Cynopsis: DIGITAL
04/15/10

Good morning, it’s Thursday, April 15, 2010, and this is your first early morning digital briefing, reporting from NAB in Las Vegas.

One of the most compelling pitches the broadcasters can make to the FCC at this point is mobile video broadcasting is a far more efficient use of bandwidth than a video-on-demand model. A dozen of the nation’s largest broadcasting groups, many of which are currently testing basic mobile DTV services, have formed a stand alone joint venture to develop a national mobile video content service to provide both live and on demand news, entertainment and sports programming enhanced with content from print and electronic sources. Groups such as Belo, NBC Fox, Scripps, Gannett, Hearst, ION, Post-Newsweek and Raycom will utilize existing broadcast spectrum provided by Fox, NBC, Telemundo and ION with the capacity to reach nearly 150 million U.S. residents.
 

 
ABC‘s full episode iPad app, the first network video viewing app for the popular tablet device, has been downloaded more than 212,000 times since Apple launched it on April 3 and users have viewed more than 680,000 episodes so far. Of the 20 shows available, episodes of Modern Family, Lost, Grey’s Anatomy and Jamie Oliver’s Food Revolution were top viewed shows, according to ABC.
 
Qualcomm’s FLO TV service continues to evolve its premium mobile TV service, introducing new applications that integrate video with web based content including click-on interactive advertising components and social media sharing tools. FLO TV, which has distribution deals with AT&T and Verizon in the U.S., began selling its own “off deck” subscription content service last fall and will begin introducing new pricing models during the second half of this year. Instead of paying $15/mo., consumers will be able to purchase event passes or single day access or pay incrementally for time-shifted catch-up TV viewing.
 
AETN International is making hay by packaging short form content for distribution to digital platforms overseas. New licensing deals announced at MIP-TV include Biography shorts for Italian VOD service Popcorn TV, Mobile 1 Cellular Communications in Israel and the Chinese National Geography educational mobile content service. AETN International also struck a deal involving broadband-suited content for Canada’s Canwest.
 
Digital media and big events like the outdoor Winter Classic helped drive record revenues for the NHL this season, the league’s 92nd overall. The NHL, which has worked hard to recapture its audience after the 2004-2005 lockout, saw uniques to NHL.com rise by 32%, subscriptions to the out-of-market NHL Game Center Live product increase 25% and usage of NHL Mobile rise by 233% over the past season. Extending its presence to social networking platforms like Facebook and Twitter, the NHL says it grew its addressable audience by 800,000 and expanded its reach by syndicating content to third party sites including YouTube, Hulu and SB Nation. Eight “Game of the Week” telecasts on NBC averaged a 0.9 household rating – up 13% from a year ago.
 

 
Interactivation network CONCERT.TV’s “Spin The Bottle” interactive music show, available from now through May 10 on Verizon’s FiOS TV, is introducing web-like interactivity on VOD. Viewers can use their remotes to select musical performances and wander through various rooms of an exclusive music party as a virtual guest. The show was scripted and created using Interactivation’s proprietary technology and will also be available online at concerttv.com. 
 

 
Following up on its commitment to foster more transparency in behavioral targeting and tracking practices, the IAB and the Network Advertising Initiative released the CLEAR (Control Links for Education and Advertising Responsibly) standards, enabling enhanced noticing in online ads. The specs will govern the use of clickable icons and metadata tags to inform users of how their info is being used and how to opt-out of such targeting.
 
Comcast Spotlight and Next One Interactive are teaming to introduce “Homes TV On Demand,” a new VOD channel. Prospective home buyers in more than 70 U.S. markets (representing 15 million digital cable homes) will be able to view hundreds of in-market real estate listings via Comcast Spotlight’s Searchlight VOD advertising platform. Comcast customers can reach the homes listings by selecting channel 888 on their remotes or going to the Real Estate section via their On Demand menus.
 
Online ad firm Betawave signed on to exclusively handle sales and advertising product development for all of the localized North American Spil Games sites including GamesGames.com (for women and families), GirlsGoGames.com (for girls), Agame.com (for tweens), and A10.com (for teens).
 

 
Microsoft‘s Silverlight internet video and rich media platform is spreading its wings to other platforms. Utilized for major live streaming events like NBC’s Olympics and valued by premium content suppliers for its DRM capabilities, Silverlight is being adapted to be utilized in a variety of new applications, including:

• for use in Intel and Broadcom-powered set-top boxes and broadband connected TVs and Blu-ray players
• to power video in Windows Phone 7 and Nokia Series 60 phone platforms
• to enable rough cut editing on the fly to highlight compelling live content soon after its broadcast
• to integrate with the .NET developers platform to run interactive applications

 
Santa Monica-based Ascent Media is teaming with Microsoft to extend the software firm’s Dynamics AX resource planning system to fulfill the needs of the entertainment and media space. Ascent’s AERO solution integrates and streamlines the digital media supply chain from pre-production through packaging and distribution to multiple media consumption platforms and geographies. Ascent also announced a new alliance with British Telecom to form a unified broadcast switching platform, enabling SD content to seamlessly be handed over from New York to London.
 
Digital media distributor Yangaroo inked a multi-year deal with MTV Networks to securely distribute music video content from MTV, MTV2, VH1, VH1 Classic, VH1 Soul, CMT and CMT Pure as well as integrate Yangaroo’s Digital Media Distribution System into the company’s internal workflow.

 
Overall online video usage declined slightly for the 2nd straight month in Feb., the shortest month of the year. Google (primarily YouTube) surpassed the 12 billion videos served mark in Feb., making up about 43% of all videos viewed in the U.S., according to ComScore. Hulu, one of the few sites that gained for the month, remained second with 913 million views – a 3.2% of market share. The average Hulu viewer watching 2.4 hours or 23.3 videos during the month, another all-time high.
 
Top U.S. Online Video Content Properties by Videos Viewed – Feb. 2010
Property                                Video (000)    Share of Videos (%)
Google Sites                     11,950,024            42.5
Hulu                                     912,525             3.2
Microsoft Sites                       622,569             2.2
Yahoo! Sites                          454,761             1.6
Turner Network                      317,623             1.1
Viacom Digital                        305,155             1.1
Fox Interactive Media              290,181             1.0
CBS Interactive                      289,303             1.0
AOL LLC                                 240,102             0.9
Megavideo.com                       188,555             0.7
Source: comScore Video Metrix
 
Top U.S. Online Video Content Properties by Unique Viewers  – Feb. 2010
Property                               Unique Viewers     Average Videos
                                                   (000)                 per Viewer
Total Internet : Total Audience  174,227           161.4
Google Sites                             133,245            93.9
Yahoo! Sites                               53,523             8.5
CBS Interactive                          45,290              6.4
Microsoft Sites                           41,886             14.9
Fox Interactive Media                 40,053               7.2
Hulu                                          39,213            23.3
Facebook.com                            36,632              5.1
Viacom Digital                            35,348              8.6
Turner Network                          31,822             10.0
AOL LLC                                    28,986               8.3
Source: comScore Video Metrix
 

 
Apple has sold more iPads in the U.S. than anticipated – 500k in the first week alone – so many, in fact, that the company is going to have to delay the launch of the iPad internationally by a month until the end of May. Pricing and pre-order info will be announced on May 10.
 
Are you ready for some mobile futbol? Univision Interactive Media has launched a dedicated Futbol App on Apple’s App Store to complement the network’s coverage leading up to the 2010 World Cup coverage. The app will feature news, video and photos directly from South Africa along with customization features allowing fans to track the progress of their favorite teams. Univision promises that the Futbol App will also be optimized for Apple’s new iPad in time for the World Cup.
 

 
After receiving another $50 million in funding, fast growing woman-targeted global ad network Glam Media is opening a international headquarters in London, to be run by Co-Founder and EVP, Glam Global Partners, Ernie Cicogna. Ernie’s London hat will read GM, International.
 
Martha Stewart Living Omnimedia, Inc. hired Elizabeth Graves Editor-In-Chief Of Martha Stewart Weddings. The Former Blueprint Editor returns to MSLO From Real Simple and will report to Editorial Director Gael Towey.
 

 
The cable industry’s TV Everywhere initiative, offering authenticated broadband access to cable TV network programming that customers pay for as a part of their linear subscription packages, is a win for cable networks in a sense that it increases the audience for its shows. But programmers don’t want to put all their eggs in that basket. Nor do they want to have to pay Apple 30% of the proceeds for every episode they sell online. Disney‘s ABC Family is experimenting with a new distribution model, streaming new episodes of 10 Things I Hate About You in a pay-per-view window for a period of 72 hours after it initially airs. The shows, which can’t be saved to the hard drive, are priced at 99 cents/episode (after which ABC Family and Hulu offers it for free on an ad supported basis.) Online video platform Ooyala, which offers a soup-to-nuts video delivery and tracking solution, is powering the offering and says that this is the time to experiment with such delivery models. “There are many assumptions out there about what works, what’s popular and what can be monetized but are they based on experience?” asks Scott Frost, Senior Solutions Architect for Ooyala. “I encourage our clients to experiment and watch closely to what happens.”
 

A CYNOPSIS MESSAGE FROM ROVI

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Later – Wayne
Wayne Karrfalt for Cynopsis: Digital
wayne@cynopsis.com
04.15.10

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