UK’s BSkyB to offer broadband
British Sky Broadcasting (BSkyB) has announced plans to go into the broadband business, thereby raising speculations that it will be offering television content via IPTV.
Aiming to take on market leaders BT, AOL, Wanadoo and NTL, the broadcaster said it would be launching the service in the second half of this year.
Responding to press speculation that it will be offering cut-price deals, BSkyB said it was not giving out any pricing details at this stage.
The company has not yet confirmed, though, whether it intends to offer IPTV, but given today’s trends in digital TV and content distribution, this is very much likely.
Is Web Video the Future of TV?
CNN reports on the merging of the Internet and TV, and concludes that we’re nearing a point where the preferred mode of distribution for video content would be over the Web–it’s nothing like how it was imagined in the early dot-com days of the 1990’s.
From independent producers like Mondo Media to big media companies like MTV, and even kids who post videos on community sites like YouTube.com, the World Wide Web is becoming a sort of worldwide TV network for audiences seeking offbeat entertainment not shown on mainstream television.
… this new wave of Web video is fueled by the rising number of people with high-speed Internet access which makes video watchable on PCs. Moreover, younger audiences are increasingly accustomed to watching video on PCs and laptops.
I’m personally not too optimistic about this all. I just don’t get why some people are so enthusiastic about being able to view videos on the Web. In reality, it’s really crappy and slow, no matter the speed of your broadband connection or your computer’s processor. And then there’s no really interesting content people would want to watch, unless you’re a techie (think DIGGnation, Digital Life TV, TWiT). It’s like that because there is still no standard means by which video content can be delivered via the Web.
There are early attempts at compressing videos good enough for Internet delivery, such as the .H264 MPEG-4 standard. But until these protocols and standards are finalized, and all video-producing websites adopt the standards, then we’ll be stuck with a hodgepodge of different technologies. This means one website will offer different quality and speeds as compared to another. And most sites just offer crappy Flash or Swf versions of videos at very small resolutions with very low refresh/FPS rates.
As for content distribution, the mainstream media people are still, well, for mainstream media. There isn’t much of a business model from Internet video content, anyway, at this point. Consider that not everyone has broadband access, and that not everyone is keen on watching shows online. We still haven’t hit that sweet spot in the convergence between home entertainment and computing. So people would rather watch videos and shows on their television sets, and not on their computer screens. There’s the cool factor of video-on-demand, of course, but showing crappy 5-minute imagery on your computer would prove to be very uncomfortable. I’m a geek, and I love tech podcasts, but I seldom have the patience to download high-quality video versions (takes half a day in my speeds). What more if I were just your everyday, ordinary person?
To me, the point when the Web has turned into a world-wide TV network is when most of the civilized world already has IPTV set-top-boxes or IPTV-ready television sets, and could just surf for shows or subscribe to shows on their television sets, right in the comfort of their living rooms. Otherwise, we would just be fooling ourselves with overhyped video-on-Web systems that are likely to be unsustainable.
Google TV speculations
Ars technica reports on speculations that Google might be launching a television-oriented service soon.
The rumors started when Google posted job ads for “an Interactive TV Product Manager in Mountain View, as well as Software Engineers with experience in ‘emerging TV standards’ and ‘deploying robust, high-volume applications for consumer devices’” in both their Mountain View and London offices.
While Google denies that they are working on a television project, the company is definitely interested in expanding out of Internet advertising into more traditional markets. So far, their efforts have met with limited success. Google attempted to sell advertising in magazines, but after six months the results were incredibly lackluster, with 8 out of 10 participating advertisers saying they probably wouldn’t buy print ads through Google again.
Google has conquered the Internet akin to how Microsoft has been dominant in the personal computer space. Soon enough, Microsoft and other media giants such as Sony would be invading our living rooms through their multimedia machines masquerading as gaming consoles. Is TV part of Google’s planned business model in the near future?
Judging from what they were looking for in their staffing requirements–an “interactive TV Product Manager”–they’re likely to venture into IPTV, or at least IP-based distribution of video content. Yes, they have Google Video, but it’s not that good a service, and with no solid distribution system to speak of. But if Google can establish a worldwide video-distribution mechanism, and find a viable business model for the service, they have themselves a solid new source of fresh revenue that would easily complement their AdSense and AdWords business. Imagine contextual advertising consisting not only of text and images, but of video!
IPTV has great promise in the UK
Television-via-Internet, or IPTV, is bound to be successful in the UK, according to research firm GfK NOP. That is, if the content and broadband providers get to market the service well. Among 1,600 broadband users surveyed, one third responded they would be interested in IPTV services, which is good enough, considering an approximately 60% broadband penetration rate in the UK.
However, acceptance of such services would depend on price. For instance, the maximum monthly fee consumers are willing to shell out is £25. Also, acceptance of IPTV will not only be dependent on price. The service must be as easy to use as free, satellite or cable TV as well. Users expect a level of usability and ease-of-use that won’t require computer or technological know-how. Moreover, the selection of content has to be compelling enough for users to subscribe, especially considering the added subscription costs.
It is key … that pricing, usability and marketing strategies are at the centre of this emerging market in order to ensure it doesn’t become yet another over-hyped technology which fails to reach its potential.
Deutsche Telekom to launch IPTV service
Seems like Europe is being hit by the IPTV bug. Not only is UK’s British Telecom launching its IPTV service within the year, Germany’s Deutsche Telekom is likewise getting into the game.
The IPTV service is due to go live in ten major German cities - including Berlin, Hamburg, Cologne and Munich - from the summer letting viewers access regular TV programmes, video on demand, interactive programming and personal video recording. Punters can also expect a range of special interest channels and pay-TV programmes.
Deutsche Telekom’s service will also be using Microsoft-powered set-top devices. Looks like IPTV will be Microsoft’s saving grace, as the world moves away from desktop-based systems (in which MS is dominant) towards Internet-based services.
[via the Register]
British Telecom to launch IPTV
UK’s largest telco, British Telecom, will be launching an Internet-Protocol TV service within the year. Dubbed BT Vision, the service will be initially offered to existing BT Broadband subscribers. Features include on-TV instant messaging, a PVR-like video recording service, and video-on-demand.
Later this year we’re launching a brand new digital TV service in the UK that’s set to inject a bit of vision into your TV. Our next generation TV service will be a doddle to use. It’s rammed full of entertainment and best of all there’s no compulsory subscription, so you only pay for what you want to watch. BT Vision will be available first to all new and existing BT Broadband customers.
The set-top boxes for use with the service will be provided by Philips, and will be powered by Microsoft software.
The Internet is changing the way we watch TV!
[via the Register]