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“GETTING IpTv RIGHT”




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
Hello
   GARY HAYES -
   •BBC from 95-04 as Senior Producer/Manager, BBC Interactive
        –Produced first interactive TV services on Digital, first Broadband TV services and earlier first video
        and audio on bbc.co.uk
        –Chaired Business Models Group of TV-Anytime 99-03 (leading PVR & on-demand standard)
   •2004 in West Coast USA devising/producing new on-demand programmes with
   networks, AFI & consultant to UK
   •Now Project Director of LAMP with AFTRS in Sydney




“Getting IpTv Content Right”       gary.hayes@aftrs.edu.au         © Gary Hayes, Aug 2005, Aimia Australia
Hello - Getting IpTv Content Right
   Gary’s Talk
   •   The Genie is out of the Bottle
   •   The battle has begun
   •   Killer-app, beat-em-all Bundle
   •   Creating the new
   •   How to win the war




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
The GENIE is OUT of the BOTTLE
 The natural communication evolution
 •1.2 million years BC - we first spoke
 •28 000 BC - we created visual art
 •4600 BC - we learned to write
 •868 AD - we printed (publishers were born)
 •1839 - we made photographs (more publishers)
 •1895 - projected the first film (film distributors born)
 •1946 - scheduled TV appeared (broadcasters were born)
 •1990s - the internet arrives (self publishing begins)
 •2000s - control shifts to consumers who both ‘publish and
 select’ from the publishers they want…




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
The GENIE is OUT of the BOTTLE
 •        IPTV - The final countdown, the last battleground, but the content-
          over-broadband war may already be over!
 •        IPTV (the triple play part - not the technology part) will not fly
          without something more compelling than “cheaper if you buy a
          pack of three” or “more choice”
 •        Giving consumers the triple play is like giving them 3 wishes,
      –      1st wish TV
      –      2nd wish Telephony
      –      3rd wish “Have as many more wishes as you like!” True, uncapped,
             broadband can provide that. NB: Cap it and fail
 •     “Australians spend on average 23 hrs a week using broadband internet – more
       than 13-39 year olds spend watching TV” – AFR, Ericcson Nov 04
      BUT
 •     There were only 0.7 mill digital free-to-air TV receivers and 0.5 mill Foxtel digital
       receivers sold to December 2004
 •     In Australia only about 40% of those left actually want broadband, so what about
       the rest



“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au      © Gary Hayes, Aug 2005, Aimia Australia
Killer-app?, Beat-Em-All Bundle?
                                                    THE IPTV ROAD
                                                    •   TV
  THE ROAD I’M ALREADY ON                           •   Broadband web
  •   Already have Free TV                          •   Telephone
  •   Not really interested in web                  And some of the cool stuff??
  •   Already have a telephone                      •   Video-on-demand! - um,
      (home and mobile)                                 already got DVD
  •   Not really interested in                      •   More channels you are
      Digital TV                                        interested in - um, had a
                                                        look at satellite, not
                                                        impressed




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
THE BATTLE HAS BEGUN
 PEOPLE TV - FREE, NICHE, RELEVANT, REACTIVE, ORGANIC
 •Podcasts, VideoCasts/Blogs, GoogleVideo, iVideo…
 •Communities of interest on Broadband - eg: Filmmakers TriggerStreet,
 AtomFilms
 •Free broadband TV from webcasters eg: BBC, AOL (5 mill Live8)
 •Non-profit IPTV - publishing community video eg: current.tv, creative
 commons
 •Open source internet TV (eg: participatory culture.org with tools such
 as Broadcast Machine)




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
THE BATTLE HAS BEGUN
                                        Al Gore (Current TV) - 1 August 2005
                                        “The internet opened a floodgate for
                                        young people whose passions are
                                        finally being heard, but TV hasn’t
                                        followed suit. Young adults have a
                                        powerful voice, but you can’t hear that
                                        voice on television… yet,”

                                        “We intend to change that with
                                        Current, giving those who crave the
                                        empowerment of the web the same
                                        opportunity for expression on
                                        television. We want to transform the
                                        television medium itself, giving a
                                        national platform to those who are
                                        hungry to help create the TV they want
                                        to watch.”

“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
THE BATTLE HAS BEGUN
quot;Already there is more data downloaded for video over the Internet than
there is for music… What happens when a 14-year-old creates a
BitTorrent browser that's easy to use and plugs right into your TV? You go
from 500 channels to 50 million channels.quot;
•Mike Ramsay, cofounder of TiVo.

Hardware competition
•HomeMediaCenters
•PVR’s
•XBox360, PS3
•TV cards for PC’s
•FTA HD boxes
•HomeCinema, DVD
•HD DVD, BluRay


“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
THE BATTLE HAS BEGUN
   Still massive investment in IPTV in USA
   •     THE ROADS - SBS are spending $4bill to
         reach 18 million homes within 3 years. Verizon
         are spending $700mill
   •     THE CONTENT - Verizon have deals with
         NBC Universal, Discovery and Starz Ent -
         bundled DirecTV, 230 channels. And the other
         direction - Akimbo today announced ‘long tail’
         content for cable companies’
   •     THE OS - Microsoft already testing BellSouth,
         Verizon and SBC
   Large numbers of IPTV users in Asia
   •     Expected to grow to 20 million by 2009 -
         already over 1 million
   •     Thirteen regions already trialing these services
   Italy
   •     FastWeb - tripled its subscriber base, tripled
         its revenues, the average revenue per user
         (ARPU) rose to over 780 Euro annually
“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
THE BATTLE HAS BEGUN
   Where is the Triple-Play in Australia?
   •SkyNetGlobal's apartment based service
   •Adelaide's Adam Internet (partnership with MoviesOnline)
   •iiNet is looking to next year for a start.
   •Telstra? Optus?
   •Any more with deep pockets?




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
Killer-app?, Beat-Em-All Bundle?
   Triple-play +
   •Wireless - one-pipe in, home distribution
   •Games - console power (not pacman on TV!)
   •Personal Video Recorder - 1) as standard STB, 2) in the
   network 3) Able to burn off to DVD 4) Personalisation
   •Email over TV - for the 60% who don’t want web
   •OK sure - lots of VOD, movies, niche channels etc:
   LAST BUT NOT LEAST THE REAL OPPORTUNITY - The
   IDEAL content platform for ALL
   •the ‘BIG-HYBRID’ services. Return path, TV and voice
   communication. Brand new ‘combination’ services - yet
   to be devised!
   •Enhanced TV - multi-streams, voting, play-along quiz
   shows, karaoke, involvement, relationship


“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
Killer-app?, Beat-Em-All Bundle?
 Video examples of successful (gary related) interactive services
 •Olympics - multi stream 60% reach, 9 million used it
 •Test the Nation - nearly 2 million play along together, do not leave
 •Hull Broadband TV - People stories more popular than broadcasters
 •Pyramid, Xcreatures - New form programming reach over 64%
 •Lword - combining PVR and TV to extend experience
 •Top of the Pops - something simple generates stickiness
 The real opportunities for ‘new entry’ content providers
 •Compelling interactive services
 •Niche, localised, relevant content
 •Sticky games & unique formats
 •Create the new…




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
Creating the new
   “The best way to predict the future is to invent it.” Alan Kay
   It is critical to make sure IPTV services have:
   •       Strong presenter Call to Action
   •       Simplicity & clarity (the core interactive idea)
   •       Audience focus - understand THEM & create loyalty
   •       Participation & reward
   •       Choice around landmark events
   •       Localisation and personalisation
   •       Have TV centric design - not web on TV and not plain TV on
           broadband
   •       Have pre launch prototypes so everyone can see, user test and buy
           into - inspire people with possibilities they can see. LAMP@aftrs




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
How to win the war - finally!
   Goes without saying
   •      Compelling range of content - that CHANGES, churns. Niche (medium to long tail)
   •      Quality of Service (QoS) - robust networks, TV doesn’t crash!
   •      Right service bundle - see earlier
   •      DRM and usage rules - no protection, no content
   But likely to get overlooked -
   •     Think BIGGER. “Standardisation for globalisation”
   •     Global metadata to interoperate & expand (see TVA) - Niche &
         well tagged content will deliver long term
   •     Make the triple, quadruple or septuple(!) play services
         interoperable…
   •     Interface - often left to the end, deep content but POOR navigation




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
How to win the war
   •      Lets sort out these interfaces!!




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia
How to win the war - create the new
  How to prepare for this ‘ON-DEMANDING’ IPTV world in Australia…
  •Key is to have focused prototyping & pilots for all emerging media
  •The Laboratory for Advanced Media Production (run through AFTRS)
  will become a premier incubator for cross-platform services in Australia
  •More details about how to apply online at www.lamp.edu.au
  •Call for projects, mentor interest and rapid format developers


  Thankyou for listening - gary.hayes@aftrs.edu.au




“Getting IpTv Content Right”   gary.hayes@aftrs.edu.au   © Gary Hayes, Aug 2005, Aimia Australia

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Getting IPTV Content Right

  • 1. “GETTING IpTv RIGHT” “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 2. Hello GARY HAYES - •BBC from 95-04 as Senior Producer/Manager, BBC Interactive –Produced first interactive TV services on Digital, first Broadband TV services and earlier first video and audio on bbc.co.uk –Chaired Business Models Group of TV-Anytime 99-03 (leading PVR & on-demand standard) •2004 in West Coast USA devising/producing new on-demand programmes with networks, AFI & consultant to UK •Now Project Director of LAMP with AFTRS in Sydney “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 3. Hello - Getting IpTv Content Right Gary’s Talk • The Genie is out of the Bottle • The battle has begun • Killer-app, beat-em-all Bundle • Creating the new • How to win the war “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 4. The GENIE is OUT of the BOTTLE The natural communication evolution •1.2 million years BC - we first spoke •28 000 BC - we created visual art •4600 BC - we learned to write •868 AD - we printed (publishers were born) •1839 - we made photographs (more publishers) •1895 - projected the first film (film distributors born) •1946 - scheduled TV appeared (broadcasters were born) •1990s - the internet arrives (self publishing begins) •2000s - control shifts to consumers who both ‘publish and select’ from the publishers they want… “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 5. The GENIE is OUT of the BOTTLE • IPTV - The final countdown, the last battleground, but the content- over-broadband war may already be over! • IPTV (the triple play part - not the technology part) will not fly without something more compelling than “cheaper if you buy a pack of three” or “more choice” • Giving consumers the triple play is like giving them 3 wishes, – 1st wish TV – 2nd wish Telephony – 3rd wish “Have as many more wishes as you like!” True, uncapped, broadband can provide that. NB: Cap it and fail • “Australians spend on average 23 hrs a week using broadband internet – more than 13-39 year olds spend watching TV” – AFR, Ericcson Nov 04 BUT • There were only 0.7 mill digital free-to-air TV receivers and 0.5 mill Foxtel digital receivers sold to December 2004 • In Australia only about 40% of those left actually want broadband, so what about the rest “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 6. Killer-app?, Beat-Em-All Bundle? THE IPTV ROAD • TV THE ROAD I’M ALREADY ON • Broadband web • Already have Free TV • Telephone • Not really interested in web And some of the cool stuff?? • Already have a telephone • Video-on-demand! - um, (home and mobile) already got DVD • Not really interested in • More channels you are Digital TV interested in - um, had a look at satellite, not impressed “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 7. THE BATTLE HAS BEGUN PEOPLE TV - FREE, NICHE, RELEVANT, REACTIVE, ORGANIC •Podcasts, VideoCasts/Blogs, GoogleVideo, iVideo… •Communities of interest on Broadband - eg: Filmmakers TriggerStreet, AtomFilms •Free broadband TV from webcasters eg: BBC, AOL (5 mill Live8) •Non-profit IPTV - publishing community video eg: current.tv, creative commons •Open source internet TV (eg: participatory culture.org with tools such as Broadcast Machine) “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 8. THE BATTLE HAS BEGUN Al Gore (Current TV) - 1 August 2005 “The internet opened a floodgate for young people whose passions are finally being heard, but TV hasn’t followed suit. Young adults have a powerful voice, but you can’t hear that voice on television… yet,” “We intend to change that with Current, giving those who crave the empowerment of the web the same opportunity for expression on television. We want to transform the television medium itself, giving a national platform to those who are hungry to help create the TV they want to watch.” “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 9. THE BATTLE HAS BEGUN quot;Already there is more data downloaded for video over the Internet than there is for music… What happens when a 14-year-old creates a BitTorrent browser that's easy to use and plugs right into your TV? You go from 500 channels to 50 million channels.quot; •Mike Ramsay, cofounder of TiVo. Hardware competition •HomeMediaCenters •PVR’s •XBox360, PS3 •TV cards for PC’s •FTA HD boxes •HomeCinema, DVD •HD DVD, BluRay “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 10. THE BATTLE HAS BEGUN Still massive investment in IPTV in USA • THE ROADS - SBS are spending $4bill to reach 18 million homes within 3 years. Verizon are spending $700mill • THE CONTENT - Verizon have deals with NBC Universal, Discovery and Starz Ent - bundled DirecTV, 230 channels. And the other direction - Akimbo today announced ‘long tail’ content for cable companies’ • THE OS - Microsoft already testing BellSouth, Verizon and SBC Large numbers of IPTV users in Asia • Expected to grow to 20 million by 2009 - already over 1 million • Thirteen regions already trialing these services Italy • FastWeb - tripled its subscriber base, tripled its revenues, the average revenue per user (ARPU) rose to over 780 Euro annually “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 11. THE BATTLE HAS BEGUN Where is the Triple-Play in Australia? •SkyNetGlobal's apartment based service •Adelaide's Adam Internet (partnership with MoviesOnline) •iiNet is looking to next year for a start. •Telstra? Optus? •Any more with deep pockets? “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 12. Killer-app?, Beat-Em-All Bundle? Triple-play + •Wireless - one-pipe in, home distribution •Games - console power (not pacman on TV!) •Personal Video Recorder - 1) as standard STB, 2) in the network 3) Able to burn off to DVD 4) Personalisation •Email over TV - for the 60% who don’t want web •OK sure - lots of VOD, movies, niche channels etc: LAST BUT NOT LEAST THE REAL OPPORTUNITY - The IDEAL content platform for ALL •the ‘BIG-HYBRID’ services. Return path, TV and voice communication. Brand new ‘combination’ services - yet to be devised! •Enhanced TV - multi-streams, voting, play-along quiz shows, karaoke, involvement, relationship “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 13. Killer-app?, Beat-Em-All Bundle? Video examples of successful (gary related) interactive services •Olympics - multi stream 60% reach, 9 million used it •Test the Nation - nearly 2 million play along together, do not leave •Hull Broadband TV - People stories more popular than broadcasters •Pyramid, Xcreatures - New form programming reach over 64% •Lword - combining PVR and TV to extend experience •Top of the Pops - something simple generates stickiness The real opportunities for ‘new entry’ content providers •Compelling interactive services •Niche, localised, relevant content •Sticky games & unique formats •Create the new… “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 14. Creating the new “The best way to predict the future is to invent it.” Alan Kay It is critical to make sure IPTV services have: • Strong presenter Call to Action • Simplicity & clarity (the core interactive idea) • Audience focus - understand THEM & create loyalty • Participation & reward • Choice around landmark events • Localisation and personalisation • Have TV centric design - not web on TV and not plain TV on broadband • Have pre launch prototypes so everyone can see, user test and buy into - inspire people with possibilities they can see. LAMP@aftrs “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 15. How to win the war - finally! Goes without saying • Compelling range of content - that CHANGES, churns. Niche (medium to long tail) • Quality of Service (QoS) - robust networks, TV doesn’t crash! • Right service bundle - see earlier • DRM and usage rules - no protection, no content But likely to get overlooked - • Think BIGGER. “Standardisation for globalisation” • Global metadata to interoperate & expand (see TVA) - Niche & well tagged content will deliver long term • Make the triple, quadruple or septuple(!) play services interoperable… • Interface - often left to the end, deep content but POOR navigation “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 16. How to win the war • Lets sort out these interfaces!! “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia
  • 17. How to win the war - create the new How to prepare for this ‘ON-DEMANDING’ IPTV world in Australia… •Key is to have focused prototyping & pilots for all emerging media •The Laboratory for Advanced Media Production (run through AFTRS) will become a premier incubator for cross-platform services in Australia •More details about how to apply online at www.lamp.edu.au •Call for projects, mentor interest and rapid format developers Thankyou for listening - gary.hayes@aftrs.edu.au “Getting IpTv Content Right” gary.hayes@aftrs.edu.au © Gary Hayes, Aug 2005, Aimia Australia