At the most recent International Broadcasters Conference (IBC 2008) in Amsterdam, we talked and listened to an eclectic range of players across the content value chain. One of the key takeaways for us is that the technical building blocks, which will deliver the vision of convergence (cross-platform content delivery), are rapidly falling into place:
- Virgin Media, the UK cable operator, is seeking to decouple TV from the underlying cable network, by turning it into an application that will enable a more personalised experience across multiple platforms.
- Inuk Networks, the UK-based provider of IPTV services to students, is now wholesaling its virtual set-top box solution for PCs to operators, and is extending its closed PC-based IPTV service to the public Internet through a partnership with online video platform Move Networks.
- Harmonic, one of the key global vendors of video equipment, announced the launch of the ProStream 4000 multi-screen real-time transcoder, which enables the delivery of video content to multiple devices, such as TVs, mobile phones, PCs and portable media players (PMPs).
- Ascent Media, a key provider of services to the global content industry, remains optimistic about its prospects in spite of the economic downturn, because it enables content owners to monetise their assets across any platform.
- Harris Broadcast Communications, a vendor to the global broadcasting industry, sees ‘the explosion of [TV] channels on multiple platforms’ as one of the key growth drivers for its business.
Indeed, the content industry is eagerly embracing new platforms: NBC Universal’s recent online coverage of the Beijing Olympics attracted 50 million unique users who watched 72 million video streams between them.
Nevertheless, even though there has been a lot more co-operation between the broadcasters and telcos over the last couple of years or so, old attitudes still prevail in some circles. In a pre-recorded interview that was screened at the conference, an eminent personality from the UK broadcasting industry rather contemptuously referred to the networks delivering the content as mere ‘railway lines’, maintaining that ‘content remains the key to the castle’. Although we do fully appreciate the value of the content itself, it is worth remembering that content devoid of cross-platform delivery mechanisms could end up like precious crops rotting in the fields due to lack of transport.
It is not so much the technological issues that remain an obstacle to the vision of converged content delivery, as the psychological ones. We believe that now is the time for broadcasters and telcos to put aside various prejudices and misconceptions, where they still exist, and work together to create new ecosystems and business models in order to mutually benefit from the ability to deliver content anywhere, anytime, to any device. Ultimately everyone, including the consumer, will benefit.