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The Future Of The Set-top Box

Published by: Ovum Plc

Published: Oct. 24, 2007 - 24 Pages


Table of Contents


Ovum view
The move to sophisticated boxes
Analogue to digital
Flexible high-quality TV & video
STB as an island or a hub
Feature differentiation
Barriers to innovation by ISPs
Cost/revenue potential
Reactive versus proactive strategy
Technical issues
Consumer understanding
Brand
Competitive landscape
ISPs: strengths and weaknesses
Strengths
Weaknesses
Partnering
STB strategies for service providers
Case studies
Case study: Sky
Case study: Sony PS3 and Korea Telecom
Table of figures
Figure 1 STB specifications - operators and output
Figure 2 STB specifications - TV and video services
Figure 3 STB specifications - connectivity
Figure 4 STB specifications - other services and additional features
Figure 5 ISPs’ device strategy
Figure 6 Actual device evolution
Figure 7 Best practice STB strategy for service providers
Figure 8 Sky’s device evolution


Abstract

The growth of bandwidth and broadband content services is driving functionality and indeed the prominence of the set-top box (STB) in the living room. ISPs are increasingly seeing their role in the connected home as a firm and growing part of their overall strategy. Without a foothold in the home ISPs could be thrown to the wayside, as they increasingly compete with the content and consumer electronics (CE) vendor brands that are also rapidly pursuing the space.

This report looks into the current STB strategy of service providers, and how the evolution of the STB and key connected home players could impact this strategy. For this piece Ovum interviewed various operators and STB manufacturers, and has drawn upon consumer research Ovum conducted in North America.


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