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Tag: set-top-boxes

  • IPTV Set-Top Boxes to Gain Increasing Foothold

    Set-Top Boxes sold into the up-and-coming Internet Protocol TV segment will ramp up in terms of shipments and revenue in the years to come, offering increasing competition to legacy products in the STB market, according to iSuppli.

    In the recent report iSuppli says STB equipment sold into the IPTV market is projected to grow to 58 million units in 2014, up from 19.4 million in 2009. Revenue will rise to $6.2 billion, up from $2.9 billion in 2009.

    For these IPTV STBs, which allow the delivery of television services over a high-speed digital network and provide guaranteed quality of service, the numbers translate into a Compound Annual Growth Rate (CAGR) of 25 percent for unit shipments and 16 percent for revenue.

    All told, IPTV STBs accounted for 14.7 percent of total set-top box unit shipments in 2009, and are expected to make up 29.1 percent of shipments in 2014.

    In order to fulfill the promise of exciting interactive applications held forth initially by the IPTV industry, iSuppli believes further innovation is needed to differentiate IPTV services from those offered by the cable and satellite providers.

    In comparison, the legacy STB market consisting of the cable, satellite and terrestrial segments will end 2009 with unit shipments of 132 million. Unit shipments for this market are projected to reach 199 million in 2014, rising at a CAGR of 8.6 percent for the forecast period.

    IPTV Players and their Crowded Playground
    According to iSuppli, the principal difference between legacy STBs and their IPTV counterparts lies in the way the boxes receive information: IP STB equipment receives video content over a broadband pipe via Internet Protocol data packets, while legacy boxes receive an RF-modulated signal. Furthermore, IP boxes do not require a tuner and demodulator, which are requirements for legacy boxes.

    With more than 60 vendors claiming to have an IPTV STB product, the IPTV equipment market remains highly fragmented. However, just 15 vendors supplied 92 percent of the market in 2009. Motorola Inc. was No. 1 with 32 percent market share, followed by Cisco Systems Inc. with a 14 percent share.

    Among companies involved in supplying the platform software for IPTV boxes, Microsoft Corp. held sway with its Mediaroom middleware, accounting for 25 percent of the market with 4.8 million STBs in 2009. Microsoft had three times the share of its closest rival—French-based Thomson SA with its SmartVision software.

    As in the PC industry, Microsoft is driving the technical requirements that will shape product offerings from silicon vendors and makers of STBs alike, iSuppli believes.

    Next-generation media processors will also ramp up in 2010. Newcomer Broadcom Corp. is expected to lay siege to Sigma Designs with its BCM7405 processor—recently certified for Mediaroom deployments—ending the advantageous position of Sigma Designs as sole provider of Mediaroom-certified processors.

    Nonetheless, Sigma Designs is expected to fire back, and its next-generation SMP8650 family of processors will benefit from the company’s incumbent position in many existing IP STB sockets.

  • Apple Updates Apple TV with 3.0 Software: More HD Content to Be Sold

    After months of speculations whether Apple will release completely new Apple TV device making it a high-end media center for our living rooms or rather leave it, more or less, as it is (means without all the latest true HD capibilities, IP streaming, Blu-ray, live TV ability, HD recorder, 1080p support, etc.)… we still don’t know the answer.

    The company introduced new Apple TV 3.0 software witch gives us not more than a redesigned main menu – that is said to give a faster access to the content, possibility to watch iTunes Extras and enjoy iTunes LP in fullscreen and listen to the internet radio (including stations in high-quality HE-ACC formats).

    Adding only cosmetic changes to a device with such a huge potential doesn’t mean Apple gave up developing Apple TV and converting it to a set’top box with all the capabilities offered by the HD market, but it gives a next signal that the company will do nothing that would pull people away from iTunes.

    On-demand HD movie rentals and purchases, HD TV shows, music and podcasts from the iTunes Store give Apple millions. According to the company, Apple TV gives direct access to a catalog of over 8,000 films on iTunes including over 2,000 in HD video available for rent or purchase. Users can also choose from a selection of 11 million songs, 10,000 music videos and over 50,000 TV episodes. Renting a movie in iTuens runs from $3 to $5, buying would costs us $14,99. And there are 65 million users of iTunes out there.

    “HD movies and HD TV shows from iTunes have been a huge hit with Apple TV,” confirmed Eddy Cue, Apple’s vice president of Internet Services.

    Adding anything that would take Apple from iTunes revenue (like additional drive – Blu-ray or, at least DVD, IP streaming or live TV) wouldn’t have any sense from the economical point of view. The only thing can happen is that Apple will add to the Apple TV an access to App Store to maximize revenues from the application market.

    Piper Jaffray analyst Gene Munster predicts that Apple will sell 6.6 million AppleTV units this year.

    ***
    The new Apple TV software is available immediately free of charge to existing Apple TV owners. Apple TV with 160GB capacity is available for $229.

    Apple TV requires an 802.11b/g/n wireless network or 10/100 Base-T Ethernet networking, a broadband Internet connection and a high definition widescreen TV.

    Apple has also released iTunes 9.0.2, adding support for Apple TV 3.0.

  • First US Cities Get Tru2way Digital Cable Service


    Consumers in Chicago and Denver will be the first in the US to experience Comcast’s video-on-demand without a set-top box.

    Panasonic and Comcast today unveiled a tru2way digital cable service for the two cities with additional cities expected to go live in the coming months.

    To coincide with the platform launch, Panasonic’s new tru2way VIERA HDTVs will be available in certain retails stores in Chicago and Denver.

    The Panasonic HDTVs are built with tru2way technology inside, enabling consumers to access two-way digital cable programming, such as video-on-demand, without a cable operator-supplied set-top box.

    Mark Hess, Comcast’s senior vice president of Video Product Development, said tru2way technology was a gateway for customers to experience the next generation of interactive television.

    "This common platform also will let us develop an exciting array of interactive services and applications that we can deliver on our advanced fiber network to a variety of consumer electronics devices," he said.

    Panasonic had announced at the May 2008 Cable Show that the first tru2way HDTVs would be available for consumer purchase at retail by fall 2008.

    Dr Paul Liao, Chief Technology Officer, Panasonic Corporation of North America, said the arrival of the first tru2way HDTVs at retail, combined with Comcast’s activation of its first tru2way head ends, were among the most significant milestones in the cable industry.

  • HD Drives Freesat Sales to 100K in Five Months


    The UK’s free-to-air satellite service Freesat has racked up 100,000 sales since its launch in May.

    Freesat said high definition coverage of major sporting events over the summer played a key role in encouraging people to buy HD set-top boxes.

    Co-owned by the BBC and ITV, Freesat offers a satellite alternative to the Freeview service on digital terrestrial television.

    It is taking on competitor Sky by offering free TV channels, including some HD ones, once customers pay for a Freesat receiver.

    There are now around 120 TV and radio channels and Freesat said that its early success was greatly boosted by BBC HD and ITV HD offering free HD coverage of Euro 2008, FA football, Wimbledon and the Olympic Games.

    The service expects to have 200 channels available by the end of 2008 – including subscription-free high definition channels from the BBC and ITV- and 230 by early 2009, with around 30 channels added each month.

    Freesat is promising a packed HD Christmas schedule and November will see the launch of Freesat+, the first digital television recorder (DTR), from Humax.

    Earlier this month, ITV director of group development and strategy Carolyn Fairbairn replaced Tim Davie as chairman of the Freesat.

  • How Do You Turn a PS3 Owner Onto Blu-ray? With a Remote

    Hollywood studios recognise the importance of PlayStation as a driver for Blu-ray Disc (BD) sales and remote control is indicator of household demand

    Reports on Blu-ray’s progress – and difficulties – on the road to becoming the mass-market video format are legion.

    Monica Juniel, vice president of international marketing for Warner Home Video, added an interesting statistic into the mix during her presentation at IFA 2008 in Berlin last week.

    According to the former commercial banker, Sony PlayStation owners that possess remote controls for their games consoles buy more than twice as many BDs as those that don’t have them.

    Perhaps not rocket science, since if you are going to be watching movies on the PS3 it’s fairly fiddly doing it with a game controller.

    But with millions of PS3s sold around the globe, it’s understandable why those with an interest in the Blu-ray industry pay particular attention to how they’re used.

    Games and Movies

    In July, a report from the Entertainment Merchants Association (EMA) showed that 87 per cent of PS3 owners watched Blu-ray movies on their console.

    While this is an impressive headline figure, Warner aren’t getting carried away with it.

    According to Juniel owners of stand-alone Blu-ray players buy twice as many BDs as PlayStation households.
    She said this undoubtedly meant there were “other opportunities” for the format.

    “There are a few things that are slowing us down,” she said. “PS3 comprises the majority of the installed base, but with software buy rates significantly lagging behind those of Blu-ray set-top box owners.”

    Control by Remote

    Juniel said one way to drive BD movie sales was to “convert PS3 households via remote control usage” – the logic presumably being that if it’s easier to play the disc, you’re more likely to buy more of them.

    No figure was given for the percentage of PS owners who had remote controls but HDTV.biz-news.com has asked for the data and will post an update as soon as its received.

    She also detailed a few other barriers to purchasing Blu-ray Discs, such as hardware prices and consumer indifference.

    Remove issues such as these and there might be a lot more people happily zapping their PS3s.

    Do you agree? Please let us know your comments on what the real barriers are to consumers adopting Blu-ray technology.

  • Set Top Box unit shipments spike as digital TV services proliferate


    Strong demand for digital STBs led to record shipments totalling 143 million units in 2007, according to market analysts In-Stat.

    The results ensure that the digital STB market remains one of the fastest growing segments of the consumer electronics industry.

    UK set-top box specialist Pace just announced a rise in STB shipments of 55 per cent in the first half of this year, helping push revenues forward 22 per cent to £231m.

    Heavy consumer interest in Free-to-Air satellite services, coupled with the expanding availability of digital cable TV and IPTV services, have helped fuel the industry’s best ever results.

    Among the other results included in The Global Digital Set Top Box Market are:

    *  Worldwide digital set top box unit shipments reached 143 million in 2007, up sharply from 121 million in 2006.

    *  Satellite set top box unit shipments accounted for just over 50 per cent of all global digital set top box unit shipments last year, while digital cable set top boxes made up 29 per cent of total unit shipments.

    *  Worldwide digital set top box product revenues hit US$14 billion in 2007, an increase of US$3 billion over 2006 revenues.

    * The market for semiconductor components inside digital set top boxes also grew significantly last year. The total value of semiconductors embedded in digital set top boxes increased to US$7.7 billion in 2007.

  • HDTV-enabled receivers boost Pace's STB shipments

    “HD is the flavour for just about everyone…there is a big trend upwards towards HDTV”

    Pace CEO Neil Gaydon


    UK set-top box specialist Pace saw box shipments rise 55 per cent in the first half of this year with HDTV-enabled receivers with built-in hard drives fuelling the growth.

    Volumes rose from 1.8 million in the half-year to December 1 2007 to 2.8 million units to June 30. The additional shipments helped push revenues forward 22 per cent to £231m (£190m to Dec 1 2007).

    They also signalled a reversal of fortune at its French operation, which in the half-year moved from an anticipated loss, to profit of £2.1m.

    Despite the inevitable squeezes on factory-gate prices Pace’s operating margins were up marginally from 20.7 to 21 per cent.

    The performance helped profits (before tax and exceptionals) rise from £10.6m (half-year to Dec 1 2007) to £11.2m this year.

    The company says it is now working with 17 of the world’s top 25 pay-TV operators, and reported a CAGR of its HD-PVR shipments up 49%.

    Pace CEO Neil Gaydon said the company had made strong progress in the first half, building on the performance momentum it has created over the last three years.

    “We launched ten new high definition products with customers around the world and improved the overall performance across the group,” he said.

    “The business is in good shape to capitalise on growth in our core set-top box business, new markets and new technologies as the world embraces the wide range of digital TV solutions.”