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News
DIRECTV to enter broadband VOD market
Feb 28, 2006 2:53 PM
DIRECTV will launch a video on demand service later this year that will make available 2000 shows and movies via broadband Internet connection.
Due to begin in the fourth quarter of this year, DIRECTV Broadband Video will give consumers on-demand access to the subscription service via their digital video recorders.
Several telecommunications providers, including Quest Communications International, BellSouth and Verizon, currently offer bundled services including broadband access and DIRECTV.
Consumers aware of, interested in IPTV, says Harris Interactive survey
Feb 28, 2006 2:57 PM
Despite limited availability in the United States, more than 56 percent of all U.S. adults said they have heard of IPTV, and substantial numbers indicate interest in adopting it for use on their TVs and home PCs, according to a new report from Harris Interactive.
“The 2005 Technology Report: Hot Issues Facing the Industry,” a study conducted quarterly by Harris Interactive, found a high level of interest among respondents in the potential to save money with an IPTV subscription when compared to cable or satellite. Findings in the report were derived from an online survey Dec. 2-8, 2005, of 1039 U.S. adults.
The survey revealed high interest in adopting the technology with 12 percent of respondents saying they would sign up and try IPTV immediately if it were available only available for their PCs. Eighteen percent would do so if it were available for their PC and could be sent to a set-top box. Twenty-six percent said they were quite interested in adopting IPTV for use on their TVs, and 19 percent expressed interest in adopting IPTV for use on their computers. Only 4 percent said they would be quite interested in adopting this technology for use on their cell phones.
According to Harris Interactive, the survey results suggest IPTV development could pose a threat to cable and satellite services.
For more information, visit www.harrisinteractive.com.
IPTV World Forum to open in March
Feb 28, 2006 3:02 PM
The IPTV World Forum opens next month in London with a major focus on IPTV service deployment issues, the thoughts of content providers and broadcasters on IPTV as a distribution platform, and an IPTV showcase area featuring 10 IPTV deployments from around the world.
Among the speakers at the March 6-8 forum are Simon Spanswick, chief executive of the Association for International Broadcasting; Chris Coles, president/CEO of Myrio, A Siemens Company; Andrew Burke, chief executive officer of BT Entertainment; and Mark Gray, chairman and president of Kasenna.
More than 1000 people are expected to attend.
For more information, visit www.iptv-forum.com.
Studies & Stats
Consumers want Web-based content on their TVs, says survey
Feb 28, 2006 3:07 PM
As media and technology companies race to bring more video to the Internet, they are failing to understand that consumers are most interested in watching that content on TV.
According to a new survey from Points North Group and Horowitz Associates, 25 percent of Internet users are interested in watching downloaded TV shows and movies on their PCs, while the 38 percent desiring PC viewability are interested in watching that video content on their TVs.
Interest in watching downloaded content on TV is stronger among 18- to 34-year-olds with 68 percent compared to 45 percent interested in watching content on their PCs.
For more information, visit www.pointsnorthgrouop.com.
Aggressive pricing could motivate consumers to switch pay TV services, finds report
Feb 28, 2006 3:12 PM
JupiterResearch has found that 52 percent of consumers would switch pay TV services if they could get a better price for the same channel selection.
"IPTV: Simple Benefits, Not New Technology, Most Effectively Compete Against Cable," a new report from JupiterResearch, reveals what consumers regard as the most important elements in pay TV services.
Following cheaper prices, the option of a la carte channel selection proved the second strongest motivator for switching pay TV services, attracting 46 percent of consumers. There is little interest in high definition programming. Only 6 percent of consumers prioritized this feature, and only 3 percent of consumers are attracted to a greater selection of VOD services.
Potential new entrants to the U.S. TV market face enormous challenges in undertaking billions of dollars in investments to build out infrastructure and design services capable of attracting subscribers in a saturated market, the report found. Sixty-six percent of current pay TV subscribers are satisfied with their service and will require aggressive pricing, better channel selection or other clear benefits to induce switching. However, the millions of customers using cable-provided phone services create a threat to phone companies' core business and leave them with little choice but to match cable's triple-play bundle of voice, television and Internet services.
For more information, visit www.jupiterresearch.com.
The latest happenings from around the world of IPTV
Feb 28, 2006 3:24 PM
Philips to transfer its CryptoWorks activities to Irdeto
Royal Philips Electronics and Irdeto have reached a preliminary agreement on the terms of the transfer of Philips’ conditional access CryptoTec business unit to Irdeto. Customers using CryptoWorks will continue to be fully supported, according to Irdeto. No financial details of the transaction were disclosed.
For more information, visit www.irdeto.com.
Tut Systems partners with CETC-IPTV
Tut Systems has expanded its distribution channels in the Chinese telecommunications market through a relationship with the CETC-IPTV.
CETC-IPTV will use its sales network and systems integration capabilities throughout China to deliver IPTV solutions powered by Tut Systems Astria content processor.
For more information, visit www.tutsys.com.
AccuWeather transforms content with Anystream Agility software
AccuWeather.com has deployed Anystream Agility software for automatic creation of up to 10,000 hours of video daily for distribution to online and mobile outlets worldwide.
Anystream Agility is an enterprise-class production suite that enables media companies to maximize the value of their content by capturing and transforming it into on-demand, actionable content that can be distributed in nearly any format.
For more information, visit www.anystream.com.
Entone names Hackforth EMEA sales vice president
Entone Technologies has appointed Sarah Hackforth as vice president sales and pperations EMEA.
In her new position, Hackforth will build on Entone’s success in Europe, the Middle East and Asia.
For more information, visit www.entone.com.
Controlware to distribute T-VIPS products in North America
Controlware has entered into a partnership with T-VIPS to distribute T-VIPS products in North America. The new relationship will combine Controlware's expertise in video networking and management with T-VIPS's solutions for using IP networks to transport professional broadcast video.
For more information, visit www.cware.com and www.t-vips.com.
Packet Vision receives second round financing
Addressable IPTV advertising pioneer Packet Vision has received a second round of seed financing totalling $1.75 million. Founded in May 2004, the company is developing a single, ‘pizza box’ style enclosure for IPTV with all of the functions for highly targeted advertising, including media server, splicer, playout router and management system.
For more information, visit www.packetvision.com.
Conax to provide Tele2Vision with CA solution
Conditional access technology supplier Conax has signed an agreement with Swedish Tele2Vision for content protection of its digital platform through systems integrator Teleste.
Tele2Vision will implement its digital TV services during 2006. The backbone transport of the services is an IP network.
For more information, visit www.conax.com.
Capitol Sales to offer Coaxsys TVnet/C Pro
Capitol Sales Company has begun offering Coaxsys TVnet/C Pro products, which let integrators leverage a home's existing RG6 or RG59 coaxial cable for both cable television and high-speed Ethernet. Coaxsys launched this new 100Mb/s Ethernet-over-coax networking solution last October.
www.coaxsys.com.
Satlan, Latens collaborate on IPTV security in Eastern European
Software-based IPTV security provider Latens and systems integrator Satlan, are working together to secure Satlan’s cable and IPTV projects with Latens’ content and revenue protection software.
For more information, visit www.latens.com and www.satlan.pl.
Sound Off
Telcos must double capital investment to succeed with IPTV deployment
Feb 28, 2006 3:38 PM, All
A new white paper from telecom consulting firm Detecon sheds light on the challenges telecommunications companies face as they begin rolling out IPTV service in the United States.
Not only must telcos double their capital investment and overcome unresolved questions about how set-top boxes will be deployed in the home, they must also take up this IPTV business under do-or-die circumstances as cable MSOs whittle away at their core business with triple play services, says paper author Dr. Patrick Pfeffer, Chief Network Architect at Detecon.
IPTV Update thought it was a good time to interview Pfeffer to learn more about the conclusions he’s reached in “IPTV: Technology and Development Predictions.”
IPTV Update: MSOs adding voice to existing video and data services creates a situation you describe as a last chance for RBOCs in which adding video is critical. Will Verizon FiOS and AT&T efforts get it done in time?
Patrick Pfeffer: If you look at the history of telcos and video it is one of less than stellar performance. In the mid ‘90s telcos attempted to go into video. The driver was revenue growth. They failed. Today, some are again attempting the same journey towards video but the driver is fear. Their core business, which is voice, has been declining over the last few years. Today telcos have 150 million access lines. By 2010, the number of access lines will be down to 130 million. Initially, telcos were losing voice lines to wireless carriers. Today, the MSOs — after much trial and error with VoIP — are also offering voice.
For example, today Time Warner has more than 1 million VoIP subscribers. The service is called Digital Phone. That’s more than Vonage, even though Vonage has invested millions in marketing campaigns.
Telcos have no choice. They have to offer video.
Verizon, AT&T and BellSouth are taking advantage of a 2004 FCC ruling. For the last 10 years — since the 1996 Telecommunications Act — the policy was to promote competition in the local loop by unbundling. In 2004, the FCC reversed its position, setting forward that the local loop no longer needed to be unbundled. If fiber is brought to the home there is no unbundling requirement. This architecture, called FTTH or fiber to the home, has been chosen by Verizon. If fiber is pushed up to within 300ft of the end user, the terminated copper pair does not need to be unbundled. This architecture, called FTTC or fiber to the curb, has been chosen by BellSouth. Finally, if the copper pair only supports data or video then there is no unbundling requirement. This architecture, called FTTN or fiber to the node, has been chosen by AT&T.
That meant a lot of investment by the TriBOC (AT&T, BellSouth and Verizon).
The architecture options lead to different operational models. Verizon calls its deployment FiOS and it is characterized as an FTTP architecture where “P” stands for premise and encompasses both residential and commercial buildings. The cost to reach a premise ranges between $1200 and $1500. Verizon is installing fiber all the way to the end users, a technician cuts the copper line, and there is no way back. With FiOS, Verizon is operating like a cable company. It is not really IPTV. Verizon must acquire a franchise in each city it plans to offer video. It is costly, time-consuming and doesn’t scale.
On the other hand, AT&T has decided to go with IPTV. AT&T is further mining its copper plant, and it hopes to connect a home for less than $500. AT&T believes IPTV can scale, and the proof is in the pudding. AT&T believes it doesn’t need a franchise to offer video services since they are carried over data.
The FCC needs to provide a national broadband policy that clearly defines the rules of engagement. The lack of clarity creates uncertainty and impedes deployment progress.
Another major difference between Verizon and AT&T is the choice of equipment provider. Verizon is going with a best of breed approach, using a mix of hardware and software from a wide variety of vendors. AT&T is using Microsoft, Microsoft and Alcatel. Microsoft’s proposal is very appealing because it offers one-stop shopping. Its integrated solution provides, at least in theory, the hope that integration issues that have plagued previous telco video effort can be better managed.
IPTVU: In the white paper, you said ADSL isn’t up to supporting IPTV deployment, and that RBOCs should double their capital expenditure. Can you explain?
PP: The capital expenditure is related to the network, and I think it is important to compare that investment with other telecommunications investments. If you look at what the cable industry has invested since the 1996 Telecommunications Act, you are looking at $100 billion. If you spread that out across all cable subscribers, it represents $1400 per subscriber.
Similarly, look at Cingular. It invested $1740 per subscriber when it acquired AT&T Wireless. The average revenue per user (ARPU) for a cable user is about $70, the ARPU for a postpaid wireless subscriber is about $55, and the ARPU for a household connected to IPTV network is about $150 when it includes triple play (voice, video and high speed data). I believe such revenue potential justifies an investment of $2000 per home. As we look at the 110 million homes in the United States, I would like to see $200 billion committed to the necessary network upgrade. It will take many years, but it has to happen.
Telecommunications is very capital intensive with rapid technology changes. Wall Street does not understand this and continues to monitor the telcos on a quarterly basis. Telecommunications investment is a solid investment, but does not bring instant gratification.
IPTVU: You find that Microsoft TV middeware is becoming a de facto standard. Will that give Microsoft an inordinate sway over the future direction of IPTV deployment, and is it good or bad to have Microsoft as a key driver in the IPTV space?
PP: Microsoft has a history of succeeding when it is committed to an industry, even when it’s late to that industry. Microsoft has invested $20 billion in video, cable and let’s say TV. Today they have a solution that is appealing for all large telcos. Telcos can turn to Microsoft, and Microsoft will be one-stop shopping. Wall Street is also comforted that the telcos are collaborating with Microsoft.
The approach is not without risk. Will Microsoft be able to deliver? And when? Additionally, there is no back-up solution. Now you have the sempiternal conundrum: Is Microsoft’s dominance on the desktop speeding up or slowing down progress? The same can be asked for IPTV. You have a company that can invest billions of dollars, offers an economy of scale and a value add. Today, Microsoft is good for IPTV and it is jump-starting the market.
IPTVU: Can you discuss the last 100m and last 10 centimeter problems telcos have and possible solutions?
PP: The last 100 meter issue is, “How do you wire the home?” Today in the United States, you have 2.8 TVs per home. If you provide IPTV, you are going to need a set top box for every TV, and you will need to bring the wire to every TV. That is a major problem. All of the pioneers in IPTV had to spend four to five hours per home to bring that wire to the set-top boxes. A solution must be found; otherwise it kills any business plan.
Verizon or the MSOs can avoid this problem by offering on the same infrastructure up to 80 analog channels that can be viewed without a STB. It is also worth noting that DBS providers have for many years dealt successfully with multiple STBs but at a high subsidy cost.
In terms of in-house wiring, there are a number of solutions, such as multimedia over cable that reuses the coax in the home to bring IPTV channel. There is another solution based on a new version (802.11n) of the WiFi standard with higher bandwidth and the quality of service mandatory to offer video services.
The last 10-centimeter issue relates to the set-top box. The set-top-box is still the most difficult element in the IPTV proposal both from an engineering standpoint and a business standpoint. It is like a new computer, but not very stable. It’s difficult for telcos to stabilize their platform. The other issue is cost. Deployment costs scale linearly, which is not good.
New STB designs based on Broadcom, Sigma, LSI Logic and Connexant SoC (System on a Chip) should bring the cost down. I expect to see reference designs from these companies based on a couple of chipsets. When we reach that level of integration, Asian-based companies will be able to manufacture set-top-boxes with a build of materials in the $30 range with an additional $10 to $15 for the mechanic. This is really something the telcos and their partners are going to have to work on. It will require large volume. It is a make or break for IPTV.
The last issue with the last 100 meters and the last 10 centimeters has to do with installation. Truck rolls must be avoided. It took 10 years for telcos to offer ADSL systems that can be self-installed by users. The same thing has to happen for IPTV and sooner than later. Otherwise, IPTV just doesn’t work.
To read an executive summary of the paper, visit www.deteconamericas.com/iptv_paper.shtml.
Tell Us What You Think! IPTVU invites response from our readers. Please submit your comments to editor@broadcastengineering.com. We'll follow up with your comments in an upcoming issue.
Tektronix introduces Spectra2|VQM IPTV diagnostic software
Feb 28, 2006 3:42 PM
Tektronix has unveiled the Spectra2|VQM monitoring solution for the diagnosis and analysis of streaming video transmitted over IP.
Spectra2|VQM helps users identify the causes of poor digital image quality, such as packet loss, delay or data corruption in the IP transport network. It offers portable monitoring with support for multiple-level QoS scores and video industry standard, non-proprietary FEC analysis.
For more information, visit www.tektronix.com.
Pixelmetrix to introduce DVStation-IP upgrades
Feb 28, 2006 3:44 PM
Pixelmetrix will debut a major upgrade for DVStation-IP IPTV test and monitor platform at NAB2006.
Among the latest features is a service view display for viewing a summary of components of a service, including video, audio, CA and data carousels. The system also presents all broadcast services within all SPTS IP connections in a single consolidated view. Additionally, audio alarms for silence and tone allow users to monitor audio integrity on all channels.
Pixelmetrix will show DVStation-IP supporting monitoring of 21 single program transport streams on its Gigabit Ethernet input at the trade show, April 22-27 in Las Vegas.
For more information, visit www.pixelmetrix.com.
Teledata Networks unveils new MSAG gateway for voice, data, video
Feb 28, 2006 3:46 PM
Teledata Networks has announced a new version of the BroadAccess Multiservice Access Gateway (MSAG) optimized for supporting advanced voice, data and video services based on its Ethernet architecture.
The new MSAG enables service providers to move from traditional services to Triple Play. It also allows service providers to start providing advanced, lucrative services while still using their existing infrastructure through support of TDM and IP.
The system’s backward compatibility for all legacy features facilitates the upgrade of the existing operator network, and enables service providers to offer subscribers any mix of advanced and traditional services, from VoIP and IPTV to basic telephony.
For more information, visit www.teledata-networks.com.
PodShowPDN offers delivery network for podcasting
Feb 28, 2006 3:49 PM
PodShow and Limelight Networks have launched the PodShow Podcast Delivery Network (PodShowPDN), a high-performance content delivery network that addresses the specific needs of podcasting.
The PodShowPDN provides the scalability to manage, deliver and track tens-of-thousands of shows, millions of episodes and hundreds-of-millions of downloads, with a complete set of tools for creating, publishing and uploading content.
Developed throughout 2005, the PodShowPDN is delivering millions of downloads from thousands of episodes of PodShow's core line-up of shows. PodShow is delivering national advertising and sponsorship from more than a dozen U.S brands across these shows.
For more information, visit www.podshow.com and www.llnw.com.
Zignal to launch IPTV offering
Feb 28, 2006 3:51 PM
Zignal, a provider of IPTV software solutions and devices, will introduce a new service delivery platform March 6–8 at the IPTV World Forum in London.
The Zignal system delivers a range of revenue-generating IPTV services accessible from a variety of standards-compliant digital media receivers (DMRs), such as set-top boxes, remote controls and smart mobile phones. Services include digital TV, VOD, PVR, digital radio and online gaming. All are accessed through a customizable user interface. Zignal operates a fast browser from Norwegian-based Opera Software.
At the center of the system is the Zignal Enterprise Server, which provides interoperability between subscribers, a complex IPTV head-end and a standard management interface that allows for near straight-from-the-box deployment of IPTV services.
Zignal will appear with Industria at the IPTV Forum.
For more information, visit www.industria.com.
Rotani unveils VideoPuck for IPTV
Feb 28, 2006 3:52 PM, All
Rotani has introduced its VideoPuck technology, a multicast video in the home for IPTV solution.
VideoPuck enables error-free transmission of IPTV video when paired with standard Wi-Fi and HomePlug networking equipment.
Rotani's VideoPuck works with the company's AirReferee Wi-Fi technology to eliminate packet loss over wireless networks and support the performance and quality required for IPTV and wireless video applications.
For more information, visit www.rotani.com.
New GPON architecture provides efficient path to network upgrade
Feb 28, 2006 3:55 PM
Fujitsu Network Communications has announced a new Hybrid Gigabit Passive Optical Networking (GPON) architecture that allows current GPON networks to be easily upgraded to provide higher bandwidth in the future, without billion dollar overbuilds or upgrades.
The Fujitsu Hybrid GPON architecture allows capacity upgrades without requiring changes to previously deployed GPON Optical Network Terminals (ONTs). Most of the cost of a PON architecture is in residential ONTs. Associated installation and labor costs and substantial savings are produced by eliminating the requirement to upgrade the ONTs.
Current PON deployments rely on BPON technology that provides 622Mb/s of bandwidth toward subscribers and 155Mb/s of bandwidth from subscribers. The newer GPON technology supports 2.488Gb/s downstream and 1.244Gb/s upstream, allowing for residential speeds of up to 75Mb/s per home. Many service providers are projecting the need for this bandwidth to support their IPTV services, VOD and HDTV programming.
For more information, visit http://us.fujitsu.com/telecom.





















