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THE FUTURE OF TV
IT’S THE BATTLE OF THE CENTURY, AND THE FRONT LINE IS OUR LIVING ROOM.
BILLIONS ARE AT STAKE AS MEDIA GIANTS, TECH TITANS AND INTERNET
INNOVATORS REVOLUTIONISE THE FUTURE OF TV
I think there'll be more change in television in the next
five or 10 years than the last 25 years combined”
!
Brian Roberts
CEO Comcast Corp.
‘‘
“Is Social Media a Fad?
Or the biggest shift since the Industrial Revolution?”
‘‘Technology is shifting the power away from the
editors, the publishers, the establishment, the
media elite.
!
Now it’s the people who are in control”

Rupert Murdoch,
Wired Magazine, July 2006
Radio took 38 years to reach 50 million listeners
TV took 13 years to reach 50 million viewers
The Internet took 4 years to serve 50 million users
iPod took 3 years to reach 50 million users
Facebook - 200 million users in less than a year
iPhone hit 1billion Apps in 9 months
?
The internet changed the music industry and disrupted every facet of the
print media business, challenging old models and creating new ones.
Music discovery rapidly shifted from radio, Music TV to
the Internet, iTunes through to streaming social media
• Artists adopted direct-to-fan models and cutting out the
middleman altering the value chain.

• A growing population is consuming music via streaming
rather than “owning” it.

• As record sales decline, ticket sales have been growing. 

Live and Merchandising are the winners in the industry.

• Traditional publishers have tried to adopt
pay structure to the Internet with limited
success.

• A growing population creating content
via blogs and social media competing
with the traditional value chain.

• Traditional print publishers are trying to
diversify their revenue away from print
and moving to video and multi-platform
to compete with TV.
News and print media discovery and consumption has
rapidly shifted from print newspapers and magazines to
the Internet and Social Media.
Will TV be the next disrupted Industry?
• Hell yes!
!
• The intersection of the Web and linear broadcast TV
is fundamentally going to change the way TV is
found and consumed.
!
• New sources of funding from Venture Capitalists
looking towards disruption of the TV industry and
seeing the global TV Ad spend of 200 Billion dollars
as up for grabs.
!
• Advertisers and production companies will move
hard and fast to the second screen – a device
independent of the TV – and become an integral
part of the TV experience.
Global TV Ad Revenue
$190 Billion
ZenithOptiemedia, April 2012
Global Pay TV Revenue
$218 Billion
ABIresearch, June 2011
TV Hardware Sales
$75 Billion
DisplaySearch, April 2011
TV Revenues at Stake
±$500 Billion
Incumbents
Challengers
The TV Battle
Broadcasters?
!
•Broadcasters currently own the relationship with the brands and they need to
work hard to keep it this way. This may prove to be an uphill battle with TV ad
spend currently depending on fuzzy math and Nielsen, GfK ratings.

•Broadcasters need to own the second screen, but they are not moving fast
enough.
!
Brands?
!
•Brands are more likely to go direct-to-consumer with branded content.

•Brands are going to become more familiar with a new methods such as
‘Game Mechanics’, ‘Multi-platform Engagement’, ‘Analytics’, ‘Social TV’ and
‘Transmedia’.

•Second Screen behaviour will challenge the traditional 30-second spot
structure as more people move to multi-platform and engage on second
screens during commercials.
What does this mean to...
Social TV
• Social TV is described as when a viewer is engaging with a second screen (smartphone,
tablet, etc) while viewing TV (the first screen).
!
• Social TV has transformed TV from a one-way communication system to an interactive
dialogue where TV watchers play an important role in co-creating the viewership
experience.
!
• Social TV is helping to bridge media with data, generating a goldmine of statistics and
information for marketers to profit from and optimise campaigns.
!
?
Second screen engagement will drive interactive TV
experiences and new monetisation models.

EPG, content discovery and content consumption will move to
the second screen.

Linear TV will not die - it will become social and participative
and will focus on live and event-driven revenue.
!
Metadata engagement will become the new oil.
‘‘ ®
Jurjen Söhne
The Internet is fundamental to the future of
Television for one simple reason: because it’s what
people want.”
!
Eric Schmidt
Chairman of Google
‘‘
The future isn’t either traditional or digital: it’s a
feedback loop between the two.
!
Television fans want to get involved and be
counted. It’s how creative we are in engaging
those fans – and keeping them connected even
as they may move away from the traditional
network – that will determine how potent and
profitable we will be in the future.”
!
Kevin Reilly
President of Entertainment, Fox Broadcasting
‘‘
The future of TV
Second Screen Engagement
The future of TV
Stats | Analytics | Numbers
The future of TV
Google/Ipsos/Sterling, 2012
“Users are watching TV on average for 43 minutes per day session, but 77% of that
time we are simultaneously using another device like a smartphone or tablet.”
“Smartphones have the shortest sessions used, but are the most-used for onboarding
to a digital experience.”
The future of TV
The Numbers
2011: Connected Devices will account for 70% of CE Device Market Value 2011 (Strategy Analytics)
!
2013: TV Applications and Widgets Market Worth over €1 Billion Euro by 2013
!
2014: Report: Global Connected TV Shipments to Grow 58% Annually Through 2014
47 million European Households will have Connected TV by 2014 (Park Associates)
Installed “SmartTV” to Reach Over 230 Million by 2014 (In-Stat)
!
2015: Report: Half Billion Connected devices sold by 2015
!
2016: Participation TV To Generate $2.9 Billion By 2016 (MIG)
!
2017: Report: Global Market for IPTV to Reach $81.2 Billion by 2017
An apostrophe is the difference
between a company that
knows its shit and a business that
knows it’s shit”
‘‘On Twitter via @thulme

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The future of TV

  • 1. THE FUTURE OF TV IT’S THE BATTLE OF THE CENTURY, AND THE FRONT LINE IS OUR LIVING ROOM. BILLIONS ARE AT STAKE AS MEDIA GIANTS, TECH TITANS AND INTERNET INNOVATORS REVOLUTIONISE THE FUTURE OF TV
  • 2. I think there'll be more change in television in the next five or 10 years than the last 25 years combined” ! Brian Roberts CEO Comcast Corp. ‘‘
  • 3. “Is Social Media a Fad? Or the biggest shift since the Industrial Revolution?”
  • 4. ‘‘Technology is shifting the power away from the editors, the publishers, the establishment, the media elite. ! Now it’s the people who are in control”
 Rupert Murdoch, Wired Magazine, July 2006
  • 5. Radio took 38 years to reach 50 million listeners TV took 13 years to reach 50 million viewers The Internet took 4 years to serve 50 million users iPod took 3 years to reach 50 million users Facebook - 200 million users in less than a year iPhone hit 1billion Apps in 9 months ?
  • 6. The internet changed the music industry and disrupted every facet of the print media business, challenging old models and creating new ones.
  • 7. Music discovery rapidly shifted from radio, Music TV to the Internet, iTunes through to streaming social media • Artists adopted direct-to-fan models and cutting out the middleman altering the value chain.
 • A growing population is consuming music via streaming rather than “owning” it.
 • As record sales decline, ticket sales have been growing. 
 Live and Merchandising are the winners in the industry.

  • 8. • Traditional publishers have tried to adopt pay structure to the Internet with limited success.
 • A growing population creating content via blogs and social media competing with the traditional value chain.
 • Traditional print publishers are trying to diversify their revenue away from print and moving to video and multi-platform to compete with TV. News and print media discovery and consumption has rapidly shifted from print newspapers and magazines to the Internet and Social Media.
  • 9. Will TV be the next disrupted Industry? • Hell yes! ! • The intersection of the Web and linear broadcast TV is fundamentally going to change the way TV is found and consumed. ! • New sources of funding from Venture Capitalists looking towards disruption of the TV industry and seeing the global TV Ad spend of 200 Billion dollars as up for grabs. ! • Advertisers and production companies will move hard and fast to the second screen – a device independent of the TV – and become an integral part of the TV experience.
  • 10. Global TV Ad Revenue $190 Billion ZenithOptiemedia, April 2012 Global Pay TV Revenue $218 Billion ABIresearch, June 2011 TV Hardware Sales $75 Billion DisplaySearch, April 2011 TV Revenues at Stake ±$500 Billion
  • 12. Broadcasters? ! •Broadcasters currently own the relationship with the brands and they need to work hard to keep it this way. This may prove to be an uphill battle with TV ad spend currently depending on fuzzy math and Nielsen, GfK ratings.
 •Broadcasters need to own the second screen, but they are not moving fast enough. ! Brands? ! •Brands are more likely to go direct-to-consumer with branded content.
 •Brands are going to become more familiar with a new methods such as ‘Game Mechanics’, ‘Multi-platform Engagement’, ‘Analytics’, ‘Social TV’ and ‘Transmedia’.
 •Second Screen behaviour will challenge the traditional 30-second spot structure as more people move to multi-platform and engage on second screens during commercials. What does this mean to...
  • 13. Social TV • Social TV is described as when a viewer is engaging with a second screen (smartphone, tablet, etc) while viewing TV (the first screen). ! • Social TV has transformed TV from a one-way communication system to an interactive dialogue where TV watchers play an important role in co-creating the viewership experience. ! • Social TV is helping to bridge media with data, generating a goldmine of statistics and information for marketers to profit from and optimise campaigns. !
  • 14. ?
  • 15. Second screen engagement will drive interactive TV experiences and new monetisation models.
 EPG, content discovery and content consumption will move to the second screen.
 Linear TV will not die - it will become social and participative and will focus on live and event-driven revenue. ! Metadata engagement will become the new oil. ‘‘ ® Jurjen Söhne
  • 16. The Internet is fundamental to the future of Television for one simple reason: because it’s what people want.” ! Eric Schmidt Chairman of Google ‘‘
  • 17. The future isn’t either traditional or digital: it’s a feedback loop between the two. ! Television fans want to get involved and be counted. It’s how creative we are in engaging those fans – and keeping them connected even as they may move away from the traditional network – that will determine how potent and profitable we will be in the future.” ! Kevin Reilly President of Entertainment, Fox Broadcasting ‘‘
  • 21. Stats | Analytics | Numbers
  • 23. Google/Ipsos/Sterling, 2012 “Users are watching TV on average for 43 minutes per day session, but 77% of that time we are simultaneously using another device like a smartphone or tablet.” “Smartphones have the shortest sessions used, but are the most-used for onboarding to a digital experience.”
  • 25. The Numbers 2011: Connected Devices will account for 70% of CE Device Market Value 2011 (Strategy Analytics) ! 2013: TV Applications and Widgets Market Worth over €1 Billion Euro by 2013 ! 2014: Report: Global Connected TV Shipments to Grow 58% Annually Through 2014 47 million European Households will have Connected TV by 2014 (Park Associates) Installed “SmartTV” to Reach Over 230 Million by 2014 (In-Stat) ! 2015: Report: Half Billion Connected devices sold by 2015 ! 2016: Participation TV To Generate $2.9 Billion By 2016 (MIG) ! 2017: Report: Global Market for IPTV to Reach $81.2 Billion by 2017
  • 26. An apostrophe is the difference between a company that knows its shit and a business that knows it’s shit” ‘‘On Twitter via @thulme