Jerome Rota, Founder of DivX and Senior Vice President, Consumer Products and Services at PacketVideo, discusses the future of technology in the entertainment industry.
It is safe to say that 2012 has been the year of technology, with a plethora of new consumer technology devices coming to the market. Technology is now an aspect of our everyday lives, leading to significant developments that will shape the way we live in the coming years. 2012 has been particularly strong for the entertainment industry, helping people enjoy TV at home and on-the-go, with the introduction of new on-demand services such as the UK launch of TiVo to the new ‘mini’ tablets.
The influence of technology shows no signs of slowing down in 2013. As such, Twonky, the media streaming company, has pulled out some of the hottest trends for 2013 that will shape the TV and technology market:
1) Size matters: Both tablets and smartphones evolved throughout 2012, and one of the biggest factors was size. As smartphones grew and tablets shrunk, there has been much discussion about the ‘phablet’ as an intermediate device. However, we think it is much more likely that we will see 4 distinct devices – including the smartphone XL and the tablet mini. As a result, the ‘race to the edge’ will be the main focus for 2013, as manufacturers push to reduce the size of the bezel and, therefore, increase the available screen space on their devices. Ultimately, this will allow manufacturers to utilise the screen to its full potential, no matter how big it is.
2) Tablet becomes the remote: In the last couple of months, new ‘compact’ tablets have been brought to market, such as the iPad mini and the Nexus 7 by ASUS. These tablets are not only smaller but much more affordable. As more competition sets in, prices have started to drop. As these devices start to dip below the £100 mark, we expect to see consumers owning both a full-size and mini tablet. Then, rather than being used for the multitude of tasks that full-size tablets are, the smaller tablet can become a focused device, for a single or a select group of tasks, such as TV remote, climate controller within the home, and more. Currently, the functions available on tablets offer greater variety and control of tasks than any combination of traditional remotes.
3) The 4G takeover: The much anticipated launch of 4G in the UK brought about much furore to the world of consumer tech. Many claims were made that it would be a game-changer for mobile media consumption. However, with the pervasion of capped usage plans, it’s tough to see 4G having a really dramatic affect on consumer habits. For it to become truly mainstream, carriers need to be able to offer a stronger service to all users than the current infrastructure in the UK simply can handle. We could see an incredible change, if the UK invests meaningful amounts in building the right infrastructure. For example, users in Japan can view content on their smartphone that is saved on their DVR at home, download it to their device to start watching, and then send it back to the DVR to finish watching once you’re home. Although Kevin Bacon professes this to be available in the UK, the data caps currently in place and the number of people using the service mean it really isn’t everywhere for everyone.
4) Give up on TV apps: Many consumers rely on mobile apps to help them enjoy TV content on-the-go. However, Smart TV apps have had a bit of a false start. The lack of universal standards across different TVs and manufacturers has made it difficult for media owners to enter the complex ecosystem. At the end of the day, if it isn’t broken, don’t fix it, TV screens are built for people to enjoy content on. Rather than developing apps for TVs, media owners should work with the existing mobile Android and iOS apps to ensure the optimum experience, which can then be shared or consumed through the TV.
5) Future of targeted advertising: One of the key benefits to media owners and broadcasters using mobile and tablet devices to offer content is the improved targeted advertising this offers. Although some consumers still voice concerns about targeted adverts and cookies, this trend could allow users to receive just 2-3 adverts prior to consumption – obviously significantly less to that on offer through traditional TV. Also, basing these adverts on the user’s history, these adverts are much more likely to appeal to the user and encourage engagement. Offering an improved user-experience to consumers, better targeting of ads, and ultimately new revenue channels to content owners will benefit all involved.
Social sharing took off in 2012, with second screen and the continued improvement and development of social media channels. As such, users are increasingly keen to share media content through these channels. However, we want everyone to have the ability to not only share socially but digitally through all their devices. There is a higher expectation amongst users that technology will make their lives easier in every aspect and we believe the above trends will help media providers and manufacturers to get one step closer to that goal.
By Jerome Rota
Senior Vice President, Consumer Products and Services
PacketVideo
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