Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Global IPTV benchmarks                                                                                                    ...
Global IPTV benchmarks                                                                                                    ...
Global IPTV benchmarks                                                                                                    ...
Global IPTV benchmarks                                                                                                    ...
Global IPTV benchmarks                                                                                                    ...
Global IPTV benchmarks                                                                                                    ...
Upcoming SlideShare
Loading in …5
×

Global IPTV Benchmarks

612 views

Published on

  • Be the first to comment

Global IPTV Benchmarks

  1. 1. Global IPTV benchmarks Table of Contents Table of Contents Disclaimer 8 Preface 9 Study Co-operation 10 1 Introduction 1.1 Overview & Definitions 11 1.1.1 Broadband Internet .......................................................................................................... 11 1.1.2 Interactive TV (ITV) ............................................................................................................ 11 1.1.3 Internet Protocol Television (IPTV) .................................................................................. 11 1.1.4 WebTV ................................................................................................................................12 1.2 Platform Business Model 12 1.2.1 Satellite ..............................................................................................................................13 1.2.2 Cable ..................................................................................................................................15 1.2.3 Telco IP Platform ............................................................................................................... 17 1.2.4 Digital Terrestrial Television (DTT) ...................................................................................19 1.2.5 Mobile TV............................................................................................................................19 2 Study Purpose 2.1 Scope 20 2.2 Selected IPTV and ITV Solutions 20 2.3 Selected WebTV Solutions 21 2.4 Methodology of the Study 21 2.4.1 Evaluation of IPTV Platforms ...........................................................................................22 2.4.1.1 Who benefits from the Study Results? ...........................................................................22 2.4.1.2 Assessment Instrument ..................................................................................................23 2.4.1.3 Evaluation of Products and Services ....................................................................... 23 2.4.1.4 Evaluating Implementation Quality .................................................................................25 2.4.1.5 Aggregation of the Final Results .....................................................................................27 2.4.2 Evaluation of WebTV Services ................................................................................29 2.4.2.1 Platform Selection ...........................................................................................................29 2.4.2.2 WebTV Evaluation Criteria ...............................................................................................29 3 Results of the Benchmarking Study 3.1 Fastweb 31 3.1.1 Background Information ........................................................................................ 31 3.1.2 Platform Results ...............................................................................................................32
  2. 2. Global IPTV benchmarks Table of Contents 3.2 T-Home 34 3.2.1 Background Information ........................................................................................ 34 3.2.2 Platform Results ...............................................................................................................35 3.3 Tiscali TV 36 3.3.1 Background Information ........................................................................................ 36 3.3.2 Platform Results ...............................................................................................................37 3.4 KPN Mine 38 3.4.1 Background Information ........................................................................................ 38 3.4.2 Platform Results ...............................................................................................................40 3.5 Alice Home TV (Italy) 41 3.5.1 Background Information................................................................................................... 41 3.5.2 Platform Results ...............................................................................................................42 3.6 Other Platforms 43 3.6.1 Orange TV ..........................................................................................................................43 3.6.2 O2 TV - Czech Republic .......................................................................................... 44 3.6.3 aon Digital TV......................................................................................................... 45 3.6.4 Jazztelia TV ........................................................................................................................46 3.6.5 Alice HomeTV (Germany) .................................................................................................47 3.7 Evaluation: Product & Service Portfolio 49 3.7.1 Overview ............................................................................................................................49 3.7.2 Best Practice Samples .....................................................................................................49 3.7.2.1 Configuration/Setup..........................................................................................................49 3.7.2.2 Video-on-Demand .............................................................................................................50 3.7.2.3 Electronic Program Guide ................................................................................................50 3.7.2.4 Communication Services..................................................................................................50 3.7.2.5 Walled Garden Offerings...................................................................................................50 3.7.2.6 Advertising Concepts ........................................................................................................50 3.8 Evaluation: Implementation Quality 50 3.8.1 Overview .............................................................................................................................50 3.8.2 Best Practice Samples .....................................................................................................51 3.8.2.1 Functionality ......................................................................................................................51 3.8.2.2 Usability .............................................................................................................................51 3.8.2.3 Content ...............................................................................................................................52 3.8.2.4 Branding ............................................................................................................................52 3.9 Summary 52 3.10 The ideal IPTV Platform 53
  3. 3. Global IPTV benchmarks Table of Contents 4 Market Systematics 4.1 Business Models and Perspectives for IPTV 56 4.2 Products, Pricing and Packaging 59 4.2.1 Recent Market Developments..........................................................................................60 4.2.2 Distribution & Awareness.................................................................................................61 4.2.3 The Competitive Market ..................................................................................................65 4.2.4 Market Confusion ..............................................................................................................67 4.2.5 Pricing & Packaging .........................................................................................................67 4.2.6 Marketing to Existing Customers ....................................................................................68 4.2.7 Exclusivity and Service Differentiation ............................................................................68 4.2.8 Conclusions .......................................................................................................................69 4.3 Business Operations 2.0: Upselling and Increasing ARPUs 70 4.3.1 Setting the Scene: What Cross- and Upselling is about ................................................70 4.3.2 Increasing Share of Wallet: Examples of Cross- and Up-selling ..................................70 4.3.3 Towards a Cross-/Up-selling Engine for IPTV ................................................................ 71 4.3.4 Summary ...........................................................................................................................73 4.5 WebTV: Vertical Disruption in Times of Web 2.0 73 4.5.1 Top-Tier Type of Content: Struggle over Channel and Platform Control .....................75 4.5.2 Second-Tier Type of Contents: Finding a Viable Business Model .................................77 4.5.3 Independent and Prosumer Content ...............................................................................79 4.6 WebTV: Market Overview 80 4.6.1 Best Practice Examples....................................................................................................80 4.6.1.1 MLB.TV ...............................................................................................................................80 4.6.1.2 mtv.com..............................................................................................................................84 4.6.1.3 Bud.TV ................................................................................................................................87 4.6.1.4 ZDFmediathek ...................................................................................................................89 4.6.1.5 BBC ....................................................................................................................... 92 4.6.1.6 Spiegel Online Videos ......................................................................................................94 4.6.1.7 StarStyle*TV.......................................................................................................................97 4.6.1.8 Adult Content ....................................................................................................................100 4.6.1.9 Brightcove ............................................................................................................ 103 4.6.1.10 Joost and Babelgum ............................................................................................. 104 4.6.1.11 Youtube ................................................................................................................ 106 4.6.2 Overview: US Streaming Video Market................................................................... 108 4.6.2.1 Deep Library .....................................................................................................................108 4.6.2.2 Compelling Viewing Configuration .................................................................................109 4.6.2.3 Competitive Pricing .......................................................................................................... 110 4.6.2.4 Compelling Marketing ..................................................................................................... 111 4.6.2.5 Legal Issues...................................................................................................................... 112 4.6.2.6 Business Models ............................................................................................................. 113 4.6.2.7 Second-Tier Services ....................................................................................................... 113 4.7 The Future of TV and TV Advertising in the on-demand Era 118 4.8 Outlook ITV and IPTV Advertising 120
  4. 4. Global IPTV benchmarks Table of Contents 4.9 Web TV: From a technical and economic Perspective 124 4.9.1 Introduction ......................................................................................................................124 4.9.2 Economic Criteria for WebTV ..........................................................................................124 4.9.3 Bottom Line on Economics and Web TV‘s Business Model ..........................................126 4.9.4 Substantial Technical Criteria for Web TV ......................................................................126 4.9.5 Bandwidth and Streams ..................................................................................................126 4.9.6 Assets and Content ..........................................................................................................127 4.9.7 CRM and Customer Care.................................................................................................127 4.9.8 Storage, Encryption and DRM .........................................................................................128 4.9.9 Bottom Line on Technology and Processes ...................................................................128 4.10 Contents and Rights 128 4.10.1 Rights Windows and their Development ........................................................................128 4.10.1.1 First Window VoD for Movies ...........................................................................................129 4.10.1.2 Subscription VoD (SVoD) for Movies...............................................................................129 4.10.1.3 TV Series on VoD ..............................................................................................................130 4.10.1.4 Branded VoD Services ..................................................................................................... 131 4.10.1.5 Music Videos on VoD ....................................................................................................... 131 4.10.2 The Impact of New Technology on Content Distribution............................................... 131 4.10.2.1 Download-to-Own (DTO) and Download-to-Rent (DTR) ............................................... 131 4.10.2.2 The Content Value Chain .................................................................................................132 4.10.2.3 Content Owner Aggregation Model ................................................................................132 4.10.2.4 Direct Sale Model .............................................................................................................133 4.10.3 WebTV and its Impact on the Rights Acquisition Process.............................................133 4.11 The Question of technical Devices 134 4.11.1 Technical Evolution enables smart devices ...................................................................134 4.11.2 Operators Interests differs from Consumers Interests ................................................134 4.11.3 Basic Devices from Operator, better Devices from Retail ............................................135 4.12 Technical Boundaries 135 4.12.1 Network Evolution vs. Codec Evolution ..........................................................................135 4.12.2 DRM – Key Technology?...................................................................................................137 4.13 The Quest for the Future TV Concept 137 4.13.1 Hybrid TV; Best of both worlds........................................................................................137 4.13.2 New Challenges, new Players ........................................................................................138 4.13.3 IPTV 2.0 .............................................................................................................................138 4.14 DRM – the Key to Media Revenue in the Age of the Internet? 139 4.14.1 Content protection: the promise of DRM .......................................................................139 4.14.2 Content protection: From Conditional Access to DRM..................................................140 4.14.3 Actual Commercial Examples and Lessons to learn .................................................... 141 4.14.4 Discussion and Outlook ...................................................................................................142 4.14.5 Will DRM be accepted? ....................................................................................................142 4.15 Platform Implementation 143 4.15.1 User Interface ...................................................................................................................143
  5. 5. Global IPTV benchmarks Table of Contents 4.15.1.1 Web Browser-based ........................................................................................................143 4.15.1.2 Custom Application ..........................................................................................................144 4.15.2 Integrating Platforms, Services and Systems ...............................................................144 4.16 ITV Usability Challenges 144 4.16.1 Introduction ......................................................................................................................144 4.16.2 Target Populations ...........................................................................................................145 4.16.3 Setup and Configuration ..................................................................................................146 4.16.4 Navigation and Orientation ..............................................................................................146 4.16.5 Remote Controlling ..........................................................................................................149 4.16.6 EPG: Information Inflation on limited Screen Space .....................................................150 4.16.7 Future Areas of Research...................................................................................... 152 4.17 Challenges of the Market 153 4.17.1 The promising IPTV Market .............................................................................................156 4.17.2 Reasons for the Operator to leverage ‚IPTV‘ .................................................................156 4.17.2.1 Revenue streams .............................................................................................................158 4.17.3 The Anytime, Anywhere-factor: Convergence ............................................................... 161 4.17.4 White label IPTV: Hosted Service ....................................................................................162 4.17.5 Market Outlook .................................................................................................................163 5 Main IPTV Markets 5.1 Overview: IPTV in Europe 165 5.1.1 Telco Incumbent‘s IPTV Progress ...................................................................................165 5.1.2 The Challengers: Alternative Carriers or Regional Networks .....................................170 5.1.3 The Platform Battle.......................................................................................................... 171 5.1.4 Focus: Roll-outs in Germany ..........................................................................................173 5.1.5 BelgacomTV: Example of an IPTV Platform in its second Year ....................................175 5.2 Overview: US IPTV Market 177 5.2.1 Introduction ...................................................................................................................... 177 5.2.2 Scalability of large Networks a big Issue for Growth ....................................................178 5.2.3 General Market Drivers ................................................................................................... 179 5.2.3.1 Loss of Voice Subscribers via Fixed Line........................................................................ 179 5.2.3.2 Competition from Cable for other Triple-Play Services ................................................ 179 5.2.3.3 Interactive Programming / Services ...............................................................................180 5.2.3.4 High Definition (HD) .........................................................................................................180 5.2.4 US IPTV Market Size ........................................................................................................ 181 5.2.5 Future Outlook: Opportunities in the US IPTV Market .................................................. 181 5.3 Overview: Asian IPTV Market 182 5.3.1 Overview ............................................................................................................................182 5.3.2 Asia‘s IPTV Development .................................................................................................183 5.3.3 Challenges for launching IPTV in Asia............................................................................184 5.3.3.1 Success Factors and Lessons Learned ..........................................................................188 5.3.4 Asian IPTV Market Overview ...........................................................................................189 5.3.4.1 Hong Kong ........................................................................................................................189 5.3.4.2 Japan ................................................................................................................................. 191
  6. 6. Global IPTV benchmarks Table of Contents 5.3.4.3 Taiwan ...............................................................................................................................192 5.3.4.4 South East Asia Market Overview ...................................................................................193 5.3.4.5 China ................................................................................................................................. 194 5.3.4.6 Other Markets ..................................................................................................................195 5.3.5 Future Outlook: IPTV Service Evolution ..........................................................................195 6 Summary 6.1 Consumer Perspective 197 6.1.1 IPTV or WebTV: Who will be the King of all ITV Approaches? ....................................... 197 6.1.2 Additional Value vs. Time and Money Budgets ............................................................. 202 6.2 Business Perspective: What about the long Run? 205 6.3 Outlook and Recommendations 210 7 Appendices 7.1 Company Profiles 216 7.1.1 [tbb*] thebrainbehind .....................................................................................................216 7.1.2 Sapient ..............................................................................................................................216 7.1.3 Broadband Network Systems Ltd...................................................................................216 7.1.4 3Vision ...............................................................................................................................217 7.1.5 MRG, Inc. ...........................................................................................................................217 7.1.6 PayMedia...........................................................................................................................217 7.2 Fact Sheets 218 7.2.1 Belgacom ..........................................................................................................................218 7.2.2 T-Home ........................................................................................................................... 220 7.2.3 Fastweb ............................................................................................................................222 7.2.4 Tiscali TV ..........................................................................................................................224 7.2.5 Alice Home TV (Italy) ........................................................................................................226 7.2.6 aon Digital TV .................................................................................................................. 228 7.2.7 Jazztelia TV ..................................................................................................................... 230 7.2.8 Alice Home TV (Germany)................................................................................................232 7.2.9 KPN ..................................................................................................................................234 7.2.10 O2 TV ................................................................................................................................236 7.2.11 Orange TV ........................................................................................................................ 238 7.2.12 Bluewin ............................................................................................................................240 7.3 Literature 242 7.4 Author Team 243 7.5 Glossary 246

×