Sunday, August 31, 2008
The company plans to add a radio service as part of the basic package and will broadcast Bundesliga soccer games with an interactive component. It will also offer Warner Studios films on demand as soon as they are released on DVD.
Deutsche Telekom has been taking an incremental approach to making its IPTV service more attractive. It would do better to bite the bullet and make a single dramatic move that will catch the market's attention. I think its best approach will be to bundle a basic set of IPTV channels into the broadband service rather than requiring an additional fee.
This limit seems reasonable for the web browser, even the person who uses a lot of Youtube. However, this limit will permit only about 2 hours a day of HD TV viewing. This means that Comcast is limiting the ability of its high speed data to access over the top TV services that compete with its cable service. This seems to me to be anti competitive. It will be interesting to see how the FCC reacts to this, especially as Internet TV becomes more popular.
Thursday, August 28, 2008
Chunghwa stated that its coverage of the Olympics significantly increased the viewing of its IPTV service:
- The maximum number of households viewing its IPTV service increased by a factor of 1.6 compared to before the Games.
- IPTV video on demand views were 3.3 times higher and Internet page views were 11.3 times higher compared to before the Games.
- The number of video clips viewed, page views and traffic over its mobile portal “emome”
were 15.8, 10, and 10 times times higher, respectively, compared to before the
Chunghwa continues to grow its IPTV service at a rate of at least 20o thousand new subscribers per year. Its Olympics experience shows the power of a big event in bringing viewers to the service.
There were a few additional facts of interest:
- Its ARPU remained flat at 36.3 euros per month during the half.
- The percentage of its customers using Free as their only telecom provider increased to 71 percent at the end of June 2008 from 64 percent at the end of 2007.
Free is one of the most interesting broadband and IPTV companies around. It is worth taking a look at its presentation and report for the half.
Tuesday, August 26, 2008
- A portfolio of about 850 thousand active subscribers
- Loss carry forwards which will generate a tax savings of 350 million euros for Iliad
- Cash and equivalents of 15 million euros
This acquisition puts Free ahead of Neuf Cegetel, which achieved the leading position through a series of acquisitions. Free has set the standard offering for broadband in France with a complete triple play offering of 29.99 euros per month.
Frees next challenge is how to enter the mobile market. Both France Telecom's Orange and Neuf Cegetel's parent company SFR are major mobile operators in France.
This includes 40 thousand new premium viewers giving it 668 thousand subscribers that are paying for premium services. This has increased its nowTV ARPU to $US27 per month.
PCCW provides 160 channels with 85 exclusive channels. It also offers an HD set-t0p box that provides access to the digital terrestrial HD channels. It also supports a second set-top box to its premium service subscribers.
PCCW's fixed line business has actually been flat or has increased since 2H05.
PCCW continues strong IPTV growth. Larger companies such as Verizon and France Telecom have surpassed it in terms of the number of subscribers, but it is the clear leader in terms of market penetration. It is also the leader in terms of business and content strategy. It has demonstrated how to turn a free service into a significant revenue generator.
Telekom Austria is now fully into a commercial phase with its IPTV service. It has substantial competition and its TV service should help it.
- Disclose the details of its discriminatory traffic management practices to the Commission
- Submit a compliance plan describing how it intends to stop these discriminatory management practices by the end of the year
- Disclose to customers and the Commission the traffic management practices that will replace current practices
TV services in Germany are generally provide for free or at very low prices. This approach makes sense for Hansenet. It has been adopted with success in France, Sweden, and the UK.
For standard-definition set-top boxes ZTE, UTStarcom, Coship, Motorola, Huawei, Postcom, Sunniwell, Alcatel-Lucent, Yuxing, 30 Kaitian and Changhong. The provincial operators should give preference to these companies in the order that they are listed.
For high-definition set-top boxes ZTE, UTStarcom, Alcatel-Lucent, Postcom and Changhong.
The prices for terminal equipment have been set and the provincial operators are not allowed to renegotiate prices.
This should clear the way for China Telecom's provincial operators to ramp up their IPTV efforts. This is likely to significantly accelerate the IPTV services in China, which has basically been limited to the Shanghai area until now.
I thank everybody who has supported this effort by reading this blog. The audience is wide. There were readers from more than 90 countries in July.
I would like to hear your thoughts on how I can improve this blog. Please submit a comment and let me know.
San Francisco, California
August 26, 2008
This approval creates a level playing field for IPTV, cable, and satellite in India relative to content. It sets the stage for a significant expansion of the IPTV services in 2009. The challenge is to put the broadband infrastructure in place that will be needed to support it.
Monday, August 18, 2008
This move by CinemaNow will bring over the top IPTV content to the TV. This will create significant competition to the Telco IPTV services. The Telcos need to incorporate services like this with their IPTV service or be left behind.
I plan to test this service when I can get an attractive device to bring it to my TV. I will be deploying an 802.11n network in my home to get ready. I will let you know how it goes.
Saturday, August 16, 2008
Ericsson is also embracing the work of the Open IPTV Forum in developing an open approach to IPTV. The Open IPTV Forum is incorporating IPTV into IMS. Ericsson told me that it will be possible for existing IPTV middleware and other software component providers to adapt their products to theis Open IPTV architecture.
Ericsson characterized the existing IPTV systems as First Generation and stated that its conversations with IPTV operators indicate that they have strong concerns about the ability of these systems to scale. Ericsson told me that it thinks that many of these systems will top out at 500 thousand IPTV subscribers. It expects that moving to a second genreation of IPTV systems will create major opportunities for it.
There is no question that Ericsson is late to the IPTV party. Its acquisition of Tandberg clearly gives it a strong presence in the market but not as a full service provider.
It will be interesting to see if its view of the market will pan out. Personally, I think it will be much more difficult for Ericsson, or any other large full service system supplier, to break into the market at this time.
Friday, August 15, 2008
Telefonica's recent lackluster IPTV results have indicated that some action was required. 3 euros per month is not the same as bundling IPTV into a basic broadband subscription as is available in France and Sweden, but it is quite close. Telefonica is in a very competitive market. This move will help it and increase its IPTV sales.
Thursday, August 14, 2008
Portugal Telecom's TV offering includes both IPTV and satellite DTH services. It introduced IPTV in 4Q07 and its satellite DTH service in April 2007. The company did not provide the split of IPTV vs. satellite customers.
Portugal Telecom's TV strategy produced strong results in 2Q08. It is facing strong competition, especially in the urban areas where it only has 26 percent market share. Its TV strategy should help it regain momentum in these markets.
Wednesday, August 13, 2008
Swisscom's IPTV subscribers adds picked up in 2Q08. It appears that its new marketing effort has had some effect.
Tuesday, August 12, 2008
Singtel has a deal with Disney-ABC International Television, Twentieth Century Fox and Warner Bros. International Television Distribution, that makes it possible for its mio TV service to screen over 50 top US series as early as 24 hours after their US premiere.
Singtel is experiencing the same problems that other service providers have had converting introductory promotions to long term subscriptions.
Sunday, August 10, 2008
It has been clear for a long time that content security software is key to the delivery to a number of new services, especially push services. It seems to me that Netflix will move to this kind of model replacing postal delivery with push technology.
Saturday, August 9, 2008
It appears that Tele2's IPTV service is flattening. The Netherlands has a very strong cable provider and IPTV has been struggling there.
Friday, August 8, 2008
The company added 337 thousand broadband subscribers in 1H08 giving a total of 1.653 million at the end of the half. It did not announce any IPTV numbers for its Hansenet subsidiary in Germany.
Telecom Italia is continuing to add IPTV subscribers. Its rate of increase is low considering the number of its broadband subscribers and the lack of cable in Italy. I believe that it is still number two in IPTV in Italy to FastWeb.
Its goal of 300 thousand IPTV subscribers in 2008 appears possible but will require it to accelerate its sales rate.
The company plans to offer a 100 Mbps fiber offer to small and medium enterprises in 4Q08 at a premium price, and will extend this to the SOHO and residential market after the end of this year. This is an upgrade from its current 10 Mbps service. It expects this higher speed service to lower churn and stabilize ARPUs.
FastWeb stated that its fiber service passes 2 million homes in Milan, Turin, Genoa, Bologna, Roma, Naples, and Bari. It stated that this is higher coverage than any other European country. Fastweb's 243 thousand fiber subscribers is nearly 25 percent of all of the fiber subscribers in Europe.
FastWeb will introduce mobile services in Italy in September 2008. It will focus selling the service to its current customers in October and launch it to the business market in 4Q08. It is currently evaluating a mobile offering to its executive customer base.
As usual I interpret the lack of an announcement of IPTV subscribers to indicate that there was no significant increase during the quarter.
AT&T U-bar is an interactive feature available to U-verse TV customers that allows viewers to receive customized sports, weather, stock and traffic information on their TV. Yahoo! Sports Fantasy Football is one of several U-bar enhancements now available to U-verse TV customers at no extra charge.
Fantasy football enthusiasts can also purchase StatTracker®, a real-time application that tracks player, team and league statistics, for $9.99. StatTracker delivers snap-by-snap updates to users via AT&T U-bar, personal computers and mobile devices.
AT&T is taking advantage of its IP network to differentiate its IPTV service from its cable competitors. Sports is important to many viewers and is a good place to start these services.
Thursday, August 7, 2008
Deutsche Telekom growth in the first half has been rather modest. It will have to significantly pick up the pace if it is going to meet its goal of having 500 thousand subscribers at the end of 2008.
Tuesday, August 5, 2008
This ruling is subject to an appeal to the U.S. Supreme Court. NPVR is a key feature for the cable and Telco IPTV services in the U.S. NPVR is needed to bring the personalization that viewers get from the Internet to the TV. It will also have a profound effect on the networks that support IPTV services.
Monday, August 4, 2008
Due to its replay function that provides access to programs aired in the past 48 hours, subsciptions to IPTV, are booming in Shanghai ahead of the Beijing Olympic Games. China Telecom has received about 3,000 IPTV subscriptions every day, the most in its history.
The number of IPTV users in Shanghai has reached 510 thousand and is expected to hit 800 thousand by the end of 2008. BestTV, the IPTV unit of Shanghai Media Group, said it would promote a new service during the Olympics that enable viewers to watch different sporting events on different windows on one screen.
Shanghai Media Group provides two HDTV programs that are being viewed by more than 20,000 users. About 300 thousand Shanghai broadband users can receive this HD service,''
The company is facing the problem that the installation of wiring to support IPTV can sometimes damage the interior of people's.
This is another example of how sports content can significantly increase the subscription of IPTV services. It is interesting to see that HD has started to penetrate in Shanghai.
During the second quarter Free added the following to its service:
- 802.11n support to its Feebox HD set-top box
- Pre-release of Canal+'s catch up TV service
- M6 HD and France 2 HD
- Promotion that provided a one year subscription to the Canal+ Le Bouquet premium package for 1 euro per month
I estimated that virtually all of Free's unbundled subscribers are capable of receiving its IPTV service. This gives it a total of 2.6 million IPTV capable subscribers.
I found that I confunsed end of 2007 figures with 1Q08 figures in the original post.
Sunday, August 3, 2008
The IPTV situation in India is still rather clouded. The fundamental problem there, though, is the lack of broadband infrastructure. IPTV will not do well there until broadband services are broadly available.
Saturday, August 2, 2008
The company is running a summer promotion that provides the aonTV basic package free for the first six months. Subsequently, there will be a charge of 4.90 euros monthly in addition to the broadband line starting at 15.98 euros per month. During this promotion the first set-top box costs 29.90euros .
The basic package has 65 TV channels. For 7.90euros per month the Premium TV package offers an additional 21 entertaining channels such as National Geographic, Disney Channels, E!Entertainment and kabel eins classics. For The aonTV video on demand library has up to 300 films. Films in HD quality, time-delayed and ORF information programs that can also be viewed on demand.
Telekom saw a bit of a slow down in 2Q08, but its summer promotion should help it get through the summer doldrums.