IPTV Markets and Segmentation

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• IPTV Markets and Segmentation

Presented by Adtec Digital
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Adtec IPTV Overview

• Adtec manufacturers IPTV headend solutions
  including
• Digital Turn Around routers
• Integrated Receivers/Decoders/Splicers
• Local Real Time Encoding (MPEG 2)
• (Advanced compression solutions in development
  targeted for Q2-06)
• SD and HD Decoders MPEG 2, AVC, WM9, VC1
• (not set top boxes)
• Electronic Program Guide applications
• Ad Insertion for Base band, SDI, DPI

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IPTV Opportunity

• The emerging IPTV industry needs solutions. Ones
  that include full functionality for Local
  Encoding, Digital Turn Around of Satellite,
  Cable, and Terrestrially modulated signals,
  Local Ad Insertion, Video On Demand, Electronic
  Program Guide (EPG) for Set Tops, IP Set Top
  Boxes, and back office integration for billing
  systems.

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IPTV Opportunity-Continued

• Adtec's head end, Infovalue's open standards
  based VOD solutions combined with Amino IP Set
  Top Boxes combine together to offer a high value
  competitive solution for the following markets

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IPTV Markets

• Many markets are considering IPTV as an
  alternative to traditional analog and digital
  distribution methods. These markets vary greatly
  in their requirements, at their core, the basic
  requirement of streaming television signals over
  Ethernet (IP Based Networks) is common. The
  distribution methods include pure IP, xDSL,
  Fiber, DOCsis or similar.

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Segmentation- TelCos

• Telephone companies, much the same as Cable and
  to some degree Satellite are focusing on bundled
  services. Voice and Data exist today and the
  third so called leg of the "triple play" includes
  video. Telco's have the highest system
  requirements including redundancy,
  certifications, and overall system requirements.
  This segment is highly contested by many
  manufactures due to its perceived overall dollar
  value and stature.

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Segmentation-Enterprise

• The enterprise includes large corporations and
  other non commercial television service providers
  that are using IPTV or some other form of audio
  visual communication to inform, educate, or
  entertain a captive audience. Their requirements
  are very similar to the Telco's. The major
  differences include, scale of the systems,
  budgets, sales leads times, competition, and
  performance expectations.

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Enterprise-Continued

• The later is not to say that they will install
  non-functional technologies, quite the contrary
  their expectations are nearly the same as Telco's
  but their willingness to try more value oriented
  solutions enables them to take what a Telco may
  deem as an unacceptable risk.

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Enterprise-Continued

• An example here is that they will accept devices
  that are not NEBS certified, do not offer 99.999
  uptimes and are distributed pieces of technology
  verses large scale chassis devices. Redundancy,
  although desirable, is not necessarily essential
  and the "no single point" of failure is not
  required. Desktop decoding is a requirement for
  the enterprise.

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Segmentation-MDU

• MDUs include large apartment complexes, condos,
  and communities where the scale of their viewer
  population justifies a private television
  network. MDUs will typically utilize DSL as
  their distribution method and thus they may be
  challenged to deliver MPEG 2 HD. Their
  requirements are very similar to the Telco's. The
  major differences include, scale of the systems,
  budgets, sales leads times, competition, and
  performance expectations.

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Segmentation-Hospitality

• The hospitality segment is mostly focused on
  entertainment. A large part of this segment is
  based on VOD capacity and less and less on basic
  channel and service line ups. Although general
  television services, news, sports, information,
  and movies (not on demand) are a part, they
  become less and less essential. Desktop decoding
  is a requirement for hospitality.

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Segmentation-Education

• The education market is mostly focused on
  informing and education and less focused on
  entertainment. Entertainment is a key part of the
  educational television system and VOD should
  comprise the majority of the services. Less
  linear television is required due to the vastly
  varying schedules of the viewing audience.
  Desktop decoding is a requirement for education.

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Segmentation-Medical

• Medical facilities are requiring more and more in
  room services. This includes, communication in
  form of electronic mail, internet access, and
  television services offering educational
  services. These educational services facilitate
  patient and staff education. VOD is essential and
  will be the major means of interacting with these
  educational video assets.

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Medical-Continued

• Linear television simply is not flexible enough
  to serve the needs of the patient and staff based
  on their viewing schedules. Some linear
  television will be required with a channel line
  up similar to the hospitality segment.

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Adtec IPTV Headend Overview

• DTA-3xxx Digital Turn Around IRD
• The purpose of the DTA is to turn compressed
  services from their inbound distribution method
  to IPTV.

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Adtec IPTV Headend Overview

• DTA-3xxx Digital Turn Around IRD
• Adtec's DTA products include ASI, Satellite QPSK,
  Terrestrial 8VSB (ATSC), and Cable QAM inputs.
  Outputs include GIGE and ASI. A Conditional
  Access Common Interface is provided to decrypt
  services that conform to DVB-CSA. This interface
  requires a PCMCIA smart card module and smart
  card that is authorized for the services.

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Adtec IPTV Headend Overview

• Edje-2xxx Real Time Encoder (MPEG 2)
• The purpose of the RTE is to locally encode
  channels for IPTV distribution.

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Adtec IPTV Headend Overview

• Edje-2100 Real Time Encoder (MPEG 2)
• Adtec's edje-2100 RTE provides composite YC (SDI
  Option) video inputs and Analog balanced (AES and
  SDI Option) audio input and compresses video to a
  high performance MPEG 2 transport stream via ASI
  or IP. Audio support includes primary and
  secondary stereo audio in MPEG layer 1, 2 or
  Dolby AC3. The unit includes a front panel UI and
  remote GUI for management. It is packaged so that
  two can be placed on a 1 RU shelf.

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Adtec IPTV Headend Overview

• Edje-2000 Real Time Encoder (MPEG 2)
• Adtec's edje-2000 RTE is similar in video
  performance to the 2100 but does not support SDI,
  AES, Dolby AC3, ASI, and it does not have the
  front panel UI. It is packaged so that four can
  be placed on a 1 RU shelf.

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Adtec IPTV Headend Overview

• EPG Server
• The purpose of the EPG server is to provide an on
  screen viewer User Interface (UI) to select
  television services including Live TV and VOD.

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Adtec IPTV Headend Overview

• EPG Server
• Adtec's EPG server is COTS based hardware running
  Linux. It's database supports Viewer
  Administration, Set Top Administration, Viewing
  authorizations, viewing statistics and DHCP.

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IPTV Issues

• The technology to deliver IPTV is here now.
• The challenges at hand include
• Understanding and selling the RIGHT segment
• Network issues, Routers, IGMP, VLANs, bandwidth
  management, installations etc.
• Programming (Television programs)
• This is the big hurdle
• Eagle, Broadstream, Direct TV, Dish TV, HITs etc
• Who, how, how much, can we legally rebroadcast
  via Ethernet, have we secured rights?
• DTA or local encode

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Thank You!