a<br />

choice between broadband providers and<br />

acting proactively is in <strong>the</strong> service providers’<br />

best interests.<br />

And not only consumers benefit by energy<br />

efficient design aimed at <strong>the</strong> connected home. A<br />

regular trickle of background (“keep alive”) traffic<br />

associated with <strong>the</strong> home network passes between<br />

<strong>the</strong> Home Gateway (HG) and <strong>the</strong> service provider<br />

routers and access network equipment, resulting<br />

in energy costs in <strong>the</strong> provider networks too. The<br />

amount of background traffic will potentially<br />

increase as new cloud-based services (software<br />

and media-storage all in <strong>the</strong> internet) are rolledout.<br />

So <strong>the</strong> thoughtful design of home services<br />

can help reduce costs for both consumers and<br />

service providers.<br />

Phase 1<br />

In Phase 1, <strong>the</strong> HGI has worked to reduce <strong>the</strong><br />

power consumed by <strong>the</strong> home gateway. The HG is<br />

<strong>the</strong> box that provides in-home broadband service.<br />

It connects your home network devices and gadgets<br />

to <strong>the</strong> fibre, DSL, cable, or wireless network.<br />

The HG is an always-on device and reducing its<br />

power consumption is an important step.<br />

HGI started collaborating with government<br />

agencies in Europe in 2008 on an improved Code<br />

of Conduct (CoC) for good energy behaviour in<br />

broadband equipment in <strong>the</strong> home. Early versions<br />

of <strong>the</strong> CoC covered only a fraction of <strong>the</strong> HG<br />

market. Between 2008 and 2010, HGI helped<br />

introduce new approaches for <strong>the</strong> CoC (versions<br />

3 and 4). These brought in realistic, modular<br />

power targets which clarified power limits applied<br />

to each HG feature while in idle mode<br />

(“standby”) and while active. The total HG power<br />

limit is <strong>the</strong> sum of <strong>the</strong> modular values, depending<br />

on which feature is needed in that particular HG.<br />

Because <strong>the</strong> new approach assigns power budgets<br />

www.csimagazine.com May-June <strong>2012</strong> 35


Energy efficiency<br />

Figure 2: Home network devices considered in HGI analysis of use cases<br />

Gaming console<br />

Television<br />

PC<br />

POTS phone<br />

HOME GATEWAY<br />

WAN<br />

Smartphone<br />

Internet<br />

DECT Phone<br />

Tablet<br />

Laptop<br />

to a range of features (e.g. PowerLine and wireless<br />

interfaces, E<strong>the</strong>rnet, etc), <strong>the</strong> viability of <strong>the</strong> CoC<br />

was greatly increased.<br />

The CoC is strongly supported by HGI : 85%<br />

of HGI founding members, and a majority of HGI<br />

operators have committed to abide by it.<br />

Figure 1 shows <strong>the</strong> CoC targets for <strong>the</strong> example<br />

of an ADSL HGW with four Fast E<strong>the</strong>rnet ports,<br />

a single 802.11b/g Wi-Fi radio interface and two<br />

USB ports. The limits were set at about 8 Watts<br />

while on, and 5 Watts in idle mode, reducing by<br />

about 20% in both cases for next year’s products.<br />

HGI went a big step fur<strong>the</strong>r, by designing<br />

voluntary tests of HGW features, including <strong>the</strong><br />

CoC energy limits. In <strong>the</strong> latet results from <strong>the</strong><br />

3rd annual test event in November 2011 80% of<br />

<strong>the</strong> tested HGs passed <strong>the</strong> energy tests.<br />

In parallel to <strong>the</strong> work on <strong>the</strong> CoC, HGI<br />

was active in promoting best practice energy<br />

design of modules in <strong>the</strong> HGW, for xDSL,<br />

WLAN, E<strong>the</strong>rnet, and even <strong>the</strong> attached AC-DC<br />

converter power-supplies. which are ubiquitous for<br />

all home equipment.<br />

The AC-DC converter power supplies previously<br />

wasted nearly <strong>the</strong> same energy as was passed<br />

through to <strong>the</strong> devices, but in <strong>the</strong> mid-2000s<br />

manufacturers began to change over to more<br />

efficient switching circuits. These are about 90%<br />

efficient at “full load” but can be inefficient at low<br />

load (ie, whenever <strong>the</strong> actual home equipment is<br />

in idle mode). In early 2010, HGI created strong<br />

requirements on converter power supplies, which<br />

were <strong>the</strong>n adapted and published by ETSI.<br />

Six months later, HGI published an extensive<br />

vision on how to conserve energy in <strong>the</strong> HG<br />

and attached devices, including practical use cases<br />

and maximum allowed delays to full activity<br />

(typically 1-3 seconds). To summarise, HGI’s<br />

Phase 1 work has encouraged energy savings in<br />

<strong>the</strong> HG and <strong>the</strong> power supplies through setting<br />

practical and modular power targets,<br />

recommendations on best practice, and industry<br />

test events to measure compliance.<br />

Phase 2<br />

Phase 1 dealt with HG power consumption, but<br />

what about <strong>the</strong> o<strong>the</strong>r network-connected devices<br />

such as <strong>the</strong> Set Top Box, PVR, VoIP, media<br />

storage, and <strong>the</strong> like? Figure 2 shows <strong>the</strong> variety<br />

of devices in many homes. Based on <strong>the</strong> bestpractise<br />

methods in <strong>the</strong> HG, a power efficient<br />

approach would allow those devices to remain in<br />

low power idle mode except when <strong>the</strong>y must<br />

perform service. HGI’s Phase 2 approach will<br />

maximise <strong>the</strong> time that home networked devices<br />

can remain in idle mode.<br />

HGI’s approach assumes that those devices<br />

may know when to “go to sleep” (usually after a<br />

period without active service demand) but may<br />

not always know when to wake up. For example, a<br />

36 May-June <strong>2012</strong> www.csimagazine.com


Energy efficiency<br />

Figure 3: HGI’s 3-stage approach to saving energy in HGs and in <strong>the</strong> home<br />

user may wish to trigger a recording or playback HGI is defining just such a service in Phase 3<br />

action on a PVR from outside <strong>the</strong> room or while of its work, and taking steps to enable its<br />

away. HGI is analysing how <strong>the</strong> HG can be used deployment. Like <strong>the</strong> Phase 2 service, <strong>the</strong> Phase 3<br />

to “trigger” such devices to switch on when service takes advantage of <strong>the</strong> HG as a control<br />

needed. This takes advantage of <strong>the</strong> fact that <strong>the</strong> and connection hub within <strong>the</strong> home, as well as<br />

HG will normally remain active enough to detect <strong>the</strong> capability of <strong>the</strong> HG to provide application<br />

signalling and service triggers, even when<br />

software. Phase 3 may also take advantage of <strong>the</strong><br />

connected devices do not.<br />

deployment within <strong>the</strong> home of smart meters.<br />

One part of that solution is so-called Wakeon-LAN,<br />

which allows devices connected to Some of <strong>the</strong> service capabilities needed are:<br />

<strong>the</strong> E<strong>the</strong>rnet, but in idle mode, to detect<br />

• Visualisation of actual energy and power data,<br />

special “wake up” data packets, <strong>the</strong>n rapidly<br />

as well as recent history;<br />

switch on to handle <strong>the</strong> full voice or video stream. • Adjusting household demand to fit Smart<br />

It is so far mainly implemented on enterprise<br />

Grid conditions (Time of Day pricing,<br />

equipment and some notebooks. HGI wants to Demand response);<br />

extend <strong>the</strong> Wake-on-LAN idea to devices in • Sensing <strong>the</strong> status of equipment, such as<br />

home networks.<br />

energy currently used;<br />

Fortunately, consumer networked devices • Setting equipment states (or example,<br />

have a market life-cycle of just a few years, so<br />

scheduling energy-intensive tasks to off-peak<br />

technical changes can have a rapid impact on pricing times);<br />

total energy consumption.<br />

• Providing feedback and alarms on different<br />

events to <strong>the</strong> user;<br />

Phase 3<br />

• Home Domain overload management<br />

A substantial improvement for total savings in which assist <strong>the</strong> user to avoid overload<br />

energy and costs in <strong>the</strong> home is just beginning: a conditions; and<br />

whole-home energy management service that • Optimisation of energy cost based<br />

enables consumers to schedule, monitor, and<br />

on tariffs.<br />

control <strong>the</strong> energy used. Managing <strong>the</strong> services<br />

which account for about 80% of home electricity Energy providers are providing some<br />

usage, like lighting, heating, cooling, and major systems already that focus on <strong>the</strong> use of smart<br />

appliances, offers potential for savings. Once meter data to provide <strong>the</strong> customer increased<br />

consumers have awareness of energy costs and awareness of power consumed. In some cases, <strong>the</strong><br />

<strong>the</strong> tools to manage energy use, savings can smart meter interfaces to a display or to home<br />

quickly follow.<br />

automation systems using a wireless (eg, Zigbee,<br />

WiFi, DECT), powerline (HomePlug, G.hn), or<br />

o<strong>the</strong>r interface.<br />

HGI is putting its focus on a more integrated<br />

system that uses <strong>the</strong> HG (or a separate Energy<br />

Gateway that is connected to <strong>the</strong> HG) as a<br />

central hub to communicate with HAN (Home<br />

Area Network) connected devices, such as smart<br />

appliances, heating systems and o<strong>the</strong>rs referred<br />

to above. The HEM application, served from <strong>the</strong><br />

HG, provides an easy path to integration with<br />

internet-based energy data (for example, relating<br />

to time of day pricing information) as well as<br />

storage and analysis of historic data. The<br />

HG-based HEM application may also be easily<br />

updated by using <strong>the</strong> OSGi infrastructure of<br />

<strong>the</strong> HG.<br />

The biggest payoff likely occurs when <strong>the</strong> HG<br />

based solution is also integrated with <strong>the</strong> smart<br />

meter. This requires some agreed interface<br />

between <strong>the</strong> smart meter and HG – such as <strong>the</strong><br />

smart meter interfaces discussed above. In <strong>the</strong>se<br />

scenarios, time of day pricing, demand-response,<br />

current energy consumption, and o<strong>the</strong>r data may<br />

be passed directly between smart meter and HG.<br />

While <strong>the</strong>re are many organisations developing<br />

specifications for home automation, in fact <strong>the</strong><br />

over-abundance of standards is slowing down <strong>the</strong><br />

market. HGI is honing <strong>the</strong> requirements and best<br />

practices to create practical recommendations to<br />

facilitate <strong>the</strong> deployment by <strong>the</strong> broadband<br />

service providers of a home energy management<br />

service. HGI has and will continue to liaise and<br />

co-developed this work with our partners in ETSI<br />

M2M, Broadband Forum, DECT Forum, OSGi,<br />

and elsewhere.<br />

One reason to focus on <strong>the</strong> HG is <strong>the</strong> efforts<br />

made in recent years by HGI and OSGi to create<br />

a flexible and reliable, secure and robust,<br />

modular software system for <strong>the</strong> HG. This system<br />

allows secure, automatic software updates and<br />

management of 3rd party services. The system<br />

allows new services to be downloaded “on <strong>the</strong><br />

fly”, allowing new energy tariff information or<br />

new controlling software to be installed without<br />

users needing to be aware of complexity.<br />

HGI is working with OSGi closely, and also<br />

following latest developments in BBF and ETSI<br />

M2M, to reach agreement on a single set of<br />

application interfaces towards <strong>the</strong> confusing<br />

variety of home automation networks. If<br />

successful, this will allow developers everywhere<br />

to target a common platform which interoperates<br />

with most systems on <strong>the</strong> market.<br />

www.csimagazine.com May-June <strong>2012</strong> 37


Business<br />

Directory<br />

To advertise contact Tiro Bestonso<br />

+44 (0)20 7562 2427<br />

tiro.bestonso@csimagazine.com<br />

Corneliusstr. 22, 60325 Frankfurt am Main, Deutschland<br />

Tel: +49-17-1998-3676<br />

Email: support@atxnetworks.com<br />

Web: www.atxnetworks.com<br />

ATX is a global company that designs and manufactures a broad range of quality cable products<br />

from <strong>the</strong> headend to <strong>the</strong> home. Our products enable CATV operators to configure <strong>the</strong>ir network<br />

to offer new and enhanced digital services such as video on demand (VOD), HDTV, high-speed<br />

data (Internet), and digital telephony (VoIP). Our products include modular, high-density<br />

headend signal management (splitting/ combing) equipment for RF, L-Band and optical, optical<br />

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insertion, wireless solutions, fiber nodes/upgrades, monitor/control solutions, pads/EQs, VoIP<br />

switches, connectors, drop amplifiers and test signal generators.<br />

Address: 27 Maylands Avenue, Hemel Hempstead,<br />

Hertfordshire HP2 7DE, UK<br />

Phone: +44 (0)14 42 43 13 00 Fax: +44 (0) 14 42 43 13 01<br />

Website: www.vislink.com Email: sales@vislink.com<br />

VISLINK plc is a global business, strategically focussed on providing secure communication<br />

technologies to customers in our chosen markets.<br />

We have three international business units organised to serve our customers in Broadcast,<br />

Surveillance, and <strong>the</strong> related Services markets. Our world renowned brands of ADVENT, GIGA-<br />

WAVE, LINK, MRC and PMR lead <strong>the</strong> way with award winning products including IP gateways,<br />

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With offices in <strong>the</strong> UK, USA, Dubai, South Africa and Singapore, and dedicated sales and engineering<br />

teams, VISLINK has <strong>the</strong> experience and expertise to deliver <strong>the</strong> most comprehensive<br />

solutions for today’s challenges.<br />

Taurus Avenue 105, 2132 LS Hoofddorp<br />

The Ne<strong>the</strong>rlands<br />

Tel: +31 23 556 22 22 Fax: +31 23 556 22 40<br />

Email: info@irdeto.com Web: www.irdeto.com<br />

Irdeto empowers companies to protect and monetize <strong>the</strong>ir digital assets and maximize return<br />

on content with innovative and reliable software technologies end-to-end solution and services.<br />

The company’s products include conditional access, digital rights management, business support<br />

systems, set-top box software solutions and, through its Cloakware subsidiary, software and<br />

datacenter security. More than 400 customers worldwide trust Irdeto to secure delivery of <strong>the</strong>ir<br />

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Irdeto solutions currently enable simple to advanced business models on more than one billion<br />

devices and applications.<br />

For more information, please visit www.irdeto.com.<br />

NDS Group Ltd, One London Road, Staines, Middlesex TW18 4EX<br />

Tel +44 (0)178 484 8500 Fax +44 (0)178 484 8600<br />

Web: www.nds.com Email: info@nds.com<br />

NDS Group Ltd. creates <strong>the</strong> technologies and applications that enable pay-TV operators to<br />

securely deliver digital content to TV STBs, DVRs, PCs, mobiles and o<strong>the</strong>r multimedia devices.<br />

Over 90 of <strong>the</strong> world’s leading pay-TV platforms rely on NDS solutions to protect and enhance<br />

<strong>the</strong>ir business. NDS’ VideoGuard® market leading security solutions offer complete protection<br />

for TV platform operators. MediaHighway® set-top box software enables a wide range of<br />

services including hybrid solutions combing broadcast, cable, IPTV and OTT content. NDS<br />

is also a leader in DVR technology and UIs/EPGs that incorporate interactive television<br />

applications.<br />

For fur<strong>the</strong>r information visit www.nds.com.<br />

ADB designs, manufactures and deploys solutions to distribute pay-TV and multimedia services<br />

to <strong>the</strong> connected home, for all types of networks, providing an amazing user experience.<br />

Advanced Digital Broadcast S.A.<br />

Avenue de Tournay 7, CH-1292 Chambesy, Geneva, Switzerland<br />

Tel: +41 22 799 0799 Fax: +41 22 799 0790<br />

Web: www.adbglobal.com<br />

ADB believes in a future where multi-media content will come from multiple sources and seamlessly<br />

move between multiple screens and devices, at <strong>the</strong> user’s preference. The Company has<br />

delivered over 30 million consumer premise devices to a global customer base. ADB’s innovations<br />

and software expertise have been recognized by numerous industry awards.<br />

38 May-June <strong>2012</strong> www.csimagazine.com


Business<br />

Directory<br />

To advertise contact Tiro Bestonso<br />

+44 (0)20 7562 2427<br />

tiro.bestonso@csimagazine.com<br />

3400 International Drive, NW, Washington D.C. 20008 USA<br />

Tel: +1 202 944 6800 Fax: +1 202 944 7898<br />

Web: www.intelsat.com<br />

Intelsat is <strong>the</strong> leading provider of fixed satellite services worldwide. Intelsat supplies video, data<br />

and voice connectivity for leading media and communications companies, Internet Service<br />

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Bridge Technologies designs, develops, and manufactures advanced analysis, measurement, and<br />

monitoring solutions for <strong>the</strong> digital media, broadcast and telecommunications industries.<br />

Sandakerveien 24c, Building D5<br />

NO-0473 Oslo<br />

Tel: +47 22 38 51 00 Office Switchboard<br />

Tel: +47 22 38 51 01 Office Fax<br />

Web: www.bridgetech.tv<br />

The award-winning VideoBRIDGE series provides an advanced platform for converging TV<br />

services employing stream-based IP packets and all o<strong>the</strong>r Digital TV interfaces within DVB and<br />

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MPEG-2, h.264/AVC, HTTP based streaming and ETSI TR 101 290, <strong>the</strong> VideoBRIDGE series<br />

offers a complete end-to-end system for <strong>the</strong> continuous quality assurance of media services.<br />

Humax Electronics Co., Ltd, The Mille Building (8th Floor),<br />

1000 Great West Road, Brentford, London TW8 9HH<br />

Web: www.humaxdigital.com<br />

The Humax range of award-winning digital TV set-top boxes and recorders for Freeview and<br />

Freesat has a product to suit any TV viewer. Feature rich and technologically advanced, yet<br />

intuitive and easy to use, <strong>the</strong> Humax range offers <strong>the</strong> ultimate way to enjoy multi-channel,<br />

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6825 Flanders Drive, San Diego, CA 92121, USA<br />

Tel: +1-858-677-7800 Fax: +1-858-677-7804<br />

Web: www.verimatrix.com<br />

Verimatrix specializes in securing and enhancing revenue for multi-screen digital TV services<br />

for more than 500 operators around <strong>the</strong> globe. The award-winning and independently audited<br />

Verimatrix Video Content Authority System (VCAS) and ViewRight® solutions offer an innovative<br />

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networks and enable new business models. As <strong>the</strong> recognized leader in software-based security<br />

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approach that offers flexible layers of protection techniques to address evolving business needs<br />

and revenue threats. Maintaining close relationships with major studios, broadcasters, industry<br />

organizations, and its unmatched partner ecosystem enables Verimatrix to provide a unique<br />

perspective on digital TV business issues beyond content security as operators seek to deliver<br />

compelling new services. www.verimatrix.com<br />

EchoStar Europe is dedicated to enabling digital entertainment providers to optimise revenues<br />

by delivering added-value connected device solutions, services and applications. Through a<br />

comprehensive product range, including STBs, DVRs, home networking and TV anywhere<br />

technology, our solutions enable <strong>the</strong> provision of state-of-<strong>the</strong>-art and cost effective entertainment<br />

services.<br />

Beckside Design Centre, Millennium Business Park, Station Road,<br />

Steeton, Keighley BD20 6QW, United Kingdom<br />

Tel: +44 1535 659000 Fax: +44 1535 659100<br />

Web: www.echostar.com<br />

Headquartered in <strong>the</strong> UK, EchoStar Europe comprises a number of business units and is affiliated<br />

with EchoStar Technologies, a subsidiary of <strong>the</strong> publicly traded EchoStar Corporation<br />

(NASDAQ: SATS).<br />

www.csimagazine.com May-June <strong>2012</strong> 39


Real World Security<br />

Solutions for Your<br />

DVB Network<br />

erimatrix<br />

To secure revenue on your evolving pay-TV network, you<br />

need innovation that takes you beyond traditional DVB<br />

conditional access.<br />

Verimatrix VCAS for DVB represents a new breed of<br />

solution that uniquely supports set-top boxes, cardless clients<br />

and innovative hybrid devices as part of a comprehensive multinetwork,<br />

multi-screen revenue security architecture.<br />

www.verimatrix.com/DVB<br />

See us at ANGA Cable <strong>2012</strong><br />

Cologne, Germany • Booth #L19<br />

Beyond Content Protection to Revenue Security

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