LTE Broadcast and mobile’s video problem: a slow change has begun
Here at PolicyTracker we are very reluctant to go along with the extravagant claims which accompany the arrival of most new technologies. However, we have been studying LTE Broadcast for our new report on the subject and concluded that it heralds a long process of change. Mobile networks are getting better at dealing with video and we expect LTE Broadcast to be an important part of this.
Why are we so sure? Unlike MediaFLO and DVB-H, LTE Broadcast brings benefits for mobile operators, even if it does not lead to major new revenue streams. Principally, it can improve the customer experience in intense, high usage environments like sports stadiums and reduce the network strain caused by software downloads or the viewing of popular video content.
Mobile operators may be able to charge sports clubs or customers for these venue-casting services, but there are other potential income-generating applications. Push video adverts is one option, live coverage of major sporting events is another, and enhanced M2M services are also possible.
Crucially, unlike previous mobile broadcast technologies, LTE Broadcast does not depend on a single source of revenue – payments for watching live TV on your mobile. Using LTE Broadcast for Mobile TV will be attractive for some operators but the range of possible income generators allows them to deal with different national markets in different ways.
Furthermore, LTE Broadcast is much cheaper than its predecessors. It does not require the building of a new network or new spectrum. It is based on eMBMS, part of the LTE standard, and can be implemented through a software upgrade coupled with the purchase of new hardware.
So you have a relatively low investment, which helps to resolve some existing network problems and offers a range of possible revenue streams: a far cry from previous mobile TV offerings.
As ever, the handsets are not available in large numbers yet but that should soon change as chipset manufacturers are incorporating eMBMS into their new LTE products.
And could LTE Broadcast replace the traditional “high tower high power” broadcasting? Technically it may be possible, but is unlikely to happen anytime soon. What we are seeing is the start of a long process where mobile gets better at dealing with video. The impact in terms of revenue streams and successful applications is currently hard to predict, but a long-term change is certainly underway.