intracom_intracom 28/05/2015 18:34 Page 1
Smart TV is more than
just an appliance!
Experts at Intracom Telecom analyse the major trends and enablers shaping the
global digital video industry.
he global IP video industry is
currently undergoing a rapid
transformation which affects
all players in the field. Video is now
responsible for exploding traffic
volumes that force Service
Providers around the globe to
constantly enhance and upgrade
their networks.
T
One can identify three major trends that
accelerate change:
1. Globalisation. Video, like so many
other media, is becoming a global
‘entity’, in terms of both reach and
content origin. Netflix, for example,
covers almost half of the world: the
entire Americas, Europe and APAC.
Likewise, Amazon Video serves several
geographies, while nobody can ignore
YouTube and its worldwide popularity.
Similarly, a number of European
international players grow steadily.
2. OTT Tactics Assimilation. Video
Service Providers embrace OTT tactics
when dealing with their subscribers or
even go beyond them. HBO in North
America with their ‘GO’ service, Sky,
Swisscom and so many others are
among the Providers that have ridden
the wave, with a growing number of
other players adopting such a strategy.
3. Expansion to B2B. Service
Providers were traditionally focusing
on residential users, fighting hard
against their competitors for the
biggest market share, higher APRUs
and minimal churn. Lately though,
Service Providers devote more and
more attention to enterprise
customers, since the B2B market is
seen as the new battlefield and
opportunity.
Because of all above trends, every digital
video player needs agility and efficiency
18 ADVANCED-TELEVISION.COM
in a variety of roles. These two universally
sought-after qualities, however, cannot be
realised without the aid of 3+1 major
enablers.
Cloud
In order to keep up with geographic
expansion, network bandwidth and
quality demands, global video service
providers have two options: either to
invest heavily in high-capacity networks,
covering practically the entire globe, or to
outsource their networking needs to
partners. The second option is much more
efficient and allows them to focus on
acquiring and promoting video content,
which is their core business. In this
respect, there is no wonder why Cloud
TV, in one form or the other, is a concept
well positioned in the agendas of Service
Providers everywhere.
Migrating one’s video delivery engine
and CDN to the Cloud, in principle, can
be a complex and risky endeavour.
Thankfully, cloud technology advances
successfully address nearly all challenges,
including capacity, flexibility and
security.
Network Virtualisation
The second enabling technology is the
combination of Software Defined Networks
(SDN) and Network Function
Virtualisation (NFV). With network
virtualisation, functional nodes, like video
streamers, transcoders or video
encryptors, become just software instances
that can be brought to life or be ‘decommissioned’ dynamically through a
powerful orchestrator platform. In this
way, Service Providers can respond at
short notice to the needs of special, high-