Tag: pay TV

  • India-A hotbed for news channels

    India-A hotbed for news channels

    “To improve is to change, to be perfect is to change often.” This quote from Winston Churchill is in my opinion the best way to describe 2013 for the Indian television market scenario and BBC Global News, the parent company of BBC World News and bbc.com.

    Let’s first take a broad look at the changes in the Indian market.  While regulation forced the industry to adopt digitisation, it is commendable that the industry responded and today MSOs have had around 70 to 80 per cent success in seeding STBs in phase I and phase II. Digitisation has happened and is progressing – but at the moment that is only the technical side. Addressability remains a concern. But large changes such as this in markets as humongous and diverse as India are bound to take time. Our outlook is positive and we are hoping that once business models start to take shape, this change will be positive for all stakeholders. But there is no doubt that traditional models are being disrupted. The cable industry will have to look at differentiation, quality of service and value added services to drive revenue growth. The capacity constraint that drove carriage revenues is likely to moderate with digitization. There is demand for niche content. New launches are happening in the super-niche format. The demand for Pay-TV is growing with increase in the availability of premium content. Consumers are willing to pay for HD content. Cable operators have also started offering HD-enabled STBs.

    The other major change is the pattern of consumption of content. Viewing has become personal with the consumer demanding and expecting flexibility in terms of timing, volume of content consumed and place of consumption. Increasing mobile & broadband penetrations and affordability of smarter devices are offering alternative digital distribution platforms. Consumption of live TV on-the-go and catch up TV is on the rise.  All these are very positive changes that signal well for the robust growth of the industry.

    It has also been a year of evolution for BBC Global News. We moved into state of the art brand new studios in the heart of Central London in what is easily the world’s largest and most advanced newsroom. Both in anticipation and in response to audience trends, we have successfully converged our news operations to deliver the best multimedia, multi platform international news. Our improved look on TV, our website, our apps – all these make for a greatly enhanced experience for the consumer. Our new brand campaign ‘Live the Story’ is not just an advertising tool, it is an ethos for the way we approach content and we want to reinforce that message in the market. It is in recognition of this ethos that World News America received an Emmy award for “Best continuing coverage of a news story” for Ian Pannell and Paul Wood’s reports from Syria. And among our many editorial highlights was the 100 women season with Mishal Husain’s exclusive interview with Malala featuring not just on BBC World News but across all BBC platforms domestic and international. Indeed one of the catalysts for 100 Women was the Delhi gang rape attack in December last year.

    It is great to see the audience responding to us. In India, BBC World News has maintained its status as the leading international English news channel among the country’s affluent, influential opinion leaders, business decision makers and frequent international travellers, according to the latest Ipsos PAX survey. BBC World News also beats India’s domestic news channels to take the number one spot amongst the highly desirable, upscale audience.  BBC Global News, including BBC World News and bbc.com is the only news brand across TV, online and mobile to show quarter on quarter growth. Social media is equally important for us to improve our engagement and we continue to achieve important audience milestones on Twitter. @bbcworld now has more than 5 million followers and @bbcbreaking has passed the 8 million follower mark.

    As economics and politics in India become even more interesting with the country entering election mode, we have just announced a season of programmes focusing on India to air in February 2014. India Direct will delve behind the headlines to bring audiences insight on our country as we strive to be significant player on the global stage. The India Direct season will give BBC audiences around the world the opportunity to see everyday life in India. Through programmes like Fast TrackOne Square Mile and Working Lives, the BBC’s unrivalled network of journalists explore the issues faced by people here – from the economic opportunities and challenges to living life at every level of society; from its traditions and history to future plans and innovations.  We are looking forward to what promises to be a really insightful coverage of India. We also hope to bring an international perspective to the coverage of the elections. As the world focuses on India, our journalists will also showcase India to the rest of the world with our global coverage.

    The world of media and journalism is very dynamic and India is a vibrant market. We believe that the changes in the media landscape are all positive; we ourselves are steadily progressing in tandem with global trends and certainly have a very positive outlook for India. We believe that the market respects and appreciates our content and that our ability to provide superior international news content on multiple platforms will differentiate us and keep us growing.

    (Preet Dhupar is BBC Global News COO for India. The views expressed in the above article are the author’s personal views)

  • Ofcom aproves Sky’s request for pay-TV services on digital terrestrial TV

    Ofcom aproves Sky’s request for pay-TV services on digital terrestrial TV

    MUMBAI: UK media watchdog Ofcom has announced that after three rounds of consultation, it has made three decisions: Sky Sports 1 and 2 to be offered to retailers on platforms other than Sky’s at prices set by Ofcom; to approve Sky and Arqiva’s request for Sky to offer its own pay TV services on digital terrestrial TV (Picnic), but conditional on a wholesale must-offer obligation on Sky Sports 1 and 2 being in place, with evidence that it has been effectively implemented; and to consult on a proposed decision to refer two closely related movie markets – for the sale of premium movie rights and premium movie services – to the Competition Commission. 

    Ofcom notes that the pay TV sector has delivered substantial benefits to consumers since its emergence in the early 1990s. More than 12 million consumers now pay to access a greater choice of content, at higher quality, and with a greater degree of control than has historically been available from free-to-air broadcasters. Sky has been at the forefront of this development and has delivered substantial benefits to millions of consumers in the UK.

     

    Pay TV services have to date been delivered primarily via satellite and cable networks. However, this investigation comes at a time of disruptive change in the way content is distributed. For example, digital terrestrial TV offers the scope for pay TV to be delivered via aerials, and new broadband networks could offer consumers an unprecedented choice of content, and the ability to access that content on demand.

     

     

    The ability to provide such services depends not just on technology, but on access to content that consumers want to watch. Live high-quality sports and recent Hollywood movies retain an enduring appeal for many consumers. Access to this content has driven the historical development of pay TV. This will remain crucially important for the development of new platforms and new services.

     

    For many years Sky has held the exclusive rights to broadcast first-run Hollywood movies and many of the most sought-after premium sports. Ofcom has now concluded that Sky has market power in the wholesale of certain channels including this content. However, the position differs between sport and movies: 
    Sky’s position in sport arises from the unique ability of broadcast TV to reach a large live audience, and Sky’s control of the live broadcast rights for many of the most important sports. This is unlikely to change in the next few years.

     

    The position in movies is more complex, since there are a variety of ways consumers can purchase movie content, and the importance of linear channels is starting to reduce. Looking forward, Ofcom expects video-on-demand to become increasingly important. However, Sky controls not only all the major linear channel movie rights, but also all of the rights that would be required to develop a subscription video-on-demand service for first-run Hollywood movies.

     

    Ofcom notes that Sky exploits its market power by limiting the wholesale distribution of its premium channels, with the effect of restricting competition from retailers on other platforms. This is prejudicial to fair and effective competition, reducing consumer choice and holding back innovation by companies other than Sky. In the case of movies, the fact that Sky also owns but barely uses the subscription video-on-demand rights denies competitors the opportunity to develop innovative services. 

    Ofocm has decided to use its powers under section 316 of the Communications Act to ensure fair and effective competition by requiring Sky to offer the most important sports channels – Sky Sports 1 and Sky Sports 2 – to retailers on other platforms: 
    Given that it cannot expect commercial agreement between Sky and other retailers, Ofcom has set a price for standard-definition versions of these channels at a level that should allow an efficient competitor to match Sky’s retail prices. The calculations are based on Sky’s own retail costs, adjusted for scale so as to allow for a market with several competitors rather than a single provider.

     

    Ofcom has set a wholesale price for each of Sky Sports 1 and 2, when sold on a standalone basis, which is 23.4 per cent below the current wholesale price to cable operators. Most consumers currently buy packages which include both channels, and the wholesale price for the service bundle which applies in those circumstances has been reduced by 10.5 per cent.

     

    In calculating these prices, Ofcom has taken into account the additional retail revenue generated by Sky from its Multiroom service enhancement, and have also taken into account any associated costs. Other retailers will be free to develop their own service enhancements, including offering Multiroom-type services, by using the same underlying wholesale product at no additional cost.

     

    Ofcom adds that it has not set a price for high-definition versions of Sky Sports 1 and 2. It has accepted Sky’s argument that high-definition services are a relatively recent innovation, and that pricing flexibility will help promote future innovation. Ofcom just requires Sky to offer contractual terms for supply of these channels on a fair, reasonable and non-discriminatory basis.

     

    Ofcom says that it has provided guidance on a number of non-price matters such as security, to ensure that the remedy is implemented as quickly as possible. 

     

    Further Ofcom has decided it would not be appropriate to impose a similar obligation on Sky’s movies channels. Ofcom has expressed concerns over restricted distribution of movies channels, but the main forward looking concern relates to the sale of video-on-demand rights. It says that it cannot adequately address this concern under section 316 (which relates primarily to linear channels). Instead it belieevs in making a reference to the Competition Commission under the Enterprise Act 2002, and as required by statute.

     

    Ofcom has consented to Picnic, subject to a wholesale must-offer obligation on Sky Sports 1 and 2 being in place, and evidence that it has been effectively implemented. This conclusion is also subject to any movies channels included in Picnic being offered to other DTT retailers. These conditions will allow consumers to benefit from access to Picnic, while also ensuring fair and effective competition.

     

    Ofcom expects these decisions to deliver substantial benefits to consumers. The most immediate benefit will be felt on digital terrestrial television. 10 million Freeview households will, if they so choose, be able to access the most attractive sports content via their existing aerials, and competition between Sky and other retailers should ensure a wide range of packages, including lower-priced entry-level bundles.

     

    Improved access to ‘must-have’ content will incentivise investment in new means of distributing content, such as faster broadband networks. In the longer term, this will result in a range of innovative new services for consumers.

  • “There’s a lot of mileage in pay TV news”:BBC GLOBAL NEWS CEO JIM EGAN

    “There’s a lot of mileage in pay TV news”:BBC GLOBAL NEWS CEO JIM EGAN

    As the country sheds tears over  onion prices, cringes about the skyrocketing cost of LPG, cribs for a better system in place for tackling the ever-growing crime incidents and hopes for the 2014 general elections to change things, the news channels are gearing up to catch all the action live. 

    And when all the international and domestic news channels are at it, why should the Beeb – the world’s biggest pubcaster that reaches over 360 million households globally; 12 per cent of which are from India – miss a chance to report on the political battle of the world’s so-called largest democracy? 

    BBC Global News CEO Jim Egan, who was in Mumbai to launch its India Direct series, reveals that the channel is looking at grabbing more eyeballs during the election season. The channel plans to scale up the coverage on India in the coming months. 

    And he gave some time to Indiantelevision.com’s Vishaka Chakrapani on the sidelines of the launch, to talk about the BBC World News’ India gameplan, its global digital push wherein it aims to melt the barriers between broadcast and online news. Egan emphasised that India is an important market for BBC in terms of pay TV and digital advertising.

    Excerpts from the interview:

    What is the benefit of investing in the news business in India?

    When I say investment I’m not talking about corporate investment, it’s about editorial investment. It’s been a good year for us in India. Digitisation has been broadly good for us and we are seeing our household penetration increase. 

    What is the growth in reach that you have experienced due to digitisation?

    It has grown steadily in single digit millions and has reached 30 million now, which means one in four homes. Digitisation is moving at a different pace in different parts of India. We would like to be bigger but we are addressing a relatively niche population in the English language and thus we are never going to be a mainstream news channel in the country. 

    With so many international channels making a mark in India, how will BBC World News differentiate itself and stay on top?

    We are looking at doing product and editorial investments to the extent we can afford it. Other operators are well resourced such as CCTV in China is well financed, so is Al Jazeera. If we are going to get into a spending arms race, BBC won’t be able to get there. We will capitalise on our reputation and emphasise on being different. Being successful is not about spending a lot as some qualities cannot just be bought.

    Why has the industry been hit with a bout of layoffs happening across the world?

    The last five to 10 years have been very difficult for journalism. It’s coming to terms with internet and digitisation. In  print, it has been a very difficult time, but not so much in India. A lot of broadcast journalism has been buffeted by the internet, particularly in international news. You see lots of retrenchment and people closing bureaus. BBC is slightly different because we have both public and commercial funding that has helped us expand and maintain ourselves. We are swimming against the tide but we are doing it deliberately because we think having a well funded and well resourced international network of correspondents is what success is about.  

    What about the entry of many international news channels in the market? Could that also be a reason that’s leading to increased competition?

    There’s been a bit of fragmentation but I don’t see demand for news going down. Demand for news is going in different directions. But as long as you are prepared from the editorial and corporate points, there’s good business to be made. It’s just at slightly different places these days.  


    We would like to be bigger but we are addressing a relatively niche population in the English language and thus we are never going to be a mainstream news channel in the country…

    In the future, would having multilingual skills be an important criteria for journalists?

    That’s an interesting one. I don’t think we would hire someone just because they can speak many languages but the ability to broadcast and write digital content in those languages is something we are seeking to develop and nurture. We are going to have a dedicated Asian edition of our website with front page stories about India and China. There will be global programmes to improve the profile and output of bilingual journalists such as the ones in India. We are producing more relevant and easier to find content for our websites.  

    How important is India on a global scale for BBC World News?

    India has been and will be important for us. There is huge digital consumption that is growing in the mobile sector here. India is the fourth biggest market in terms of traffic, the first three being the US, Australia and Canada in that order. We need a big English speaking market to do well for us, and I’m leaving the UK out of this. One thing particularly exciting about India is that in the other markets digital penetration is nearing saturation point but in India there is a lot of room for growth in the mobile sector.

    In the recent years, the budget of BBC has been cut by 20 per cent. Does that affect the investment?

    The 20 per cent cut is due to TV licence fee being frozen for a period of five years, taking inflation into account. Internationally, we are funded through advertisements while domestically we are run by public money which is an involuntary payment of about $200 a year. We have the challenge and the freedom to earn commercial revenues.  

    Original content on mobile is what people seem to be asking for. Is that something you are looking to cash on?

    We are not doing that in mobile because on this platform the key for us is about following news from screen to screen. It’s about trying to make news consumption something that people can take with them with their screens and stay up to date on their mobile phones. That’s the editorial idea. The product idea is to get more video content on mobile. One line growing more steeply than mobile is ‘video on mobile’ as people’s devices become better, internet packs get cheaper and network availability becomes more reliable.  From the commercial point of view, it is working with the advertising community for digital. 

    How big is mobile advertising given that mobile marketing forms a relatively small part of the marketing budgets in India?

    I don’t think mobile marketing in India is necessarily small compared to other countries. In most countries, mobile advertising has lagged behind mobile consumption of media. That’s another area where you are seeing rapid change and the amount of money we are generating from mobile globally has come a long way in the last four months. India is one of the biggest growth markets for mobile apart from sub Saharan Africa where mobile device consumption is also increasing.  

    Do you see threat from OTT in the country?

    When I’m in India I haven’t till date heard people worrying about OTT. TV adoption is still growing as well as pay TV penetration, although not so drastically. Too many people have written of TV news as something people want to consume and as well as pay for. But I think there’s quite a lot of mileage left in pay TV news.  

    How do you deal with carriage fees in the country?

    I’m glad to say we don’t pay for carriage but we rather earn from it. I wouldn’t say we haven’t had a problem with it but it’s been a business policy. We don’t think we should have to pay people to carry us. We are very proud of the quality of BBC World News. Our business policy is often questioned.

     When do we get to see BBC HD TV in India?

    One of the new features of the new office in London is its native HD transmission from glass to glass, ie camera to screen. In a number of markets in Asia we are introducing BBC World News in HD. We would love to launch in HD here but we don’t have any active discussions underway. The markets in the world where we are present in HD, like Singapore, have given us good feedback and we believe HD would be a good value addition to our distributors.


    We will capitalise on our reputation and emphasise on being different. Being successful is not about spending a lot as some qualities cannot just be bought…

     Looking at a possibility if FDI norms are eased in India, do you see a Hindi news channel from BBC?

    I don’t think we will set up a corporate vehicle here to be honest. We have a Hindi show called Global India on ETV so it is a content supply set of arrangement. We’d like to be bigger in Hindi and other languages but I don’t see us making a corporate investment in the Hindi news business.

    Do you see the possibility of a JV in India?

    We were examining a possibility of doing a JV in the Hindi language but it didn’t work out due to issues such as FDI regulations and MIB stipulation around editorial. The concept of editorial content is very hard to share.

    There is also a financial reason. We are not in a position to make capital investment into a JV that will be successful and have an impact in one of the world’s highly contested news landscape. We are never going to be better at covering Indian news than the Indian news providers themselves.

    We will cover Indian news to show them globally but not try to outdo the local competition. That is something that you cannot do because it is an extremely dangerous and expensive game. 

    Will we see BBC World News going regional?

    We always talk about relevance more than presence. Although we won’t be a part of the Indian domestic news landscape, we want to be relevant to audiences here. There are financial limitations to such a prospect too. We can’t tailor everything for 100 different markets around the world. So, instead we always think from our broadcast centres as to where is the peak audience at that point of time that will view the channel. 

    How many Indian advertisers do you have and how have they been doing lately?

    We have about 10-20 advertisers from India such as Karnataka tourism, Bharati Airtel, Micromax and airlines who want to reach an international audience through TV as well as online. Our Europe market was hit badly due to recession but Asia stayed better. However, this year has seen a slowdown from our Indian advertisers.

  • Pay TV growth spurred by BRIC nations, says ABI Research

    Pay TV growth spurred by BRIC nations, says ABI Research

    MUMBAI: India is just a year into the process of digitisation, and, in another year, it is quite likely all of the nation’s 100-odd million cable TV homes will be having a set top box (STB) perched on top of their TV sets. The rapid spread of the STB and pay TV is ensuring that India increasingly pops up in research reports on pay TV as a major contributor of growth. Other countries which are also helping spike pay TV growth are Brazil, Russia and China.

     

    Take a dekko at the latest report released by international research firm ABI Research. It states that the pay TV subscriber base across the world surpassed 886.5 million at the end of Q3 2013, a six per cent YoY increase and generated $ 62.6 billion service revenue. Maintaining its Q2 2013 status, BRIC (Brazil Russia India China) nations were a major contributor and will continue to be in the future years, ABI has stated.

     

    The research predicts that by 2018, global pay TV subscribers will shoot to more than 1 billion out of which BRIC countries will be responsible for 68 per cent of total net additional subscribers.

     

    “Emerging markets are key drivers of global growth in pay-TV subscribers as developed markets are experiencing flat growth rates,” said ABI Research VP and practice director Jake Saunders.

     

    The US Pay TV market grew at less than one per cent as compared to Q3 2012, due to increasing cord cutting by cable TV subscribers who are switching over to cheaper OTT services such as Netflix and Hulu. According to the report, approximately 1.7 million subscribers were lost from cable TV last year in North America. However, revenues increased due to high ARPUs (Average Revenue per User) driven by increasing HD and advanced DVR (Digital Video Recorder) subscribers.

     

    European countries also showed marginal growth with less than two per cent increase than Q3 last year. Service providers in Spain lost over seven per cent of their pay TV subscribers and Italy over two per cent as compared to a year ago due to the weak economic environment. However, markets such as the UK, France and Germany along with other Western Europe countries saw IPTV subscribers increase by 1.9 million from Q3 2012 to Q3 2013.

     

    According to a 2012 report by the Singapore-based Media Partners Asia (MPA) overall pay TV subscribers in India were expected to cross 170 million in five years. Much like the US, India is also set to see revenue increase due to HD TV sets. India has one of the lowest ARPUs in the world at approximately Rs 140 ($ 2.2) but the industry is optimistic that it will grow to Rs 550 ($ 8.73) once digitisation is complete.

  • Monetising the sports arena through Pay-TV

    Monetising the sports arena through Pay-TV

    GOA: After a fruitful day one of IDOS 2013, day two kicked off with a presentation by Media Partners Asia executive director Vivek Couto on ‘Sports and Pay TV: The path to value creation’. “The idea is to bring value to sports and to bring it to markets that have the passion for sports,” he said.

    The sports market is very different in the US and Australia as against Europe and Asia. The US and Australian markets have higher mark-up value and is a profitable proposition for the operators as the major part of the revenue is earned through subscription fees as against advertising revenue. But, the scenario is just reverse in case of European and Asian markets where advertising revenue drives the broadcasters.

    “The big difference in the markets is the availability of multi-platform rights from the broadcasters in the US and Australian markets which makes life easier for the operators,” Couto added.

    In the European and Asian markets, the problem is abstaining from providing better interactive services to the consumers rather than focusing on just raising advertising revenues. This has also resulted in the death of ESPN as a sport major in the European market as is the case in Asia (except India).

    One of the various reasons that have really driven ARPUs in the US and Australian markets is the focus on packaging rather than exclusivity. “The US market is very vertically integrated, so there is no exclusivity of ‘live’ event coverage and the focus is more on better production and packaging of content to attract the attention of the viewers and build a bigger and loyal fan base,” explained Couto.

    This is one of the biggest reasons for DirecTV having made such a big impact on viewers globally. The focus on this platform is on the kind of coverage given rather than just focus on exclusivity of the content carried. This has slowly encouraged all broadcasters to focus more on how they package and present their content to their viewers.

    The US market currently has a very profitable sports ecosystem, so much so that almost all the leading operators provide a good bouquet of sports channels right from the basic packs to the premium packs. With leading players like Comcast also adding sports channels to its basic packs only goes onto show the power of sports globally.

    Sports has really been a battering ram for both subscription and ARPUs, so what are the takeaways for the Indian market? “Well firstly, focus on, slowly making the move from SD-HD-HD ad free and finally take it to multi-screen availability. Also the ads need to move from CPRT to CPT to make the content more incentivised and finally give more access to the consumers by tying up with mobile and online services,” ended Couto.

    The way forward is certainly bright for the Indian market, but a lot more can be done by covering more of local sports and create greater traction with the local population by getting local cable operators to cover smaller events in a bigger way and promote more sports rather than being just a one sport nation.

  • Netflix strikes movie deal with Weinstein

    Netflix strikes movie deal with Weinstein

    MUMBAI: In a drive to add subscribers, Netflix has expanded on a movie licensing deal with The Weinstein Co. that will add more films to its internet video service beginning in 2016.

     

    The multi-year agreement announced builds upon a partnership that Netflix forged with Weinstein last year. That deal gave it the streaming rights to the Oscar-winning film, The Artist, as well other foreign films and documentaries from the eight-year-old studio.

     

    The new deal gives Netflix the rights to show all movies released by Weinstein and its subsidiary, Dimension Films, before they appear on pay-TV channels. That makes it more competitive with channels like HBO and Showtime that have traditionally been the first place to see films after their theatrical runs.

     

    Netflix’s exclusive arrangement with Weinstein begins with films released in theaters during 2016. That’s around the same time Netflix will begin showing films for the first time outside a movie theater from The Walt Disney, part of an agreement announced last year.

     

    Financial terms of the latest Weinstein deal weren’t disclosed.

  • Millennials may opt for Net TV over traditional pay TV

    Millennials may opt for Net TV over traditional pay TV

    MUMBAI: Pay TV providers may want to skip peeking into the crystal ball.

    New research from The Diffusion Group (TDG) finds that younger consumers are less likely than their older counterparts to subscribe to legacy pay-TV services, opting instead for the likes of Netflix or Hulu Plus.

    TDG’s Late Millennials: A Study in Media Behavior surveyed a random sampling of more than 2,000 broadband users between the ages of 18 and 24, half of which were living at home with their parents. Of this latter group, 49 per cent said they were highly inclined to sign up for an online subscription video service once they moved out on their own, compared to 31 per cent that were highly inclined to sign up for a traditional pay-TV service when they set up their own households. This is a difference of 58 per cent.

    TDG president and principal analyst Michael Greeson admits these dispositions could change over time if OTT TV services are unable to acquire the content these consumers will want as they marry, have children, and move up the career ladder. “In the end, it will still be less about the conduit and more about the content and value the service provides.”

    “While this data can be spun to rationalise a number of arguments, the simplest insight may be the most profound,” noted Greeson. “The very fact that young consumers perceive online video services as somehow more desirable or necessary than incumbent pay-TV services says volumes about the future of video.”

  • Star India in deal for Olympic Games coverage

    Star India in deal for Olympic Games coverage

    MUMBAI: Star India has scored the rights to carry the upcoming 2014 Winter Olympics from Sochi and the 2016 Summer Olympics from Rio across seven South Asian countries.

     

    The deal with the International Olympic Committee (IOC) also covers the Summer Youth Olympic Games, taking place next year in Nanjing, China. Star India has the free to air, pay TV, Internet and mobile rights for Bangladesh, Bhutan, India, the Maldives, Nepal, Pakistan and Sri Lanka. In 2012, the Olympics were broadcast in India on state broadcaster Doordarshan.

     

    “We welcome the opportunity to work with Star India for the upcoming editions of the Olympic Games and Youth Olympic Games,” said IOC president Jacques Rogge. “We are confident they will do a great job providing the best possible broadcast coverage of the Games, on a variety of platforms, to the largest possible audience in the seven different countries.”

     

    IOC chairman finance commission Richard Carrión, said, “The Star India deal marked a shift in the organisation’s handling of broadcast rights in Asia. Traditionally the IOC has negotiated broadcast rights on a pan-Asian basis; however, the media landscape is changing and we have adapted our approach recently by negotiating directly in certain markets. We are very pleased to have reached this agreement directly with Star India.”

     

    For the 2012 games, the IOC had a pan-Asian free-TV deal with the Asia-Pacific Broadcasting Union and a pay-TV deal with the now defunct ESPN Star Sports.

     

    Star India head of sport business Nitin Kukreja added, “The Olympic Games remain the pinnacle of sporting achievement where the world’s best in various disciplines face off for the title of Olympic champion. Indian athletes have also performed admirably over the last few editions, which is evident in the medal-winning performances that we have come to admire. We value our partnership with the IOC and feel that this spectacular extravaganza can be taken to even greater heights in India on both television as well as on digital platforms.”??

     

    Elsewhere in the region, deals for the 2014 and 2016 games were previously concluded with CCTV in China, SBS in Korea and a consortium of broadcasters in Japan.

  • STB market continues to thrive, expected to peak in 2015

    STB market continues to thrive, expected to peak in 2015

    MUMBAI: Even though the pay-TV industry has been shifting toward delivering services to computers, smartphones and tablets, the traditional set-top box (STB) continues to thrive, with market shipments forecast to hit record highs this year, according to IHS.

    Global shipments of STBs used for cable, satellite, terrestrial and IPTV digital TV services are predicted to reach 269 million units this year, which is eight per cent higher than last year. This is expected to grow another six per cent, to 286 million, in 2014, and a further one per cent, to 290 million, in 2015. However, 2015 is expected to be the peak of the market for the foreseeable future. After that, IHS predicts that STB shipments will decrease by five per cent in 2016 and by another two per cent in 2017.

    “STBs are facing a mounting challenge to their role at the dominant pay-TV video consumption device because of operators‘ growing emphasis on supporting multiscreen devices,” said Daniel Simmons, the senior principal analyst for TV technology at IHS. “However, operators are continuing to deploy STBs in order to manage the compatibility between their delivery networks and the consumer electronics devices that consumers are increasingly using to view content now.”

    “As pay-TV operators rush to accommodate changes in delivery platforms and in video formats – including the adoption of HD – STB shipments will continue to rise, hitting record levels for the next few years”, adds Simmons.

  • Pay-TV revenue surpasses FTA TV turnover in Spain

    Pay-TV revenue surpasses FTA TV turnover in Spain

    MUMBAI: Spanish pay-TV revenues outrun free-to-air (FTA) TV services in terms of revenues in 2012. Pay-TV turnover amounted to €1.7 billion in 2012, surpassing for the first time in its history, FTA TV revenues which amounted to €1.6 billion, advanced television reports, citing data released by Spanish telecoms regulator CMT. Pay-TV revenues grew by 2.5 per cent year-on-year, while FTA TV services dropped 17.9 per cent in 2012.

    Satellite pay-TV revenues climbed 8.4 per cent year-on-year to €1.06 billion in 2012. Mobile TV and IPTV revenues increased by 14.6 per cent and 11.6 per cent respectively; whereas cable and pay-DTT sales fell 11.6 and 19.3 per cent respectively.

    Spain‘s pay-TV user base dropped by 351,636 subscribers or 7.5 per cent in the period. Spain ended 2012 with 4.3 million pay-TV users, with satellite technology accounting for 41.3 per cent, followed by cable with 32.7 per cent, IPTV with 18.8 per cent and pay DTT with seven percent. The IPTV user base saw the most dramatic decline, shedding 126,566 subscribers in the period, followed by cable with 97,665 and pay-DTT with 93,157.