Re: General Sky TV Discussion
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Originally Posted by Chad
(Post 35692802)
Sounds interesting however I'm unable to read the full article due to reaching this months free article limit with the Telegraph. Would one of my chums mind copying and pasting the full article for me? Many thanks
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Here you go
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BSkyB is preparing a major overhaul of its set-top box technology to address the threat to its subscription business from internet-based television services from American giants such as Amazon, Apple and Google.
A special unit has been set up within the company under the name “Project Ethan” to develop an entirely new system that will aim to make it easier for customers to access programmes on any device, The Sunday Telegraph can reveal.
For instance, Project Ethan is understood to include plans for television recorded using the Sky+ service to be stored in a central data centre rather than on set-top box hard disks. The recordings in “the cloud” will be accessible via smartphones and tablets, or on internet-connected televisions outside the living room.
For both recorded and on-demand video, the new software will make it possible for viewers pause on their main television and then pick up where they left off on another device, and vice-versa. Sources said BSkyB, which formerly referred to the investment as “Project 2016”, could roll out the system to millions of customers as soon as two years from now.
The multi-screen technology would also allow BSkyB to extend the reach and sophistication of its recently-launched targeted advertising service. In one possible scenario, retailers could target viewers in a given postcode on their sofa then follow up with a special offer delivered to their smartphone via the Sky app.
Project Ethan is being led by Andrew Olson, BSkyB’s director of product development. He joined the company at the end of 2012 from the American cable giant Comcast, where he was chief operating officer of its “converged products group”, involved in development of a similar service that is already on the market.
BSkyB is also working on software and hardware in preparation for the shift to ultra-high definition television, known as 4K. The first screens capable of displaying such pictures, which are four times sharper than the current high definition standard, are already available and BSkyB has successfully trialled broadcasts via its existing satellite infrastructure.
As well as the software developed under Project Ethan, subscribers to a new ultra-high definition Sky package would need a new set-top box, which is understood to be in the works. Mr Olson last year took a board seat at ViXS, a specialist Canadian semiconductor company that this month announced a new microchip that is “a high-performance, yet cost-effective, solution for the next wave of set-top boxes, gateways and other consumer premise equipment solutions aiming to deliver ultra-high definition 4K content service”.
A BSkyB spokesman said: “Innovation is at the heart of Sky’s business and we are constantly looking at ways of enhancing our service for customers.”
BSkyB is already investing in preparation for the overhaul. It is spending up to £70m this financial year to increase the proportion of customers with the latest Sky+HD set-top box, connected to the internet. At the last count 4.4 million of the more than 10 million Sky television households had the equipment necessary for Project Ethan to be deployed.
BSkyB is not the only satellite broadcaster with a stake in its development of internet technology. The company, 39pc owned by 21st Century Fox, also supplies set-top boxes to Sky Deutschland and Sky Italia, which are wholly-owned by Rupert Murdoch’s television group.
All traditional pay-TV providers are wary of the threat to their businesses from internet giants using improving broadband infrastructure to deliver programming “over the top” at lower prices. Google and Amazon have already introduced devices to connect televisions to their streaming services and Apple is has been rumoured to be preparing a big push into the living room for years.
Netflix is meanwhile busy signing deals with cable operators, including Virgin Media, who would rather offer it as part of a subscription than lose customers to it. Virgin Media is also testing a cloud-based recording system along the lines of Project Ethan with its set-top box provider TiVo.
BSkyB’s sporting rival BT is also investing in improving its set-top box technology. Along with its partner TalkTalk, it recently agreed to increase its spending on the YouView consortium.
BSkyB is due to report third quarter results on Thursday. Analysts expect operating profit for the first nine months to fall 9pc to £907m as a result of spending on connected set-top boxes and sports rights. Revenues are expected to rise more than 5pc to £5.68bn, however, as customers spend more on internet-based on-demand services.
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