Do we really have a latent demand for mobile broadcast? Whatare the key regulatory issues? Which technology options could embrace carriers to deploy Mobile TV? What arethe applied business models? What arethe lessons learnt from first rollout cases? What is the outlook for different stakeholders?

1. Member of
Mobile Television
- A Strategy Canvas -
Guy Alain Djopmo Komguep
Arabcom, Dubai, April 12th 2007

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Content
1. Do we really have a latent demand for mobile broadcast?
2. What are the key regulatory issues?
3. Which technology options could embrace carriers to deploy Mobile TV?
4. What are the applied business models?
5. What are the lessons learnt from first rollout cases?
6. What is the outlook for different stakeholders?

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Mobile TV trend-scouting
Do we really have a latent demand for mobile broadcast?
The TV medium is a bigger application globally than telephony; the daily amount of time
spent watching TV is far more significant than that spent on mobile services.
Worldwide mobile TV revenues
(in billion), 2007-2010
Worldwide broadcast mobile TV users (in million)
by Technology, 2007-2010 *
Source: Informa 2005
0
10
20
30
40
50
60
70
80
2007 2008 2009 2010
DVB-H
T-DMB
S-DMB
ISDB-T
* Excluding cellular (eg. MBMS, MediaFLO)
11
10
7
4
0
1
2
3
4
5
6
7
8
9
10
11
2007 2008 2009 2010
Source: Yankee Group 2006

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Mobile TV value innovation
Do we really have a latent demand for mobile broadcast?
Innovation without value tends to be technology-driven, market pioneering or futuristic,
often shooting beyond what end-users are ready to accept and pay for.
Value Creation through content segmentation Value Proposition through innovation
Content
Download Streaming
On-demand Carousel Non-live Live
Pay TV programVideo on-demandPush and storeClips
Subscription Free TV program
Value proposition cornerstones for business segment
Value proposition cornerstones for mass-market segment

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The gray zone
What are the key regulatory issues?
Pressure Points
The impact of regulation is steadily increasing within the mobile industry realm as part of
many emerging new media access platforms.
Spectrum
 Allocation and acquisition
of scarce frequencies
difficult in specific markets
 Different regulatory bodies
in geographical markets
(even within same country
e.g. Germany)
 Some countries demand
proprietary standards for
broadcasting (e.g. China).
Content
 Regulatory issues
concerning unicast content
(e.g. VoD) vs. broadcast
transmissions
 Public vs. commercial
broadcasting
 Digital Rights Management
issues regarding
distribution, protection and
royalties for copyrights
 Protection of consumers
Commercial
 Free to air networks might
prohibit charging for
service (e.g. South Korea)
 Coverage exigencies
might forbid profitable
network rollout
 Non discriminatory
conditions between
different distribution
platforms

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Broadcasting technologies landscape – DVB-H standard gains momentum
Which technology options could embrace carriers to deploy Mobile TV?
Broadcasting technologies – key facts
DVB-H
Digital Video
Broadcasting
Handhelds
T-DMB
Terrestrial
Digital Multimedia
Broadcasting
S-DMB
Satellite Digital
Multimedia Broadcast
MBMS
Multimedia Broadcast
Multicast Service
MediaFlo
Media Forward
Link Only
Region Europe, USA, Australia South Korea Japan Europe, South Asia USA
Download Rate Up to 11 Mbps Up to 1 Mbps Up to 2.3 Mbps Up to 0.38 Mbps Up to 11.2 Mbps
Video Codec MPEG-4 MPEG-4 MPEG-4 MPEG-4 MPEG-4
Channels/128kbps 60 3-5 9-27 3 50-70
Cell Size 17-67km 40-60km 3-700km 2-3 km 2-10km
Power Reduction Time slicing Bandwidth shrinking Bandwidth Shrinking Time slicing
Time division
multiplexing
Transport stream MPEG2 TS IP IP IP MPEG2, IP
Frequency
470 to 862 MHz,
1452 to 1492 MHz
1,452 to 1,492 MHz 470 to 862 MHz 174 to 230 MHz,
470 to 862 MHz
716 to 722 MHz,
698 to 746 MHz
CAPEX
Out of the large range of cellular, terrestrial and satellite broadcasting technologies, some
of them are emerging as standards in different regions.

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Mobile TV devices
Which technology options could embrace carriers to deploy Mobile TV?
Outstanding issues
The challenge here is to find the balance between device cost, performance, form-factor
and style depending on the target customer segment.
Battery Technology and power management are two crucial aspects to
determine the success of Mobile TV.
Integration of new DVB-H, DAB or DMB tuners and channel decoders
represents a significant challenge both in terms of energy consumption
and components costs.
Application processors, RAM memory, GPS chipsets, large and high resolution
colour displays are vital for high quality of service and end-user acceptance.
Ease of use and large choice of different mobile TV ready handsets are
essential for the momentum market take-up

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Strategic options from mobile operators perspective
What are the applied business models?
Mobile TV business models
 Discrete business model, the
mobile operator chooses to provide
mobile TV services over its own
cellular network.
 Hybrid business model, the mobile
operator is lead player in the
mobile TV provisioning scenario,
which includes some level of
interaction with broadcast network
services.
 Converged business model, the
mobile operator and other
stakeholders in the value chain
cooperate to take full advantage of
the complementary nature of
cellular and broadcast networks.
 Bypassed business model, the
mobile operator is sidestepped
altogether by the broadcast carrier,
but still provide an uplink.
Rationale
Four main scenarios can be played out for the provisioning of mobile TV services.
Mobile
Networks
Complementary or
Competitive?
Broadcast
Networks
Discrete Hybrid Converged Bypassed
Business models
Key contribution
Minimal involvement

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Status quo in early adopters markets
What are the lessons learnt from first rollout cases?
In a nutshell
Mobile TV market dynamics are heavily influenced by geographical characteristics and
respective regulatory frameworks.
 Market split between Video on
demand subscribers and Mobile
TV services
 MobiTV content aggregator
approach is a success story
 Mobile TV over WiMAX envisaged
2008
USA
 Regulatory muddle due to
federal system
 Digital Right Management
issues (GEMA)
 European Commission
initiative promoting DVB-H
Germany
 Pitfalls of MBCo: no alliance
with mobile operator, purpose
built devices, distribution
strategy
 ISDB-T standard used for One
Seg Service, no charging
allowed by regulator
Japan
 DVB-H is predominant, take-up
push by FIFA World Cup 2006
 High pricing with early adopters
 Wholesale approach by
Mediaset to serve mobile carrier
Italy
Source: DETECON Research and Analysis
 Struggle between paid service
and free of charge scenario
 Pricing and handset affordability
is a concern for user acceptance
 Wholesale approach with 25%
revenue share for mobile carrier
South Korea

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What is the outlook for different stakeholders?
Sharpen the saw – Strategic alliances as key success factor
Strategic alliance framework – Mobile TV
 Legal Framework
 Incentives
Content Providers function:
 Innovation leadership
 Content creation and protection
 Service branding
 Content licensing
 Sustainable
 User Protection
 Governance
Mobile Operators role:
 Understanding user demands
 Business model
 Technology choice
 Marketing and pricing
Content
Provider
Broadcast
Carrier
Handset
Vendor
Mobile
Operator
Handset Vendors role:
 Terminals readiness
 Fostering standards
 Sharing investments
 Economy of scale
Broadcast Carriers function:
 Content aggregation
 Content transport
 Setting standards
 Business cooperation
Regulatory Bodies
Stakeholders in the Mobile TV value chain should contractually joint efforts to achieve
business development through synergies, expenses sharing and technology transfer.

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Contact
Thank you very much!
Integrated management and technology consulting worldwide
Guy Alain Djopmo Komguep
Detecon International GmbH
Oberkasseler Str. 2
53227 Bonn (Germany)
Phone +49 228 700 2826
Fax +49 228 700 2107
Mobile +49 151 1221 7902
Djopmo.Komguep@detecon.com