Cross Platform Delivery Issues, Opportunities and Challenges

1. Cross Platform DeliveryIssues, Opportunities and Challenges Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

2. Agenda • Introduction • Background to cross-platform Local TV • Digital opportunities • Technical, business and distribution challenges Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

3. AIMES Introduction • AIMES is a Cloud Services Provider spun out of the University of Liverpool to exploit the business opportunities from utility/ grid/cloud computing. • AIMES hosts a number of media platforms including the Bay TV IPTV service. • AIMES recently invested £2m in new data centre facilities at Kilby House. • AIMES infrastructure includes high capacity fibre network, large scale compute and storage resources and highly resilient data centre capacity. Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

4. Background – Local TV "Birmingham Alabama has eight local TV stations, despite being a quarter of the size of our Birmingham that… doesn't even have one." Jeremy Hunt, Former Secretary of State for Culture, Olympics, Media and Sport " The Pothole Paradox and why local TV is destined to fail….. there are many things in our lives that are considered newsworthy, but the very nature of these events mean that they are only newsworthy to a limited number of people.." The Economist Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

5. Background – the Second Screen The number of U.S. mobile subscribers watching video on their mobile devices rose more than 40 percent year-over-year between 2010 and 2013. Projected growth in mobile video advertising over the period 2010 to 2015 is 1000% for national and 4000% for local advertising. In the UK currently TV viewed on other devices is a small part of total viewing according to BARB. This data in terms of on-line consumption represents either a huge anomaly or a huge opportunity Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

6. Background – Digital Landscape • US Local TV channels deliver four “killer apps”; • News • Sport • Weather • Travel • Services are streamed live with pre-reel and conventional web advertising. 34 million people watch BBC TV news every week - the highest figure since 2006. Live linear is still the core of television viewing today, accounting for about 85% of total viewing across all devices and 89% of total television viewing Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

7. Opportunities – Demand • Live video follows the traditional TV viewing pattern. • This might change as mobile operators provide faster cheaper access to data. • Video streaming services must track this usage pattern to maximise returns. • Making use of cloud scaling architecture is essential. SRC - http://downloads.bbc.co.uk/mediacentre/iplayer/iplayer-performance-jan13.pdf Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

8. Opportunities – Reach Global brands with an extended reach to over 100m people Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

9. Opportunities – Focus Analytics tools Captured Data Targeted Content Delivery “I know that half of my advertising dollars are wasted ... I just don’t know which half.” (John Wanamaker, the father of modern advertising) PC via fixed line Live TV stream “Studio” Hosting Platform Live TV stream Mobile devices Upload video Community Suite Mobile devices C-MAP Project; The Community-Media Analytics Platform: Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

10. Challenges – Technical Analytics End Users Geo Cloud Bursting Private Cloud Advertisement Generation and tracking Delivery Management Transcode HLS Flash Webm Other Live Feed ONE Project; OurNet Everywhere Platform Highly Redundant Platform Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

11. Challenges – Business Models Revenue model based upon user transactions rather than conventional advertising or subscription models Trials suggest micro-revenue model scales quickly when driven by community relevant content and usage Partnership with BT Openreach to deliver OurNet services in conjunction with L-DTPS content to RSL’s with over 4m homes in the UK Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

12. Challenges – Distribution OurNet Project; The Community IPTV Platform: Home AIMES VDSL Delivery Streaming Media Stack Tablet TV Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

13. SUMMARY • Local TV presents opportunities for cross platform distribution which addresses the “pothole paradox” through providing new demand, new reach and new mechanisms for audience targeting • “Crown Jewel” services of News, Sport, Weather and Travel are ideal content to drive cross platform consumption of local media output and to provide new business models around users analytics and transaction-based services • Projects over the past 12 months to overcome the technical challenges around scalable streaming, sentiment analysis and micro billing have led to the development of new platforms suitable for L-DTPS services • AIMES investment in a new 1.5MW resilient cloud computing campus here in Liverpool has been made to help exploit these new opportunities Professor Dennis F. Kehoe LJMU Presentation, 24th April 2013

14. Questions and Answers