CAUGHT RED HANDED Will conditional access win the piracy war?
WEB-WISE
An ITP Business Publication
OUT OF AFRICA The players behind the world’s largest 3D broadcast
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THE BUSINESS OF DIGITAL CONTENT DELIVERY
Hosam El Sokkari’s vision for Yahoo! Maktoob to be a digital one-stop-shop
Licensed by Dubai Media City
VOLUME 3 ISSUE 8 AUGUST 2010
IPTV, DVB hybrid partner ecosystem
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CONTENTS
6
NEWS Yahoo! and Rotana sign content deal, du waives fees after technical issues and OSN to go 3D.
12
OUT OF AFRICA Those involved in the largest 3D broadcast ever attempted the 2010 World Cup - talk about their contribution.
20
COVER STORY: AN OPEN APPROACH Hosam El Sokkari talks about his vision for Yahoo! Maktoob.
26
MAKING WAVES Radio industry execs seek to capitalise on the resurgence of the medium.
20
32
THE MOST COMPREHENSIVE FAMILY OF DIGITAL TV MONITORING, MEASUREMENT AND ANALYSIS PRODUCTS IN THE WORLD
CAUGHT RED HANDED Is conditional access the way to win the fight against piracy?
ALSO IN THIS ISSUE...
38
44
CENSORSHIP: ABRIDGE TOO FAR
IBC SHOWCASE
Overlapping broadcast mediums means shades of grey where regulation is concerned.
A look at new products and technologies to be unveilled in Amsterdam this year.
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AUGUST 2010 01
DPME.COM ROUND-UP
The online home of:
1
Apple and AT&T sued for negligence over iPhone 4
2
Abu Dhabi TV bags English Premier League rights
3
Blackberry services to be suspended: Etisalat
4
OSN confirms new HD channel line-up
5
Al Ahly Television goes to with Harris
DATE: July 28
MOST POPULAR STORIES
EDITOR’S CHOICE
SAUDI TELECOM LAUNCHES INTERACTIVE TV SERVICE clips, and record and retrieve programmes to watch them anytime for a complete week. It also provides Video on Demand (VOD) and a control panel which allows viewers to select the packages that meet their interests.
ALSO ON THE DPME SLATE THIS MONTH... ANALYSIS
PANASONIC’S 3D VIDEO CAMERAS
The world’s largest 3D camcorder, consisting of a digital camera and 3D conversion lens.
SPOT POLL INTERVIEWS
WHAT DO YOU THINK OF 3D?
UNIFIED CONTENT MANAGEMENT FUJAIRAH MEDIA: SET TO PEAK 41% Omneon’s Simon Eldridge, Fujairah Media CEO looks at creating an efficient unified content management system.
Mekki Abdulla discusses the firm’s diverse plans for the future.
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digitalproductionme.com/interviews
TECHNOLOGY
COMMENT
ANOTHER DIMENSION 3D technology now available to the MENA event industry through Dubai-based MediaPro.
digitalproductionme.com/technology 02 AUGUST 2010
23%
I think it rocks! It’s the future of cinema and TV
18%
Not all versions of 3D seem to be as good as one another
10%
I saw a few 3D films in the cinema and wasn’t impressed
4%
I shelled out on a HD TV and now they want me to buy a 3D one!
4%
It has a few niche applications, like sports and video games
A DIFFERENT KIND OF RUSH At one time people were happy to receive news that was time-lagged - but is that still the case?
digitalproductionme.com/comment
It’s a gimmick for kids’ films
DATE: July 28
Saudi Arabia’s telecoms firm, STC has launched the advanced interactive TV service for its AFAQ DSL Shamil customers. The new service, InVision, allows customers to watch live TV channels, pause a programme and replay it later, replay
IN PICTURES
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COMMENT
Registered at Dubai Media City PO Box 500024, Dubai, UAE Tel: 00 971 4 210 8000, Fax: 00 971 4 210 8080 Web: www.itp.com Offices in Dubai & London ITP BUSINESS PUBLISHING CEO Walid Akawi Managing Director Neil Davies Deputy Managing Director Matthew Southwell Editorial Director David Ingham VP Sales Wayne Lowery Commercial Director Fred Dubery EDITORIAL Senior Group Editor Robeel Haq Tel: +971 4 210 8597 email: robeel.haq@itp.com Editor John Parnell Tel: +971 4 210 8655 email: john.parnell@itp.com ADVERTISING Commercial Director Fred Dubery Tel: +971 4 210 8381 email: fred@itp.com Japan Advertising Representative Mikio Tsuchiya Tel: + 81 354 568230 email: ua9m-tcy@asahi-net.or.jp STUDIO Group Art Editor Daniel Prescott Art Editor Simon Cobon PHOTOGRAPHY Director of Photography Sevag Davidian Senior Photographers Efraim Evidor, Jovana Obradovic Staff Photographers Isidora Bojovic, George Dipin, Murrindie Frew, Lyubov Galushko, Shruti Jagdesh,Mosh Lafuente, Ruel Pableo, Rajesh Raghav PRODUCTION & DISTRIBUTION Group Production Manager Kyle Smith Deputy Production Manager Matthew Grant Production Coordinator Nelly Pereira Managing Picture Editor Patrick Littlejohn Image Editor Emmalyn Robles Distribution Manager Karima Ashwell Distribution Executive Nada Al Alami CIRCULATION Head of Circulation & Database Gaurav Gulati MARKETING Head of Marketing Daniel Fewtrell Marketing Manager Annie Chinoy ITP DIGITAL Director Peter Conmy ITP GROUP Chairman Andrew Neil Managing Director Robert Serafin Finance Director Toby Jay Spencer-Davies Board of Directors K.M. Jamieson, Mike Bayman, Walid Akawi, Neil Davies, Rob Corder, Mary Serafin
BRAND DESIGNS
O
ver the past few months, a number of major broadcasting brands have announced either new entries or upgrades in the Middle East. Most recently we have seen a significant increase in activity from Turner Broadcasting. Its Cartoon Network franchise has opened a production office in Abu Dhabi at the twofour54 precinct, it has signed a distribution agreement with local production house Lammtara for its popular Freej series and also revealed plans for an Arabic Cartoon Network channel. Turner’s CNN opened a major broadcasting hub in Abu Dhabi last year. Last month the group’s TNT entertainment channel was also tipped to make a regional bow. When added to the MTV Network International channels, the Fox stable and several European ventures, the region now has a great number of international brands either operating in the region or offering content tailored for it. But what is the overall consequence of this for local broadcasters and could channels tied to the major studios and networks in the US start to cling onto their local rights? Fox International Channels (FIC) may only operate its Fox Movies and Series channels at present but
if it actions in India and Asia are anything to go by we can expect to see more in the near future. FIC signed an exclusive multi-year rights deal for the FTA premieres of 20th Century Fox. A further increase in the number of international branded channels and subsequent in-house deals with associated content providers could make it difficult for incumbent FTA channels to access content. Local content could also suffer as confident, wellknown brands find their feet and their audience in the region. Perhaps however, their growing presence is simply a sign of maturity in the market. Overall the likes of Fox Series and MTV Arabia have risen the standards of FTA channels serving the Middle East, filling the bandwidth previously used to support the unsustainable weight of endless vanity broadcasters. Regardless of your own personal opinion, they’re here to stay.
JOHN PARNELL Editor john.parnell@itp.com
Circulation Customer Service Tel: +971 4 210 8000 Certain images in this issue are available for purchase. Please contact itpimages@itp.com for further details or visit www.itpimages.com. Printed by Color Lines Printing Press
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Published by and Copyright © 2010 ITP Business Publishing, a division of ITP Business Publishing Group Ltd. Registered in the B.V.I. under Company Registration number 1402846.
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TO SUBSCRIBE please visit www.itp.com/subscriptions AUGUST 2010 05
THE BRIEFING
GOOD MONTH MOTOROLA While Apple dealt with the fallout of ‘antenna-gate’, devicecompetitor Motorola announced that its Q2 profits jumped 600 percent. Its growing smartphone business shipped 2.7 million units during that period and is forcasting a total of 14 million unit sales for the year.
BAD MONTH BLACKBERRY The Telecommunications Regulatory Authority (TRA) announced that BlackBerry services in the country will be suspended from October 11, after the failure of repeated attempts to move the services in line with local regulations. “With no solution available and in the public interest, in order to affect resolution of this issue, BlackBerry Messenger, BlackBerry Email and BlackBerry Web-browsing services will be suspended until an acceptable solution can be developed and applied,” says TRA director general Mohamed Al Ghanim.
06 AUGUST 2010
EPL UPDATE
ADMC PLUGS EPL TV COVERAGE Distribution and marketing in full swing as company enters pay TV business Abu Dhabi Media Company has announced A second English channel, AD Sports 6, will that football fans from across the GCC can now bring viewers a mix of Barclays Premier League subscribe to its coverage of the English Premier action and coverage of other sports including League, adding that a website dedicated to would- Formula 1, UFL and tennis, all in HD. be customers had gone live. Mohammed Najeeb, director of AD Sports John Dykes, formerly a presenter with Channels, said: “The line-up of Barclays ESPN Star Sports, and Mark PouPremier League programming and the gatch, who has presented Match talent that we are bringing to the AD of the Day in the UK, were named Sports Channels are unlike anything as two of the faces of ADMC’s live seen before in this region. We are English-language offering – available raising the standard for both Ara24/7 on AD Sports 5 and 6. bic and English audiences, and Football fans can now subscribe offering more than just games to watch all 380 matches live – and analysis.” available with both English and He added: “We are proud Arabic commentary. to be able to name such In addition, AD Sports’ a prestigious line-up of f lagship English channel, talent for our shows. AD Sports 5, will offer If the football was not 24/7 coverage of Preenough to keep people mier League TV, the watching, then the Mohammed Najeeb, official channel of the talent alone certainly director, AD Sports Channels Premier League. will be.”
ADMC MULLING RADIO COVERAGE FOR EPL The Abu Dhabi Media Company (ADMC) has said it is still considering whether to pursue the Middle East radio broadcasting rights for the English Premier League (EPL), according to the head of the organisation’s radio network. The company has secured the exclusive TV and online broadcasting rights for the next three seasons of the competition. However, it is still undecided as to the commercial value of EPL radio broadcasts. “We are still doing the business plan and conducting the feasibility study of having the EPL on the radio,” Abdulrahman Awadh, director of Abu Dhabi Radio Network told Digital Broadcast .
“ADMC is looking at it commercially, given the choice of having the EPL on radio but with no sponsorship or without the right revenues, it wouldn’t do it. Abu Dhabi radio covers a number of sports including the UAE football league. According to Ipsos, during the last six months when the UAE league was broadcast, there was a big jump – around a factor of three – in the reach of Abu Dhabi radio. That shows that sport has a place here in the market,” revealed Awadh. The EPL radio rights are currently unattached in the Middle East and North Africa however, international radio coverage is geo-blocked and unavailable in the region. www.digitalproductionme.com
THE BRIEFING
BROADCAST BUSINESS
FEW STAFF TO GO AS OSN CLOSES BAHRAIN OFFICE New positions offered to staff within operator’s parent companies in the Middle East OSN will close its Bahrain office within the next six months, according to a report by a local paper. “All service facilities will go on as usual and none of our highly-regarded customers will face any problems,” an anonymous official was quoted as saying by the Gulf Daily News. When contacted by Digital Broadcast, OSN revealed that widespread job losses are not expected. “The majority of the staff in the Bahrain headquarters will be offered positions not only in Dubai but also throughout the OSN network of offices throughout the region,” says a spokesperson. “OSN will
Marc-Antoine d’Halluin, CEO, OSN.
also work with KIPCO and MAWARID [owners of the company] to provide more job opportunities across their respective business networks.” The two companies declared that both the Dubai and Bahrain facilities would remain open following the merger. Speaking at the time of the merger OSN CEO Marc-Antoine d’Halluin said: “It has been a delicate exercise to negotiate this merger. It will take us at least a year-and-ahalf to properly integrate our platforms. The goal is to integrate from a content and technology perspective. Staff lay-offs have not been discussed as yet.”
QUOTE OF THE MONTH
Dubai is a perfect radio market. It’s a perfect storm for radio and the medium is currently getting a far lower share of the advertising budget than it should. STEVE SMITH COO, ARN
Khalid balkheyour, CEO and president, Arabsat.
WOHLER TECHNOLOGIES OPENS EMEA SERVICE CENTRE IN FRANCE
BAHRAIN GOVERNMENT DISSOLVES MOCI
ARABSAT CUTS ETHIOPIAN CHANNEL AFTER DISRUPTIONS
Wohler Technologies says the new service centre, serving customers in the EMEA territory, will act as the first line of second- and third tier support. “This new service centre gives our customers an added degree of confidence,” said Carl J. Dempsey, president and CEO, Wohler.
The Bahrain government announced plans to establish a new media authority in the place of the Ministry of Culture and Information (MOCI). The existing MOCI will be renamed the Ministry of Culture. Broadcasting and other media will be served by the newly established Information Affairs Authority (IAA).
Satellite operator Arabsat suspended the Ethiopian Television (ETV) channel after it was alleged of repeatedly interfering with Arabsat signals broadcasting Ethiopian Satellite TV. A third jamming attempt at the end of July prompted the operator to take action and shut down transmission of ETV.
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AUGUST 2010 07
THE BRIEFING
BROADCAST BUSINESS
Du’s Samacom Teleport facility.
YAHOO! AND ROTANA SIGN CONTENT DEAL Partnership will extend Rotana online reach by around 35 million
UAE telco du announced it would waive the US$20 charge for unlimited video on demand (UVoD) by way of compensation for the blackout of services experienced last month. Technical difficulties at du resulted in the loss of a significant section of the company’s television channels on July 12, which the company acknowledged with an SMS apology sent to all subscribers. Du then sent SMS messages to customers offering the new UVoD service for free until the end of September, an extension of the original introductory free offer. The SMS, said: “We trust that your du TV service is now fully restored. In view of the inconvenience caused, we are waiving the monthly charge of $20 for UVoD and extending the service to all du TV customers from now until September 30.” The UVoD service, which expands on the company’s existing VoD initiative, gives customers unlimited access to movies, TV series, dramas, documentaries, music, lifestyle, kids shows and religious programming. 08 AUGUST 2010
BROADCAST BRIEFS
DU WAIVES VIDEO CONTENT FEE AFTER TV BLACKOUT
Rotana and Yahoo! Middle East have announced an online content partnership that will see a range of Rotana content including movies, live events, TV channels and radio offered on the Yahoo! platform. The announcement is the first major local content deal announced by Yahoo! Middle East since its merger with Maktoob to form the Yahoo! Maktoob venture. “Th is is an exciting and important development for Yahoo! Middle East as we continue to strengthen and support Arabic content on the internet, and introduce more innovative and
90%
locally relevant content and products for our consumers in a highly engaging platform,” said Ahmed Nassef, VP and managing director, Yahoo! Middle East. Yahoo! Maktoob claims to have a monthly reach of 30-35 million, making it one of the largest Arabic language online platforms worldwide. “As the region’s largest entertainment company for Arabic content, we are always looking to sustain a healthy growth in our audience numbers,” stated Yousef Yousef Mugharbil, president Mugharbil, president of of digital media, Rotana digital media, Rotana.
The proportion of TV shows (excluding news and live sports) that were made available online in the US during the 2009/2010 broadcast season. SOURCE: www.clicker.com
MOVERS & SHAKERS QUANTEL APPOINTS MIDDLE EAST SALES DIRECTOR Thomas Birner, Quantel director of sales for Central Europe, has been appointed to cover the Middle East. In his new role, Birner is responsible for building Quantel’s market presence throughout the Middle East alongside his existing responsibility for Central Europe. “The Middle East is a thriving, dynamic and highly innovative market with many exacting broadcast requirements – speed to air, efficiency, multi-channel content distribution and the move to HD broadcasting,” explained Birner.
FRONT PORCH ADDS TO EMEA WORKFORCE Front Porch Digital expanded its staff with the addition of two regional sales managers for EMEA. Noelle Prat-Vong (pictured) and Nicole Jacquemin are assigned to expand the installation base for the company’s SAMMA products for migration of video content into digital format. “The addition of these positions to our sales team is absolutely necessary so that we sustain our strategic successes within the EMEA video migration market,” said Rino Petricola, Front Porch Digital’s senior vice president and managing director.
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THE BRIEFING
Pay TV operator OSN will begin offering 3D content this summer, the company has announced. Video on demand (VOD) content will be pushed to the company’s new set top boxes, which are currently being rolled out to customers. “OSN will bring 3D to the market this summer,” said Marc-Antoine d’Halluin, CEO, OSN. “3D movies will be sent to the new Showbox – branded Showbox HD – for users with 3D-enabled TV sets.” Speaking at a conference hosted by The National newspaper, d’Halluin said that activities like this are intrinsically linked to the future success of the company. “The current generation are used to getting content online for free from many different sources. The challenge facing the pay TV industry is finding a way to get them to spend money on television,” he claimed. “The answer is a combination of having the right technology and the right content. Technology wise, it is important to offer the best – HD is a given, 3D is also important. If operators can bring value to the customer, then they will be happier to consider paying for it.”
010 AUGUST 2010
BROADCAST BRIEFS
OSN TO LAUNCH 3D THIS SUMMER
TURNER COULD LAUNCH TNT ARABIC: EXEC
ADMC TO RESTORE, DIGITISE VIDEO ARCHIVE Abu Dhabi Media Company (ADMC) is restoring and digitising a unique video archive, including the Sheikh Zayed Archive and more than 30,000 pieces of fi lm and video of unseen footage that records the foundation and development of Abu Dhabi. The company has appointed broadcast services company DMA Media to preserve the archive, much of it recorded before the formation of the UAE, for future generations, it confirmed in a statement. Some of the footage has degraded to a dangerous level and could be lost forever without urgent intervention now, said DMA Media’s CEO Rob Beynon.
Turner Broadcasting, the US network behind CNN, has said it plans to launch an Arabic-language version of its entertainment channel TNT for broadcast across the Middle East. The news came just one week after the Time Warner-owned unit said it is to transmit a freeto-air Arabic edition of its popular Cartoon Network, in a bid to bolster its presence in the Middle East. “In terms of launching another channel, I think it’s likely,” Chris Groves, senior vice president of business affairs and managing director for the Middle East, Turner Broadcasting, told Digital Broadcast’s sister publication Arabian Business.
SATCOMMS MARKET NILESAT 201 PREPARES FOR LAUNCH The first of Egyptian satellite operator Nilesat’s new generation of satellites will be launched on August 4, according to Arianespace. The launch services provider confirmed that the satellite would be one of two payloads on board the Ariane 5 rocket for its next mission. The hardware arrived in French Guiana on a chartered cargo plane and has been moved by road to the launch site. Nilesat will operate direct-to-home TV and high-speed data services from the craft at its orbital position of seven degrees West. It has an anticipated operational lifetime of 15 years.
YAHSAT SIGNS PARTNERSHIP WITH INDUSTRY VETERANS CapRock Communications will provide Abu Dhabi-based satellite firm Yahsat with customised voice, video and data services, the companies have announced. The deal has been signed with Yahsat’s subsidiary Star Satellite Communications and will see CapRock provide the design, equipment and installation of a private custom satellite service throughout the Middle East, built on its CommandAccess network. “By leveraging the CommandAccess network, Yahsat’s customers will benefit from field proven capabilities that are specifically designed to meet extreme environmental conditions,” said David Myers, EVP and general manager, CapRock Government Solutions.
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VOX POP
OUT OF AFRICA Broadcast technology firms deployed on the ground at this summer’s World Cup in South Africa discuss their role in the event, the largest 3D TV broadcast operation ever attempted.
012 AUGUST 2010
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VOX POP
LEADING THE TRANSITION MARK GRINYER head of professional services, Sony UK
Around 25 of the 2010 FIFA World Cup South Africa matches were produced using Sony’s 3D professional cameras,
which provided coverage of the action unprecedented in depth, vividness and excitement to people around the world. From 2010, Sony will be incorporating 3D compatibility into a wide range of consumer products such as BRAVIA LCD TVs, Blu-ray Disc recorders and players, VAIO laptops and PlayStation3, to provide a multitude of ways in which 3D content – from 3D movies to stereoscopic 3D games – can be enjoyed in the home. Without doubt it was the largest live 3D TV audience. Eleven TV networks took the signal globally as well as more than 500 cinemas.
The transition to 3D is underway, and we intend to be leaders in every aspect. Our sponsorship of the FIFA World Cup allowed us to leverage our 3D technology and premier products with dazzling content to produce a unique and totally compelling viewing experience. 3D viewers around the world felt as though they were inside the stadiums in South Africa, watching the games in person. All the feedback we’ve had has been very positive. As with all new technologies the key to its success is the availability of content. As more and more 3D content comes available I’m sure 3D TV will take off .
GLOBAL NETWORK RICHARD LABERGE executive VP, CMO, SENSIO Technologies
200 seats per screen for 25 games across 475 SENSIO 3D technology, which screens, digital cinemas boasted, by far, the involved coding live images - enabled largest audience. At kickoff, the availability soccer fans all over the world to view of 3D TV technology still remained quite 25 FIFA World Cup matches live, in 3D and limited. SENSIO’s 3D Live Global Network, on the big screen. Over the 30 days of the however, gave fans a fast, easy, fun, and championship, more than 4,500 screenings of inexpensive way to experience the World the tournament’s most popular games took Cup in immersive 3D. Until the 3D TV market place in 33 countries. This milestone event, matures further, over another 12 or 18 months, coordinated in just two months, was made the cinema will remain the best place to watch possible by the continued growth of the SENpopular live 3D events. SIO 3D Live Global Network, which already Huge sporting events with enormous comprises more than 700 theatres. During the potential audiences are a significant driver World Cup, SENSIO facilitated FIFA’s access for investment and innovation. With the to the 3D Live network, working with partassurance of high ratings and corresponding ners across the globe to manage end-to-end ad revenues to support these development business and technical aspects required for efforts, media companies can test new successful delivery. technology – and even use it as a The World Cup audience was the marketing tool – during such largest 3D TV audience so far popular events. because it was also the first such 3D screenings of the I have no idea if it was a success broadcast. The largest audience World Cup’s most popular on the TV side of the business, to watch live and in 3D, howgames took place in but I know it was a hit on the ever, was the much larger group 33 countries. cinema side. Audience feedback inof viewers who gathered to watch dicated that live 3D screenings in cinin cinemas. With an average of
4500
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emas provided good image quality and a strong sense of being at the match. The interactivity and communal experience of watching matches added to fans’ excitement and involvement in the game. In any case, the World Cup created momentum behind 3D overall, encouraging content producers to learn more about how 3D is captured and delivered. As more live events are covered, complementing rising 3D studio production, the increased supply of 3D content will spur growth of the 3D TV market, as will greater, more affordable availability of 3D TV sets for the home. AUGUST 2010 013
VOX POP
SERVING BROADCASTERS ALAN HIRD CEO, Globecast South AfricaCEO, YahLive
Globecast provided a comprehensive array of services to rightsholders and non-rightsholders for worldwide distribution. For rightsholding broadcasters, Globecast provided dedicated HD and SD uplink and downlink paths as well as fibre links and associated compression from the international broadcast centre (IBC) in Johannesburg to their studios around the world. The company had as many as 19 systems (uplinks, downlinks and fibre systems) operating at the IBC. A studio and stand-up position with fibre links into the IBC was built and managed by us for one major European broadcaster.
Outside the IBC, we offered HD and SD Globecast had the responsibility for SNG trucks and flyaways, international delivering the 3D world feed, both interand domestic fibre links, studios, camera nationally and locally, and although there is crews and playout for both domestic and still some work to be done on the standards international delivery via satellite and fiof 3D to ensure the best possible quality is bre. For contribution of feeds we deployed delivered to the consumer, we were able to a fleet of 12 SD and HD SNG uplinks to experience first hand the excitement and stadiums, team hotels and training camps interest generated by the 3D pictures. in every corner of South Africa. If you count both rightsholders and nonGlobecast also sold more than 300Mhz of rights holders, Globecast served more than satellite capacity (equivalent to more than 40 broadcasters. It is difficult to estimate the eight transponders) on the IS709, W7, W3A audience but World Cup pictures delivered by and Measat satellites and more than 1300MB Globecast probably number over a billion. of fully redundant, networked SDH fibre conWhile a major event is not really the time to nectivity (equivalent to more than 6STM1s) be too innovative one could say that Germany over the six-week period. 2006 was when HD came of age and South In partnership with APTN we secured 10 Africa 2010 saw the emergence of 3D. Of live stand-up positions – including views of course, any innovations that were introduced the stadiums in Johannesburg, Cape Town, at the World Cup were extensively tested prior and Pretoria – for use by worldwide nonto the tournament. rightsholders throughout the tournaBy and large the coverage of the ment. A relatively new service was tournament was a success, par3D delivery. Globecast distribticularly when you consider that uted the 3D signals around the the World Cup came shortly MHz of satellite capacity, after a major recession with world as well as distributing sold by Globecast 3D pictures to cinemas within economies and the industry throughout the South Africa. still feeling the pain.
300 World Cup.
Globecast served over 40 rightsholders and non-rightsholders during the world cup and estimate that an audience of over a billion saw their pictures. 014 AUGUST 2010
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VOX POP
LARGE-SCALE RADIO MARC SCHNEIDER director rental projects, Riedel Communications
Riedel delivered the digital radio network infrastructure including the central switch, 14 base stations and more than 3,000 mobile radios (TETRA and conventional). In addition it provided 80 Riedel RiFaces, 700 Artist Intercom control panels, 2000 Riedel Artist digital matrix intercom ports, 300 Performer digital partyline beltpacks, 100 RockNet 300 modules, 20 MediorNet Frames, 40 venue based HD over Fiber links, 10 helicopter wireless video links with Riedel Conductor RF telemetry system for the helicopters Furthermore it made use of some new MediorNet software features at the World Cup. MediorNet was used to
transport 20 HD-SDI signals including the world feed between the technical operation centres (TOC) in the stadiums and HD OB trucks outside. Stability and redundancy is always an important factor when planning our installation. The World Cup or the Olympic Games are no exception. Large-scale events always demand for special solutions. Of course this also includes new innovations and technologies. Nevertheless the focus of the company’s work lies always on reliability and system stability. As far as I can judge from a German broadcast perspective, the event was a great success. The coverage was really
great; we had three major broadcast networks – including the two main public broadcasters – fully involved in this event.
HD THE DE FACTO STANDARD EBBY JOHN sales director, Nevion
Nevion’s role was to provide HD connectivity to the SuperSport studios in Johannesburg, South Africa. As South Africa’s satellite uplink service provider, Telemedia needed a solution that could address SuperSport’s need to transport content between its Teleport and SuperSport’s editing studios. All the Flashlink modules are designed with low power consumption in mind, and also designed to work without fans so they were well suited to the high South African www.digitalproductionme.com
temperatures and the likelihood of electrical the Olympics and the World Cup, interference, as they can withstand heat up to and this generally leads to an increase 55 degrees Celsius. in R&D investment as broadcasters make Flashlink enabled Telemedia to downlink sure their products fit the project. the HD feeds from satellite at their earth Broadcasters want solutions that station and then send the HD feeds, via will not only provide the video quality Flashlink equipment, over a fibre network to consumers want, but also deliver value SuperSport studios. by maximising content throughput while As a direct result of this project’s success, ensuring signal integrity, so providers are Telemedia has now made this a permanent always going to be looking to improve on installation and will partner with Nevion to their offering. expand their networks to support most South The TV coverage was very successful as African broadcasters with uncompressed evidenced by the massive global audience. video transport for distribution and primary For us, 3D is not an issue. Nevion is at the contribution links. forefront of video transport and our products With high definition becoming the de facto transport the content, whether it is 3D or not. standard for any high quality video, the The advent of 3D will surely change the demand for bandwidth to carry landscape even more as the techsuch video is rapidly increasing. nology dramatically increases Sports coverage requires high network requirements and quality video feeds with no bandwidth cost. Broadcasters The degree of heat, in Celsius, Nevion’s visible distortion. Maintainwill need to really embrace and Flashlink modules ing HD connectivity between be ready for the new challenges can withstand. studios and broadcasters is of 3D and other technologies as critical throughout key events like they start to play larger roles.
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ANALYSIS
ON A ROLL
Exclusive data developed for Digital Broadcast shows the growing popularity of pan-Arab TV as the advertising platform of choice in the Middle East, writes PARC analyst M Shaharyar Umar.
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he mushrooming growth of free-to-air (FTA) channels in the region coupled with the extended list of thematic TV stations is enriching the viewing experience for end consumers and helps television find favour as a platform with advertisers over other media vehicles. Whilst ad spend in the region for all major media doubled from 2005 till 2009 from US$5.5 billion to $11 billion, the proportion of that money dedicated to television surged in the same period from $2.2 billion to nearly $5.9 billion. This equates to 163 per cent growth. Even during the challenging year of 2009 it was television that was instrumental in keeping the total ad spend in the black. Total ad spend for major media vehicles grew from $10 billion to $11 billion during 2009, whereas television grew from $4.4 billion to $5.9 billion. The spend on pan-Arab media constitutes around 78 per cent of the total TV spend in the region as advertisers focused on reaching multiple markets rather than targeting specific areas through local channels. This figure has grown from 72 per cent in 2005. As a proportion of the advertising spend across all platforms, pan-Arab TV made a substantial gain as the recession struck. The percentage grew slowly between 2005 and 2008 from 30.5 to 33.4 per cent before jumping to 42.6 per cent in 2009. Television viewership in the region is significantly affected by major political events, world sports and scheduled occurrences like school holidays and Ramadan. The average time spent on TV even changes significantly during these events. Even when taking these out of consideration, the public are spending more time on TV than ever before. Earlier, during 2005, an average adult Arab consumer in Saudi Arabia used to spend around 250 minutes on TV - in 2009 it was close to 300 minutes. In markets like Egypt where TV penetration is very high, the trend is the same. Although the basic factors supporting televi-
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Although the basic factors supporting television as an effective way of communicating the message of an advertiser hold true in the MENA market, the ad spend per capita, or say ad spend on TV per viewer, in the region is much lower than in the west. M SHAHARYAR UMAR analyst, Pan Arab Research Center (PARC)
sion as an effective way of communicating the message of an advertiser hold true in the MENA market, the ad spend per capita, or say ad spend on TV per viewer, in the region is much lower than in the west. Most expect the presence of a people meter in the region to change the media landscape. The leading advertisers in the region, in the absence of a people meter, do seek externally audited data using Computer Aided Telephonic Interviewing, CATI of which – unfortunately for the industry – there are not many suppliers for important markets in the region. For most markets, the data is not externally audited, with the exception of in Saudi Arabia. A transparent measuring system will boost spending on television in all likelihood, but the ad spend per capita in the region on other media, namely daily newspaper, weekly and monthly magazines, is also lower compared to other developed nations demonstrating that the absence of a people meter is not the only obstacle to higher ad revenues for broadcasters. According to recent TGI survey conducted by PARC, in Saudi Arabia 32.7 per cent of the total adult population strongly agree that there are too many adverts on TV. After a slow start, internet usage has grown significantly since 2000. According to a TGI survey, the key markets in the region witnessed a doubledigit growth of internet penetration in 2009. Coupled with the increased use of the web and the desire for greater interaction, low cost social media is now a focus for marketers. Interestingly, according to TGI Net survey conducted in KSA, UAE and Kuwait 32.3 per cent of the total adult internet users in the region responded that that they watch or listen to TV while surfing online. Hence internet complements - and not competes - as with television viewing in the region at present. M Shaharyar Umar is an analyst at the Pan Arab Research Center (PARC). The views expressed in the article are those of the author, and not necessarily those of PARC.
www.digitalproductionme.com
ANALYSIS
6000
$2.2 billion $5.9 billion Pan Arab TV advertising spend in 2009
ALL MARKET TV MEDIA
5000
PAN ARAB TV MEDIA
TV SPEND IN US$ MILLIONS
Pan Arab TV advertising spend in 2005
4000 3000 2000
163%
1000
Growth in Pan Arab TV spend from 2005 to 2009
0
2005
2006
2007
2008
2009
ALL MARKET TV MEDIA AND PAN ARAB TV MEDIA 12,000
250
TV SPEND IN US$ MILLIONS
10,000
Minutes the average Saudi Arab adult watched TV in 2005
8000 TOTAL TV MEDIA SPEND
300
6000
42.6% 4000 2000
30.5%
32.6%
31.3%
33.4%
PERCENTAGE SPENT ON PAN ARAB TV MEDIA
Minutes the average Saudi Arab adult watched TV in 2009
32.7%
0 2005
2006
2007
2008
2009
Percantage of Saudi adults that agree that there are too many adverts on TV
PERCENTAGE OF PAN-ARAB TV SPEND VS TOTAL SPEND ON ALL MAJOR MEDIA
12,000
$10 billion $11 billion Total advertising spend for all media vehicles in 2009
32.2%
Percantage of Saudi, UAE and Kuwaiti adults that watch or listen to TV while surfing online
10,000 TV SPEND IN US$ MILLIONS
Total advertising spend for all media vehicles in 2005
8000 TOTAL TV MEDIA SPEND
6000
PAN ARAB TV MEDIA SPEND
4000 2000 0
2005
2006
2007
2008
2009
PAN ARAB SPEND VERSUS ALL TV SPEND www.digitalproductionme.com
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OPINION
NO NEWS IS GOOD NEWS The impending launch of two additional 24-hour news channels is unlike the spate of government backed stations seen in recent years.
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he addition of a great number of state-funded Arabic news channels from France, Russia, Iran and the US have made little impact on the established leaders in the field. Al Jazeera and Al Arabiya remain dominant in terms of audience, influence and resources. The raft of stations that emerged in the past three to five years have been launched with clear agendas, to promote their country’s own slant on the news. Viewers are well aware of this and generally choose one of “the big two”. Now though, this selection could become the “big four”. The announcement in April that Prince Alwaleed is to launch his own news channel caused a few ripples in the industry given the vast personal fortune that could potentially be made available to the venture. “It is something I will be doing personally [because it] needs a lot of investment up front,” said the Prince, speaking at the time of the announcement. The chairman of the Rotana group also said that the channel would not be part of the network’s stable but would be independent from the media group. He also stated that it would have the development of Saudi Arabia at its core casting some doubt on the impartiality that the station will possess. “We no longer have a void in the Arab world as it is now heavily occupied. Therefore the new news channel is going to become an addition and an alternative for viewers. Our personal aim is to achieve this,” said the Prince in a further statement last month. 018 AUGUST 2010
The Middle East is undergoing rapid economic and social development and is becoming an increasingly attractive region for media investment. JOHN RYLEY head of Sky News
After distancing Rotana from the project, it was speculated that the channel could perhaps be operated in conjunction with one of News Corporations many newscasting branches, given that the Prince is the largest shareholder in the company outside of the Murdoch clan. When it was revealed last month that Sky News was planning an Arabic channel, it appeared at first glance that the two projects were one and the same, given that News Corp owns 39 per cent of the UKbased channel. The Sky News scheme, however , is a 50/50 joint venture with an unnamed Abu Dhabi-based businessman. “The Middle East is undergoing rapid economic and social development and is becoming an increasingly attractive region for media investment,” said John Ryley, head of Sky News. “Discussions are progressing well and we look forward to bringing a new approach to Arabiclanguage news.” The region now faces the prospect of four competitive, well-financed, locally based, Arabic-language news stations. The consequences of this may be most keenly felt by the two existing market leaders. However, with Al Jazeera seemingly focused on the international distribution of its English-language service, it may be undeterred by the new entrants. Sky News has received plaudits in the UK for its accessible style and reputation for breaking news. Existing channels could be forced to raise their game.
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COVER STORY
AN OPEN APPROACH
Former BBC Arabic chief Hosam El Sokkari tells Digital Broadcast about his new role at Yahoo! Maktoob and reveals how the Middle East’s first internet giant plans to open up access to online content.
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he initial reaction to the news that Hosam El Sokkari was to leave his post as chief of BBC Arabic to join the Yahoo! Maktoob in April of this year was largely one of surprise. Afterall, BBC Arabic has been broadcasting in the Middle East since 1938. Its reputation in the media world is rivalled by few of its competitors. Yahoo! Maktoob on the other hand has been in existence for one year and when it comes to Arabic content on the internet, is entering uncharted territory. Despite the obvious disparities between El Sokkari’s current and former employers, he believes there are in fact many similarities in the two roles. “I spent a long time working for the BBC,” says El Sokkari, head of audience at Yahoo! Maktoob. “Making the switch from working for a public service broadcaster to the commercial sector is certainly a change, but it has given me an opportunity to look at the bigger picture of how content providers work within the Middle East and how Yahoo! Maktoob can add value for its audiences. That is not very different to what I did at the BBC.” El Sokkari’s tenure at BBC Arabic included several landmark achievements for the service. As the first Arab to hold the network’s top position he oversaw the re-launch of BBC Arabic TV services as well as the overhaul of its online offering and the unification and integration of its content across all media platforms. As an active proponent of social media platforms in the production of news, it is perhaps no surprise that his next career choice has seen him move exclusively into the digital realm. He is also confident that Yahoo! and Maktoob is well positioned to drive the internet to the next level in the Middle East. “It’s no coincidence that people used to call Maktoob the Yahoo! of the Middle East,” claims El Sokkari. “The two companies shared a similar vision and 020 AUGUST 2010
The level of openness is unique compared to the rest of the industry. We are not trying to monopolise these new digital environments. On the contrary we are working together with anyone and everyone to offer a richer [online] experience. HOSAM EL SOKKARI head of audience, Yahoo! Maktoob
an interest in a diverse experience for the audiences, be it through traditional information content like news and sports or through community platforms such as As7ab [friends in Arabic]. Yahoo! also brings with it products like mail and messenger. At the moment there is an ongoing process of consolidation for all of these parts of the business and there will be new experiences added in the future.” One of the key new features that to be rolled out immediately is a video platform. “The hope is to have the video platform live in time for Ramadan. There is already a deal in place with Rotana. This will allow the site to offer access to Rotana content on an on demand basis. Ramadan is a month of spiritual activities and also creates a strong interest from our audiences in entertainment.” El Sokkari also reveals that an agreement is in place with Lebanese broadcaster LBC and a number of other content owners are also in talks to make their content available on the new platform. “Talks are ongoing with a number of TV channels and content providers. This comes within the context of a bigger experience that is being built for our viewers, it not just about putting something together for Ramadan.” So what are the company’s plans for monetising this material? “The content will be offered free. It will be adsupported but not everything on the platform will have advertising around it. The main objective is to enhance the user experience. Not everything that is done for the audience has to be directly generating money,” says El Sokkari. Despite the absence of pressure to derive revenues from all of its content, El Sokkari says there are already sponsors and advertisers lined up to work with the company on both its video platform www.digitalproductionme.com
COVER STORY
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COVER STORY
El Sokkari says the company is now developing its mobile strategy with multi-platform content co-productions on the cards.
Making the switch from working for a public service broadcaster to the commercial sector is certainly a change, but it has given me an opportunity to look at the bigger picture of how content providers work within the Middle East and how Yahoo! Maktoob can add value for its audiences. That is not very different to what I did at the BBC. HOSAM EL SOKKARI head of audience, Yahoo! Maktoob 022 AUGUST 2010
and throughout the Ramadan content as a whole. of people don’t know that they even have a digital The common responses from broadcasters when offering for example,” explains El Sokkari. approached by third-parties to host online content, This open approach is something that Yahoo! has are ‘why do we need you’ and ‘why should we split employed internationally and it will not deviate our online revenues’. from this path in its partnership with Maktoob. Yahoo! Maktoob claims that its approach is more “The level of openness is unique compared altruistic than potential partners may assume. to the rest of the industry. We are not trying to “There are talks with different parties but it is monopolise these new digital environments. On the nothing exclusive. The goal is to develop an open contrary we are working together with anyone and platform, there is no requirement for exclusivity. I everyone to offer a richer [online] experience. have come across instances when I have been talkAs an example, El Sokkari notes that despite ing to partners that have been in doubt as to whether operating its own social media platforms, the group keeping their digital environments would be best or does not shut out its rivals. whether they should partner with us. I have to “Facebook offers users a very unique experireiterate that its not exclusive. Broadcastence and this is why if you go to Yahoo! front ers can keep their own platforms and pages you will see that we are integratYahoo! Maktoob will drive traffic to ing these into our own. People have those properties and raise awareness the ability to use Google mail and of their existence on the web through integrate it as part of their experience Yahoo! Maktoob’s reach our extensive reach in the region. with Yahoo!, for example.” throughout 22 countries in the MENA region. Both parties benefit and more imporThe technical infrastructure tantly, so will the audience.” required to operate the video platform The number of viewers currently is in place with much of the work being reached by the services offered by each is esticarried out internally. mated at between 30-35 million per month, making it “The technical expertise in Maktoob is unique,” one of the most important Arabic internet properties. claims El Sokkari. “The way the company has “The combined reach of Yahoo! and Maktoob grown in the region, acquiring the knowledge represents around 90 per cent of the Arabic speakbase, the people and the skills, has been extremely ing internet population. There are people using the unique. It created everything from scratch. It is Maktoob platforms and those using Yahoo! services no coincidence that many of the developers and such as email. What the company is proposing is technical staff that were working for Maktoob are beneficial to any partner that would like to give now working in IT developing other properties for more exposure to its content or would like to Yahoo! not just for Arabic. They are very good develraise the awareness of its audience via new online opers, designers and savvy engineers.” platforms. Some of the big players are very well Yahoo! Maktoob is now in the process of reestablished in the traditional environments but lots cruiting staff for its Arabic Audience team with a
91%
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COVER STORY
I think the market is changing and there is a lot of investment in different parts of the region to improve the infrastructure to allow for a richer broadband experience. HOSAM EL SOKKARI head of audience, Yahoo! Maktoob
between traditional and digital media is in my view managing editor and senior editors, producers and non-existent.” journalists for sports, news, business, entertainment As part of this approach the company is already and front page content being put in place. “They will not only be based in Dubai. There will be working on a strategy to exploit the mobile market a presence in other parts of the Middle East, there are and the penetration levels that the platform enjoys throughout the Middle East. already offices in other parts of the region. “There are already discussions with the telcos and “The Middle East is a culturally cohesive region the company enjoys a longstanding relationship with with shared interests in different types of news and a number of them. Yahoo! sometimes powers their other content. There will be a degree of localisation websites with products such as messanger as well as applied to certain markets. What we are planning to content,” says El Sokkari. do is to offer both experiences through an all-Middle Broadband penetration is critical to the level of East, Arabic experience across the region and then a success that Yahoo! Maktoob can enjoy given that targeting approach that would allow users to get the it limits the number of potential customers for rich local content that might be of interest to them based media applications. on their location. The site will be intelligent enough “I think the market is changing and there is a lot of to understand what they want, where they are and to investment in different parts of the region to improve provide them the news that would serve them best. the infrastructure to allow for a richer broadband The dual approach does not deny them the richness experience. There is already a lot if interest in video of the content available on the whole of the site.” consumption online in different parts of the region,” As well as acting as a content portal providing says El Sokkari. news, video, music alongside email and social media, Independence from platforms, technology and the El Sokkari also expects the company to become more complex issues of rights and licensing lies the main engaged from a content production angle. “There are talks already about live events coverage, focus, according to El Sokkari. “It’s about audience, audience, audience. The onewhereby a richer, more engaging experience can be way communication channel and the monopoly that developed. Yahoo! Maktoob would also look to cothe media has had on the tools of information is no produce and work with other production houses in longer there. There is a unique opportunity the region to create something that would to engage with people. Yahoo! Maktoob work on a number of platforms, similar is not doing this for the sake of making to some of the products that I have creplatforms or because it like the interated for the BBC in the past. It widens The amount paid by net. It is not really about the platform the reach and it gives people more of Yahoo! for the Arabic portal or the method of distribution, its about an integrated and cohesive feeling of Maktoob according to the what they consume and how.” media. The dichotomy that people see company’s SEC filings
$164m in the US.
El Sokkari says Yahoo! Maktoob will act as a content portal providing news, video, music alongside email and social media and has not ruled out playing a part in live-events. 024 AUGUST 2010
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RAI Amsterdam Conference 9-14 September : Exhibition 10-14 September
And the winner is... IBC’s awards are really special – because they reward the people and projects who make a difference in our industry. Creative, technical and commercial: IBC looks to recognise those who have changed the way we work with media. The IBC Awards are made up of four categories: • IBC Innovation Awards • IBC International Honour for Excellence • IBC Exhibition Design Awards • IBC Conference Award IBC’s highest award, the International Honour for Excellence will be presented, and the winners of the IBC Innovation Awards will be announced. The IBC awards ceremony is a fast moving, sparkling event which can be guaranteed to include some surprises – last year we enjoyed a unique 16 minute preview of the 3D movie Avatar, three months before its release.
Join us on the red carpet on Sunday 12 September for the awards which really matter in our industry. Previous winners include: The Metropolitan Opera –New York, ESPN, MENOS, ASBU, Jeffery Katzenberg – Dreamworks Animation, Walt Disney Pictures, NBC Universal, KLPD for Amber Alert
www.ibc.org IBC Fifth Floor International Press Centre 76 Shoe Lane London EC4A 3JB UK T. +44 (0) 20 7832 4100 F. +44 (0) 20 7832 4130 E. info@ibc.org
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RADIO
MAKING AVES While all eyes have been focused on the emergence of HD and rising ad revenues through the recession, radio has enjoyed its own successes through the downturn. Top regional radio executives tell Digital Broadcast what’s next for the medium.
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he Middle East has a very unique radio market. The region had satellite TV before it had FM radio stations. The BBC had an Arabic-language station running as far back as 1938 but it is only recently that the format has enjoyed a boom – one that has survived the recession. Today there are around 350 FM radio stations in the Arab world, according to the Arab Advisors Group. Half of these stations are privately-owned and many of these – as well as some of the state-owned channels – are operating on commercial terms. And for many of these, business is booming. “Dubai is a perfect radio market. It’s a perfect storm for radio and the medium is currently getting a far lower share of the advertising budget than it should,” says Steve Smith, COO, ARN. “At present it is only getting a three per cent share of the total advertising spend, that means there is still a lot of growth to be had in this industry. “Take Dubai as an example, it’s multicultural, that means it has many different target markets, radio stations can be specifically created to target that culture. The traffic here means, on average people are commuting for two hours a day, that’s a good chunk of time that radio has a monopoly on their attention, radio fares well there,” claims Smith. “Online listening is going through the roof in this region too. Demand is strong and if the quality is there, people will keep listening when they get to work and are increasingly listening at home via the internet. “ARN had a very good year in 2009 – radio fared well in general – and it has some good growth this year as well,” says Smith. “We’re up on last year and we’re happy with the progress. While the recession cut swathes out of mar-
026 AUGUST 2010
The terrestrial networks for FM and MW are still relied upon heavily at the moment but in the next ten years, radio will be predominantly internet based. There have been trials in Europe of technologies such as DRM and in the US there is HD radio and also subscription based satellite radio. ABDULRAHMAN AWADH AL HARTHI director, Abu Dhabi Radio Network
keting budgets, there were still budgets to be seized in what became a case of survival of the fittest. “Luckily for us we could foresee some of what was coming and we made a lot of changes before the recession really hit the Middle East. ARN put its focus where it was going to get the best return. Any recession will do that, it will refocus the company,” claims Smith. “So it was a great time for some people to step up and take on new responsibilities. “It enabled ARN to consolidate. It is now in a strong position. It’s gained share, from both an audience and an advertising point of view. There have been some fundamental changes, on our sales side in particular. The sales operation is very different to what it was two years ago.” The UAE is one of the most active radio markets in the region and the success is not limited to the stations under Smith’s helm at ARN. The Abu Dhabi Media Company’s (ADMC) radio network is also under a period of expansion, benefitting from what it also views as a very prosperous market for the medium. “Radio is very strong in this region. There are 230 million people listening to the radio regularly and already there are 78 million people listening to the radio through the internet,” says Abdulrahman Awadh Al Harthi, director of Abu Dhabi Radio Network. “The terrestrial networks for FM and MW are still relied upon heavily at the moment but in the next 10 years, radio will be predominantly internet based. There have been trials in Europe of technologies such as DRM and in the US there is HD radio and also subscription based satellite radio. There are high costs with the initial infrastructure for the networks and then the receivers for the listeners can also be too costly.” www.digitalproductionme.com
RADIO
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RADIO
TUNING-IN The average cost of ad spot on FM radio station in the Middle East has continued to climb in recent years. From a starting point of US$101 in 2006, the price rose to $125 in 2009, according to data from the Arab Advisors Group. Prices for commercial stations were typically found to be higher than those of government operated stations. Pan-Arab stations were able to command significantly higher fees than local ones. Unsurprisingly, the times of the day when the price peaks match those of rushhour traffic. “There are three peak timings throughout the day 0700-0800, 0800-0900 and 1900-2000 when advertising rates reach their highest levels,” said Issa Goussous, senior research analyst, Arab Advisors Group. “Most listeners in the region do so in their cars on the way to and from work.” 028 AUGUST 2010
Al Harthi explains that consumer habits are “Even though ARN is government owned – or already spelling out the future for radio. to be more accurate the government is a major “No one is buying dedicated radio sets anyshareholder – it is a commercial business. I have more, they are listening to the radio via their cars, only ever worked in a commercial business and this through their phones, computers and other interlooks very much like any commercial business I’ve net connected devices. Wireless internet access is worked in before,” he says. “ARN is all about gaining the future for radio,” adds Al Harthi. more share of advertising and that won’t change in In preparation for this transition the network is the near future as far as I am concerned. already leveraging ADMC’s significant digital divi“I think a lot of people – from a listener point sion to develop online homes for its radio brands. of view – probably don’t even realise ARN is “Star FM is already available on the internet government owned. Again, it comes back to and we are currently revamping the websites for the fact that – no matter who you are owned our five radio stations so soon each will have a site by – if you’re entertaining and you’re relevant capable of offering streaming too,” he says. to the listener then you’ve got a real future,” Al Harthi says that the network – like ARN – had says Smith. a good year in 2009 revealing that it exceeded its “I don’t view see public radio as a threat. There sales targets by between 10 to 15 per cent. is room for both and there is a need for public “It’s still early this year but we have continued to radio in every market.” meet our own targets and the performance is fine The TV advertising market has become severely even when concerned to last year,” says Al Harthi. fragmented with only a handful of channels cur“All the stations are doing well. Qu’ran Kareem rently profitable, is there a danger that a deluge of has the highest listenership across the UAE, radio channels could emerge. Emaraat FM has the highest listenership among “There can be as many community stations as you UAE nationals. Before the morning show on Abu like, if it’s not entertaining and if it is not of high-qualiDhabi Classic FM was even launched there was a ty, people won’t put up with it. The audience is used to sponsorship deal in place.” great content, great music. If it is great quality, it can Al Harthi believes the formula for success in rawork. But if it’s just a mish-mash of different formats dio broadcasting is fairly straightforward. and the like then if you haven’t done your “If the content is creative and innovative, homework you are going to miss the mark. then the ad revenue will be high.” “If everyone was given a license – and Both ADRN and ARN are in part I don’t think that will happen – it could Number of FM radio government owned, however, both are really hurt an industry, it gets far too stations broadcast in operated commercially and suggestions fragmented but I don’t think that will 18 Arab countries. otherwise are inaccurate says Smith. happen here in this market.”
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There are 230 million people listening to the radio regularly, with approximately 78 million people now listening to the radio through the internet. www.digitalproductionme.com
RADIO
ADRN and ARN – home of the Catboy and Geordiebird breakfast show – are in part government owned, but are operated on a commercial basis, according the Steven Smith, COO, ARN.
And this point brings Smith to the issue of industry regulation. “Codes of conduct are required in every market. In Dubai there is a good morality basis that all the stations adhere to, those codes of conduct are in place and adhered to. There is a responsibility on the media owners to ensure that they are befitting, or that whatever content they are providing is of a certain standard. From a radio perspective, all the competitors are producing some pretty good content that is not offending any particular social group and now that’s a good thing. “I’ve worked in markets before where that hasn’t been the case and it leads to some real issues. They have got it right here, there is a general consensus about where the line is when it comes to morality but there needs to be a code of conduct. An industry body would help of course. ARN has a responsibility as the largest radio network – in the absence of an industry body – to set the standards, and that helps the entire radio industry. The hope is that if ARN is doing things better, the whole radio industry will shift,” claims Smith. The radio market certainly still has room for growth in the Middle East in terms of the percentage of total ad spend that it claims and also in the number and variety of station broadcasting in the region. “I think there are a few opportunities in the market. The Hindi and English markets are well served but there are other opportunities in this market and there are some great opportunities going forward… but we’ll keep those pretty close to our chest. The amount we have invested in research means that we know the market pretty well, very well now and there are areas in this market that could very much be entertained from a new frequency,” says Smith. 030 AUGUST 2010
Online listening is going through the roof in this region too. Demand is strong and if the quality is there, people will keep listening when they get to work and are increasingly listening at home via the internet. STEVE SMITH COO, ARN
“Sport will be a very important component for Dubai as it grows. There are some major competitions to be hosted here in the future. There are a number of players in the region looking to host the Olympics and of course this is a football mad region. Sport will play a big role and could perform well across all media formats.” So does this mean that ARN would consider bidding for the radio rights to major sports competitions? “That would depend on cost,” says Smith. “Of course we would pay for the rights if and when we see it fits and the audience really want it. This is an area where I think we’ll see a whole lot of opportunities and it is definitely something that is one our agenda.” Meanwhile, ADMC has already acquired the exclusive TV broadcasting rights for the English Premier League, but does have any plans of adding radio coverage to its multiplatform broadcast plans? “We are still doing the business plan and feasibility study for having the EPL on the radio and we need to make our mind up about whether we take the EPL on air or not,” says Al Harthi, who also confi rms that the radio rights are not part of the package that it has already acquired and would require an additional investment. “We have been broadcasting the UAE Football League and according to Ipsos research done during the past six months, the reach of Abu Dhabi FM triples when the matches are on,” reveals Al Harthi. Whether or not radio networks can monetise bumper audiences induced by sports content remains to be seen. With the EPL TV services available online from next season, it is hard to say whether an FM-only audience could deliver sufficient numbers. This will be made even harder as so many EPL matches take place outside of the typical Middle East rush-hour commuting periods, when listenership peaks. www.digitalproductionme.com
CONDITIONAL ACCESS
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CONDITIONAL ACCESS
CAUGHT RED HANDED The fight against piracy has scored some significant wins in the past 12 months. Digital Broadcast speaks to some of the top conditional access vendors to assess just how long the pirates might remain sunk.
T
he evolution of the pay TV industry is having serious consequences for the companies providing the conditional access (CA) products that protect the content they have invested in from being accessed illegally. The emergence of a growing number of IPTV and hybrid architecture networks has created a market for software based CA systems, rather than the smartcard based hardware systems that have dominated previously. As well as the pressure created from the number of operators opting for software systems, hardware only manufacturers have also had to content with codeword sharing – a successful form of piracy that as until recently running rampant – as well as the technological challenges created form having to keep up with the new services that operators want to provide their viewers. “From a global perspective, I believe that the future of smartcard-based pay TV systems is fairly limited,” says Pierre Hunter, VP sales EMEA, Verimatrix. “The company has seen its customers replacing them in one of two ways: either with secure low cost system-on-chip security in set top boxes (STB) and increasingly with the deployment of hybrid network topologies. Smartcards will be favoured by traditional broadcast only operators in satellite environments. Ultimately, new deployments of this technology will be phased out.” Albert Tzulman, SVP, sales and marketing at CA provider Logiways, is less pessimistic. “Smartcard-based CA systems are still the best solution to secure content, especially on a one-way broadcast system,” he says. “Software-only CA can be efficient for a connected STB, but it is also easier for hackers to upgrade
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The pirates are winning, because piracy is still increasing. Even if hackers need more and more sophisticated infrastructure, they also have more and more customers. CA systems are regularly hacked and updates are immediately available on internet. ALBERT TZULMAN SVP, sales and marketing, Logiways
these boxes. There are now on the market some hardware solutions – such as USB dongles – to add security on top of software-based CA. The future solution is probably the new generation of software CA linked with IC security features.” At present as long as both one-way and two-way networks remain in wide use it is likely demand for both hard- and software systems will continue. “Both sides have their advantages and disadvantages and the industry needs to give operators the choice of what best fits their particular operation,” says Christopher Schouten, advanced products marketing director, Irdeto. In addition to its hardware solutions for one-way networks, Irdeto also claims to make the only software only system without a return path. “There have not been any software based solutions other than the one we launched last year that is sufficient to address the needs of a one-way broadcast networks and that because most of the software systems today have been predicated on the presence of an IP return path,” says Schouten. “In situations where that IP return path is available then a software solution is superior from a logistics perspective but in the millions and millions of legacy devices that are out there on one way networks smart cards will continue to play a crucial role in content protection now and for the foreseeable future.” Schouten also makes the point that the presence of a broadband network determines whether the option of using a return path based system is present, noting that this is an issue outside of the main urban centres in the Middle East. Latens has a different background to many of its contemporaries in the CA industry as it has always been a software-based developer since its inceptionn AUGUST 2010 033
CONDITIONAL ACCESS
TRA TAKES ACTION IN THE UAE The UAE became the first country to protect pay TV channels’ rights on the internet after the Telecommunications Regulatory Authority (TRA) took action to block keyword sharing. In collaboration with both the country’s telecoms providers, the TRA successfully blocked keyword sharing data transferred on its network. It is thought to be the first time that such an operation has succeeded anywhere in the world. “The UAE gives utmost importance to Intellectual Property to ensure the most advantageous economic environment through supporting owners of property rights. This step will protect consumers against this type of fraud and it will limit infringement of Intellectual Property Rights and violation of federal laws,” said H.E. Mohammed Al Ghanim, director general of the TRA. A warning was also issued that the unlawful use of telecom services can harm consumers and the national economy and it urges consumers to take caution while purchasing satellite receivers to ensure their legitimacy. 034 AUGUST 2010
in 2003. The company continues to be bullish on its prospects moving forward. “At the time of our launch, existing CA providers said [software based CA] was not safe and would not be accepted by the operators. Latens has seen all its competitors follow its example in respect to software security for IPTV,” says Andrew Pons, marketing manager, Latens. “Gradually more are following the example of using software only CA for one-way broadcasts. Therefore given that smartcard piracy is rampant in the Middle East it can only be a question of time before smartcards are no longer part of a CA solution.” As well as a technological advantage, Pons also says that the business model behind software based security also creates extra incentives for the system to withstand attacks from pirates. “There are three parties in the piracy war,” explains Pons, “the hackers, the operator and the CA supplier. If a smartcard system is hacked the hackers win because they are now able to distribute the CA keys around the world using the internet. The supplier of the smartcard CA also wins because the operator requires a new smartcard solution, which is good business for the supplier. “The operator on the other hand loses, first it has to make a loss on the subscribers that are now paying the hacker instead of the operator, and it has to pay the smartcard supplier to develop a new set of cards that are supposedly safer. This can take up to two years meaning it is constantly losing revenue,” he says. Using a software-based system means that a “virtual” card swap-out can be done almost instantly in
the event of a hack. The incentive to be hacked, thus triggering a new card and hardware deployment is therefore removed. Regardless of the system proposed, the operators and the vendors need to be able to beat the existing forms of piracy in order to make any kind of progress. But who is winning the battle at present? “The pirates are winning, because piracy is still increasing,” says Logiways’ Tzulman. “Even if hackers need more and more sophisticated infrastructure, they also have more and more customers. CA systems are regularly hacked and updates are immediately available on internet. There is no unhackable system. It’s all about time. As a CA vendor we sell time to our customers, time before effective piracy is developed and they lose revenue. Hackers are more and more organised; they are international crime organisations with worldwide connections. The sophisticated labs, required to hack some CA systems, cost more than $15 million. It is a very profitable business for them,” he notes. “Core security technology is developing rapidly but any CA vendor that claims their system is unhackable should probably feel distinctly uncomfortable,” says Verimatrix’s Hunter. “There is huge money behind piracy but companies like Verimatrix also help to enable the even larger revenue stream behind legitimate content consumption and are working diligently to stay at least one step ahead of the pirates.” Hunter’s Verimatrix colleague Steve Christian, the firm’s VP of marketing, agrees.
Pierre Hunter of Verimatrix says the future of smartcard controlled TV is limited, but Albert Tzulman from CA provider Logiways says it’s the most secure option. www.digitalproductionme.com
CONDITIONAL ACCESS
CLOSING THE LOOPHOLES Christine Maury-Panis, executive VP, general counsel, Viaccess and VP of the industry lobby, APOEC discusses some of the legal and legislative issues underpinning successful anti-piracy efforts. In recent times, loopholes in the legal definition of piracy, where the rules are only applicable to devices that are pirated as such, like fake cards and not devices becoming illegal once downloaded, have come to light. This has meant it has become increasingly difficult to track down and prosecute these boxes as downloading most of the time occurs at home, even if it is very clear to the community that these so called “free to air” boxes are widely bought because they are easy to install pirate firmware on. Europe has been widely believed to be ahead of the rest of the world, having developed the first valid approach to tackle the issue of piracy 10 years ago, thanks to legislation protecting all access control systems, thus standing separately to copyright legislation – the only legal recourse in many countries for prosecution. This was brought into effect in the European Directive issued in 1998 which covers both broadcasting (TV and radio) and interactive services using some form of CA system. This Directive was intended to be applicable in any of the 27 full member countries, however, sentences for offenders can still vary substantially between countries. Moreover, the law needs to be reviewed now in light of a number of necessary improvements, not least the need to be able to encompass within the definition of pirate material these devices that have two sorts of use. In addition to technological innovation and legal actions, there is a third frontier
036 AUGUST 2010
to tackle the issue of piracy that relates to removing or reducing the commercial incentive. Vendors of CA systems are required to develop and support new business models that allow operators to generate more revenue from new content and new ways in which is it is delivered to subscribers. Awareness about the subject of piracy has to be further shared at all levels, at courts, customs, police, governmental and institutional levels, and last but not least at consumer level. New innovative business models are needed to accompany this awareness and educate end-users. AEPOC is pushing international cooperation, which is vital to mounting a more effective defence against global TV piracy. The group is backing joint actions gathering all CA providers and pay TV operators in Europe and are present on the commissions where the directive is reviewed. Collaboration on an international level and solidarity between the members of an association is imperative in successfully tracking down and bringing to justice the highly developed subculture and value chain of suppliers, financers and distributors that is at the heart of pay TV piracy. Finding proof has always been the key stumbling block. To entrap the whole industrially organised worldwide network behind the hackers will require a concrete effort to reverse engineer the hackers’ methods. This is why it is necessary that all the anti-piracy associations worldwide join forces and share their investigations and experience.
“Content piracy is still big business. But it would be extremely unrealistic of anyone to make any claim about any security system being unhackable for all time. In general, we tend to describe the world of security as an arms race,” says Christian. “A small but important set of key security systems vendors are pitted against a wide range of amateur and professional forms of attack. The important thing in any such continuing fight is to try and stay at least one step ahead of the latest threats and to be proactive about changes to your strategy and implementations in order to reduce the impact of any security issues that do emerge.” Irdeto’s Schouten is far more optimistic about the industry’s progress against the pirates, particularly in the Middle East. “I definitely feel that we are wining the piracy war at this point, but not purely on the basis of technology,” he says. “There is a strong cooperation required between us and our customers and the local authorities in regions around the world. You can see through our cooperation with associations like Arabian Anti-piracy Alliance (AAA) in the Middle East and with local and regional regulatory authorities that we can win battles,” Schouten points to the recent example of the UAE Telecommunications Regulatory Authority blocking code word sharing internet traffic in the country (see left). “It’s a combination of technology, cooperation, legislation, regulation and enforcement. We would never assume that we permanently had the upper hand, we have to be vigilant. It is a game of cat and mouse. With the first generation of technology more than 15 years ago perhaps, the CA industry put it out in the field and started counting its money without realising that this was going to be of that nature. “The industry learned that lesson a long time ago and now it can never afford to sit back and assume that it has won,” concludes Schouten. With so many solutions available on the market testimonials and third-party testing can is critical. “For any commercially significant conditional access or content protection solution, the content owner’s acceptance and belief in your brand is crucial,” says Verimatrix’s Hunter. “Access to content is one axis of differentiation, and having a strong track record and a proactive engagement with content owners is important to gain their confidence and facilitate licensing agreements for their content. It is vital for operators to select a CA partner that has a good relationship with the major studios and broadcast content sources and that can support the specifics of the various revenue models that they intend to deploy.” www.digitalproductionme.com
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LEGAL
CENSORSHIP:
ABRIDGE TOO FAR
As the broadcast sector continues to overlap with the world worrld off telecommunications, the respective industries disparate regulatory frameworks collide, exposing the lack of uniformity and clarity for those delivering video content, writes Sonya Shaykhoun.
038 AUGUST 2010
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LEGAL
W
e are now in the throes of the Digital Age that began in the early 1970s and is characterised by abundant publication, consumption and manipulation of information, especially by computers and computer networks. Today, means of communication – the multi-functional mobile phone for example – have reached levels that were deemed science fiction in the 1950s and 1960s. The MENA region has not escaped the global Internet, Communications and Technology (ICT) revolution on all fronts. The rise of satellite television in the early 1990s shook the region, introducing foreign TV via pay satellite platforms. The ICT revolution sparked twenty-first century Arab private film production and numerous film festivals across the MENA region. Consequently, media zones have sprouted up in Dubai, Jordan, Syria and Egypt and the erstwhile government-dominated, regional telecommunications sectors have transformed into private entities and all manner of communications companies have taken root leading to a myriad of novel uses for ICT developments. Now, the ICT industry is booming in the MENA region and the satellite industry continues to flourish. For example, Arabsat’s net profits rose by 198 per cent from 2008 to US$91 million last year, it recently launched two new satellites and has plans to launch a sixth satellite in 2011, proving that there is still a great demand for satellite capacity. The abundance of satellite channels and the sweeping reach of the satellite footprint, as well as the appearance of digital television, the Internet, mobile television and IPTV, have all made content available to an unprecedented number of people in the region. Content is now also available through a diversity of non-traditional platforms in the MENA region. A recent Informa Telecoms & Media report forecast that by 2014, more than 70 per cent of MENA households will be equipped with cable, IPTV or satellite services with the latter dominating. Mobile phones are multifunctional and mobile TV is developing in the MENA region with telecommunications networks such as Zain and Viva providing content to subscribers. With liberalisation of the telecommunications sector came the need for regulation where previously, the autocratic nature of Arab governments obviated the need for regulation and/or censorship in the telecommunications and video production sectors. www.digitalproductionme.com
Arabsat’s net profits rose by 198 per cent from 2008 to US$91 million last year, it recently launched two new satellites and has plans to launch a sixth satellite in 2011, proving that there is still a great demand for satellite capacity. SONYA SHAYKHOUN attorney, Charles Russell LLP
Whilst the marriage of technology and media has radically improved communications, this convergence has turned the status quo upside down from a regulatory perspective. Despite the rapid pace of convergence of media with traditional telephony, convergence has outrun legislative developments leaving gaps in content regulation in the MENA region that need to be handled carefully to exploit the benefits of convergence while maintaining the regional cultural integrity. Content production in the MENA region has a long and rich history, even if sporadic in some countries. Film production began in Egypt in the late 1920s, mimicking Hollywood and European trends. The Arab film industry developed haphazardly – often upon gaining independence from colonial powers – as in the case of Tunisia, Morocco and Algeria. Other countries, like Lebanon, Syria, Palestine and Iraq can also claim to have contributed to the history of Arab film production. While Egypt and Lebanon are the long-established leaders of Arabic content, other countries, particularly oil-rich GCC countries such as the UAE and Qatar are diversifying their economies and celebrating their cultures by developing their respective film industries. Abu Dhabi and Dubai are now at the forefront and are investing heavily in developing content and the Emirati film industry. Abu Dhabi Media Company (ADMC) was founded in 2007. Imagenation Abu Dhabi, a subsidiary of ADMC, aims, among other things, to: invest $1 billion into feature films in the next five years; develop the Emirati film industry in its totality; and, hot-house Emirati content, talent, fi lmmakers and the quality of regionally-produced content (such as the acclaimed Bollywood film My Name is Khan). Along with ADMC, the Abu Dhabi Film Festival, established in 2007, Abu Dhabi’s media zone, twofour54, founded in 2008, and the Abu Dhabi Authority for Culture and Heritage (ADACH) concentrate on developing all aspects of the media industry. Likewise, Qatar’s fi lm industry boasts several monumental additions, such as the Doha Tribeca Film Festival, the Doha Film Institute and the Qatari media group, Al Noor that launched a $200 million ethically based fund that will invest in international fi lm projects. The recent increase in Arabic content offsets the import of (primarily Western) content, which is AUGUST 2010 039
LEGAL
Converged regulators are a rarity in the global communications industry despite the challenges convergence pose to regulators. In the MENA region, content regulation tends to be unsystematic, typically falling under the ambit of politicised government ministries and agencies rather than independent regulators. SONYA SHAYKHOUN attorney, Charles Russell LLP
040 AUGUST 2010
often culturally at odds with Arabic cultural and which gives the Ministry full control over the religious mores and poses an additional challenge blocking and unblocking of websites. The Teleto regulators as media and technology continue to communications Regulatory Authority assisted converge at lightening speed. in MOCI with this initiative. In May 2010, Bahrain With the development of convergence, the had a short-lived rift with Al Jazeera leading to question arises of who is responsible for content the MOCI shutting down Al Jazeera’s Bahrain regulation in the various countries of the region. bureau for breaching “media norms” and allegedly In the past, for example, broadcasting reguladisregarding Bahrain’s press and publishing rules tion dealt with issues of spectrum and national and regulations. The MOCI swiftly invited Al ownership. Converged regulators are a rarity in Jazeera to sign a memorandum of understanding the global communications industry despite the to define the two parties’ major areas of agreechallenges convergence pose to regulators. In ment, thus resolving the issue. Notwithstanding the MENA region, content regulation tends to be the MOCI’s recent efforts to regulate content, unsystematic, typically falling under the ambit of Bahrain is now planning to dissolve its Ministry politicised government ministries and agencies of Culture and Information, following the example rather than independent regulators, sometimes of Jordan, Qatar and the UAE, and to establish an rendering content regulation a political and ideoindependent broadcasting and media regulator, logical exercise. Pan-regional efforts have been the Information Affairs Authority (IAA). expended to establish a body to regulate satellite The Media Law (UAE Federal Law on Printed content under the non-binding Arab Satellite Matter and Publications 15/1980) requires a Broadcasting Charter, signed in early 2008, to licence to engage in most aspects for publishing, ensure that content complies with certain culture such as owning a printing press; printing materiand religion-specific ideals. als and periodicals; circulating, selling or In July 2008, Egyptian authorities distributing printed material (as well issued a controversial draft broadcast as advertising and promotional matelaw that would establish the National rial); working as a media corresponThe predicted amount of Audiovisual Broadcasting Reguladent; or, importing and distributing MENA households with tion Authority under the direction foreign books and printed material. cable, IPTV or satellite of the Egyptian government rather Censorship of print media (particuservice by 2014. than as an independent regulator (as larly foreign media) is a common occurrequired by international law). The draft rence in the UAE, to broadcast channels, law requires, among other things, perceived exces- it is only possible for privately owned broadcastsive restrictions on content and fails to establish ing channels/networks to obtain a broadcasting rules for regulating ownership and for ensuring licence in either of the media free zones in the UAE, competition in the broadcast sector and provides Dubai Media City and Abu Dhabi’s twofour54. The for harsh penalties (rather than sanctions and Media Zone Authority of Abu Dhabi requires conconditions) for those who breach the law. Further, tent broadcasters to obtain a licence per the Disalthough reports claim that there is no evidence of semination Licensing Regulations October 2008. Internet fi ltering in Egypt – except for a selection The regulations define content dissemination of politically sensitive websites that have previas “the broadcasting, transmission, publicaously been blocked – Egypt has been particularly tion, printing, communication or distribution intolerant of online bloggers and Facebook users to the public of any content…irrespective of the critical of the Egyptian government to an extent platform, technology or other means used for such that has lead to arrests, a reminder that Egypt is distribution (including audio, visual or audio-vistill under the emergency rule that began in 1981. sual media, any form of electronic media or print Content regulation is taken seriously in Bahpublication)”. In particular, the regulations set out rain, too. On 5 January 2009, the Bahraini Ministry clear guidelines on content dissemination, which of Culture and Information (MOCI), obviously a prohibit indecent, pornographic, excessively viogovernment body, issued Resolution No. 1 of 2009, lent programming or content that could “violate pursuant to the Telecommunications Law of Bahthe basic social, cultural and religious values comrain, to block and unblock websites. The resolumon to the UAE”. The UAE’s Telecommunications tion requires all ISPs to buy and install a website Regulatory Authority’s (TRA) Broadcasting Satelblocking software solution chosen by the Ministry, lite Services Licence Template defi nes “Broadcast-
70%
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LEGAL
The UAE’s TRA granted a ten-year mobile TV broadcasting licence to the Emirates Mobile Television Corporation, which is a consortium of government companies Etisalat, du, ADMC and Dubai Media Inc.
ing Code” as “the code on broadcasting standards issued by the competent authority in the State, as amended from time to time”. Although the UAE’s TRA granted the Emirates Mobile Television Corporation (a consortium of government companies Etisalat, du, ADMC and Dubai Media Inc.) a ten-year mobile TV broadcasting licence twinning media and communications, the TRA does not actually regulate content, which is the National Media Council (NMC)’s domain. The NMC is one of the Established Councils in the UAE Cabinet, which, according to the official website of the UAE Cabinet handles all media affairs and coordinates the media policy amongst member emirates amongst other things. Not all NMC Members hail from the broadcasting sector – it includes representatives from the Ministry of Labour, the Ministry of Culture, Youth and Community Development, the Ministry of Foreign Affairs and the General Authority for organisation of the telecommunications sector. Convergence is also a concern for ictQatar, Qatar’s communications regulator (as the “ICT” in its name indicates). Its self-proclaimed role includes protecting consumers and businesses as an independent regulator and integrating technology with the fabric of society. It also regulates “nonoperator issues” in the communications sector, including satellite media broadcast regulation. ictQatar advocates self-regulation by both broadcasters and viewers and, according to its website, Dr. Hessa Sultan Al Jaber, ictQatar’s Secretary General, expressed this view at a forum held in Doha on November 2 and 3, 2009. While encouraging government institutions to participate in satellite regulation, Dr. Hessa acknowledged “what is considered offensive or inappropriate is subjective, and since satellite crosses international boundaries, it would be nearly impossible 042 AUGUST 2010
Media zones have sprouted up in Dubai, Jordan, Syria and Egypt and the erstwhile governmentdominated, regional telecommunications sectors have transformed into private entities. SONYA SHAYKHOUN attorney, Charles Russell LLP
to regulate content.” Self regulation is Al Jazeera’s ethos, too; the ten-point Code of Ethics promotes such characteristics as neutrality, transparency, independence, diversity, journalistic values and the defence of freedom of the press. Not surprisingly, Iran and Iraq provide extreme examples of content regulation. Iran established a 12-member force to police the internet for crimes of insulting the Islamic system in November 2009; its team members come from the police and from other parts of Iran’s security network. Iraq’s new media rules issued in early 2010 by the Communications and Media Commission (CMC), whose directors are government appointees, empower the CMC to stop transmissions, shut offices, confiscate equipment, revoke licences and impose harsh penalties on TV stations for charges of incitement that are vaguely defined. The rules prohibit the transmission of statements by groups that promote terrorism (such as claiming responsibility for attacks). Approaches to content regulation around the globe vary. In Brazil, Canada and the Netherlands broadcasters are entrusted to regulate themselves whereas others, like Australia, South Africa, the UK and the US, are obliged by regulators to follow laws and regulations. Content regulation in the MENA region reflects the macro-picture: some countries regulate content very strictly with a politicised agenda; others are comparatively relaxed. Because of both the ICT developments that have facilitated convergence and the quickened pace of regional content creation, establishing a framework for content regulation in the individual countries of the region (if not on a pan-regional level) is crucial. What is clear is that transparency, consistency and, most importantly, independence as regards content regulation will become increasingly vital as the MENA region fulfi ls its aim to become an global ICT industry player. www.digitalproductionme.com
IBC PREVIEW
IBC SHOWCASE
Each year, IBC hosts over 1300 exhibitors, 1000 journalists and 45,000 attendees from around the world, making it a premier destination for the unveiling of new products and technologies within the electronic media and entertainment industry. So what can visitors expect in 2010?
OMNIBUS | Stand 8.D41 Omnibus will demonstrate the iTX Enterprise Suite at this years IBC exhibition. According to the manufacturer, the suite represents the fi rst time that broadcasters and media operators can use on single integrated system to unify and streamline ingest, media management, workflow organisation, schedule management, asset management, automation, master control and playout to TV, radio and the internet. 044 AUGUST 2010
The breadth of the product’s capabilities at both the production and delivery stages provides users with increased efficiency, scalability and speed of response, claims Omnibus. The suite incorporates ingest and media management including scheduled on-demand feed recording from satellite and live sources, unscheduled ad-hoc ingest, support for content file delivery services, clip preparation for all modes of ingest and comprehen-
sive automated tools for managing the movement of content through the infrastructure as required during the workflow process. Workflow management and job tracking tools provide broadcasters with high levels of data while asset management capabilities add rich business metadata to existing asset information. The suite also supports eight AES radio streams from each 1RU server. The system also supports a mixed frame rate environment
(PAL, NTSC, HD, 60, 25, 30, 24 and any future frame rate). It includes a sophisticated security model for service provider confidentiality between customers, and features the new OmniBus G4 customisable desktop environment for technical areas of the workflow, as well as the rich media SmartClient interface for Macs and PCs in a lightweight browser environment, for easy access from any web-enabled computer. www.digitalproductionme.com
IBC PREVIEW
ROSS VIDEO | Stand 10.A31 Ross Video will be demonstrating the world’s fi rst eight-MLE switcher at IBC. The Octane range offers eight MLEs, 35 full-screen HD animation stores, 24 channels of 3D DVE with warp capability, 96 inputs, 48 outputs, 32 full keyers, 12 keyers on the aux bus outputs and a further 12 DVE key combiners giving what the company calls an unprecedented total of 56 keyers.
At IBC, Vision adds an optional internal multiviewer to the Octane range. Th is multi-head multiviewer has access to all internal and external sources. Source labels with transparency, full program and preview tallies and user selectable source assignments make this an excellent and cost effective solution for production control rooms. The entire Vision Series ships with a new 3G infrastructure
as a standard feature, fulfi lling the promise of Vision being a cutting edge product continuously evolving with the marketplace. Stereoscopic 3D capabilities and comprehensive iMag MultiScreen support will also be shown.
their partners and vendors within a single production ecosystem, simplifying the sharing and managing of media assets. User can now manage all of the processes within the production environment –
from editing through post and distribution – through one interface. The new web-based interface, built on the Microsoft Silverlight technology, allows increased performance and greater security.
NETIA | Stand 1.A29 Content management system developer Netia will turn its attention to convergence at IBC 2010. The company claims its products to be at the heart of convergence offering efficient, flexible and effective technologies to empower multiplatform delivery, growing volumes of ondemand audio and video content and multiple content formats. A fully-upgraded suite of content management products will be on show that allow user to streamline all of their production processes globally thanks to simple easy to mange workflows and task management, claims Netia. The new software suite also allows users to connect all of www.digitalproductionme.com
SONNET TECHNOLOGIES Stand 7.G03 Storage specialist Sonnet Technologies will display several new technologies at IBC 2010. Among them is the Qio professional universal media reader/writer, designed for in-studio or on-location applications. Qio is a convenient, cost-effective alternative to standalone card readers, according to Sonnet. It features dual P2, SxS, and CompactFlash slots and can transfer data from two cards concurrently, allowing users to offload files more quickly and efficiently. An included adapter handles SDHC cards. Qio moves files between any cards, attached drives, or host computer with aggregate bandwidth up to 200 Mb/s. For quick migration of data, Qio integrates a four-port eSATA controller based on Sonnet’s Tempo SATA E4P card, enabling users to connect two Sonnet Fusion F2 portable storage systems, or up to four eSATA drive enclosures for access to as many as 20 SATA drives. Qio can also connect to a computer through an included interface adapter tha extends the computer’s PCIe bus outside the box. The reader/writer’s SxS slots also accept ExpressCard/34 adapter cards, including Gigabit Ethernet, WiFi, USB, and more, while the P2 slots accept CardBus adapters. Qio effectively sextuples the number of expansion card slots available to notebook users, while desktop users may swap adapter cards without opening their computer case. AUGUST 2010 045
IBC PREVIEW
HAIVISION Stand IP701 (Hall 9) IP network technology Haivision will give an IBC debut to the Furnace 5.6, a solution for end-to-end HD H.264 videoover-IP distribution. The upgrade includes a completely redesigned and easy-to-use interface as well as a newly integrated Conditional Access module. The new CA portal offers users a built-in authentication portal for a direct interface with customer LDAP/Active Directory database; the ability for customers to brand their CA portal; the ability to assign rights and privileges for live streams, playback channels, and VOD assets; as well as VF administrative tools such as recording, client control and so on, according to Haivision. The new portal also integrates with the Stingray set-top box. The solution continues to support the compact Makito HD H.264 encoder to manage and distribute live video to computers and set-top boxes, to create scheduled playback channels for enterprise TV and signage and to record content and deliver VOD in a secure, easy-to-use system. The Furnace Portal Server controls the direct and secure distribution of SD and HD H.264 video to both the “zero-footprint” InStream player and the Stingray set-top box. The Furnace Playback Manager supports scheduled channels for IP video broadcast and signage and the Media Server leverages the efficiencies of H.264 to enable HD VOD.
046 AUGUST 2010
FRONT PORCH DIGITAL | Stand 7.B15 Front Porch Digital will unveil DIVArchive V6.3, the latest version of the DIVArchive content storage management (CSM) system at IBC. DIVArchive is capable of full integration with popular media industry editing and production tools including Avid Interplay, Apple Final Cut Pro, and Apple Final Cut Server. The latest release of DIVArchive offers integration with Avid Interplay, making it easier for users of Avid’s industryleading media asset management system to access content stored
under DIVArchive management, according to the company. New DIVArchive features include multiresolution object support, sub-clip partial restore, best-effort restore, advanced Avid asset search within the DIVArchive user interface, and full unicode asset support. The V6.3 represents a significant advance for an archive system, proven in more than 360 broadcast applications worldwide, claims Front Porch Digital. Another new feature for DIVArchive V6.3 is full Uni-
code support for storage plan manager, the component that automatically manages the content life cycle based on advanced and fully configurable business rules and policies. By continually monitoring the digital storage infrastructure including connected broadcast devices, network connectivity, transcoder engine performance, and other key system parameters, DIVAprotect guards precious content against the ravages of data tape and drive degradation.
video fingerprinting technology developed at Germany’s Fraunhofer-Gesellschaft. The configurable platform gives users the flexibility to tweak the granularity of content comparison down to the frame level. As a result, MediaSeeker Core Platform
3.0 is an ideal solution for the full range of search applications, from light to frame-intensive; archive versioning; content future-proofing; media redundancy prevention (MRP); broadcast monitoring; and numerous other areas, claims iPharro.
IPHARRO | Stand 8.A11 Content identification solution developer iPharro will showcase its iPharro MediaSeeker Core Platform 3.0 at IBC 2010. The platform is the industry’s first fully configurable video fingerprinting engine that can be quickly and easily integrated into any pre-existing workflow or serve as the engine behind any new content identification-based application, according to iPharro. MediaSeeker Core Platform 3.0 is a lightweight, scalable video indexing and identification engine that helps businesses implement effective content identification and tracking strategies within any existing media-centric workflow. At its heart is a fully owned
www.digitalproductionme.com
IBC PREVIEW
NEWTEC | Stand 1.A49 Satellite communications firm Newtec will showcase its DualFlow technology at IBC for the first time. DualFlow is a new technology allowing broadcasters to migrate
cost-effectively from traditional ASI to IP-based satellite operation, with efficient investment during the transition period. Aimed at the contribution, DSNG, and distribution markets,
DualFlow enables two-way IP interactivity over satellite and allows operators to choose when they make the switch to IP by simultaneously supporting both ASI and IP, according to Newtec.
Operators can therefore continue to service clients using ASI. DualFlow is available as part of Newtec’s Azimuth satellite broadcasting modulation equipment.
BRIDGE TECHNOLOGIES | Stand 1.A30 Monitoring and T&M equipment designer and manufacturer Bridge Technologies will launch several new products and upgrades in to the market during IBC 2010. The new VB12-RF is the most portable comprehensive monitoring and measurement appliance available, according to the manufacturer. Designed www.digitalproductionme.com
for real-world use by engineers on the road, the VB12-RF packs every required broadcast and IP interface into a ruggedised chassis with a form factor smaller than that of a laptop computer. It is smaller, lighter and tougher than any alternative, claims Bridge Technologies with the widest range of built-in interfaces for RF, ASI and IP. AUGUST 2010 047
DATA
40 3D LCD 3D PDP
30 3D TV SALES IN MILLIONS
3D RPTV
20
10
2010
2011
2012
2013
2014
3D TV SALES FORECAST
DATA
SOURCE: DisplaySearch
FORECASTING 3D
The penetration of 3D TV sets will determine the success of the format. Estimates of these figures differ greatly however.
C
onsumer electronics manufacturers and suppliers are accelerating 3D activities, according to a new report by IMS Research. The study estimates that 5.99 million 3D TV sets will be sold in 2010 alone with more than 218 million selling in total between 2010 and 2015. “Within five years the majority of high-end largescreen TV sets and Blu-ray players are likely to offer 3D capability,” says Anna Hunt, author of the report and principal analyst at IMS Research. “The price premium of these products over similar 2D equivalents is expected to diminish quickly.” Among the drivers for 3D technology are the growing popularity of 3D movies released at cinemas, fierce home entertainment competition and the aggressive pricing of 3D TV sets. A recent forecast by DisplaySearch paints a more conservative future for 3D TV sales. Its most recent Quarterly TV Design and Features Report estimates sales of 3.4 million in 2010, rising to 42.9 million in 2014. Based on this forecast, 3D TV market penetration is expected to grow from a 5 per cent share of total flat panel TVs in 2010 to 37 per cent in 2014. “TV manufacturers have managed to launch products very rapidly. We have seen a full range of 3D TVs in sizes from 40-inch to 63-inch already available,” says Paul Gray, director of TV electron048 AUGUST 2010
5.99 million
The number of 3D TV sets sold in 2010 according to IMS Research.
3.40 million The same figure according to DisplaySearch.
4.20 million The equivalent figure from iSuppli.
ics research, DisplaySearch. “Through the first half of 2010, only two flat panel TV makers in the US launched 3D TV products – Panasonic and Samsung,” explains Paul Gagnon, director of North America TV research, DisplaySearch. “Based on early indications, the launch of 3D TVs is similar to Samsung’s rollout of LED LCD TVs at the beginning of 2009, albeit at a slightly slower pace. This would be in line with our forecast of just over two million 3D TVs shipped in North America for 2010.” A report by iSuppli notes that internet enabled TV (IETV) will be the focus of consumer upgrades in the short-term. It estimates 3D TV sales of 4.2 million in 2010 compared to 27.7 million connected TVs. “Despite aggressive promotions from the industry and intense consumer interest generated by the blockbuster Avatar and other titles, the 3D TV market in 2010 will be limited to a small pool of enthusiastic early adopters,” says Riddhi Patel, director and principal analyst for television systems, iSuppli. “In contrast, IETV is entering the mainstream in 2010. This is because 3D is still dealing with a number of barriers, including cost, content availability and interoperability, while IETV provides immediate benefits by allowing TV viewers to access a range of content readily available on the Internet.” www.digitalproductionme.com
IPTV, DVB hybrid partner ecosystem
Which and content security provider has the broadest
for ultimate flexibility?
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