Multiscreen & OTT - Broadband TV News...OTT video services by unbundles provide pay TV a non-linear TV experience – one of our strengths is exactly opposite - that bundle that gives

1

30/05/2013

Multiscreen & OTT

30/05/2013 2 © Vip

30/05/2013

Few words about Vipnet >  Launch of commercial

operations July 1999 >  The leading innovator on the

Croatian telecommunications market

>  Owner of B.net, the largest

Croatian cable operator (from August, 2011)

>  Part of Telekom Austria Group

2

30/05/2013 3 © Vip

30/05/2013 Dodatni elementi i Str

Vision We are customer’s first choice in communication! Mission We enrich peoples´ lives by delivering outstanding multiscreen customer experience and enabling them to communicate anywhere, anytime

30/05/2013 4 © Vip

5 Stages of Pay TV

Analog TV

Digital TV

Visual resolution – Rise of HD

Interactivity – VOD & time shift

functionalities

TV meets BB

Show and get paid

Channel differentiation - broad portfolio of 'special interest' content to serve different niches

Dedicated HD channels especially on priority genres (sports, movies etc.)

Changing customers habits

Anytime, anywhere Content rights alignment, attempt to follow the customer across all devices

3

30/05/2013 5 © Vip

CABLE TV IPTV

SATELLITE TV

OVER THE TOP

Most successful operators offer services on multiple access platforms – DTH, cable/IPTV and OTT. Each is one more way to reach subscribers

Ultimate path -> Developing 360-Degrees solutions with same UE

30/05/2013 6 © Vip

Bnet & Vipnet OTT service

Bnet > 13.10.2011. B.net OTT launched – promo period > 1.3.2012. commercial launch of OTT service for iOS and Android Vipnet > May 2012 - commercial launch for Android

4

30/05/2013 7 © Vip

30/05/2013 8 © Vip

Changes in Customer Behavior

5

30/05/2013 9 © Vip

Mobility and Content

Usage by hour across the day by device - for 28 July to 9 Aug 2012

During Olympic games >  PC usage maxes out during the week at

lunchtime and during mid-afternoon

peak Team GB moments

>  Mobile takes over around 6pm as

people leave the office but still want to

keep up to date with the latest action

>  Tablet usage reaches a peak at around

9pm: people using them as a second

screen experience as they watch the

Games on their TVs, and also as they

continue to watch in bed Source: www.bbc.co.uk

30/05/2013 10 © Vip

Change of behavior while watching TV

>  While watching TV, consumers now immediately express thougths online via social networks

>  The opportunity for networks and advertisers is huge; they can not only provide relevant, interesting content that keeps viewers engaged, but also grow relationships that are driven by the consumers’ stated needs, wants, and interests

6

30/05/2013 11 © Vip

While sitting in front of TV, more than 60% of us have 2nd screen

in our hands, whether a smartphone, tablet or PC/laptop

Number of screens per person in years:

2000 = 1.7 2005 = 2.6 2011 = 3.6

Customer Needs Multi-Screen - Tehnology is there, how to monetize is question

§  ‘Most of broadcasting is in living room'

§  20% of people with a mobile use it to watch tv content away from home

§  whey we get to screens changes and with it consumption is different

30/05/2013 12 © Vip

>  Is there one? Is multiscreen enough? What is the right path?

>  How to avoid becoming pipe provider? >  Is the same threat for incumbent pay TV providers (cable providers) and

for new coming pay TV providers Telco's? >  What are telecoms advantages Vs. OTT players

>  Global and local OTT operators are here to stay and grow >  They came with latest technology and immediately on multiple screens/

devices

New threats - OTT Players vs. Cable / Telco Operators

FACT

QUESTION

SOLUTION

7

30/05/2013 13 © Vip

Multiscreen TV apps

Double use of OTT

>  Expand to multiscreen/ of existing users >  Pure OTT - could be used to non access

line customers (mid term ability)

Multiscreen is mandatory offer for modern user

Telecoms advantages Vs. OTT ( utilize customer relationship and protect customer base)

Trusted relation

service on: - iOS -

Android – web available in

OTT is seen as complementary service

>  If you are a pay TV operator and not providing your service on tablets and phones, you will soon find yourself out of the game

>  Tablets are becoming second TV screen

Billing Connected home story

Ability to invest

CPE at place

Full commun.

Offer (bundels)

Customer service

30/05/2013 14 © Vip

>  Free content is just one click away

>  Legislation does not keep the pace with technical innovation

>  Solving good or flat tariffs with mobile operators (growing need for speeds, grow ARPU…LTE options)

>  WI-Fi strategy ? Most of video is watched over WI-FI. Hot spots and offload strategy is needed

Issues to Face

>  Generally size is a key factor in the any content game (including OTT), as only the biggest players on a local and/or global basis can maintain power in content negotiations over the long run – right mixture of rights and partnership is right answer – local is key for us!

Clearing content rights

Mobile operators tariffs Piracy/ legislation

>  Usually small volumes are issue for business plans but in global OTT world this is opportunity duo to small local languages and importance local content

OTT video services by unbundles provide pay TV a non-linear TV experience – one of our strengths is exactly opposite - that bundle that gives everything to customer

8

30/05/2013 15 © Vip

Bring Commodity to your Customers

ü

ü

ü

>  Develop own 360 solutions (cover all important platforms)

>  Content is a king! How to fight big ones - local and localized content is important

>  Partner with others (mainly local) and customize it to your platform to bring same look and field (HBO GO, OYO, … )

It takes few things

Keep control over remote control! Bring it all to your customers and provide them same customer experience wherever they are and whichever device they want

Remember -Today it is new sexy stuff but tomorrow is already here and this is standard commodity

30/05/2013 16 © Vip

Thank you