180Squared Introduces Microsoft Mediaroom for Small Telcos

180Squared has introduced "Mediaroom in a box" that prepackages Microsoft Mediaroom for small telcos. Previously, Mediaroom was targeted to large carriers who wanted to integrate it themselves. The 180Squared bundle includes:

• Services
  o Full Architecture and Deployment Services for Mediaroom
  o B/OSS Integration Service
• Software
  o 180SQUARED Framework B/OSS Package
   Global Operations Manager
   B/OSS Interfaces and Work Flow Engine
   Basic STB Management
  o Caller ID
  o Remote (Web) PVR

This looks like a useful adjunct to Microsoft's Mediaroom strategy that addresses the needs of smaller operators. It will be interesting to see how it does compared to software packages built specifically for this market such as Nokia Siemens/Myrio, Minerva, and Dreampark.

Microsoft adds Mediaroom Partners

Microsoft announced that it added three new system integration partners, HP, Tech Mahindra, and 180Squared. These companies are in addition to Alcatel-Lucent, which is Microsoft's only end-to-end system integrator as well as its only reseller.

Microsoft also stated that Mediaroom is not supporting more than 2 million TV sets worldwide.

This is interesting because it may indicate some weakening of the Microsoft/Alcatel-Lucent arrangement. Alcatel-Lucent offers two middleware software systems as well as Mediaroom. Whether or not this is true, Microsoft's service provider customers can benefit from the incremental skills that these three new partners bring. HP has a strong server hardware base. Tech Mahindra has strong back office skills, and 180Squared provides applications and the ability to support smaller deployments.

The 2 million TV sets does not mean 2 million subscribers. AT&T in the U.S. provides multiple set-top boxes per home. In any case, Microsoft is experiencing strong growth in homes served.

180Squared Launches

The IPTV start up company 180Squared has officially launched itself. It was formed by Microsoft Mediaroom alumni to support and extend Microsoft's Mediaroom IPTV system. Its key technology is a framework that encapsulates Mediaroom and promises to provide a set of higher level interface functions that will remain stable as Mediaroom evolves underneath it. 180Squared states that this framework will allow applications based on Mediaroom to continue to operate without change as new versions of Mediaroom are deployed underneath it.

180Squared stated that its framework will provide interfaces to both OSS/BSS systems and to applications that provide additional features to Mediaroom. The company is using the framework to support its own TV caller ID display feature and its own 911 features as well its own device activation module and billing module. It also uses the framework to support its services business which assists operators deploy Mediaroom based IPTV services.

180Squared has assisted NTELOS with its Mediaroom implementation. NTELOS operates as a rural telco and as a CLEC in Virginia and West Virginia. 180Squared stated that tier 1 Mediaroom customers have also expressed interest in its framework.

Microsoft's Mediaroom has been well accepted by tier 1 operators globally. This will provide a large potential market for 180Squareds products and services. Large operators have shown strong interest in developing and customizing their IPTV software. 180Squared should do well if it can tap into this.

180Squared Providng Microsoft Applications

A new company called 180Squared provides applications for Microsoft's Mediaroom that include:

• Device activation
• Billing
• Service assurance
• On screen Caller ID

180Squared was formed by former Microsoft people who were part of the Mediaroom project.

Our recent report Opportunities in IPTV forecasts that Microsoft will become the leading IPTV middleware and video on demand system provider, which will create a large market for 180Squared. The question I wonder about is how many of the large providers that have selected Microsoft are likely to be interested in 180Squared's products. However, this market is still in a very early stage, so that there is a lot of opportunity for a smart startup.