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Copyright court decision to impact Australian IPTV models

The Playroom general manager Andrew Hogg told Encore that the decision marks the moment when broadcasters, content providers and creators will finally sit down with ISPs to find genuine solutions and models.

Head of digital Tom Kennedy added that companies are already looking at ISPs as delivery platforms through an IPTV service, but they have to find a balance between reasonable access, efficiency and a good price model, the way the music industry has done with iTunes and other legal download services.

According to Kennedy, the release windows that studios have been fighting so hard to protect to maximise their theatrical revenue are not just narrowing, but collapsing. He foresees much more aggressive and simultaneous platform releases.

The Omnilab Media-owned company unveiled its state-of-the-art digital media hub last year, providing broadcast and distribution services and strategies to clients such as The Movie Network. Their planned expansion into digital platforms and IPTV is gradual. To help with the company’s technological expansion into the future, The Playroom has appointed a new head of technology, Craig Armsworth, whose previous role with Magna Systems and Engineering saw him work in the development of the company’s digital hub.

Although the infrastructure is there, clients are still doing traditional and high definition content delivery, in addition to their incipient digital efforts. The hub’s technological capabilities are not being utilised at 100 percent capacity.

“Because the facility is digital in its workflow and it’s based on IP protocols, it gives you the flexibility to move from that digital broadcast into IPTV,” explained Kennedy. “We have been working on a range of platforms already, including iTunes, ninemsn, BigPond, Telstra Mobile.”

According to Hogg, clients are still “dipping their toes” into the market, which requires a considerable growth in broadband access and development of commercial models.

“Both are important,” said Kennedy. “It’s not necessarily about having new infrastructure; it’s constrained within an individual user’s home data caps. The ubiquity of broadband and more generous data caps will generate more commercialisation of content.

“We’re expecting to see a range of improvements, with ISPs’ expanding data plans and offering content services that are not part of their data cap [such as ABC’s iView].”
For broadcasters and studios, the main challenge is to monetise their online content. Hogg says The Playroom is operating not just as a supplier and playout facility, but also working with clients to develop strategies for content and delivery.

“Broadcasters are preparing to take risks with their content and platforms that are yet to be proven, and we’ve used that analysis and information to make our business case in terms of processes, what is the best platform to invest in, what is working, what isn’t, what is the consumer behaviour,” said Kennedy.

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