I Want My IPTV - Key Themes
The intersection of TV and video, a TV and teclo market ripe for disprution, the role of the EPG, trust in brands and the rise of user-generated content were among the key themes to emerge from NMK's 'I Want My IPTV' half-day event (in association with Mike Butcher) held on 25th May, says Paul Robinson...
The intersection of TV and video, a TV and teclo market ripe
for disprution, the role of the EPG, trust in brands and the
rise of user-generated content were among the key themes to
emerge from NMK's 'I Want My IPTV' half-day event
(in association with Mike Butcher) held on 25th May 2006...
By Paul Robinson
[Register and post your own comments
on this article below...]
1. IGNORE THIS AT YOUR PERIL
"The intersection of internet and video" is too huge
to ignore. William Cooper provided most of the evidence:
• Broadband and Freeview, which together are the backbone of the
BT "Vision" IPTV service, are currently two of the
fastest growing services in the UK.
• Most major Telcos in the world are now launching video
services.
• Currently there are only 2.5m IPTV subscribers globally, but
huge broadband subscriptions levels mean huge growth potential,
with 30m IPTV subscribers conservatively forecast by 2010.
• Cable providers can move over into IPTV at the time of their
choosing: the right cabling is in place.
• Sky's new HD boxes all have an Ethernet connection – which
provides a clue to the future.
Rob Walk and Scott Gronmark added to the evidence:
• ADSL 2 (up to 24Mb) is finally happening.
• Spot advertising is being undermined from many
directions.
• The 33% of homes that are still analogue are
disappearing.
• 75% of kids are in multi-channel homes – and they're not
watching mainstream tv.
Scott Gronmark presented the case that broadcasters in
particular need to pay attention. They are the most likely to
avoid facing the reality, and they have a great deal to lose;
broadcasters have a lot to offer, but are in theory they are
dispensable in an IPTV environment.
Waiting around for one stable "IPTV platform" does not
make sense; waiting for stable business models to emerge means
abdicating the opportunity to influence; whether your business
is broadcasting, EPGs, advertising or content, you must not
wait.
2. TV AND TELCOS ARE RIPE FOR DISPRUPTION
There is no shortage of disruptive scenarios, services and
options. Some main disruptive forces:
• Microsoft's XBOX360 and Sony's PlayStation are
examples of disruptive "Trojan horses" (William
Cooper) that use other people's networks. Slingbox, Orb, etc
similarly use other people's networks to deliver video over
IP while keeping their own cost of entry relatively low; this is
a big disruptive force faced by the large Telcos.
• Mobile and VoIP are further disrupting Telcos' traditional
fixed-line model.
• Viewer behaviour is disrupting the TV hegemony. BBC DG Mark
Thompson can't say it often enough. Viewers are moving away
from the big networks (and TV in general). Viewers are also
becoming part of the value chain by feeding content into it. TV
is now being disrupted by the likes of
YouTube in the
way that journalism has been disrupted by blogs and music has
been disrupted by Napster and iTunes.
Mark Taylor pointed out that earlier this month YouTube's
reach overtook that of bbc.co.uk; he provided a short list of
other similarly disruptive services:
o Box Office 365
o Rocketboom
o Ourmedia
o Brightcove
o Current tv
o Seeder (an index of torrents)
o Tioti (tape it off the internet)
o Tvtv.co.uk (£1.25/month subscriptions – not bad compared with
Sky)
o Vpod.tv
• Broadband TV. Rob Walk mentions emerging technologies that are
making the viewing of video on PCs more palatable. Vividas is
one example, providing solutions that move beyond the
sub-broadcast-quality RealMedia or WindowsMediaPlayer
experience.
3. The EPG IS CRUCIAL
William Cooper offered a scenario for the future in which
"the Guide" is a gateway to tens of thousands of live
streams, hundreds of thousands of on-demand programmes,
virtually every movie ever made and millions of music tracks.
Sense is made of this content through suggestions and play-lists
based variously on mood, personal preferences, and
recommendations from friends, like-minded viewers and selected
pundits.
Rob Walk's view of the varied services and content types
that EPGs will need to address includes broadcast TV, On Demand
TV (ranging from premium to archive content), community content
(UGC, vlogs) and "friends and family" content (eg
photo albums). Mark Taylor reminds us that shelf space will be
infinite. Means of categorising and searching content will
therefore be crucial.
Scott Gronmark suggests that one of the factors of success in
future will not be limitless volumes of available content; there
is already "too much tv". Rather, once all this
content is available the key will be the means to sort through
this content and find what we want.
EPGs therefore will become devices to obtain and organise huge
volumes of new and disparate types of content from a range of
sources, ideally in various highly personalised ways. EPGs,
rather than content, become differentiators.
Such necessary gateways are necessarily going to be used by huge
audience volumes; such personalised gateways are likely to
present extremely effective targeting opportunities. Ergo,
it's only a matter of time before the potential for
advertising starts to be realised.
4. TRUST IS EVERYTHING
There's a huge number of factors that will differentiate the
many means of obtaining and viewing video content, including
ease of use, billing, interactive services and the triple/quad
play. One of the least tangible but most crucial is trust.
The blend of broadband and Freeview at the centre of BT's
"Vision" proposition is a theoretical winner, but will
the public trust BT to understand what they want from the telly?
An ICM poll presented by William Cooper suggests this may be the
case, placing BT second on a list of brands considered by
viewers to be best positioned to "bring together your
in-home entertainment and broadband requirements" in the
future.
In theory broadcasters should be the winners – they are the
acceptable face of the industry, the brands we choose to snuggle
up with on the sofa. Yet ITV, still the UK's largest
commercial broadcaster, scored lowest in the ICM poll.
In theory NTL/Telewest should be the winners, as they currently
control the optimal network for delivery of video over IP – but
does their performance and record on customer relations over the
past few years mean they will be trusted in future?
5. CONTENT WILL BE COMMODITISED & UBIQUITOUS
Content producers and owners want to distribute their content as
widely as possible. It is short-sighted to link means of
distribution or retail with inventory in any sort of exclusive
deal. As Scott Gronmark points out, this was one of the
fundamental mistakes ITV made a few years ago, when ITV withheld
its channels from the Sky platform in the misguided hope that
this would sufficiently incentivise consumers to subscribe to
the ITV-owned DTT platform rather than Sky.
Once again the music industry provides a lesson: with few and
obscure exceptions, record labels do not restrict which vendors
are allowed to sell their products.
This ubiquity is why content is generally not seen a factor
differentiating IPTV services.
6. USER GENERATED CONTENT IS / IS NOT RUBBISH
Not formally on the agenda, but an irresistible theme that
wouldn't go away throughout the afternoon. Scott Gronmark
championed the sceptical corner, a number of delegates were the
strongest advocates of UGC, and Bob Palmer of HypTV trod a
delicate line between the two (HypTV is populated solely by
content submitted by hidden or unsigned talent - artists,
students, etc - but the content is vetted by HypTV to ensure a
quality threshold is upheld).
Mark Taylor focussed on UGC's increasing pervasiveness,
whether it's rubbish or not. Rocketboom and current tv are
examples of content created by non-professionals that offer
something more than footage of singing dogs and kids falling off
skateboards; the quality of content is high, the audience
figures are growing, and advertisers are paying attention. These
are genuine alternatives to TV 1.0.
© 2006 Paul Robinson
toomuchtv.co.uk
About The Author:
Paul Robinson is a digital media strategist specialising in
interactivity, VOD to PC, IPTV and social navigation. For more
details email
paul(AT)toomuchtv.co.uk
or visit
toomuchtv.co.uk
See the original
EVENT
OUTLINE
Comments
gordon.joly@pobox.com said:
Multicast vs. Unicast <p>The unicast model of distribution must be replaces by multicast, otherwise the Internet will grind to a halt. It doesn't matter how much bandwidth arrives in my street and how fat the fibre is into my house, the major switches and network hardware around the world will melt down if each viewer how their own feed. With multicast, the data from a server will be distributed once and then split in the routers and switches. <br/></p>
IAN MURPHY said:
LINKING NETWORKINGS TOGETHER <p>IF THE FIELD OF BROADBAND AND MOBILE GET TOGETHER,MORE SYSTEMS WOULD BE MORE ACTIV.THE NEW GENERATION OF INTELLEGENCE COULD COME UP WITH SYSTEMS THAT WOULD HELP THE HUMAN RACE AND NOT DESTROY IT WITH THE GREED FACTER.CAN YOU IMAGINE YOUR SONS AND DAUGHTERS BEING THOUGHT BY THE BEST TEACHERS IN THE WORLD ON LINE ANYWHERE IN THE WORLD.AFRICA AND ASIAN COUNTRIES WOULD BENIFIT WITH FREE EDUCATION AND TEACH OTHERS IN THEIR COUNTRIES HOW TO USE THE BENIFITS OF MODERN AGE,AS WE HAVE AND DO. WHO KNOWS WHERE THE NEXT EINSTEIN IS.<br/></p>
You must be logged in to comment.