Broadcast Technology - A Key Resource to Broadcast Technology

Fact Sheet-Mobile TV

'Mobile TV' or 'video on handhelds' is widely accepted to be a major business opportunity - probably the first major mass market opportunity since digital mobile communications arrived late in the twentieth century. Yet speculation is currently rife as to the ideal business model for Mobile TV, with huge emphasis being placed on identifying the key players in the value chain. This challenge is compounded by a number of different Mobile TV technologies and networks under consideration across the world.

Definition of Mobile TV: The concept of video on handheld devices comes in two main guises: that which is downloadable for viewing at the one's convenience (for example 'video on demand' or 'podcasts'), and that which is streaming content in real time ('mobile television'). Downloadable content, by its very nature, is generally delivered to handheld devices via one-to-one (unicast) connections, such as 3G cellular or even the Internet. Streaming content, on the other hand, can be delivered via either unicast or broadcast platforms (one-to-many). Content may range from repurposed television programs, live sporting events, radio or supplementary data in the manner of 'Infocasting'.

Broadcast versus Unicast: Broadcast Mobile TV delivery platforms offer a number of advantages over unicast. One of these is the utilisation of dedicated spectrum for broadcast services, which eliminates any impact (or dependence) on finite-capacity (contention limited) 3G services. The greater sustainability of broadcast TV platforms is well accepted. The dedicated spectrum also means that Mobile TV services can be broadcast using 'more ideal' spectrum. UHF frequencies (460 to 860MHz) and VHF Band III (170 to 240MHz) offer the best balance of coverage penetration, handset design, infrastructure costs, and practicality. L-Band frequencies (~1450 to 1675MHz) are also being utilised in some deployments where UHF spectrum is scarce, e.g. Europe.

Network topology: The choice of network topology for broadcast Mobile TV is generally dependent on how best to leverage existing infrastructure. Two leading architecture models have emerged: the mobile network overlay, where existing mobile base station infrastructure is employed; and a broadcast network overlay, where existing broadcast transmission infrastructure is utilised. The most straightforward and economical of these is the latter, where the Mobile TV multiplex/services are deployed at a city's main television broadcast transmission site to provide blanket coverage. Supplementary in-fill repeater stations support the main transmitter. This architecture requires far fewer transmission sites than those associated with a mobile network overlay. This streamlined approach to infrastructure, coupled with superior coverage, makes a broadcast Mobile TV architecture the preferred option. However, it is prudent for potential service providers to compare both options, as local issues may have an impact in the final decision.

Broadcast Mobile TV platforms:

Various Mobile TV platforms have been developed globally to combat issues of mobile device reception, battery life and screen resolution.

• Digital Video Broadcasting-Handheld (DVB-H) is an adaptation of DVB-T. There is also a satellite hybrid variant (DVB-SH).
• Digital Multimedia Broadcast (DMB) is derived from the Eureka 147 Digital Audio Broadcasting (DAB) standard. Both terrestrial (T-DMB) and satellite (S-DMB) variants are vailable.
• Media Forward Link Only (MediaFLO) is a proprietary technology for the delivery of multimedia content.
• Integrated Services Digital Broadcasting (ISDB) '1seg' uses the 13th segment of the digital terrestrial television signal for mobile content.
• A host of additional standards are also in development, particularly in China.

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Mobile TV - OPPORTUNITIES and CHALLENGES

Mobile multimedia and television services offer a raft of new opportunities to mobile carriers, content providers, and broadcasters; as well as presenting some interesting challenges:

The Opportunities

New revenue stream: The clear business potential for Mobile TV has been demonstrated by user trials around the world, as well as commercial services in Korea, Japan, and Italy. The success of 3G video services globally also suggests consumer enthusiasm for Mobile TV.

Receptive Asian mobile market: The Asian market is a particularly 'ripe' candidate for Mobile TV, given its history of high mobile subscriber penetration.

Leverage existing billing relationships: By integrating Mobile TV services with 2G and 3G services, the consumer relationship is already established with mobile operators. From the consumer point of view, it may merely be a case of upgrading handsets.

The Challenges

Defining the business model: Mobile TV is an attractive business proposition for many different players (content providers, mobile operators, broadcasters, broadcast service providers, media companies, licensing bodies to name a few). Getting the balance right (investment, revenue, risk) between the key players will be the number one challenge.

Technical learning curve: Mobile TV networks will involve significant capital outlay, so getting the technology and implementation right at the outset will be imperative. Network deployment challenges include:

• understanding the strengths and weaknesses of the different platforms
• the cost / number of channels / Quality of Service (QoS) / coverage trade-off
• accommodating different network architectures (mobile or broadcast network overlay)
• understanding the impact of Mobile TV services on existing TV services
• coverage planning, including in-building coverage and Single Frequency Network (SFN) design

Mobile TV - Broadcast Australia's SOLUTION

Broadcast Australia's extensive Mobile TV experience gives the company a unique perspective on how such services and networks can be successfully realised. Its Mobile TV trial experience includes:

• DVB-H trial in Sydney, Australia
• Mobile TV showcase at the 2006 Melbourne Commonwealth Games
• Sister company Arqiva's DVB-H trial, Oxford, UK
• Arqiva's MediaFLO trial, Cambridge, UK
• Arqiva's DAB/DMB L-Band trial, London, UK

Through participation in these trials in various capacities, Broadcast Australia has gained powerful insight into Mobile TV services from both technical and commercial (user) perspectives. Technical aspects include network planning and coverage performance for different network architectures, systems integration (including adjacent channel and Mobile TV headend issues), SFN deployment, and interactive capabilities and costs.

The commercial aspects of the trials have provided insight into consumer use of Mobile TV services such as: demand cycles and locations; content preferences; handset functionality and impact of QoS. The trials also allowed various key stakeholders - mobile carriers, content providers, broadcast service providers and technology providers - to determine how potential commercial partnerships might work.

The Mobile TV 'value chain' Since Mobile TV represents a convergence of industries, the resulting business model and 'value chain' is a complex mix of multiple stakeholders who ensure firstly that content is delivered to the end-users and secondly that revenue is collected and distributed among all parties.

• Content providers
• Content aggregator/multiplex owner*
• Mobile TV transmission network provider*
• Spectrum owner (usually government body) and licensee*
• Channel to market that acquires, owns and manages relationships with end-users
• Audience/end-users

(*Broadcast Australia has the experience and expertise to take on the combined roles of overall mobile TV transmission network provider, content aggregator/multiplex owner and spectrum licensee or any one of these. The company is also very well positioned to take on a consulting or operational role for any individual aspect of these key value chain elements. )

Model TV Value Chain

Achieving the 'optimal' network:

There are many variables that need to be balanced in order to realise the 'optimal' Mobile TV network. The key is to identify what consumers want, then design and deliver the service efficiently to meet these requirements.

Key factors include:

• Video/audio quality - Higher bit and frame rates will yield higher quality and it is important to ensure that the quality standard is set sufficiently high so as to differentiate Mobile TV from 3G, but not so high as to drive excessive network costs. This becomes a key factor when supporting devices with larger screens.
• Geographic coverage - As with the evolution of cellular networks, identifying the key markets to cover first will be critical.
• In-building coverage - Trials have identified the importance of in-building coverage. However, balancing this with the increasing costs of building networks with greater in-building penetration will be critical.
• Need for regional variations - Supporting regional variations of programming will be a requirement in many markets. However, this has implications on headend, distribution, and network design costs, which need careful planning.

The four critical Cs of Mobile TV

When implementing a new Mobile TV service, there are four key criteria that research has shown will have major impact on its success:

• Content - Given the plethora of entertainment options, today's modern consumers have short attention-spans. It is thus imperative that Mobile TV content is compelling. Trial results indicate that viewing sessions average around half an hour, with a wide selection of genres essential to entice users to the service.
• Coverage - The importance of network coverage cannot be understated. Consumers demand and expect ubiquitous mobile phone coverage and Mobile TV will be no different. Coverage at the time of launch must be designed to meet or exceed customer expectations, with well defined plans for evolution. Indoor coverage is likely to also be important; for example, in metro tunnels, shopping centres, and airports.
• Convenience - No consumer wants to battle with their electronic device and user trial results support the importance of convenience. This can mean handset functionality (such as user interface, form factor, battery and receive performance), integration with other services such as 3G, or quality of service. Interactivity is likely to be another driver for user take-up.
• Cost - There are two aspects of cost to be considered. Any Mobile TV network will be a balance between establishment and operational costs versus the price that's acceptable to consumers. Mobile TV network owners and partners will need to make smart choices to optimise their bottom line, while making the package attractive to consumers. The key will be pacing investment to develop a revenue stream, which can then be fed back into the network.

Broadcast Australia's core deliverables for Mobile TV

• Trials experience - Broadcast Australia has participated in various Mobile TV trials, providing insight into commercial and technical aspects of Mobile TV.
• Technical expertise - Broadcast Australia has unrivalled expertise in RF planning, broadcast network design, and end-to-end systems integration. The company has experience with multiple digital platforms, including DVB-H and DAB, plus extensive experience of wide area SFN design and operation.
• Business Expertise - Broadcast Australia has developed full-scale commercial business plans for mobile TV, including models to analyse the trade-offs involved.
• Operational experience - Broadcast Australia's network is one of the most extensive in the world and its Network Operations Centre (NOC) the most technically advanced. The Sydney DVB-H trial was aggregated, multiplexed and broadcast from the company's Gore Hill facility, in Sydney.
• Speed to market - Broadcast Australia has established relationships with technology providers and other key Mobile TV stakeholders to facilitate time to market. The company's leading project management capability will ensure complex technology rollouts, such as Mobile TV, are delivered in a timely fashion, within budget.
• Potential capital funding - Broadcast Australia offers the potential for capital investment.
• Participant in core technology standards-setting bodies

Mobile TV - OUTCOMES

Mobile TV is in its infancy, but the potential opportunity is enormous. Wrong decisions could result in major cost differentials and/or major customer dissatisfaction. Choosing the right technical, planning, content and distribution partners will therefore be vital.

The ideal business plan: Successfully exploiting the Mobile TV business opportunity will depend on several key success factors.

• Understanding the competitive environment - Weighing the strengths and weaknesses of competing Mobile TV solutions will make or break the Mobile TV proposition. Also, choosing the right partners and being clear about respective positions in the value chain will be essential.
• Getting the consumer proposition right - High expectations from consumers means QoS, coverage, content and pricing will be critical. As will handset form- factors, functionality, brands and prices.
• Making technology choices - With multiple Mobile TV platform and infrastructure options, initial choices will radically drive the level of network investment and influence long-term viability.
• Network planning - User trials have highlighted the importance of coverage quality and penetration (including in-building coverage); getting it right in the planning stage will be vital to meeting these expectations while still keeping costs to a minimum.
• Phased introduction of services - An opportunity to de- risk deployment lies in phasing the service launch across geographical areas.
• The importance of content - There's a need for a rich mix of relevant local, international and 'specific-to-mobile' content, provided by broadcasters, pay TV operators, rights owners and content makers.
• Channel and speed to market - It is likely that Mobile TV will sell through existing channels to market, so identifying the most appropriate of these early will be important. Likely contenders are mobile operators, pay TV operators or other businesses with strong consumer brands.

Broadcast Australia

As the owner and operator of one of the most extensive terrestrial broadcast transmission networks in the world, Broadcast Australia provides transmission services for radio and television (analogue and digital) broadcasters and offers site sharing and infrastructure services.

With over 70 years broadcast transmission experience, Broadcast Australia plays a strategic role in developing new and emerging technologies - including Infocasting, Digital Radio and Mobile TV. The company's aim is to provide world-class broadcasting solutions throughout the Asia Pacific region by working with strategic partners, including wholly owned subsidiary, The Bridge Networks.

Broadcast Australia is a 100% owned subsidiary of Macquarie Communications Infrastructure Group, an entity listed on the Australian Stock Exchange (ASX code: MCG). It's sister company, the UK-based Arqiva, specialises in providing broadcast transmission solutions for fixed and mobile media applications.

Enquiries:
Broadcast Australia
Telephone: +61 2 8113 4666
Web site: http://www.broadcastaustralia.com.au