The Department of Communications' (DOC's) standards for set-top boxes (STB), must not be bypassed for “affordability”, says Jasco Broadcast Solutions.
It adds that the switch to digital broadcasting in SA with a multifunctional STB, which includes interactivity (a USB port for connectivity by cellphone or network) and an all-digital content value chain, can uplift and empower, and broadcasters can more quickly monetise new business models.
SA is set to turn on digital broadcasting in April, in preparation for shutting off the old-style signal distribution by the end of 2013.
However, there are still several issues that need to be wrapped up before SA can turn on digital television, and even more aspects that must be sorted out before anyone will be able to receive the upgraded signal.
Repeated attempts to gain clarity as to when the outstanding issues will be finalised from the DOC have been unsuccessful.
Critical STB
Jasco adds that there are a number of questions around one key item especially - the STB.
“Cheap and nasty may not be the way to go - not for broadcasters peering into the vast well of opportunity that going 'all-digital' offers; and not for SA's public, a significant portion of which still need to take the first step onto that bridge that spans the digital divide.”
It explains that broadcasters have realised immense benefits. “Digital everything” means better quality, less effort, greater flexibility, and better management capabilities. Digital broadcast brings interactive voice, video and data capabilities.
The company says, as the switch to digital broadcast is made, the most obvious benefit for broadcasters is the capability to put out more channels at less cost, and for the viewer this means more choice.
But an STB is needed to convert the signal from digital to analogue so that viewers can consume the digital content, which will be broadcast to a conventional TV antenna or aerial.
The big question is the capability these locally manufactured STBs will have, says Jasco.
Limiting option
“As the fevered adoption of mobile technology across the African continent shows, people, and perhaps especially the poor that have been marginalised and stranded on the wrong side of the digital divide for too long, are hungry for input, connectivity and content of their choice.”
The company explains that for countries like those in Africa where basic infrastructure for communication, education, and healthcare is limited, digital broadcast offers not only the opportunity to introduce more educational content and e-government services, but to bridge the digital divide.
“A cheap, limited functionality STB won't make that possible. One-way, downstream communication from the broadcaster is a limiting option.”
It says the required technology is available in SA, but how it is applied will make the difference to the competitiveness of broadcasters.
More players
However, it adds that all the technology in the world is not worth much if this new freedom to repackage and repurpose content, and send it to viewers along different channels (TV broadcast, but also any IP channel) and to different end devices (mobile phone, TV, laptop, gaming device) cannot be monetised.
Jasco cites a study conducted by Cisco Systems at the beginning of 2011, looking at the future of TV.
The study showed that with access to multiple libraries of content, on-demand viewing will make “channels” as we know them something of the past; screens will be everywhere - mounted on walls, used as mirrors, wrist-watches, phones, laptops, PC screens and gaming devices; advertising will change since viewers can choose what they view; amateur video, like YouTube videos, will be monetised; and viewers can take their content with them everywhere, transferring content from one device to another or from the cloud.
The digital environment allows more players, notably in the packet-based Internet Protocol (IP) realm, to enter the fray as accessing content becomes ever easier, says Jasco.
It adds that, while bandwidth cost and availability in SA, despite recent advances, are still not at levels suitable to make international business models an immediate reality, they may be closer than envisioned.
Reinventing broadcasters
Netflix is a supplier of on-demand Internet streaming media that allows users to pick from an archive of movie and TV programmes, then delivers the content using telecommunications channels to computers and compatible devices like gaming consoles.
Jasco also mentions Google TV, an interactive television overlay that provides an interface to existing Internet TV and Web TV sites, allowing users to access the Internet and watch TV, using full qwerty keyboard remotes.
The company explains that these are exciting developments, which are also frightening to some degree for broadcasters that will have to rethink their business models, ensuring they remain competitive by launching the value-added services and capabilities their customers will demand.
“For broadcasters, one of the biggest challenges is finding new ways to monetise their services. With advertising revenues being eliminated by technologies that give users the means to avoid or skip over ad breaks, new revenue creating business models need to be developed. Is the writing on the wall for broadcasting as we know it?”
Jasco says these players may have as little as a five-year window to reinvent themselves.
“They dare not underestimate appetite for adoption of new technologies and services that are relevant to a new digital lifestyle.”

