Adding COOL to our Video Services in the world of Over-the-Top April, 2011

Adding COOL to our Video Services in the world of Over-the-Top

April, 2011April, 2011

http://www.bcapa.com/?PHPSESSID=9cfe5d0da8f0ebe5f717ee34f180bfd2

• We all know the viewing habits and consumption of We all know the viewing habits and consumption of entertainment & information is changing quickly for the young, entertainment & information is changing quickly for the young, middle-age, and even some older consumers.middle-age, and even some older consumers.• Faster Broadband as an enablerFaster Broadband as an enabler• The quality of video streaming over the InternetThe quality of video streaming over the Internet• Open standards are driving rapid developmentOpen standards are driving rapid development• Over-the-top video (OTT) providersOver-the-top video (OTT) providers

• Content providersContent providers• IPTV hardware connecting OTT content to televisionsIPTV hardware connecting OTT content to televisions

• Content is KingContent is King• Broadband is now more than ever a NEED-TO-HAVE serviceBroadband is now more than ever a NEED-TO-HAVE service• The i-Pad is a game changer….The Daily from News Corp. The i-Pad is a game changer….The Daily from News Corp.

Content-on-DemandContent-on-Demand

• The Three Screens The Three Screens • TV EverywhereTV Everywhere

• Any content, on Any screen, AnywhereAny content, on Any screen, Anywhere• Authentication to access certain contentAuthentication to access certain content• Multi-Video Service Provider without owning a network Multi-Video Service Provider without owning a network infrastructureinfrastructure• If Content is King then Advertising is the QueenIf Content is King then Advertising is the Queen• Content CreatorsContent Creators• Content Aggregators Content Aggregators • Content Distributers Content Distributers • Customer purchase decision – Both-And NOT Either-OrCustomer purchase decision – Both-And NOT Either-Or


• Streaming multimedia over unmanaged networks like the Streaming multimedia over unmanaged networks like the InternetInternet• Adaptive Rate Encoding – HTTP Live Streaming (HLS)Adaptive Rate Encoding – HTTP Live Streaming (HLS)• Benefits of HTTP for streaming videoBenefits of HTTP for streaming video• Video-on-Demand transition to Content-on-DemandVideo-on-Demand transition to Content-on-Demand• Akamai and Google Cache Akamai and Google Cache • Pushing content closer to the consumerPushing content closer to the consumer


• Opportunities for cable operators in the IPTV streaming Opportunities for cable operators in the IPTV streaming business.business.• Cable Operators App for iPhone, iPad, Droid, or PC. Cable Operators App for iPhone, iPad, Droid, or PC. • Streaming to i-Pad and SmartPhonesStreaming to i-Pad and SmartPhones• Quick entry options for TV EverywhereQuick entry options for TV Everywhere• Small Capital Investment before revenue stream becomes Small Capital Investment before revenue stream becomes clearerclearer• Transition to in-house back office systems as revenue streams Transition to in-house back office systems as revenue streams are provenare proven

The Opportunities for Cable Operators The Opportunities for Cable Operators

• Legacy Motorola Conditional Access Platform and IPTVLegacy Motorola Conditional Access Platform and IPTV• Old proprietary Set-Top platform limitations to next generator Old proprietary Set-Top platform limitations to next generator of IPTV deliveryof IPTV delivery• Application development Application development • Arcadia testingArcadia testing• How we squeeze more out of legacy Set-Tops How we squeeze more out of legacy Set-Tops (more on EBIF in a bit)(more on EBIF in a bit)

• The IP SIMULCAST HOME GATEWAYThe IP SIMULCAST HOME GATEWAY• Standards work underway at CableLabsStandards work underway at CableLabs• Ethernet distribution within the homeEthernet distribution within the home• New Program GuideNew Program Guide• What SIMULCAST meansWhat SIMULCAST means

The Opportunities for Cable OperatorsThe Opportunities for Cable OperatorsThe need for a new CPE The need for a new CPE

• Next Generation delivery of MPEG video over DOCSISNext Generation delivery of MPEG video over DOCSIS• IP streaming from Headend to IP Simulcast GatewayIP streaming from Headend to IP Simulcast Gateway• Headend requirementsHeadend requirements• Next Generation CMTS bypass architectureNext Generation CMTS bypass architecture• The IP Simulcast Gateway functionalityThe IP Simulcast Gateway functionality

• DOCSIS 3.0 Cable Modem for ZoomDOCSIS 3.0 Cable Modem for Zoom• e-MTA for Armstrong Telephonee-MTA for Armstrong Telephone• IP Gateway for Zoom ShareIP Gateway for Zoom Share• Receive legacy video QAMs using CableCard for decryptionReceive legacy video QAMs using CableCard for decryption• Receive next generation of DOCSIS QAMsReceive next generation of DOCSIS QAMs• Whole Home DVRWhole Home DVR• Security system, camera, and home automation interfacesSecurity system, camera, and home automation interfaces

The Opportunities for Cable OperatorsThe Opportunities for Cable OperatorsA new way to delivery IPTV over existing HFC/FTTH NetworksA new way to delivery IPTV over existing HFC/FTTH Networks

• IP Simulcast Gateway will enable a new era of revenue-IP Simulcast Gateway will enable a new era of revenue-generating services.generating services.• Targeted advertizing and search revenueTargeted advertizing and search revenue• Video commercials, banner ads, and other forms of highly Video commercials, banner ads, and other forms of highly targeted advertizingtargeted advertizing• Ad Insertion at the homeAd Insertion at the home• Switched Mutlicast and requesting streams…learning viewing Switched Mutlicast and requesting streams…learning viewing habits for marketinghabits for marketing• Vendors in this spaceVendors in this space• CableLabs standards developmentCableLabs standards development


• Whole-Home DVRWhole-Home DVR• Internet Widgets Internet Widgets • Even with legacy Set-Top box limitations, they can’t be ignored Even with legacy Set-Top box limitations, they can’t be ignored since we have multi-millions of dollars invested in themsince we have multi-millions of dollars invested in them• Embedded Binary Information Format (EBIF) Embedded Binary Information Format (EBIF) • The Remote User InterfaceThe Remote User Interface• i-Pad could go down in history as a tipping point for video i-Pad could go down in history as a tipping point for video viewingviewing• EBIF applications for existing Set-TopsEBIF applications for existing Set-Tops• Existing Set-Top box limitations (DCT 2000s)Existing Set-Top box limitations (DCT 2000s)

Life Still left in Legacy Set-Top boxesLife Still left in Legacy Set-Top boxes

Remote User Interface on an i-Pad for Legacy Set-Tops and Home GatewayRemote User Interface on an i-Pad for Legacy Set-Tops and Home Gateway

Enhanced Enhanced Program Program

InformationInformation

Examples of the Remote User Interface on an i-PadExamples of the Remote User Interface on an i-Pad

Watch a movie trailerWatch a movie trailer Read Interesting TriviaRead Interesting TriviaQuickly Access the Internet Movie Database SiteQuickly Access the Internet Movie Database Site

http://www.imdb.com/interfaceshttp://www.imdb.com/interfaces

iPad To IP Remote Web ServeriPad To IP Remote Web Server Simple API over Web Services interfaceSimple API over Web Services interface Fetch Catalog (get guide information)Fetch Catalog (get guide information) Select ChannelSelect Channel Channel UpChannel Up Channel DownChannel Down Get Device Status (get current channel, etc.)Get Device Status (get current channel, etc.) Device Status NotificationDevice Status Notification Channel Change NotificationChannel Change Notification

Examples of the EBIF Applications available for Legacy Set-TopsExamples of the EBIF Applications available for Legacy Set-Tops

• Personalized applications that offer compelling and diverse content to your subscribers.

• Eleven news categories, local weather and weather from any zip code in the US, a personal stock portfolio and business news and much more…

• Personalized Stock Portfolio allowing users to track any stock from any North American exchange. Business headlines and major indices updated throughout the day.

• For Operators:Sticky application with default settings for local companies.

• For Media Sales:Affluent, self selecting audience is perfect target for finance and stock trading companies.

• For Programming:Highly competitive business news category. Opportunity to cross platform with established portfolios and brands.

• Usage Profile:Low Impact, good repeat usage among portfolio owners.

• Personal stock portfolio with any stock from any US exchange.


• Seeding mechanism for new ad inventory of thousands of categories, new advertiser base (8,000 in San Juan, PR), and context for valuable VOD verticals.

• For Operators:Positions the operator as the source of local search on TV.

• For Media Sales: Migration of hundreds of new advertisers to the platform. Up sell of VOD product yr 2.Wealth of features: click to call, RFI, Buy Button, telescoping, etc.

• For Programming:Non-traditional partnership with print or online publishers migrate their advertising base for share of revenue.

• Usage Profile:Low impact. 85% of those who use YP buy a product.

• A new advertising ecosystem for the cable industry.


• Search, bid, be alerted when auction or watch list changes, regardless of what you’re watching on TV.

• For Operators:Widget that allows MSO to partner with company having world wide name brand recognition.

• For Media Sales:Targeted advertising opportunity to place ad in front of consumer shopping for such a product. Opportunity for VOD telescoping to products or merchants.

• For Programming:Potential product placement connections.

• Usage Profile:Low impact. Consistent use of alerts.

• Search, bid, buy. Synchronized ebay accounts across all platforms.


• Real-time player level data with personalized rosters, games, teams, leader boards, stat lines for Football , Baseball, and Basketball Tracker are set with local or regional teams as defaults.

• For Operators:The stickiest application for avid sports fans. Competitive offerings already in market.

• For Media Sales:Ownership of fantasy sports trackers is a unique opportunity and valuable position. Consumer product companies, fantasy sports companies, auto, beverage, etc.

• For Programming:Obvious partner opportunities for unbound and bound applications. Some already in marketplace.

• Usage profile:High usage, up to 45% of market, using up to 19 minutes per session.

• Fantasy sports trackers for football, baseball and basketball.


• Create team widgets for advanced coverage of local teams, including high school, college and professional teams.

• For Operators:More local than anything satellite can deliver.

• For Media Sales:Opportunity for sponsors to tie themselves to local and national sports loyalties.

• For Programming:Unique opportunities at a local level to take advantage of community loyalty.

• Usage Profile:Consistent and high. Greater usage with localization, particularly local universities.

• Custom widget for high school, college and pro sports teams.


• Customers can review bills, make payments and add instant upgrades to their accounts.

• Available Q1, 2011, with instant upgrade available Q3, 2011.

• A suite of customer services allowing subscribers to review, pay bill and upgrade service


• Bandwidth Reclamation Bandwidth Reclamation mustmust occur firstoccur first• This means reducing the number of linear video QAMs or analog television channels This means reducing the number of linear video QAMs or analog television channels inserted at the Headendinserted at the Headend• There are three primary methods of Bandwidth Reclamation on an HFC network.There are three primary methods of Bandwidth Reclamation on an HFC network.

Switched Digital Video Switched Digital Video Digital Transport Adaptors (DTAs to allow turning off analog)Digital Transport Adaptors (DTAs to allow turning off analog)Amplifier upgrade to 1GHz that would add 250MHz (in 750MHz systems) or Amplifier upgrade to 1GHz that would add 250MHz (in 750MHz systems) or 130MHz (in 860MHz systems)130MHz (in 860MHz systems)

• Switched Digital is the least capital intensiveSwitched Digital is the least capital intensive• Switched Digital Video (SDV) makes lesser-viewed content available to an Switched Digital Video (SDV) makes lesser-viewed content available to an EdgeQAM to be added to a downstream only transmitted into a Set-Top Service Group EdgeQAM to be added to a downstream only transmitted into a Set-Top Service Group when at least one tuner is set to that channel. when at least one tuner is set to that channel. • SDV has been deployed for several years, especially by Time Warner Cable. SDV has been deployed for several years, especially by Time Warner Cable. Experience shows that while SDV required eight to twelve QAMs, it saves another Experience shows that while SDV required eight to twelve QAMs, it saves another eight to twelve QAMs. These QAMs would be used for next-generation DOCSIS.eight to twelve QAMs. These QAMs would be used for next-generation DOCSIS.


• While DOCSIS 3.0 is no longer a new technology with its widespread deployment, higher Broadband speeds While DOCSIS 3.0 is no longer a new technology with its widespread deployment, higher Broadband speeds have help contribute, but not entirely, to a HUGE growth in consumption. In this form consumption can be have help contribute, but not entirely, to a HUGE growth in consumption. In this form consumption can be though of more frequency to constant use of the Internet. though of more frequency to constant use of the Internet. • A larger Broadband pipe to the home and elsewhere in the network is allowing simultaneous applications to A larger Broadband pipe to the home and elsewhere in the network is allowing simultaneous applications to be run with excellent performance. This means you can surf the Web, download music, upload pictures, send be run with excellent performance. This means you can surf the Web, download music, upload pictures, send huge emails, and WATCH TELEVISION all at the same time. huge emails, and WATCH TELEVISION all at the same time.

Broadband Internet AccessBroadband Internet Access

Consumption HighlightsConsumption HighlightsAverage individual consumption has grown about 400% since the beginning of 2004 Average individual consumption has grown about 400% since the beginning of 2004

(range varies from 250% to 525% across operators)(range varies from 250% to 525% across operators)Depends on system: Demographics, operations management and network management Depends on system: Demographics, operations management and network management

are all factorsare all factorsComposition analysis indicates big shift to real time entertainmentComposition analysis indicates big shift to real time entertainmentMajor shift in individual symmetry to more downstream-centric behavior observed in all Major shift in individual symmetry to more downstream-centric behavior observed in all

North American marketsNorth American marketsBig shift to real-time entertainmentBig shift to real-time entertainment

Broadband Internet Access UpdateBroadband Internet Access Update

Downstream ConsumptionDownstream Consumption

Total ConsumptionTotal Consumption


Monthly Consumption RatesMonthly Consumption Rates

Upstream ConsumptionUpstream Consumption


Broadband Traffic Composition TrendsBroadband Traffic Composition Trends Traffic ClassTraffic Class U Upstreampstream DownstreamDownstream

Real-time Entertainment 16.3%Real-time Entertainment 16.3% 45.7%45.7%

Web Surfing 11.0%Web Surfing 11.0% 24.3%24.3%

P2P File SharingP2P File Sharing 53.3% 53.3% 13.2%13.2%

Real-time CommunicationsReal-time Communications 5.5% 5.5% Not AvailableNot Available

Social NetworkingSocial Networking Not Available Not Available 2.4% 2.4%

GamingGaming Not Available Not Available 2.4% 2.4%

Average taken across North American Cable, DSL, and FTTH operatorsAverage taken across North American Cable, DSL, and FTTH operatorsReal-time entertainment clearly dominates the downstream on North American Real-time entertainment clearly dominates the downstream on North American Broadband Networks.Broadband Networks.During peak 21% of all downstream traffic is NetflixDuring peak 21% of all downstream traffic is NetflixP2P is still the major upstream traffic componentP2P is still the major upstream traffic component

North American Downstream Traffic ProfileNorth American Downstream Traffic Profile


Top 10 Applications at Peak TimesTop 10 Applications at Peak Times

RankRank Upstream Application %of TrafficUpstream Application %of Traffic Downstream ApplicationDownstream Application % of Traffic% of Traffic

11 BitTorrentBitTorrent 34.31 34.31 HTTP HTTP 22.722.7

22 HTTPHTTP 12.36 12.36 Netflix Netflix 20.61 20.61

33 GnutellaGnutella 11.18 11.18 YouTube YouTube 9.85 9.85

44 NetflixNetflix 4.34 4.34 BitTorrent BitTorrent 8.39 8.39

55 SkypeSkype 3.28 3.28 Flash Video Flash Video 6.14 6.14

66 SSLSSL 2.99 2.99 RTMP RTMP 6.13 6.13

77 YouTubeYouTube 2.47 2.47 iTunes iTunes 2.58 2.58

88 MGCPMGCP 2.46 2.46 Facebook Facebook 2.44 2.44

99 PPStreamPPStream 2.41 2.41 Gnutella Gnutella 2.12 2.12

1010 FacebookFacebook 2.28 2.28 Xbox Live Xbox Live 1.61 1.61

TotalTotal 78.08 78.08 Total Total 82.57 82.57


How Netflix Can Affect ConsumptionHow Netflix Can Affect Consumption

Assume an average download rate range of 1 Mbps (Netflix SD) to Assume an average download rate range of 1 Mbps (Netflix SD) to 4 Mbps (Netflix HD)4 Mbps (Netflix HD) Downstream usage of 100 hours in a month creates a load of 45 GB/mo toDownstream usage of 100 hours in a month creates a load of 45 GB/mo to 180 GB/mo180 GB/mo Assuming an application symmetry of 45:1, this implies an upstream load of Assuming an application symmetry of 45:1, this implies an upstream load of 1 GB/mo to 4 GB/mo1 GB/mo to 4 GB/mo Total incremental consumption contribution of 46 GB/mo to 184 GB/moTotal incremental consumption contribution of 46 GB/mo to 184 GB/mo


• There appears to be a transformation by consumers with watching televisionThere appears to be a transformation by consumers with watching television• Tipping Point doesn’t appear to have occurred yetTipping Point doesn’t appear to have occurred yet• Watching television on multiple screens is happening because of the ease Watching television on multiple screens is happening because of the ease and convenience. Viewing content on a HD Television continues to be choice. and convenience. Viewing content on a HD Television continues to be choice. • Over-the-Top video to the television is now simple to install and navigateOver-the-Top video to the television is now simple to install and navigate• TV Everywhere for viewing Anytime, Anywhere, on any Screen fits into our TV Everywhere for viewing Anytime, Anywhere, on any Screen fits into our portfolio quite nicelyportfolio quite nicely• Forward-thinking MSOs like can make the transition to a solution coming Forward-thinking MSOs like can make the transition to a solution coming into focus. The end-game is still being defined.into focus. The end-game is still being defined.• Video delivery will make the transition to IP over HFC/DOCSIS NetworksVideo delivery will make the transition to IP over HFC/DOCSIS Networks• Next Generation of CPE platform will enable new revenue streams through Next Generation of CPE platform will enable new revenue streams through advanced advertising and new in-home services such as security, monitoring, advanced advertising and new in-home services such as security, monitoring, and home automationand home automation• Legacy installed base of Set-Top box investment secure for many Legacy installed base of Set-Top box investment secure for many applications using EBIF and Remote User Interface on I-Pads, Tablets, and applications using EBIF and Remote User Interface on I-Pads, Tablets, and SmartPhonesSmartPhones

Conclusions & Critical ThinkingConclusions & Critical Thinking

Documents

Adding COOL to our Video Services in the world of Over-the-Top April, 2011