New Media. Challenges and Opportunities for a Public Service Broadcaster. Juha Vesaoja YLE
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1 New Media Challenges and Opportunities for a Public Service Broadcaster Juha Vesaoja YLE
2 Agenda YLE in Short YLE Service Portfolio (Digital television) Change of paradigm for broadcasters New m arket situation or is it? Mobile TV IPTV Challenges Conclusions
3 YLE Finnish Broadcasting Com pany News, ex periences, education and entert ainm ent for all citizens - since as early as analogue and 5 digital television channels 13 radio channels or services 25 regional radio services, 8 regional TV news teletex t internet, m obile services and suppl.digital television services
4 YLE YLE - The Finnish Broadcasting Company is a m edia company engaged in public full service televis and radio broadcasting. YLE s task is to offer wide- ranging television and radio programm ing and various supplementary services on equal term s to all Finns, regardless of place of residence or means. The emphasis in YLE programming is on Finnish content independence trustworthiness diversity quality
5 Share of daily viewing (%) 24 - YLE total 45.2%
6 Share of daily listening (%) 24 - YLE total 5%
7 Digital Television Transmissions in Finland Network operator Digita, DVB- MHP- transm. MUX A MUX B MUX C for public service YLE TV1 YLE TV2 YLE24 YLE Teem a YLE FST 6 radio channels MHPservices MTV3 Sports Ch. SubTV Canal+ 4 channels * Nelonen MTV3+ ***** Nelonen Plus Data/ MHPservices The Voice ** Regional *** 3 radio channels**** Data/ MHPservices Digita s transm ission network A fourth multiplex will be used for mobile purposes. Pilot project VTT Technical Research Center of Finland is network operator of two regional trial networks. Pay- tv, network coverage at * least 7% and thus not must carry channels (operating licence held by C More Entertainment (former Canal+ Finland), as of Feb 25 owned by SBS Broadcasting. *** Over Turku and Kuopio. **** 2 owned by SBS Broadcasting ***** Partly pay- tv Estradi for short- term broadcasts using leftover capacity. Sex TV.fi max 4 hours/ week (Coverage 21:72%= > A&B: 94% June 24, 99,9% Sept 25) EU and Media Unit/ MS, MÖ Septem ber 25 7
8 YLE s DVB services Five TV services YLE TV1 m ostly parallel to analogue service YLE TV2 m ostly parallel to analogue service YLE FST in Swedish YLE Teem a culture, learning, scientific YLE24 news channel
9 YLE s DVB services Four radio services YLE Peili YLE Aino YLE Classic YLE Vega+ National DVB MHP services EPG Digital Teletx t com m on applicat ion, own content YLE` s DVB MHP services independent or integrated to TV or Radio content
10 YLE Digital TV Services, Mbit/ s Video Mbit/ s TV- audio 1.7 Mbit/ s Subtitles.5 Mbit/ s Radio.7 Mbit/ s Analog teletext.2 5 Mbit/ s SI.2 5 Mbit/ s Launcher, EPG & STXT 1 Mbit/ s STXT data 1 Mbit/ s MHP 4. Mbit/ s Parliament.8 Mbit/ s HEADROOM ~ 1 Mbit/ s NE- spelet.4 5 Mbit/ s Newsticker.4 Mbit/ s Teema memory game.3 5 Mbit/ s
11 YLE Digital Teletex t One application, variety of content The sam e MHP application for every broadcaster Can create different content, user- interface and look&feel. DVB MHP- com patible content form at Navigation by page num bers, hyperlinks and m enus
12 Developm ent of Digital TV in Finland Most of digit al TV households receive their signal via t he t errest rial net work
13 Change of paradigm for broadcasters Rapid growth of digital technology and m ultichannel content delivery is changing the way broadcaster m eets the end user Change of paradigm for broadcasters from audience- centered program m ing to usercentered content delivery is happening today
14 YLE Content Ex perience Portfolio Internet Pl at f Radio s or Pl at f or m s YLE CONTENT f at Pl Net works for Dist ribution m Net works for distribut ion or Digital TV f at Pl or m s Net works for Dist ribut ion m s Networks for Dist ribut ion Mobile
15 Meet the custom er everywhere The custom er is leaning forward leaning backwards on the m ove Today broadcaster m eets the custom er in various locations whenever they want to
16 New m arket situation or is it? Market of devices is global but the m arket of content is m ainly local Local player catches the custom er abroad with local content Mobile users are willing to pay of content which still is not the case in internet But the pricing m odels of m obile content are absolutely unclear for custom ers today
17 Who owns the Customer? What is the first thing that a custom er sees when the phone is opened: Manufacturer? Operator? Agregator? Broadcaster?
18 How customer catches the broadcaster? Strong branding of content; program m es and channels to m eet the custom ers needs Strong co- operation is needed between players; telcos, m edia houses and m anufacturers on usability challenge Usability is as m uch m ore im portant than the content itself Where is the button or the application to click? Is it easy to buy and download the content to go?
19 Radio and TV Value Chain Yesterday Production Packaging Distribution Receiving Production Companies YLE Digita MTV3 Manufacturers Cable and Satellite Operators Nelonen
20 Radio and TV Value Chain Today Production Packaging Technical Packaging Production Companies Distribution Using Cont ent Dist ribution Network Providers Digita and others Internet Access Providers YLE and others ISP:s IXP Mobile Operat ors Consumer Electronics (TV:s,Radio s, PC:s, Mobile Devices) IT Service Providers Media Servers
21 Cross Media and contex t sensitivity Mobile is strong opportunity to strenghten m edia brand with cross platform content Brand ex tension, brand loyalty We can boost interactivity with m ultiple devices Contex t- sensitive service m odel instead of just the sam e content in various distribution channels User- generated content from com m unities is a trend
22 YLE Cross Media Ex perience in Helsinki 25 YLE The official Host Broadcaster YLE IN FINLAND 75 hours for YLE TV1 and YLE TV2 in finnish and swedish 25 hours for digital only YLE24 TV channel 9 hours for YLE Radio channels in finnish and swedish Teletex t, Digital Teletex t, Internet, Mobile services E.g. 2 mobile videos for 2.5G and 3G DVB- H MOBILE TV PILOT PROJECT with partners
23 YLE s Current Mobile Services SMS and MMS news & sports WAP- portal wap.yle.fi Mobile portal m obiili Video & audio on- dem and in 2.5G and 3G Mobile TV- gam es Interactive TV- program s with m obile return channel
24 YLE s radio and tv broadcasts on m obile TV- sähkeuutiset TV- uutiset klo 2.3 Viittom akieliset uutiset Kulttuuriuutiset Alueelliset tv- uutiset YLE News Uutispäivä Uutisviikko Radiouutiset (uusim m at) YLEQ:n aam u- uutiset YLEQ:n iltapäiväuutiset Radiouutiset klo 6, 16, 17 A- studio A- talk Atlas A- plus Lauantaiseura Maailm annäyttäm öllä Radiolähetykset
25 From m obile tex t to m obile television Mobile TV and other broadband m obile networks (3G) m akes it possible for YLE to offer it s prim ary products, video and audio services to m obile user The developm ent from sim ple tex t m essages to true ex perience of m obile visual radio and television is what broadcaster has been waiting for years
26 Digital Mobile TV Mobility is increasing in our everyday lives and m obile m ultim edia consum ption continues to grow Consum ers will be able to receive broadcast content, like TV, on- the- go Pilot testing a com m ercial broadcast service to m obile devices Broadcast content delivered via DVB- H* network Interactivity and custom er inform ation via the cellular network
27 Mobile TV business enablers Consumer view Consumer acceptance Consumer patt erns Business Topics Business models Roles and revenue sharing Regulation Beauty contests or auctions Legislation in place: Radio & TV legislation Copyright legislat ion - Standardization OMA ESG and DRM Alternative standards Other Markets Common EU wide launch requested for credibility - Frequencies Sufficient frequencies available in time: - DAB frequencies HDTV and other usage possibilities Lähde Nokia Multimedia 25 Analog shutdown t im etable RRC
28 Preferred Spectrum for DVB- H Multi- radio system s are challenging to the term inal designers. Integrated DVB- H wideband antennas will have fairly low gain in Band III, which is not a practical band for hand held reception. UHF should be considered as the m ain DVB- H band. Technically and economically the optimum. 474 MHz (chwith 21) GSM 698 MHz Interoperability 9 (ch lim49). its the usable UHF- band to: Higher frequencies like L- Band could be considered technically, but the network cost will be significantly higher than in UHF preventing valid business cases. Any L- Band consideration should be based on com bining the 1.5 MHz blocks to a wider (6MHz) DVB- H block. Lähde Nokia Multim edia
29 Roles in the pilot business set- up BROADCASTING PLATFORM NETWORK & SERVICE OPERATOR SOLUTION/ TERMINAL PROVIDER CONSUMER INTERACTIVITY BILLING, IDENTIFICATION CONTENT SERVICE PROVIDER
30 Mobile TV usage (reach) on an average weekday Amount of persons April - June 23 : 22 : 21 : 2 : 19 : 18 : 17 : 16 : 15 : 14 : 13 : 12 : 11 : 1 : 9 : 8 : 7 : 6 : 5 : 4 : 3 : 2 : 1 : : Sam ple size between 255 and 351 during the whole period Sou r ce: Fi n n p an el Oy
31 Finland 2 4 : TV viewing during weekdays 1 + population: 4,6 million 5 % 45 % 4 % 35 % 3 % 25 % 24 2 % 15 % 22 % = 1.. million viewers 1 % 5% 2 : 3 : 4 : 5 : 6 : 7 : 8 : 9 : 1 : 11 : 12 : 13 : 14 : 15 : 16 : 17 : 18 : 19 : 2 : 21 : 22 : 23 : '24 : 1 : % Sou r ce: Fi n n p an el Oy
32 Key Findings in Mobile TV Consum er Pilot Survey Mobile TV is clearly an interesting new service: m ore than a half of the pilot participants believe it to have future potential. 41% of pilot participants are potential buyers for future Mobile TV services. Mobile TV has a role as a m obile entertainm ent, sports and news that can be watched spontaneously, anytim e and anywhere. Top 3 usage situations: when traveling public transportation, at hom e and at work. Fix ed m onthly fee is the best accepted pricing m odel pay per view content com plem ents the offering Sou r ce: Resear ch In t er n at i on al Fi n l an d
33 What does Mobile TV m ean for Broadcast er? Access to your favourite TV channel everywhere Main TV channels are the key drivers for mobile TV. TV boost the mobile content indust ry. New made for mobile content Contex t sensitive programme planning is the second wave of Mobile TV success. New prime times Today s TV off- prime time is the second prime time for Mobile TV. TV prime time meets radio prime time. New revenue streams Fix ed monthly fee and pay per view are the most suitable business models
34 IPTV Use of IP broadband network infrastructure to deliver TV services directly to TVs PCs a potential secondary target, but not a requirement traditional m odel: Dedicated STB attached to t he TV: the IPSTB Microsoft ex am ple: At its base: com puter technologies, not broadcast ones Networking (IP) Browsing Media playback Instant Messaging (tex t, voice, video), games
35 Revolution of User Generated Content Blogging, Moblogging, Audio Blogging, Video Blogging (Vlogging), Podcasting, RSS, Fake Blogs (Flogs) YLE: Farm i, Tuu juttuun, X- Stage, X3M- yhteisö, Ralliradio Bl og s w i l l ch ang e you r b u si n ess, Bu si ness Week May 25 Use of user generated content in TV and radio becom ing m ore im portant
36 Som e Challenges Digital Rights Managem ent Having TV- broadcast rights does not necessarily m ean having IP- delivery rights Media Form at Several different form ats available, can be ex pensive to support m any Middleware New APIs Platform (hardware & Software + Resources) Network Aspects (Local/ Ad Hoc and Wide Area networks) QOS Security Transportation Com m unications Full range of Wired & Wireless Technologies
37 Conclusions The change of digital consum er m edia space is not going to change the need for public service content PSB is even m ore im portant part of national m edia environm ent in digital world One- to- m any broadcasting is m oving to ubiquitous cross m edia content services incl. broadcasting We ll see m ore partnerships, clusters and winwin situations and variety of PSB business m odels The basic role of PSB is the sam e: A Best Value Media Brand and Content Provider for all citizens
38 Thank You!
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