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3D broadcasts to be next big thing

Wednesday, Feb 09, 2011

Gulf News

Middle East’s revenue from football pay TV rights is expected to rise 30% to $550m

Dubai Revenues from football pay TV rights in the Middle East are expected to rise 30 per cent to $550 million over the next 12 years as a result of Qatar hosting the 2022 World Cup, industry analysts said.

However, 90 per cent of the broadcasting revenue will go to FIFA.

Pay television in the Middle East grew 15 per cent last year, the majority coming from direct-to-home satellite services, according to figures from Eutelsat, provider of satellite telecommunications.

However, the next big technology leap will come from 3D broadcasts. In the regional broadcast industry, several media companies are in the middle of infrastructure upgrades that are expected to continue as pay TV prospects look brighter.

The UAE was the fifth country in the world to launch a 3D TV service, with telecom operators etisalat and du becoming the pioneers in 3D content. Abu Dhabi Media Company ( ADMC ) is now building a new sport presentation and production facility and planning to launch a 3D channel soon.

Industry trend

“A major industry trend will be transition to HD TV and upgrade of the infrastructure for HD and 3D,” Fares Lubbadeh, director general of Space Tech TV Engineering, an industry consultanty firm, said in his report on the Mena broadband industry.

Global 3D TV shipments reached 4.2 million last year. They are expected to triple to 13 million this year, 27.4 million in 2012, and 78 million in 2015, he said.

Meanwhile, the growth of the satellite sector will drive revenues from broadcast rights, in particular for football pay TV, he said.

Content providers have been struggling for many years, fighting a losing battle with the illegal and black market connection.

With developments in technology, solutions have now come that would curb illegal use of paid content.

Orbit Showtime Network recently began swapping its decoders for “unhackable” devices designed to pull in revenues from the estimated five million illegal connections in the region.

Estimates are that at least once million homes, or 20 per cent, will convert to paid subscription.

Allowing the growth in broadcast developments are regional satellite projects such as Arabsat and the UAE’s Yahsat. New satellites are being launched every year, with Yahsat 1A about to be launched within two months.

The satellite capacity leasing market has been growing at an annual rate of 4.2 per cent globally, and annual revenues are expected to exceed $650 million by 2018, according to Northern Sky Research.

“What’s going to be provided by regional satellite operators is going to reflect the opportunities in broadcast industry,” Lubbadeh said.

Saudi Arabia

Upgrading infrastructure

Saudi TV is upgrading its production infrastructure. In 2010, three new regional HD production centres in Tabouq, Hail and Jizan were contracted. Four other HD centres will follow soon. Three HD Outdoor Broadcasting Vans should be delivered soon.

In 2011, three more studios at Riyadh television will be converted into high definition, thus increasing the number of HD studios to six.

ADMC , Kuwait TV, Saudi TV, Al Rayyan in Qatar, ERTU, Rotana and Orbit Showtime Network have installed HD facilities with 3G-ready routing matrices, video production switchers and multiviewers.

— N.S.

By Nadia Saleem?Staff Reporter

© Gulf News 2011. All rights reserved.