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The June 17, 2010 Issue Provided by System Dynamics Inc.
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Briefly Noted: Updates, Observations and Trends

Briefly Noted

Each issue, we collect miscellaneous happenings, studies, trends or observations you might have missed. These briefs focus on broadband and IPTV growth, Internet-connected TVs, interactive TV, and more.

Strong Broadband and IPTV Growth in 2009

Point Topic reported that 58 million additional lines of broadband technology were added in 2009, with annual growth over 14%. There are now more than 466.95 million broadband customers in the world.

IPTV also had a strong year, adding over 10.8 million subscribers. By year-end 2009, there were more than 33 million IPTV customers- an annual increase of 47%. The Asian market showed the strongest growth with Asia now accounting for 39% of the broadband market and 32% of the IPTV market. ( )

Internet-connected TVs Gaining Traction

Over a quarter of U.S. TVs purchased at the start of 2010 were linked to the Internet, according to iSuppli's U.S. TV Consumer Preference Analysis service. U.S. consumers indicated their sets were connected to the Internet either though internal TV capabilities, or via external devices, such as digital video boxes or game consoles. The survey showed that a growing percentage of connected sets have built-in Internet connections and thin client support capabilities. ( )

Cutting the Cord

The National Center for Health Statistics survey found that almost one quarter of US homes subscribe only to cell phone service, while an additional 15% have landlines but almost never use them. Interestingly, this goes way beyond the "under-30" demographic: in the last 6 months of 2009, the majority of wireless-only adults (59.2%) were aged 30 and over.

Seniors Increasingly Online

Neilsen recently reported that senior citizens (those over age 65) actively using the Internet increased over 55% between November 2004 and November 2009, from 11.3 million to 17.5 million. These seniors are spending more time online and the growth by women has outpaced growth by men by six percentage points.

BuNGee Jumping in Europe

BuNGee is a new European mobile broadband initiative, largely funded by €4.7 million from the European Commission. Its full name is Beyond Next-Generation Mobile Broadband and its aim is a tenfold increase of mobile broadband infrastructure capacity density. The project will identify new network deployment strategies suited for dense urban environments. Dr. Ze’ev Roth,CTO, Alvarion, will serve as the consortium’s project coordinator. ( )

Time Warner and Verizon Expand "TV Everywhere"

In a joint press release, Time Warner and Verizon announced a deal for Time Warner to provide key content to Verizon FiOS TV customers. Customers who subscribe to both FiOS TV and FiOS Internet will be able to receive the same HD content on their PCs at home or away, using any broadband connection. The companies said they plan to bring the content to mobile devices in the near future. ( ) ( )

SelecTV Chosen as US Cable's ITV Brand

A news release last month said that Canoe’s efforts to develop an interactive digital television platform were bolstered when MSOs Bright House Networks, Cablevision, Charter Communications, Comcast, Cox and Time Warner joined with the Cabletelevision Advertising Bureau (CAB), the Cable & Telecommunications Association for Marketing (CTAM), CableLabs and national advertising and programming partners to launch SelecTV, a single, nationwide ITV brand that “promises a seamless and secure interaction between the viewer, the cable company and the programmer, advertiser or content provider across all major U.S. cable systems.”

Wi-Di Moving from Laptops to Handhelds

Intel's Wi-Di wireless display technology, currently available on PCs with Intel's Core i5 and Core i7 chips, is targeting mobile devices like smartphones and tablets, although they have not provided a specific timeframe in which this will happen. Wi-Di technology allows wireless transmission of images and video from Intel PCs to a high-definition TV screen.

Wi-Di involves software that uses the graphics capabilities inside Intel's Core processors and a wireless chipset to create a point-to-point Wi-Fi connection between the TV set and the user device. The software automates the process of transmitting images from the PC to the TV. The technology will also become available in laptops in China and Europe soon.