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Welcome to IPTV Magazine!

Our mission is to identify and explain the technologies and applications that allow television services to be provided through Internet Protocol (IP) data networks.  Readers learn the options and the system to implement IPTV along with new features and applications and business opportunities that are available in the IPTV industry today.

          

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Other Opportunities for Content Licensing

By: Roger K. McGarrahan

Content owners are finding tough competition from new specialty, international, classic and user produced programming sources. At the same time, there are many new opportunities for content distribution.

With an overwhelming amount of content, potential customers need options to access the content they need. The reality is that video content, be it programs or linear networks, shares a lot of characteristics with actors in these productions; there are thousands of them, they vary tremendously, and only a very small percentage of them make it big. There is a lot of competition for a relatively small amount of 'work.', yet there are still thousands upon thousands competing for popularity. How do they all survive?

More Available Content

Since there is far more content than there is airtime to play it, competition between operators is fierce. The operators have an endless stream of producers wanting to pitch them content. The operators' dilemma is not where to get content, but rather which content is most likely to generate and retain viewers and/or advertising revenue. Nonetheless, there are a growing number of opportunities and places to license content.

Understanding The Diverse Set of Viewer Needs

Part of the answer is that people, being diverse, require a diverse set of content to meet their needs. They require programming reflecting a variety of languages, cultures, topics, styles, and genres. To fulfill these needs, there are a great number of content creators producing content to meet these varied tastes.Each one has its niche market and is valued by that niche market.

Affordable Content Transport

Opportunities exist beyond the obvious targets of major networks, cable operators and the emerging telco operators. With the advancement of compression technology and the increasing availability of broadband connectivity, content is becoming easier (and more affordable) to transport and business models are developing to take advantage of this evolution.

The problem of course is that there has to be enough support by way of revenue or subsidies to pay for the production of the content. Some are funded through donations (such as religious networks) and some are funded by governments (as is common with many foreign networks). Others rely on good old capitalism. For these content producers, life can be challenging.

Broadband IPTV

It is the fear of many cable executives that Broadband IPTV will be a significant threat to the traditional cable model; and this fear is well founded. The idea of each individual being able to select programming, be it files or a linear stream, and have it played on the laptop, desktop or television of their choosing, is an appealing scenario. There are many operators that presently offer this service and many more that are launching systems.

quality, and the use of proprietary systems, are being addressed. It is only a matter of time until these systems are able to deliver broadcast quality content with the viewing experience consumers expect. For the content owner, opportunities exist to deliver their content to viewers on aggregated services or independently. And many are generating respectable revenue.

Live Content Distribution

The increasing capability to deliver content over broadband applies to live events as well. Services now exists that enable producers (really anyone with a camera and a broadband connection) to deliver their content live to anyone they authorize to view it on a desktop, laptop or even a television with the aid of a set-top-box. These systems automatically evaluate bandwidth limitations both on the producer's side and the viewer's side to determine the optimal settings to generate the best viewable video quality. Additionally, the content can be stored at its highest quality for later retrieval and viewing at this optimum quality. One of the benefits of these services is that the producer only pays for the bandwidth actually being used to deliver the signal to its viewing audience. This makes it very economical and easy to deliver live or stored content. Enterprise customers use these services to train employees, to hold company meetings, and to otherwise distribute information. Other applications include the live broadcast of weddings, church services, sporting events, or other family celebrations. This is essentially the live version of Broadband IPTV.

Digital Signage

Just as content can be delivered over broadband to the public, it can be delivered over broadband to a specific/closed audience. An example of this application is digital signage, which is the display of advertisement video on a set of monitors (usually placed in business venues). Historically content used in such "point of presence" marketing projects was transported via satellite. With the improvements in compression technology and the increasing availability of broadband internet services, content can be delivered using the internet at a reduced cost and with more reliability. Early pioneers of digital signage systems learned that it is difficult to keep the attention of viewers if you do not offer them some entertainment value in addition to the marketing. Since no one wants to stare at commercials for extend periods, digital signage operators now license content to play on their systems to attract the viewers' attention and to entertain them (thereby making their advertising more effective). This type of licensing opportunity may not generate the level of revenue that a carriage agreement with an MSO would generate, but it can provide a nice supplemental source of revenue.

Mobile Content

A variant of Broadband IPTV is the delivery of content to handheld devices. Companies adopting DVB-H modulation standards or Qualcomm's MediaFlo technology (or perhaps the new mobile standard being developed by the ATSC) use an overlay broadcast system not unlike traditional terrestrial television. The difference is these systems have been designed specifically to work on handheld devices such as mobile phones and PDAs. Another option is to deliver content to mobile phones over the Internet. In this application the mobile device connects to the Internet and accesses a file that streams the content to the mobile device. Access to this content can either be free (such as with You Tube) or it can be based on a subscription service. There are application service providers that will provide all of the technology and services to allow the content owner to broadcast their content on a revenue share basis (i.e. no cost to the content owner). For content owners with the right content, revenue opportunities exist.

Hospitality Distribution

The transport and display of content on hospitality networks, such as those used in hotels, is another broadcasting option for competitive operators. The bulk of the content used by these systems is downlinked via satellite. In such systems the amount of content that can be included is limited. For now, satellite delivery is a cost effective method to transport such a large quantity of data. However, not all content is required in all locations. This niche programming can be economically delivered to hospitality systems via broadband. It can be delivered on a linear system or on a file basis and be available for viewing by hospitality customers at their leisure. Once again, a new class of potential customers is created for the content producer.

These are just some of the opportunities that are emerging. It is safe to say that there will be more, and more importantly, that they will continue to improve in quality and desirability. With each improvement, more and more opportunities will exist for content owners to license their content. The key is to find these opportunities and to match them to the content that best suits the opportunity. It is an arduous process, but it has its rewards.

Roger McGarrahan is the General Manager of
PathFinder World Video.
For more information contact 404-478-2082 or visit
www.Pathfinderdigital.net

 
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