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  • 03-Sep-2009 by François Pogodalla
  • Content convergence is next Pay TV opportunity
  • IBC Official Blog
Content convergence is next Pay TV opportunity

Modern consumers have unprecedented choice about where they find the content they want to watch, from linear and time-shifted TV to Internet video, social networking sites and personal content stores. TVs and PCs are competing for the consumer’s entertainment time. Consumers want access to their favorite content on their own schedules, wherever they are, on multiple devices around the home. They are not asking for device convergence but they do want content convergence because that is what gives them access to their favourite content at all times.

We believe one of the main themes of IBC 2009 will be how network operators can deliver this new consumer TV experience. There is a growing requirement for network operators to connect their content networks with the customer’s home network and enable the seamless movement of multimedia around the customer premise. This requires set-top boxes that interact with all local devices including PCs, games consoles and mobile phones, and that personal content can be transferred to the TV and home theater system.

Those service providers who enable user-friendly convergence of television, personal and Internet content can expect to take a greater share of the time people spend entertaining themselves at home. There is a huge opportunity for operators to differentiate services, increase customer loyalty and grow revenues.

We believe the most important component in this next-generation TV experience is a hybrid STB that combines DVB broadcast reception and Ethernet IP. TV/PC content convergence is a high priority so set-top boxes will start supporting more decoding options, enabling Internet video and social networking sites to be accessed from the TV.

Network operators need to hide all complexity from the user. Consumers want the simplicity and reliability of the TV and not a ‘techie’ PC experience. To help viewers navigate the additional content, all services provided through the set-top box should be made available as channels. 3D graphics innovations in the user interface will make navigation more pleasant and intuitive, encouraging mass-market participation. Users should be able to access the digital content stored on all their devices from the comfort of their couch.

Hybrid technology is complex from a software management perspective. The IP software stack has to be implemented in parallel with other software like MHP middleware, DRM, and DLNA home networking. A key challenge is how to implement and manage this software, ensuring the STB is optimized for the growing range of tasks it has to perform. We believe that developing proprietary implementations of open standards, which lets us vertically integrate the software, is the key to delivering stability in the consumer TV experience.

Network operators who deliver content convergence in a stable, user-friendly environment will increase their appeal to all consumers and capture their attention and loyalty. IBC 2009 is a good chance to explore the opportunities that a truly converged TV experience brings.

Advanced Digital Broadcast, Stand 5B48

About the author

François Pogodalla François joined ADB in 2005. Formerly Director of Alliances and M&A within STMicroelectronics' Corporate Strategic Planning organisation, François was responsible for M&A and other strategic transactions. During his career at ST, he held various positions in engineering management and business & strategic planning. François holds an MBA from EM Lyon, a master’s degree in Computer Science from the University of Grenoble, France and a Computer and Electronics Systems Architecture Engineering degree from ENSIMAG.

Comments

François Pogodalla (08-Sep-2009, 8:17)

David, I agree. As end users we don't need complexity, we want a service that gives us the content we want, when we want it. A pre-integrated hybrid TV platform would solve a range of operator issues and enable them to focus on the challenge of creating a viable business model for Television 2.0.

A topic for further discussion at IBC 2009, perhaps?

David H Deans (04-Sep-2009, 16:29)

Francois, will the IBC Show include a creative hybrid video experience that will define the Television 2.0 business model? We'll have to wait and see. Clearly, STB innovation is a key component -- not just the EPG, but also a simplified remote control that is designed for personalization. I really only need one channel, mine (with curated content suggestions that fit my eclectic tastes).

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