JANUARY 28, 2010
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BSkyB wins five-year EDS contract dispute
BSkyB has won its five-year legal battle against Electronic Data Systems (EDS) after a High Court judge ruled it had lied to Sky in order to secure a contract as part of a new customer relationship management system. Justice Ramsey said EDS, acquired in 2008 by the US computer giant Hewlett Packard, was liable of fraudulent misrepresentation. Sky was originally seeking £709 million in damages from the EDS contract that had an original value of £48 million. The time to judgment is one of the most protracted in recent history; during the lifetime of the case one of the EDS legal representatives retired and another became a QC. Hewlett Packard described the action as a legacy issue. “We’re pleased the court dismissed the majority of the allegations made. While we accept that the contract was problematic, HP strongly maintains EDS did nothing to deceive BSkyB. HP will be seeking permission to appeal,” the company said in a statement.

European 3D studies underway
The DVB is hoping that its work on 3D television will be passed to the organisation’s steering board before the end of the year. As is the case with much of the DVB’s work, standardisation will then be sought through ETSI. Speaking at the DTG technical seminar in London, David Wood, who chairs the DVB’s 3D commercial module said the group will meet this week to discuss its work and that of the initial technical module led by BSkyB’s David Daniels. The two modules will work in tandem, the technical module looking at the feasibility of the requirements drawn up by its commercial counterpart. Separately the European Broadcasting Union, where Wood is head of new technology, will commence work on its own study mission next month. The organization has already received representation from the Japanese broadcaster NHK, which is concerned over possible eyestrain experienced by the young when viewing 3D.

Plan for HD to replace Portuguese pay DTT
Portugal Telecom is negotiating with the regulator Anacom to replace its proposed pay-TV multiplex with a bouquet of high definition channels. The telco argues that market conditions have changed since the original application was made. The plan is for national broadcasters RTP, SIC and TVI to broadcast HD versions of their existing channels free-to-air in the HD format. However, Portugal Telecom is to push ahead with its own national digital TV channel, which under the plan would also have an HD simulcast. Portugal Telecom was awarded five multiplexes on which to run its pay-TV service, potentially leaving a swathe of unused bandwidth. The 2007 tender included the free-to-air DTT platform, a fifth generalist channel and a sixth in HD.

Liberty Global to sell J:COM interest
Liberty Global has announced the sale of its 37.8% ownership interest in Jupiter Telecommunications (better known as J:COM), the Japanese communications provider, to KDDI Corporation, the second largest wireless operator in Japan. The cash deal covers the Liberty subsidiaries that directly or indirectly hold its interest in J:COM, including LGI/Sumisho Super Media. Additionally, Liberty will retain the right to receive the anticipated final 2009 dividend of ¥490 per share attributable to its interest in J:COM that is expected to be approved at the March 2010 J:COM shareholders meeting. Including both the agreed purchase price and the anticipated dividend, Liberty Global expects to make approximately ¥363 billion ($4.0 billion or €2.83 billion as of January 22, 2010).

Servus goes for old-fashioned 3D
The Austrian commercial TV channel Servus TV has started broadcasting videos in 3D using the old anaglyph system. Servus is sending out the coloured (amber and blue) glasses to see the 3D effect to viewers in German speaking territories at no charge. At the moment only short videos are shown in between regular programming, but the channel also plans longer 3D broadcasts. Using the old system, which broadcasters have used on rare occasions in the past, no special receivers are needed, just a pair of simple glasses. There is of course no connection with the various new 3D TV systems currently under development, but it gives the Red Bull-owned broadcaster a much needed PR boost.Last November, the UK’s Channel 4 ran a week of 3D programmes using the anaglyph system, a move criticised in some quarters for confusing the market.

KPN sees IPTV growth
The Dutch operator KPN announced the growth of its IPTV service Interactieve Televisie accelerated during the last quarter of 2009, reaching about 90,000 connected homes. The incumbent recorded 880,000 customers for its Digitenne digital terrestrial bouquet at the end of 2009; this figure also includes an undisclosed number of DVB-H mobile TV subscribers. The total number of TV customers reached 970,000 in Q4 2009, compared with 775,000 at the end of 2008. The operator now claims a 13% market share of the total TV market and 23% of the digital TV market.

RTE to control receivers for Saorview DTT
RTE has appointed Sweden’s Teracom to test the receivers for its free-to-air DTT platform that has been named Saorview. Discussions with Teracom stretch back to the ill-fated bid by Boxer subsidiary Boxer to run the pay-TV multiplexes on the Irish DTT platform. Broadband TV News understands that RTE wanted to act as the gatekeeper for its FTA channels and joined the Scandinavian technical group NorDig. RTE has subsequently become an active member of NorDig and will use the NorDig unified receiver specification for DVB-T, adding the MHEG-5 middleware that is also used in the UK. Using the NorDig specification should help to bring down the costs for receiver manufacturers while tapping into Teracom’s facility that already serves the Boxer affiliates in Sweden, Denmark and Finland.

Brussels approval for Unitymedia buy
Liberty Global has received regulatory clearance from the European Union for its €3.5 billion purchase of Unitymedia. “The Commission concluded that the concentration would not significantly impede effective competition in the European economic area,” read a European Commission statement. The 4.5 million-subscriber network is the second largest cable operation in Germany after Kabel Deutschland. It controls the regional networks that were formerly owned by Deutsche Telekom in the states of Hesse and Northrhine-Westphalia, serving 10 of the 20 largest cities in Germany, including Cologne, Dusseldorf, and Frankfurt.

Germany to decide on future of DVB-H
The German state media authorities hope to reach a decision on giving DVB-H mobile TV a second chance by the middle of March. A condition for opening a new tender for a DVB-H licence is that there will be “a relevant interest of the market” for a new 10-year concession. Ever since the Mobile 3.0 consortium handed back its DVB-H licence in the autumn of 2008, a special working group of the regional media authorities has explored a possible rebirth of a DVB-H service with potential candidates and other market players. The ZAK now hopes to reach a clear decision on the possible future of DVB-H.

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Content

BBC online soap pulls in 1.7m views
E20, the online spin-off from the BBC soap EastEnders, has reached 1.7 million views since its launch on January 8. The figures compare favourably with conference darling KateModern, produced by Bebo, which at its peak in May 2008 was drawing in 1.5 million views per week. The BBC soap was commissioned by BBC Vision Multiplatform and has benefitted from both cross-promotion and storylines that have interweaved with the four-nights-a-week soap. In addition to the EastEnders website, E20 is also available through the BBC iPlayer.

Cross platform carriage for NRK HD
NRK will launch its new HD channel on February 12 with carriage secured across DTT, satellite, cable and IPTV. RiksTV, Canal Digital, Get and Altibox will all go live at 20.05 for the first broadcast from NRK’s Olympic studio. In addition to extensive coverage of the Winter Olympics in Vancouver, NRK viewers will also be able to watch the popular drama series Himmelblå and coverage of the Eurovision Song Contest, which takes place in Oslo on May 29. Films including The Kite Runner, Spiderman 2, The Young Jane Austen and The Golden Compass will also be seen in the HD format. NRK is in the process of upgrading its studio equipment and estimates that all domestic production will be in the format from 2015. The policy is to renew equipment as part of the normal replacement cycle, ensuring that no money is taken from the regular programming budget. Commercial broadcasters TV2 and TV Norge already have HD channels in place.

KabelKiosk adds RTL Group HD channels
Eutelsat’s KabelKiosk, Germany’s cable headend-in-the-sky, has announced the immediate launch of the RTL HD and Vox HD channels from Mediengruppe RTL Deutschland. The addition to KabelKiosk of both channels follows the signing of an agreement between Eutelsat Germany and Mediengruppe RTL Deutschland, which was announced in Berlin at Eutelsat Germany’s annual reception on January 21. With their launch in KabelKiosk, RTL HD and Vox HD will be available for the first time in HD quality for digital cable networks in Germany. KabelKiosk’s German cable partners will immediately be able to offer the new option to their subscribers via Eutelsat’s Eurobird 9A satellite. KabelKiosk’s HD offer will progressively expand over the next months to up to ten German and international channels. The package will offer a choice of free and pay content to partners and customers, opening up the future of HDTV for independent network operators and the housing industry.

Euronews launches in Turkish language
Euronews will launch its Turkish service this Saturday January 30, at 20.00 CET. The Turkish internet service premiered last Friday, January 22, and features all Euronews programmes on demand. The Turkish version of the channel will be available via Turksat. Turkish Radio and Television (TRT), a Euronews shareholder, will broadcast a daily Euronews branded block on its terrestrial channel TRT2, reaching all Turkish homes. The new language version will be provided by a team of 30 staff. It will broadcast across the Euronews global network of satellites and can be rebroadcast by international platforms including those already distributing euronews (cable, ADSL, satellite and terrestrial) reaching some 300 million homes in 151 countries.

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Technology

Ofcom to approve DTT content protection method
Ofcom looks ready to give its consent to the use of the now infamous Huffman Tables as part of content protection measures on the new Freeview HD platform. Without it key programmes may have to be withdrawn from the terrestrial platform. The regulator has published its second consultation on the control of content over the terrestrial platform. It follows BBC requests to compress data from the electronic programme guide using Huffman coding and then use look-up tables to decompress the data. In consultation with the DTG the BBC has agreed a licensing scheme that would give manufacturers royalty free access to the tables on a non-discriminatory basis. In a concession to open rights organisations, made in a letter to the regulator by Graham Plumb, acting controller BBC distribution, said the tables would be available to both manufacturers and those using Open Source software.

UPC upgrades last parts of Dutch network
UPC Nederland has said it will invest this year in upgrading the remaining ‘white spots’ in the network in the provinces of South Holland and Gelderland to make them fully interactive. Until now, the cabler could not offer full triple play in these parts of the network. The upgrading of the nets will also allow customers to get access to all interactive digital TV services including VOD. Until now, subscribers in these parts could only buy a limited number of digital TV channels.


People

Abraham leaves UKTV for Channel 4
UKTV chief executive David Abraham is to leave the multichannel broadcaster to become chief executive of Channel 4. Abraham will replace Andy Duncan, who stood down from the post in November. Abraham was appointed chief executive of UKTV in April 2007 from Discovery Networks USA, where he had been president and general manager of TLC for two years. In a 20-year career on both sides of the Atlantic he has also served as general manager, Discovery Networks UK and was a founding partner and Chief Operating Officer at leading independent advertising agency St Luke’s. While at UKTV, Abraham used to feel for marketing with the relaunch of UKTV G2 as Dave, a brand that led to the repositioning of the entire UKTV portfolio, both on screen and online.


Robert Briel

Clover's Week

And now in stereo
Julian Clover finds that the prospect of 3D TV is more realistic than he thought.

Now is probably not the time to fess up to my previous disregard of 3DTV. While being a keen supporter of high definition television I just couldn’t see the demand for its stereoscopic cousin.

My road to Damascus moment probably came last week at the DTG-organised 3DTV event in London. The room was full to bursting and the gentle reminders to check that I was still coming underlined the pressure on seats. Arguably such events just prove that there is a demand from the supply chain to sell their products; the real test will come later in the year when the promised 3D TV services make it to market.

Initially these will just be for public display; handing out 3D glasses to drunken football fans up and down the country may be asking for trouble, but with the cost of the specs down to just 65 cents a pair it will not be an expensive venture. The same goes for the ability to kit out the whole family with their own 3D glasses and if like me you already where glasses, you can get a pair o Foster Grant-style clip-ons.

The majority of new TV displays are already HD Ready, so it is not that greater jump to think that in five years time, 3D might also be as standard. And unlike the HD sets that many watched oblivious to the need to connect up some HD content, you can tell pretty soon if you don’t have a 3D image.

That problem might also be about to solve itself. Sky’s announcement on Thursday morning that it was to phase out its standard definition equipment in favour of an HD PVR for all can also be regarded as n industry milestone. Although the Ukrainian operator MYtv is launching with HD capable receivers – the forward thinking decision was made even though the satcaster will not initially have any HD channels – my hunch is that it will take a while before any other European operators take similar decisions.

Back at the conference it was noticeable how far forward the production techniques have come. Gone is the look of the children’s theatre or the feeling that the footballers are taking part in a high tech version of Subbuteo. Instead crystal clear images – the side-by-side system used by Sky is not strictly HD, but it’s close – and an increasing knowledge of what does and doesn’t work.

Sky can promise to deliver a weekly Premier League match on its Sky 3D channel because it has been doing just that since early in the season. The skillset being developed has made it clear that the shots used in standard and high definition, don’t deliver the same experience in HD – remember those long lingering stadium shots in Euro 2008. This brings in another problem, commentators, so much so that when the BBC experimented in 3D on the 6 Nations rugby it used its radio commentary rather than the TV feed so that viewers were told precisely what was happening.

There is still one flaw in the introduction of 3D: 2009 saw the greatest number of TV sets purchased in one year and with 14 million flat panels expected to be in situ by the end of 2010, do we really want to go through it all again.


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