50 TVBEurope Data Centre
The Forever Evolving Experience
Following on from our Tomorrow’s World feature assessing the landscape for broadcasters in a future Networked Society, we invited Ove Anebygd, VP and head of media at Ericsson, to provide an insight into the company’s Media Vision 2020 report profi ling the ‘game changers’ infl uencing the media and entertainment world
THE YEAR 2020 will mark approximately a century of broadcast television.
At Ericsson, we predict that it will become a $750 billion dollar business serving more than eight billion connected devices, as we move towards the Networked Society where everything that can be connected, will be.
Last year, Ericsson began a project to create a coherent vision of what the media industry will look like in 2020, entitled Media Vision 2020. The undertaking focuses on a number of key areas referred to as ‘Game Changers’ which essentially map key consumer, technology and business areas that will have a major impact on the media world.
based on research from the Media Vision report. Consumers are embracing connected devices, yet for all of the possible options, actually fi nding the right content is diffi cult due to vast programme guides and poor search capability.
The journey
The Forever Evolving Experience charts the intervening years to 2020 as a period of signifi cant change as rapid adoption of IP and consolidation of linear channels starts to dramatically change the expectations of a more active audience. We are progressing through an era of entertainment and connectivity where IP enables more choice, better quality and greater personalisation.
TV consumer of 2020 The consumer generation of 2020 expects TV, fi lm and gaming experiences to be even more integrated, accessible and tailored to their interests, devices and situations. Higher defi nition video, any-screen access, and personal interactivity will wrap around premium content in a world where video connects with social media.
The adoption of IP will drive consumers to shift to a 50:50 split of time between on-demand and time-shift versus linear and live TV. We will also see social recommendation driving on-demand content, and the ‘virtual sofa’ offering socially driven live/linear consumption.
“The business models of advertising, subscription and selling will expand beyond the household to the individual. The simpler the transactional model, the greater the upsell opportunities will be”
Here and now The fi rst game changer report to be published centres on the ‘Forever Evolving Experience’ and looks at how consumers are changing their interactions with TV content. Consumers are rapidly evolving their values and assumptions around the discovery, access, payment and experience of content. Even the defi nition of ‘experience’ is broadening as the media industry loses its exclusivity in shaping many of these perceptions to device manufacturers, social networks and app ecosystems. Consumers have access to hundreds of linear channels and video-on-demand options. Viewing habits are still predominately live or linear, with only 20 per cent either on-demand or time-shifted,
These changes in consumer behaviour are in part enabled by technology; the technology behind new devices and screens, connected to ever-enhanced networks and using innovative application platforms. The consumer shifts will prompt TV service providers and network providers to update and invest in technologies that allow the switch to a more on-demand consumption model. These updates will also automate recommendation as well as personalisation, incorporate device and social ecosystems, and enable action- based advertising.
The technology will also facilitate payment platforms and rights management for multi-device, multi-user and same-content usage.
Business models The underlying business model for the TV and content industry will need to undergo a signifi cant evolution. Content owners and broadcasters must adapt programming formats, distribution rights and advertising models. Service providers keen to maintain average revenue per user must adapt to consumers’ desires to fi nd a content mix to suit their own schedules, discover content in targeted ways, and fi nd everything on anything – becoming the ultimate aggregator. These changes will place greater demands on the content value chain and share of revenues, as rights negotiations and content packaging need reassessing to match consumer shifts. The business models of advertising, subscription and selling will
www.tvbeurope.com June 2014
Ericsson’s Forever Evolving Experience
expand beyond the household to the individual. The simpler the transactional model, the greater the upsell opportunities will be. The business barriers and inertia already impede the progress of change far more than any other element in the evolution of TV. By 2020, the emergence of new players with new approaches and the willingness of consumers to shift loyalties will dramatically drive change.
The complete Forever Evolving Experience paper, the fi rst of six Game Changer reports from Ericsson, is now available for download (http://www.
ericsson.com/televisionary/media- vision-2020/forever-evolving- experience/download/). The report delves into more granular detail on the topics discussed in this article, and comes with research data and insights from leading industry experts.
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52