ENDAVO BLOG

OTTCon East: Observations and Opportunities

By Ryan Busing

OTTCon East may be over, but let me tell you -- after a busy couple of days of our team presenting and demonstrating at the show, everything OTT is just getting underway.

The industry’s top performers and innovators filled the Atlanta Capitol Conference Center this week, sharing their views of multiple screens, content discovery and hybrid IPTV/OTT TV. The fact is, television is changing quickly, including how people view it, all thanks to OTT.

Channel Surfing. As OTT video begins to work its way into the screens of consumers, content discovery will need to evolve as TV lineups go from hundreds of channels to potentially thousands. Just as we’ve seen the old TV Guide evolve first into electronic and now interactive program guides, future “OTT Program Guides” will need to develop new features.

Soon, users will be able to view seamlessly between broadcast and broadband content, as well as discover broadband content and advance metadata search capabilities—all while watching TV. Consumers, when faced with this unlimited programming, will expect (and rely) on discovery and recommendation processes—providing ease-of-use in building personalized viewing options.

Hybrid IPTV/OTT TV. While many of the technical aspects of the hybrid IPTV/OTT TV model are being addressed, delivering content to three screens (outside of traditional managed TV networks) raises issues for content producers and service providers beyond just the platform integration.

The advent of OTT presents multiple opportunities for content providers to consider as part of their business strategy. Should they deliver their content directly to consumers? Strike deals with service providers with their own OTT solution? Integrate content with one or a number of consumer electronics companies with OTT devices? Most likely, the answer is all or some combination of these or even others still yet to be defined.  And of course, there are many related issues such as how to preserve brand quality, control the experience of the audience, protect content from being pirated and determine the best combination of monetization services across multiple devices.

To this end, many vendors are concentrating on one aspect of the value chain and expecting the service providers to pull all the pieces together for delivery to the consumers. Finding an end-to-end technology that has a complete solution, including content management, monetization, multi-screen distribution, all wrapped with the capability to deliver a quality user experience, is a must for any successful OTT video services solution for anyone delivering OTT Video services to their customers. And if OTTCon East is any indication, the level of interest in the emerging OTT opportunity is growing fast. 

Savvy Content Providers Generating New Cash with Over-the-Top Offerings

By Jason Anderson

My recent trips to industry trade shows and events have revealed a trend. Looks like most content distributors and broadcasters are still reluctant to start syndicating their content beyond the TV. In entertainment biz lingo, producers are afraid they’re stepping over broadcast dollars to grab digital dimes. However, a few content providers aren’t just dipping their toes in the cross-platform waters. These smart folks are diving head-over-heels into a sea of new revenue by pushing content “over the top” to paying viewers on any screen. The Weather Channel and Dori Media are two examples that come to mind.

This week, The Weather Channel settled its long-running dispute with Dish Network over carriage fees and revealed plans to deliver a bevy of new offerings for subscribers online and though mobile devices.  Dish Network Programming VP Dave Shull stated, “This agreement recognizes the importance of cross-platform video delivery, ensuring that our subscribers will have the most detailed local weather information available at their fingertips anytime, anywhere.”

On the distributor front, Dori Media is well on its way to bringing in digital cash to supplement its broadcast success.  On the heels of digital telenovela Amanda O, Dori will soon launch a subscription-based video on demand platform aimed at U.S. Hispanic audiences and viewers throughout Latin America. By branching out and distributing their content to more screens, Dori is able to generate new revenue and build distributor brand identity. Ah, the joys of multi-screen syndication!

I understand how difficult it can be to step out of a comfort zone, but TV-only syndication is quickly becoming a thing of the past. And, as more viewers start turning off their TVs and turning on their mobile devices and PCs, they expect the content to follow. It’s time to embrace change and offer cross-platform, over-the-top syndication directly to viewers, on all screens.

Lights, Cameras, OTT Action: A Look Back at Digital Hollywood 2010

By Brent Grablachoff

If OTT were a movie in the making, then Digital Hollywood 2010 in Santa Monica was an all-out cast party. Key players assembled from all over the digital media, entertainment and film spectrum—representing everything from software, hardware and services to actors, freelancers and industry professionals. This was definitely the place to be this week. Friendships were formed, partnerships were made, and businesses learned from each other.  

A group of us attended the event as an exhibitor, and our own CEO Paul D Hamm spoke on a panel about the “Models for Change.” Throughout the conference, change seemed to be a common theme. Almost everyone we spoke to wanted to know what will be next in the digital media space, and how they can capitalize from it.

Some main takeaways from Digital Hollywood:

The fourth screen. We’ve all been talking three screens, and now with the immersion of the iPad, we’ve got another. The iPad has sold 1 million devices in a faster timeframe than Apple’s original iPhone offering. This could pose new opportunities for advertisers and everyone in digital media to find new ways to monetize. 

Mobile still key. As with the last few shows we’ve attended—Streaming Media West, OMMA Video and NAB—speakers emphasized the importance of mobile for businesses. Whether it’s offering content designed for mobile devices, offering mobile-specific advertising campaigns, or developing software or ‘apps,’ the sure thing is that a mobile strategy can be key to growth.

Over-The-Top. People are now embracing the importance of OTT. We’ve been talking OTT for the past 6 months. Now, it seems like most in the market understand the way we consume content, the way content producers make money and the way networks deliver content continues to evolve. Many of the event’s speakers shared our projections for OTT being a commonality among telcos and cable companies in the next 2 to 3 years. This will ultimately give consumers more control over how they view content and where they view it.

Overall, the spotlight was on OTT this week as Digital Hollywood rolled out the red carpet for all things Over-the-Top and multiple screens. So based on the “box office numbers” from this conference, OTT is headed for blockbuster status - coming soon to three (or four) screens near you.

NAB Day 2: War on the Floor (and a little 3D)

By Pete Contardo

Endavo was asked to participate in NAB/BEA’s War on the Floor, an Amazing Race-type scavenger hunt where two teams explore the NAB exhibit hall to learn all the major steps in the content life cycle. CEO Paul Hamm shared information with one of the teams on Endavo’s role in content management, distribution and monetization, highlighting the key features of our OTT Video Services Platform and the opportunity to syndicate content to global telco tv partners. 

Check out the War on the Floor video clip:

Quick Observations on 3D:

After attending a special event showcasing the latest 3D offerings, there certainly seems to be momentum building on the content production and distribution technologies available to accelerate the adoption of 3D displays (and the commercial success of Avatar certainly doesn’t hurt the business case either). Hearing that Best Buy sold out of their initial Panasonic 3D bundle also shows that there is sufficient demand from early adopters. And who knows, maybe the best indication that the market may just may be ready to take off: We picked up a catalog at the event filled with multiple pages of “designer” 3D glasses now available to consumers. Guess folks want to be stylish even when sitting in their own living room.  Now all this still doesn’t necessarily mean that the typical consumer is ready, willing or able to go out and purchase a new 3D TV, but at least the tools for driving 3D content creation and viewing are in place.

Endavo in Cannes for MIPTV

by Jason Anderson

Ahhh…the French Riviera. Who knew syndicating the planet came with a tan? While some of the Endavo team is in Vegas at the 2010 NAB Show, I’m spreading the word about our Platform at MIPTV in Cannes, France. Not a bad gig, huh?

 

This show is all about the TV, film, digital and audiovisual industries—from production to distribution. And it gives the industry a glimpse of the future on a global scale. I mean, we’re talking 13,000 entertainment professionals here from more than 100 countries.

 

So what does the future look like?

 

Pay-as-you-go productions are up and coming, while the glory days of paying big upfront costs are fading. Syndication seems to be a big plus here—as the relationship among producers, distributors and their fans evolves at lightning speed.

 

Getting to know your audience is going to take on a greater role. This will enable you to quickly determine your revenue base and thus production budgets and distribution models.

 

QoS is still big...but pay bigger. At these shows we used to hear: Will new Internet TV platforms deliver TV-quality viewing experiences? Answer: They can. Now, the questions seem to revolve around how to get paid and who’s going to pay for it. Luckily, 2010 will be the year that the terms of trade between producers and distributors will be worked out, and that means adding up more dollar signs.

 

More people will have access to broadband Internet on mobile phones than any other kind of device. Translation: Endavo’s fully-integrated mobile offerings will be huge for telcos and broadcasters.

 

I’m here for another few days…soaking up all the information (and a few rays). So far, it looks like a money-maker future for content producer.

Day 1: Exhibiting at the 2010 NAB Show

Wow. What a difference a year makes. Last year, we spent some time educating those who stopped by our booth, but this year’s 2010 National Association of Broadcasters Show is all business. Content producers, aggregators, and broadcasters talking with us have certainly embraced OTT video and are now in “solution” mode. “How does your platform support my business model? How scalable is your service? How can I leverage your global telco tv partners?” Clearly, they have done their homework and we are excited about the opportunity to help them take their business to the next level by offering enhanced video services to their customers.

And to further help promote our OTT video services capabilities, we’ve taken our website to the next level. So if you don’t get a chance to stop by our Broadband Innovations Booth SU9506U, (check out the photo below), you can always catch up on the latest from Endavo at our newly renovated site: http://endavomedia.com/. And stay tuned for more; we have a feeling this is going to be an exciting show for the industry.

March Madness Coverage Shoots…Nothin’ but Net!

Millions of people across the country – especially in the state of Kansas – are wishing that their NCAA college basketball tournament teams were scoring as well as the online video streaming of March Madness.

The NCAA basketball tournament brackets have historically led the field when it comes to “just for fun” office pools. The tourney has a way of bringing together workers that stumble when trying to name 6 out of 64 teams and those basketball snobs who think they know it all (and often end up at the bottom of the betting pool).

But the tournament is breaking new barriers – this time with online video. March Madness is crushing online video records and is proving as valuable to advertisers as traditional television.

CBSsports.com reports fans watched 3.4 million hours of live streaming in just the first day of the 2010 NCAA College Basketball tournament - representing a 20 percent growth verse 2009. The tournament scored the largest video streaming single-day traffic on the Internet.

Better yet, online video watching of major sports events on computers and mobile phones is now commonplace. AT&T actively promotes that fans can watch the game on their phones during the tournament coverage.

The tournament is laying the foundation for true monetization. Call it Monetization Madness. CBS is expecting its highest level of income from online viewers ever. In fact, the network stands to make $37 million this year (just for comparison – way back in 2006, online revenue for CBS was at $4 million).

Online video looks like a real winner for the tournament. I wish I could say the same thing for my picks in our own “just for fun” office pool. At Endavo Media we can certainly help you understand the value of OTT video services and how to monetize them. As for picking winners for March Madness, I’m afraid that you are on your own.

The New World Order of Live Events

By Jason Anderson

From a sea of flickering flames swaying to Dylan’s “Blowin’ In the Wind” to thousands of iPhone lighter apps bouncing to the tunes of Lady Gaga, there’s no doubt that live concerts (and live events, in general) have changed dramatically. But you haven’t seen anything yet.

Live streaming events are a booming industry—with concerts and music fests leading the way. Just look at the Foo Fighters, who drew in 440,000 live streams to a Web-only show. Or take the live stream of a U2 concert last fall watched by nearly seven million people.

Soon fans will be able to watch concerts anywhere, anytime and on multiple devices. And for content producers, broadcasters and telcos, opportunity (and audience) awaits. Live events can generate revenue and offer greater audience interaction and user flexibility. Consider the following:

The TV, Internet and Mobile Collide. Concerts are no longer limited to stadiums, arenas and auditoriums. Performers are now reaching larger audiences through live streaming and on-demand video (via TVs, PCs, and smart phones).

Local to Global. Local concerts now service their nearby market and go global through live streaming—creating new opportunities for monetization. Take Endavo-powered TheCoolTV, which broadcasts live localized events and offers a vast library of classic concerts on demand. Through a partnership with Sinclair Television Group, TheCoolTV is expanding to 34 new markets to reach 23 million new homes. Those markets will be able to view killer content on TV with folks around the world tuning in online. The plus side: more audience almost always means more ad dollars.;

Social Media Integration. Live streaming events also open the door to big-time audience engagement. Case in point: at this year’s Grammy Awards more than 135,000 Grammy-related tweets were generated--that night! Live streaming events combined with social media greatly boosts brand awareness leading to higher revenues.

While times are a changin’, content producers haven’t yet missed the global audience train. Give us a call to learn more about how hosting live streaming events can build your brand online and beyond.

Be Prepared to Set Sail with Mobile Video Opportunity

According to data from Nielsen Online, visits to web sites from mobile devices grew 34 percent during July 2008 to 2009. What’s more, the growth is spreading beyond the typical early-adopting age bracket of 18- to 34-year-olds. Youths and seniors experienced a surge in growth, according to an article by ClickZ last month. In fact, users over 65 years old saw a remarkable 67 percent growth (although the base amount started off very low).

So, where are you with your strategy to move beyond your online video platform to embrace the opportunity with mobile delivery? Even if you don't think your content or customers would be a perfect fit for mobile just yet, the mobile user population is growing and should be given serious consideration in your strategy.

The evidence of recent mobile video trends were clearly shown at Streaming Media West and the Online Video Platform Summit in San Jose last week with many demonstrations focused on delivering content to the mobile screen. (On top of this, the number of broadband-enabled devices continues to grow with what feels like everyone getting into the game with their own set-top box. Hey, even Flip may be entering into the space.)

But before you go jumping headfirst into the deep end of the “mobile pool,” you’ll want to carefully wade in with a solid strategy for extending your brand and content to each screen. It’s too easy to get caught up in the latest wave of features, specs and codecs being tossed around as if the technology alone is the solution. Your business goals need to be front and center when defining the requirements you seek for your mobile video solution.

Technology needs to be supportive, not the driver, of your strategy for packaging, promoting, delivering and monetizing mobile content for your customers. This approach will help keep you afloat as you begin crafting your mobile video strategy.

Lessons from Internet Summit ’09: Live Streaming, VOD, and Ad Placement

Yeah, the Internet turned 40-years-old this year, prompting a birthday article by the Guardian, but it’s far from being “over the hill” – at least, not at this summit.

More than 75 industry experts and Internet thought leaders from companies such as Technorati, Pandora, ESPN and Google, convened at the second annual Internet Summit earlier this month in Raleigh, N.C. And this year, it was streamed live—thanks to Endavo Media.

One hot topic discussed at the conference was online video solutions for businesses, especially live streaming versus on-demand.

Here's a quick look at the main discussions at the summit:

Live Streaming: Live streaming allows content producers to engage an audience with an interactive environment. This includes chatting, commenting and social media opportunities that allow the audience to really feel like they’re a part of the event. It also creates a feeling of exclusivity. The audience feels as though they’re the “first to see” or that they’re part of the “in-crowd” with live streaming events. The key take-away for businesses: It’s important to focus on gaining a large amount of content and then up-selling to a paid platform.

On-Demand: Content providers looking at on-demand video need to focus on monetization of their content (especially longer form content). Analyze and measure the value of the content. Plus, focus on premium content, higher-end media/broadcasting companies. 

Mix It Up: Luckily, businesses don’t have to choose between the two. Endavo Media provides a platform that allows both live streaming and on-demand video. The next Internet Summit lesson, however, is making money from all your work.

Monetization: Content providers don’t necessarily need to choose ad networks. This allows businesses to 1) have a personal relationship with the advertisers, 2) only include relevant ads to their sites, and 3) have greater control over the where/when of ad displays in order to keep customers from being blasted by unnecessary advertisements. Also, consider playing video ads on the same media player that viewers are watching VOD. This keeps the viewers on the company’s site (and NOT the advertiser’s site).

A strong Internet video strategy starts with research, followed by some trial and error to find the best overall solution for your content and audience. We look forward to covering future events and conferences to gather the latest opinions and trends in online video. Until then, Happy Birthday, Internet! 40 years and still going strong.