UK

HomeChoice VoD Hits 15,000 Subs, Reach Doubles to 2.4m
Video Networks Ltd (VNL) has announced that it’s broadband and Video on Demand (VoD) service, HomeChoice, now has 15,000 subscribers, since its relaunch in last September.
Eight in ten of their customers have also signed up to the company’s ‘triple play’ package that consists of broadband-delivered TV, broadband and voice calls.
It’s also taking this opportunity to announce that it’s going to be doubling the number of homes it can reach to 2.4 million in London and the Stevenage area, up from 1.2 million.
The VoD component of HomeChoice lets subscribers choose from over 1,000 movies, over 3000 music videos and hundreds of hit TV series, all available to watch exactly when you want.
“The concept of broadband delivered TV and VoD is very new to the entertainment-buying public and to already have 20 per cent market share of new DSL subscribers in our coverage area so soon after our launch is a great achievement. This gives us the confidence to significantly expand our network”, said Roger Lynch, Chairman and CEO VNL Ltd.
VNL initially made inroads into launching its phase 2 footprint in December 2004 when it enabled five new exchanges, including Stevenage – its first exchange outside of the M25. By ‘unbundling’ the exchange, called LLU (Local Loop Unbundling) in the trade, Homechoice is able to provide customers with a 6.5Mbit connection. 2.5Mb are used for TV and VoD delivery, and up to 4Mbit for Internet connection.
The company’s major marketing push for the re-launched HomeChoice service began in September 2004. During Q4 of 2004, VNL was responsible for one in five new DSL net additions in its initial launch footprint of 1.2 million homes.
The company has continued to build on what it offer its subscribers. In August last year, HomeChoice signed a retail deal with BSkyB enabling its subscribers to watch Sky Sports and selected Sky Movies channels on the service. It has also added telephony to its offering, and is about to launch a music download service that will allow HomeChoice customers to buy downloadable music tracks as they appear on screen. It also plans to double the speed of its broadband service from February, at no extra cost: 512Kbps will raise to 1Mb, 1Mbps to 2Mbps, and 2Mbps to 4Mbps.
HomeChoice
27 January, 2005
RAJAR: UK Internet Radio Listening Increases, Again
This morning RAJAR released their Q4 UK Radio listener figures, over radio, via the Internet and on TV.
For those who don’t follow this kind of thing, RAJAR (Radio Joint Audience Research) is the organisation that monitors and reports the radio listening habits of the UK population, by taking a listening diary of 32,000 people from a pool of 130,000 people around the UK. The figures sound large, and they are. It’s the largest media survey outside the US.
While the details of who is listening to which UK radio station is of great interest to those in that business, the part that caught our attention was the ‘new’ ways of listening to radio, currently via TV-delivery and over the Internet.
It’s worth clarifying that the Internet figures include any listening of the radio on a computer, whether live streaming, using services like the BBC’s RadioPlayer/Listen Again, or Podcasting (download and play).
RAJAR are reporting 16.3% of the UK population, approximately 7.8m people, have used the Internet to listen to radio stations.
The largest area of growth has been in people listening to UK National radio stations over the Internet. This has increased from 8.3% a year ago to 10.8% of the UK population, equating to just short of 4.8m people. It is thought that this is probably due to an raised awareness that the Internet can be used to listen to the radio, helped in no small part by the BBC pushing the service.
Due to synchronicity or just good planning, it’s of note that a new version of BBC RadioPlayer is released today. Providing very fast access to previously transmitted radio content, it comes with a feature that suggests additional programming that may of interest to the listener, based on the program they have selected to listen to. Once Internet listeners become comfortable with features like this, the number of hours listened to online will be significantly boosted.
Strangely the number of people listening to non-UK stations via the Internet has dropped 1.1% from 4.1% to 3.0%. Quite why this would be the case is a slight mystery.
While listening to the radio through a TV might sound like a very strange idea, it’s becoming increasingly popular and includes delivery over Freeview, Sky and Cable TV. Those with a DVR connected to their Freeview box are also benefiting from being able to record radio programmes and play them back when it suits them.
29.7% of the sample (equating to around 14.25m people) reported that they had, at one time or another listened to the radio through their TV. This is up 8.4% from the same month last year.
RAJAR told us that the people listening via non-traditional means appears to be in addition to their normal radio listening.
As these ‘new’ forms of radio listening are clearly gaining favour with the UK public, we feel there would be significant benefit in gaining a more detailed breakdown in how people are using the Internet to access radio. It would be of benefit to all those involved.
RAJAR are in the process of evaluating new ways to monitor radio usage. They are carrying out trials of electronic ‘listening’ devices that are carried or worn by the user. These would replace the manually completed diary version that’s currently used.
RAJAR
National stations – summary
London stations – summary
Detailed figures
New version of the BBC RadioPlayer
27 January, 2005
Music Download Giant Napster Considers Film Service
Napster, one of the largest players in music downloads, is considering offering a film download service. The new service would sit alongside its music offering and help to give the company a competitive edge over its rivals. The technology is already in place to download movies, so the same service model could easily apply to films, television programmes and video games, now that broadband connection speeds are getting faster and more prevalent.
In a move targeted at the younger video-game generation, Napster won’t be the first company to enter the legal movie download market. In the US, MovieLink and CinemaNow are already offering a service to a growing customer base in America. Films on these sites start at around $2.99 (£1.59 Euro 2.29). However, similar to the music industry five years ago, the film industry is struggling to keep piracy at bay with technologies that allow movies to be downloaded quickly and in full to users with high-speed Internet connections. The Motion Picture Association of America has already filed lawsuits against pirates and is cracking down on distribution networks such as eDonkey and BitTorrent.
Regardless, legal film downloads will be a winner and are the future – just like audio downloads. Since broadband, film downloads have surged considerably, and around one in four people online have now downloaded a film, according to the MPAA. Such statistics have encouraged Napster and others to keep an eye on the market.
Since Christmas, Napster UK has reduced the price of its entire music catalogue of over 1 million tracks by 20 per cent. In response to record sales, the more aggressive pricing strategy will mean that full albums now cost £7.95 (US$14.89 Euro 11.43), while individual tracks cost 79p (US$1.48 Euro 1.14) when bought by Napster subscribers or purchased with Napster Pre-Paid Cards and Online Music Vouchers. Pricing for movies has yet to be announced, but it’s obvious they’ll have to be a lot cheaper than the latest DVDs for the service to takeoff.
Napster – UK
Napster – USA
MPAA
25 January, 2005
ntl On Demand Brings VOD to Glasgow
Today ntl turned on its much-anticipated Video On Demand (VOD) service in Glasgow.
Accessible to all Glaswegian ntl subscribers who have the digital TV service, it features free and paid for content including advertiser-free children’s programmes, a ‘Pick of the Week’ option showing a selection of top shows from the previous seven days, a film service, a music video jukebox service, and adult content.
No new equipment is needed at the subscriber’s house, as the software in their current Set Top Box (STB) is automatically updated.
The content is accessed either by pressing the On Demand button on the remote control or by pressing the Red button while watching one of the promotional channels.
The Pick of the Week channel will be provided by the BBC in a six month initial trial. The editorial decision of what is included will rest with the BBC, and it’s expected that a range of shows will be available, including favourites (not ours) such as Eastenders. Each show will be available for seven days from its transmission and it’ll be free to access.
The viewer will have the option to pay for content too, giving then 24 hours access to the content. The cost of the items will be added to their monthly bill.
The film service is supplied by FilmFlex, a separate company run by On Demand Management in a joint venture with Sony and Disney, with “Hundreds of titles, current and classic” films available from 50p to £2. Out of general interest, On Demand applied for the FilmFlex trade mark back in September 2004.
Over 30 hours of Children’s advertiser-free programming is on offer for 20p-50p. Music videos can also be paid for (range 20p-£1.50) with over 35 hours available.
The high price ticket at £7 and largest number of hours of content (over 50) available goes to the Adult content supplied by Playboy.
Coincidentally, Glasgow was also the city chosen to launch ntl’s digital TV service back in May 2000. We imagine that the number of subscribers is manageably low (we did ask for actual numbers but, “this isn’t broken out”), giving ntl a chance to observe the performance of the system and gather feedback, before spreading it around the UK.
ntl are saying they plan to roll it out regionally over the UK during the next two years and all of their 1.4 million Digital TV customers will be able to receive the service. When we asked about the number of non-digital customers, we were told it was in the single percentage figures, possibly as low as 2-3%. Although asked, they decided to keep the order of the planned rollout cities to themselves.
In a statement Simon Duffy, Chief Executive Officer of ntl, said, “VOD is TV the way it’s meant to be.”
Telewest also launched a VOD service today, Homechoice have offered VOD in London and KIT have also been providing VOD in Kingston-upon-Hull for a number of years. ntl
On Demand management
18 January, 2005
Youth Gym Usage Up 15% After PS2 Games Installed
Back at the tail end of last year, Liverpool City Council installed gym equipment with Sony Playstation games consoles fitted to them, in an effort to induce the local youth to come to the gym.
At the time, Councillor Warren Bradley, Executive Member for Leisure was quoted as saying “By fitting television screens and games consoles to the equipment, we will be able to show children that they can combine their favourite activity with exercise. And by teaching children about the positive benefits of exercise.”
Why are we mentioning today? The Sun, a well known tabloid “newspaper”, is running a brief story and editorial comment about it today, deriding Liverpool council spending money on Playstations in an attempt to encourage children into gyms.
Over the two years since we first discovered the Reebok CyberRider, we’ve written about devices that connect games consoles to exercise machines and have been keen on them. The connection of physical input to video games seems like a great area of growth and it’s certainly true that in those two years there have been lots of interesting developments. Sony and Nike MotionWorks have got together recently to bring EyeToy Kinetic to market in autumn 05, combining the camera add-on for the PS2 with fitness software.
We spoke to Donald Hurst, Operations manager of sport and recreation service at Liverpool City Council to get the accurate details on the story.
The equipment that they’re using, supplied by TechnoGym, includes running a treadmill, rowing machine, and cycle. The four machines that they have working at each of their Lifestyles fitness centres at Peter Lloyd, Everton Park and Garston have been particularly well received, both by the children and adults.
It appears particularly popular at the Garston centre, which has 2,000 members and is their busiest site, with the staff receiving quite a number of positive comments from children’s parents.
Keen children are given an introduction session which runs between 4 – 5:30 daily and are then free to choose from a selection of 30 games supplied by the venue. Hurst said they’ve made the decision to currently not let the children bring in their own games, so they have some control over the type of game being played. Once the game has been selected it has to be setup by the fitness instructor.
Hurst put some comparative usage figures together for us that show usage by young people has gone up by 15% over the same period last year since the Playstation had been introduced. He also told us that there is a growing interest from adults to use the equipment as well.
While Liverpool hasn’t yet gone the whole hog of direct connection between physical input and the games, we think it’s a good start. The increase in attendance figures also point in that direction.
Liverpool City Council
17 January, 2005
Ofcom Release Ultra Wideband (UWB) Document
Ofcom released a consultation document today on ultra wideband (UWB) in the UK.
Given Ofcom’s statutory duties under the Communications Act 2003 to ensure the optimal use of the radio spectrum under its management, they should be keen on UWB.
The strength of UWB also causes its problems. By simultaneously transmitting over a wide range of frequencies (around 3.1 – 10.6GHz, if you’re interested), UWB is able to achieve higher data transfer rate than other wireless technologies.
By spreading over these frequencies it has the possibility of interfering with services that currently operate in or around these services, such as 3G, broadband fixed wireless access and radio astronomy.
Back in May 2004, Ofcom commissioned Mason Communications and DotEcon to produce an independent report in to UWB. Delivered in December 2004 (Read the final report, all 218 pages of PDF fun), it looked at the advantages to the UK economy of allowing UWB applications and the disadvantages of increased interference to existing radio spectrum users.
The report focuses on the use of UWB to create a Personal Area Network (PAN) with examples of usage being; providing wireless connections between DVD players, displays and speakers; and using them for high speed wireless links between digital cameras and computers.
While acknowledging interference is likely, it’s clear that Ofcom feels this should be weighed carefully against UWB’s potential benefits. To check this interference, the suggestion is to use a technical ‘mask’, controlling the amount of power that could be used at different frequencies, in an attempt to reduce the impact of interference.
The US regulator has already authorised UWB on a licence-exempt basis, but Ofcom consider the US specification to be inappropriate for the UK. Their proposal is that if UWB is allowed, it should be on a licence-exempt basis, but be limited to the same in-band power levels as permitted in the US, but have tighter out-of-band limits.
Ofcom point out that there is a need to come to a decision soon, fearing US-built UWB devices could be imported in to the UK.
All of these add up to a big pressure on the frequency users that would be affected. It will be interesting to see what their reaction will be during the consultation period which closes 24 March 2005.
Ofcom Ultra Wideband consultation document
Mason Communications and DotEcon final report
13 January, 2005
UPDATED – Mac Mini Announced by Jobs – $499/£339
In what isn’t a surprise move Steve Jobs has announced the Apple “Mac Mini”, a low cost addition to the Macintosh computer range. Priced at $499 (~€380, ~£265) and $599 (~€457, ~£319), it can sit in the palm on your hand (measuring 6.5 inches (16.51 cm) square and just 2 inches (5.08 cm) tall and weights just 2.9 pounds (1.32 kg). True to form for Apple, it looks great.
Disappointingly Apple plan to sell the Mac Mini for £339 (~$634) and £399 (~$746) in the UK. Which, when converted back in to dollars at current exchange rates, don’t sound quite so sweet. Quite why UK uses will have the privilege of paying more is currently unclear.
The bargain-basement prices are because it comes with quite a few things not included – like keyboard, mouse, screen – or “BYODKM, bring your own display, keyboard, and mouse” as Jobs put it.
What do you get for your money? The different prices give you either a 1.25GHz PowerPC G4 or a 1.42GHz (you know when they’re talking about 0.02 of a GHz they’re talking about a budget machine) processor and a 40GB or 80GB hard drive. Two included optical drives are available; a combo, that reads CD & DVD and writes CDs; or a SuperDrive, that reads and writes CDs & DVDs.
Interestingly, the video output is via DVI (Digital Video Interface) and support up to a 1920 x 1200 resolution. DVI is used on many Plasma TV and large LCD screens as the standard interface. Additional adaptors will enable the DVI to be connected to a VGA, S-video and composite video output.
Cleverly they are including lots of software – iLife 05 ( iTunes, iPhoto, iMovie, iDVD and GarageBand); Quicken 2005 and AppleWorks 6, providing word processing and spreadsheets.
It’s connectors to the outside world are – One FireWire 400 port and two USB 2.0 ports. The keyboard and mouse (extra cost) can be connected using these. An optional internal Bluetooth module enabled the connection of a wireless keyboard and mouse. 10/100Mb Ethernet and a 56K modem.
Wireless networking is possible using the internally fitted AirPort Extreme Card – which comes at extra cost.
We see this as Apple’s chance to cash in on all of the non-Macintosh owning iPod users, whether they be computer-virgins or current PC owners who are looking to upgrade.
We were wondering what the final cost of the machines would be when spec’d up with wireless networking, etc. It appears that many other people around the planet were thinking the same thing, as the ordering section of the online Apple Store has fallen over from the demand.
This baby is going to sell – by the truck load. First truck load arriving 22 January 2005.
Apple Mac Mini
Watch Jobs keynote
11 January, 2005
BT Wholesales 4m ADSL Connections
BT has, through its arrangement with over 150 broadband providers, delivery four million ADSL connections in the UK. This figure also includes connections sold directly to the public by BT Retail.
BT say they are connecting a new customer every 10 seconds, equating to an average of nearly 60,000 new connections each week.
The last million milestone was only back in August 2004 when three million connections were announced. A million new connections in one quarter is pretty good.
Currently there isn’t really any competition for BT Wholesale, although some companies are starting to make early moves with specialist services like UK Online.
We see this as another in the long running back and forth between BT and OFCOM. BT tells the press “No BT would equal No Broadband” (as Christopher Bland did to the Telegraph), OFCOM tells them to trim their prices. Is their any co-incidence that BT issued this news on the heals of OFCOM ordering BT to cut the cost of third party access to the customer, opening the market for strong competition for BT Wholesale?. As the Guardian commented
At the moment BT is the gatekeeper to all but 16,000 of the UK’s 25m phone lines, and charges for access to them. The telecoms operator suffered a blow six months ago when it was forced to lower the prices it charges for access to its network. Ofcom is aiming to get a system in place next year that will see 1 million lines unbundled a year.
Will BT continue to be so strong with meaningful competition?
20 December, 2004
Creative Archive Gathers English MP support
The Culture, Media and Sport Committee of the UK House of Commons today released the first volume of its report, “A public BBC.” The committee, made up of eleven cross party Members of Parliament (MP), has taken evidence both written and through expert witness panels going back as far as May 2004.
The 87-page tome contains a lot of interesting and insightful comments from the MPs which are going to take a while to digest. One of the manageable chunks is on the Creative Archive and being long term supporters of it, it drew our eye.
The support from the MPs appears strong, but there’s few items that cause us confusion bordering on concern like the executive summary
7. We strongly welcome the BBC’s proposals for a Creative Archive, and agree that access to this should be free for non-commercial applications. We look to the Corporation to develop, in cooperation with intellectual property owners, innovative solutions that appropriately balance the interests of rights holders with those of the wider public. Digital rights management is a key issue in the modern media environment, and we recommend the DCMS establish a forum for assessing its implications.
We’re slightly confused as to why Digital Rights Management (DRM) is being mentioned in the same paragraph as the Creative Archive. Are these separate items that have just been mentioned in the same paragraph or is their suggestion that the Creative Archive material has DRM applied to it? One of the central ideals of the Creative Archive is the ability for the UK public to load the downloaded content into their video editing packages and create new content. How is this to be achieved if DRM is applied to the content?
Much of this may become clearer when the BBC starts a trial of the Creative Archive in January 2005 as re-announced on 24.Nov.04 by Mark Thompson, Director-General, BBC.
We’re going to be doing some more digging tomorrow to try and get some clarity on this.
Details of material about the Creative Archive
62. In Building public value, the BBC commits to launching a Creative Archive, providing “free access to BBC content for learning, for creativity, for pleasure.” The BBC’s ambition is that, starting with factual material, online access for non-commercial applications will eventually extend across all areas of its output.
63. The Electronic Frontier Foundation espouses the benefits that will accompany the establishment of the BBC’s Creative Archive, and supports its becoming a core element of BBC services. Ultimately, this could comprise the whole of the BBC’s extant archive of radio and television programming, placed online under a licence that permits non-commercial distribution and re-use of this material by “remixers”. This open licensing system is similar to that deployed by the Creative Commons initiative, a system of “some rights reserved” copyright. And it is possible that, by enabling non-commercial exploitation, there is created “a gigantic and clever series of advertisements for the commercial rights” associated with the works.
64. The Creative Archive brings to the fore what Professor John Naughton termed the “maniacal obsession” with intellectual property. In his view, the copyright industries “see digital technology as an unprecedented opportunity to extend control over how copyrighted material can be used to a degree that was inconceivable in an analogue world.”
65. In written evidence, the Music Business Forum expressed concerns that such initiatives should not be allowed to “ride rough shod over the copyrights and performers’ rights of those who contribute to BBC programmes”. There had to be provision for rights holders to be paid for the additional use of their work through access to archives. This should be the case whether in the form of repeat broadcasting fees, extensions of the collective bargaining agreements in place for the payments of revenue for secondary uses, or through the negotiation of clearance for the right to exercise new rights on individually negotiated commercial terms. The BBC ought to consider the case for the implementation of encryption and digital rights management applications in order to counter growing piracy – whether via internet or personal video recorder downloads. The MBF is concerned that while this is available free and unpoliced, commercial download services will be unable to compete and artists, writers and the other creators will have no means of getting paid. “The BBC, as a publicly-funded organisation, has a responsibility to be seen at every opportunity to be upholding the systems of rights that operate in the UK, not least to act as an example to others. The licence fee does not of itself authorise licence fee holders to the free use of BBC output in whatever way they wish.”
66. We strongly welcome the BBC’s proposals for a Creative Archive, and agree that access to this should be free for non-commercial applications. We look to the Corporation to develop, in cooperation with intellectual property owners, innovative solutions that appropriately balance the interests of rights holders with those of the wider public. Digital rights management is a key issue in the modern media environment, and we recommend the DCMS establish a forum for assessing its implications.
Culture, Media and Sport Committee report, “A public BBC”
16 December, 2004
UK Households Buying Second Digital TV, Ofcom
In Ofcom’s morning release of its third quarter figures for digital TV (dTV) penetration in the UK, they’re reporting an estimated 55.9% of UK households now have dTV in some form.
The dominant provider of dTV in the UK is still Sky, with over 7m subscribers, although they have only added 53,000 more in the quarter.
With just short of 4m households is Freeview (the UK Free-To-Air Digital Terrestrial Television service), which exceeds the combined analogue and digital services of UK cable TV providers NTL & Telewest. Pure digital cable is running at 2.5m subscribers.
One of the big concerns with digital switch off has been going beyond the first dTV set in the house. It was fine to say that over 50% of UK households had digital TV, _but_ given that the UK average is 2.5 sets per household, what was going to happen to the analogue sets that were left? There might be a lot of unhappy people not able to watch TV the day after analogue switch off.
The latest figures bring good news to those worried about this. Around a quarter of new sales of Freeview went to homes that already have one digital TV. With the pricing of the Freeview Set Top Boxes (STB) starting from as little as £49 (~$95, ~€71), households must be finding the content on Freeview compelling enough to want also have it in the kitchen, bedroom or child’s room.
What isn’t clear from the figures, is if the original dTV set was Freeview, Sky or cable. We contacted Ofcom to dig a little deeper, only to find that they “don’t dig that deep” into the figures. One thing that did become clear during the chat, was that Sky household’s that purchase a second box are not broken out at all, but are just added to their overall subscriber base numbers.
Full Ofcom Digital Television Update – Q3 2004
14 December, 2004