IPTV Brave new World

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IPTV Brave new World

• Alan Delaney
• IPTV Business Development Director

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Evolution of consumer media experience
Consumer demand
2007
2004
2006
1950
1990
1995
2003
Enabling technology
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More content, more devices
Nokia N95 - What computers have become
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More channels for media consumption
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UK Changes in Programme Consumption

• Steptoe Son 28.5M (1966!)
• ITV BBC today - 11.5M 9.2M highest viewing
• BSkyB USA Flagship programme Lost 898k
• Viewing is changing, as are the business models
• You Tube Evolution of Dance 46.3M views

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Business model implications

• IPTV was about sending TV down the tubes
• Ground is shifting before IPTV is even
  established
  
• Established DRM models changing (EMI DRM free)
• Multiple routes to the consumer
• Increasingly complex content business model
  navigation
  
• IPTV Friend or Foe?

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IPTV Friend or Foe?

• Historically perceived as foe
• The solution umbrellas !!!
• 1 stop shop for content across multiple devices
• Subscriber reacquisition prohibitively expensive
• Deliver sticky services to reduce churn
  (triple/quad)
  

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Triple / Quad Play Reduces Churn

• 1.3 reduction in per month churn from Triple
  Play

Source Kagan, December 2003

• 1M IPTV Subs
• 15.6 reduction in annual churn, SAC of x00/sub
• Potentially tens of millions saved in revenue
• Single point reduction equates to millions
  saved

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New Advertising Business Models

• Babelgum
• 5 for each 1000 unique views of a clip
• Google advertising (my guess)
• 10 / 1000 unique views
• Therefore 1 cent /page
• If 100M pages / day viewed 1M/day
• Equates to 360M / year
• My Space 1.5 Billion page views a day !
• Comcast has served 3 Bn vod assets to date
• Majority of which are free and ad supported
• Power of advertising transitioning over to iptv
  and bbtv
  

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TANDBERG Television solutions
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TANDBERG Television solutions
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Expanded TANDBERG Offering
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Summary

• IPTV is happening
• Disruptive business models
• Embrace the change
• Solutions are here to meet the market
  requirements
  
• TANDBERG delivering solutions to meet those needs

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