PCCW四重播放策略

0 Telecom & Media Convergence with Quadruple Play Strategy For Content, Applications and Transactions YK Wong SVP, Research & Development Nov 2008 Hong Kong a Leader in Technology and Competition 7M population, multi-lingual, mainly Chinese speaking 4 Pay-TV Operators, 5 Fixed Operators, 5 Mobile Operators - ALL Facilities based, NO Broadband Unbundling 2 Free to Air Broadcasters with 4 channels (2 Eng + 2 Chi) - DTT Service just launched 3.8 million Telephone Lines Mobile penetration over 130% with 3G launched in 2003 Worlds 2nd most developed broadband market with more than 1.6m accounts about 60% household penetration Over 55% Pay-TV household penetration World leading Informa “Converging Media (CM) Index”* 1 *End 3Q 2007: Hong Kong = 47.6； UK = 45.3； Japan = 40.6； USA = 36.7 a Leader in Technology Innovation in Asia Formerly known as Hong Kong Telecom Largest Fixed, Mobile and Broadband Operator in Hong Kong Worlds Largest Commercial Deployment of IPTV 35% Homes Market Capitalisation over US$ 4B Annual Turnover in excess of US$ 3B Subsidiaries in Engineering, IT Systems Integration, International Projects, Global Connectivity and Property 3.5Ghz Broadband Wireless Business in UK migrating to WiMax 2 International Business Regional Office and Growing Business Potential Headquarters Regional Office/Business Coverage Moscow Beijing San Francisco Frankfurt Seoul Los Angeles London Shanghai Chicago Prague Tokyo New York Serbia Guangzhou Herndon, Virginia Athens Hong Kong Dallas Tel Aviv Taiwan Miami Rabat Vietnam Buenos Aires Morocco Thailand Dakar Philippines Dubai Kuala Lumpur Saudi Arabia Brunei Singapore Indonesia Sri Lanka Europe, Middle East & Africa 3 Asia Americas PCCW Business Transformation Extending Value Chain Content Application Access Transactions Conduit (POTS, Basic Broadband) Own content (e.g phone calls) Separate networks and billing Unlocking Capabilities Secure third party content Managed high bandwidth Network and Billing Trusted partner Increased stickiness 4 PCCW Quadplay Quadruple Brands 5 Broadband Fixed Line Mobile IPTV 6 PCCW Has A Leading Market Position in HK 2.7M Fixed Lines 1.2M Broadband Lines 900k PayTV Subscribers Sweet Spot 1M Mobile Subscribers .One part of wider Telco transformation strategy for Content, Applications and Transactions Services 7 Customers Access Integrated Services through Triple Play and Quad Play on an All IP Core Network Telephone TV Mobile PC Access Layer Content Applications Transactional Services IP Core Network Wireline Mobile Cellular Wired Broadband Wireless Home/Office Broadband Wireless Access to valuable content and transaction revenues will be via multiple access technologies for a number of customer situations, devices and experiences, fixed, wireless and mobile Content Transactional & & Transactional PCCWs Ubiquitous Broadband Strategy Enabling PCCWs quad play of media and other services on multiple devices, which roam seamlessly over our broadband, mobile and Wi-Fi networks 3G/ WiFi dual mode Imbedded with Netvigator Everwhere Access NGN IP Core Content, Applications Broadband City wide coverage Fiber Direct Netvigator everywhere Home wireless 3G/ 7.2Mbps HSDPA 8 Content Applications & TransactionalServices INTERACTIVECONTENT&TRANSACTIONS HOMENETWORKING INTEGRATEDSERVICES Full Range of Service Platforms Now and Going Forward 2003 2004 2005 2006 2007 Going Forward Voice Circuit Switched Packet Switched NGN PSTN NGFL IP Voice Broadband 1.5-6Mbps 6Mbps 8Mbps ADSL2+ 18Mbps Wi-Fi VDSL 30Mbps FTTH 1000M Television Basic Pay TV Basic Interactivity Advanced Interactivity HDTV Mobile 2G 3G HSDPA WiFi Auto Roaming Mobile TV 9 Full Range of Service Platforms Now and Going Forward 2003 2004 2005 2006 2007 Going Forward Voice Circuit Switched Packet Switched NGN PSTN NGFL IP Voice Broadband 1.5-6Mbps 6Mbps 8Mbps ADSL2+ 18Mbps Wi-Fi VDSL 30Mbps FTTH 1000M Television Basic Pay TV Basic Interactivity Advanced Interactivity HDTV Mobile 2G 3G HSDPA WiFi Auto Roaming Mobile TV 10 Stable Fixed-line Business (000) 1,667 1,543 Fixed Lines Residential Lines Business Lines Solid Customer Base & ARPU Maintained solid customer base - Monthly churn rate less than 1% Focus on profitability and providing value to customers - Firm ARPU trend sustained 1,487 1,423 1,387 1,4031,407 1,407 1,407 1,400 - Continue to innovate First in the world to provide innovative home multimedia service eye, featuring newly enriched content 1,266 1,236 1,175 1,144 1,1271,164 1,176 1,180 1,183 1,183 and applications to benefit various members of the family H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 2003 2004 2005 2006 2007 11 12 Fixed Line Evolution from Basic Voice to Advanced Integrated NGN Phone Services In the Past Access Only Now Voice + Data Tomorrow Voice + Data + Video + Content Applications & Transactions Color screen Future Integrated Services Monochrome screen Broadband 3GFL - eye VoWi-Fi Home networking Fixed Mobile Integrated Services Video Call Secured Transactions NGFL Basic data now TV Streaming MMS DEL SMS Interactive InformationToday PSTN Full IP NGN Deployment Time PCCW Services 13 14 PCCW Service - Your Broadband Phone TV / Video Entertainment Fixed-Mobile Video Calling Smart Telephony Interactive Yellow Pages Music / Audio Entertainment Banking & Payments Ticketing Secured Transactions & Betting Convenient Purchases Kids Playground Useful Infotainment “Octopus” Card Reader/Writer USB & Wi-Fi Expansion Broadband NGN New Multimedia Service Platform Connection Diagram Broadband Network ADSL Modem DSLAM Multicast Content Delivery Network IPTV Platform BBPL BRAS BRAS Broadband Core BBPL Service PPS Platform BBPL multicast video service (now TV) BBPL data service (PPS, music streaming, wall- SBC NGN garden based browsing Edge Core Edge services, etc) Router Router Router NGN Soft switch & application servers BBPL voice service 16 (voice, switched video call) MPLS Core LAG/TG/ VIG Full Range of Service Platforms Now and Going Forward 2003 2004 2005 2006 2007 Going Forward Voice Circuit Switched Packet Switched NGN PSTN NGFL IP Voice Broadband 1.5-6Mbps 6Mbps 8Mbps ADSL2+ 18Mbps Wi-Fi VDSL 30Mbps FTTH 1000M Television Basic Pay TV Basic Interactivity Advanced Interactivity HDTV Mobile 2G 3G HSDPA WiFi Auto Roaming Mobile TV 17 y y- o - -y 11 +1 1 Market Leader in Broadband Broadband Lines Continue to Grow Achievements (000) Wholesale Business Consumer % y + 1,237 1,176 1,117 Broadband lines grew 11% y-o-y with less than 1% churn rate 629 58 460 703 63 517 753 68 558 796 74 660 857 80 715 953 88 798 998 94 840 99 952 107 104 1,060 1,005 Innovative applications and unique content continue to drive broadband demand Enhanced connectivity with high speed, mobility and the convenience of wireless + + H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 2003 2004 2005 2006 2007 18 PercentageofTerritorialReach(%) 6Mbps Early ramp up of fiber to the building/ kerb Broadband Access Development introduced 85% 93% Via FTTB + ADSL2+ and VDSL 18 - - 25Mbps 8Mbps 19 50% ADSL to 8Mbps To 50% from exchange Today Dedicated Managed Bandwidth with Q.o.S. NOT SHARED ! Time Premium service with high speed, mobility and wireless convenience High Speed + Most extensive fiber deployment covering two- thirds of HKs households Wide range of high bandwidth fiber and VDSL offerings up to 1000M + Mbps, meeting demanding Mobility Ubiquitous wireless platform integrating 3G, 7.2Mbps HSDPA and WiFi Auto network selector detects the best network available for + customers applications Broadband Fixed, Wireless and Mobile 20 21 Rapid PCCW Wi-Fi Expansion Expanding Wi-Fi Hotspots Wi-Fi usage rose 10 times since launch in Jan 07 Rapid expansion to over 4,000 hotspots to enable city- wide coverage with 3G/HSDPA Integration - Public payphone kiosks - Partnership with various retailers - Strategic alliances with universities Equipped at MTR, a major transportation network with Wi-Fi service. In-train service at Airport Express line is underway Appointed by HKSAR Government as the only partner in creating Government Wi-Fi, a public area wireless service to all Hong Kong citizens Tailored Wi-Fi service to public estate residents in the pipeline Developing Hong Kong as a Broadband Wireless City & Transactional PCCWs Ubiquitous Broadband Strategy Enabling PCCWs quad play and other services on multiple devices, which roam seamlessly over our broadband, mobile and Wi-Fi networks 3G/ WiFi dual mode Imbedded with Netvigator Everwhere Access NGN IP Core Content, Applications Broadband City wide coverage Fiber Direct Netvigator everywhere Home wireless 3G/ 7.2Mbps HSDPA 22 Content Applications & Transactional Services IPTV Home Networking Roadmap Home Media Center HD DTT Combo HDTV Advanced Interactivity HD H.264 720P at 8Mbps Basic Interactivity Network based Personal Video Recorder On-demand Interactive Advertising Transactional services (e.g. Cinema Ticketing, Stock Trading, In-play eBetting) Casual games IPTV Electronic program guide Online subscription Online billing 23 a la carte model MPEG2 IP Multicast Traffic & weather channels 95 channels (ESPN, ATV, drama) Mini-packages Today Time 24 Future Digital Home Digital Music Player Media Storage Desktop PC Digital Photo Frame IP Cam Smartphone Portable Game Device HMC / STB Companion Home WiFi Gateway Laptop PC Set-Top-Box Connecting to Other Appliances Reinforcing our Quad Play Advantage 25 Full Range of Service Platforms Now and Going Forward 2003 2004 2005 2006 2007 Going Forward Voice Circuit Switched Packet Switched NGN PSTN NGFL IP Voice Broadband 1.5-6Mbps 6Mbps 8Mbps ADSL2+ 18Mbps Wi-Fi VDSL 30Mbps FTTH 1000M Television Basic Pay TV Basic Interactivity Advanced Interactivity HDTV Mobile 2G 3G HSDPA WiFi Auto Roaming Mobile TV 26 ABC Asia Pacific - Reach Rate - Sep-Nov 2005 0.080% 0.060% 0.000% Platform Features High quality picture with NICAM digital sound Ability to offer multiple language channels Accurate Viewership Viewer reporting time of day / day of week 0.120% 0.100% Mon-Fri Sat-Sun Overall Secure platform network based CAU Digitial encryption 0.040% No geographic overspill 0.020% Firewalled from internet 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 00 01 02 03 04 05 Zero Piracy Revenue Assurance Installation easy and targets feasible On-Line/On-Screen, Subscription, Preview, Parental Control and Billing Enquiry Growing Interactivity and Integrated services HDTV in commercial service launched August 2007 27 -y y % 16 +1 - 29 Momentum Continues Strong Growth for Drivers (000) Installed base Paying base y o - 6 + 818 758 882 Widest selection of content with over 155 local & international channels - Over 80 exclusive world-class movies, sports, news and general entertainment channels 361 441 549 391 608 444 501 560 628 - Newest self-produced channel launched in Oct 07 on top of 8 now Sports SD and HD channels and Enhanced HDTV viewing experience and unique Interactivity 269 271 - Most comprehensive HD programming 147 106 192 including live sports events, world-class documentaries and entertainment content - In-game football interactive information, 4-game- H2 H1 H2 H1 H2 H1 H2 H1 H2 split-screen for the Barclays Premier League, live 2003 2004 2005 2006 2007 stock trading, Yellow Pages Property Search, etc. 28 199 166 114 118 628 70 57 192 ARPU Accelerates Paying Base Growing & ARPU Strengthens Paying base (000) ARPU Drivers Paying base ARPU (HK$/ month) Mega Sports Pack pick-up Highly popular $218 Mega Sports Pack with Value packs further enhanced ARPU Mini Packs launched 140 105 110 501 444 391 560 increasing variety of sports programming and HD live events as premium content Up-selling of customers to $368 high value plans and Buy-All Packages continues 271 Premium pricing for High-Definition channels 29 106 One-off installation and set-top-box rental fees for both SD and HD applicable H2 H1 H2 H1 H2 H1 H2 H1 H2 Advertising revenues gather momentum 2003 2004 2005 2006 2007 29 The Challenges Overcome Transforming the Telco Business From Basic Access Revenues to those from Content, Applications, transactions Squeezing the Telco Assets Stepping up and taking the game back to the competitors esp. the invading Cable TV company Making a viable IPTV platform work effectively.5 years ago. Broadband availability increased from 85% to 93% at 6 Mbps Developing Stable Platform, middleware and low cost Set Top Box Making it easy for Customers to use whilst developing Interactive Applications Acquiring good competitive Content Protecting content Rights and revenue assurance to build confidence with our partners Creating Innovative Business Models with Content Partners Maintaining/Developing Broadband Customer Base and ARPU Developing suitable competitive customer propositions, marketing them and maintaining momentum proving Broadband is not just Internet Access 30 TV Innovative Technology Digital Decoder One Link to the Home World first technology Modem First Patents granted Subscription online View billing on TV Protection against piracy Phone Home PC Use Internet and now TV simultaneously HDTV & Surround Sound 31 Line-up now TV Sports ChannelComprehensive HDTV Offer Exclusive sports content available on such as: Barclays Premier League, UEFA EURO 2008TM, Italian Serie A, NHL, NFL and K-1 Content Hardware Other world-class content & more. Introduced innovative All-In-One HDTV and DTT STB with access to and free-to-air DTT SD and HD channels Software up-gradable All-In-One STB through PCCW network enhances customer value and increase stickiness to Most Extensive HD Coverage in Town! 32 Advanced Interactivity a Reality Sports Barker viewers can watch promotional videos of sports programming and view live match fixtures of all now SPORTS channels Live Match Info head-to-head statistics, team line-up, player profiles, team fixtures, live match scores of all games available at a glance Player-of-the-Match Voting instant voting and results available 33 Sports Barker Live Match Info Player-of-the-Match Voting Growing New Interactive and Transactional Services 34 Full Range of Service Platforms Now and Going Forward 2003 2004 2005 2006 2007 Going Forward Voice Circuit Switched Packet Switched NGN PSTN NGFL IP Voice Broadband 1.5-6Mbps 6Mbps 8Mbps ADSL2+ 18Mbps Wi-Fi VDSL 30Mbps FTTH 1000M Television Basic Pay TV Basic Interactivity Advanced Interactivity HDTV Mobile 2G 3G HSDPA WiFi Auto Roaming Mobile TV 35 Multiple Wireless Technology Approach Wide Area Hot Zone Hot Spot 3G/HSDPA 36 Wi-Fi 3G Femtocell Wimax 3G HSDPA Mobile Broadband Strategy HD Mobile TV High Quality Music MSC Full Internet Browsing HLR Mobile Internet Multimedia Sharing 3G/WiFi Seamless Access (2007) PCCW Backhaul E1s IP 2Mbps 20Mbps ADSL (2008) 7.2Mbps (2007) Wi-Fi 14.4Mbps (2008) 3G / WiFi 3G Handset 3G Sites 3G Handset 3G Femto (2008) Dual Mode Handsets 37 38 PCCW 3G Mobile TV Broadcast Unicast Video Streaming supports 6- 12 users per cell. But PCCW mobiles Cell Multimedia Broadcast (CMB) supports up to 256 users per cell Cell Multimedia Broadcast Mobile TV Broadcast Using Huaweis CMB: Pre-MBMS Technology Today DVB-H Trials with Motorola, MediaFlo with Qualcomm - Completed -y 6% - 39 Performance Growing Mobile Customer Base Improvements Customers grew by 16% with increased market (000) 3G 2G Post-paid 2G Prepaid 921 y o +1 6 957 1,071 206 share despite fierce competition - Leading net gain from mobile number portability in Q407 3G customers almost quadrupled to 206,000 738 781 55 119 Upward y-o-y ARPU trend 456 491 516 462 460 - 3G ARPU up 7% to $216 - Blended (2G + 3G) post-paid ARPU up 4% to $153 Quadplay a true service differentiation - Market recognition on unique quad play content & 282 290 350 376 405 services: now TV, Barclays Premier League Live, now SPORTS HD, “moov on mobile”, snaap! & mobile H205 H106 H206 H107 H207 Wi-Fi etc. - Enabling higher data usage via Netvigator Everywhere, PUSH eMail, and Blackberry Winning Market Recognition with PCCW Mobile Innovation and Unique Quad Play Content Compelling Content on on mobile Exclusive live BPL on mobile Strongest TV content line-up Strongest mobile music with streaming HD quality (H.264 with double resolution) over HSDPA/ WiFi/ 3G networks seamlessly with 13 local & international channels, 4 channels being HD First-in-HK launch of live 24- hour local news with HD platform in town -Library currently over 110,000 songs & music videos from 40 top music labels, local and international - now Sports users doubled in 4 months after launch in August - HD now Sports with usage over 400 mins per user per month streaming quality Service well received with 90% of mobile customers subscribing for TV Over 5.87 million songs streamed on mobile in 2H07, up 100% h-o-h 4 Talk-of-town Annual Music Awards Strengthened exclusive live football content line-up on Usage minutes per user per month boosted up 45% in 2H07 GSMA Asia Congress - Best Mobile Music Award mobile, including Euro 2008 PCCW mobile received several awards incl