As European cable operators tentatively begin to roll out next generation platforms, Graham Pomphrey, Digital TV Europe (@DTVEGraham) assesses the chosen strategies and considers the challenges being faced.
Although we are at an early stage, the maturing of some western pay TV markets, and the potential for saturation within them, has seen some operators look to advance their already popular services. The strategy is to either upsell additional services like huge VOD libraries, connected TV functionality and associated broadband connection, or to attract often scarce new subscribers. Virgin Media and Ono are already doing the former with TiVo technology, Zon Multimédia is using NDS-based middleware for its Iris platform while Liberty Global’s Horizon is set to launch in the Netherlands in the third quarter, to be followed by Switzerland, Germany, and Ireland later this year.
Liberty Global’s CEO Mike Fries has said Horizon will have a transformative effect on the company by enabling the cable giant to satisfy consumer demand to be able to draw content from the web to the TV, and to receive their ‘cable’ experience across multiple screens. “It will set our customer’s expectations and the quality of the consumer experience at a whole new level,” Fries told DTVE at the Cable Congress event earlier this year.
There is no doubt that Liberty Global has a strong market position, with a customer base of around 18.4 million and existing relationships with content partners. The biggest challenge is how to market the service. With around 10 million subscribers taking analogue services and operations in various emerging markets, Liberty Global, will need to market the service carefully. Fries has already said that Horizon will be “not that expensive”.
While Horizon has been on the metaphorical horizon for some time – reports first emerged about the platform as far back as 2010 – cable operators Virgin Media and Ono have already launched services that merge traditional TV with web services. Partnering with US middleware-and-DVR specialist TiVo, both operators have been able to pioneer advanced services in their respective countries.
Virgin Media’s TiVo platform allows users to pause and rewind TV, offers advanced search and recommendation, provides access to catch-up services from the UK’s public broadcasters, including iPlayer, and offers access to web apps from Twitter, eBay, Facebook and Spotify amongst others.