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Today's report from Web Editor Susan
Rush
• Charter, Harmonic team on GigE-based VOD
• Microsoft's IPG
gets the green light to run
on more Motorola set-tops
• TVN taps into
children's market
• BigBand lands Cox HD
deployments
• Hotel broadband
sector poised for growth
• MSO selects
Terayon as a preferred vendor
• CableLabs issues OCAP RFP
• Broadband briefs
Charter, Harmonic team on GigE-based VOD
Charter Communications said it is deploying
Harmonic Inc.’s Gigabit Ethernet-based video-on-demand gear in 12 markets with “additional markets planned for later this year.”
The move marks the latest in Charter’s VOD migration following the demise of Diva Systems Corp., a company that filed bankruptcy in late
May and sold most of its assets to Gemstar-TV Guide International for about $40 million. Charter also is in the process of replacing Diva’s video servers and underlying VOD systems with those from rival vendors
Concurrent Computer Corp. and
nCUBE Corp.
In the case of Harmonic, Charter is using the vendor’s Narrowcast Services Gateway for its ongoing rollouts, in combination with Harmonic’s GIGALight DWDM transport systems in some markets, the company said.
Financial terms were not disclosed, but that didn’t stop investors from snapping up Harmonic shares, which rose 34 cents,
or 11.6 percent, to $3.26 per share in early trading Monday.
GigE, which is growing in popularity among cable operators that are deploying VOD in new markets, touts lower costs and higher capacities compared to legacy transport schemes such as ASI (asynchronous serial interface) and direct QAM (quadrature amplitude modulation).
The deal with Harmonic “provides an efficient standards-based infrastructure for delivering VOD, which is very important for our future growth, and seamless integration with existing equipment in our diverse network environments,” said John Pietri, Charter’s senior vice president of engineering, in a press release. “This solution gives us the added benefit of a pay-as-you-grow deployment model, allowing us to add capacity only when and where it is needed.”
Charter said it is deploying in GigE equipment in 12 markets, where the MSO is using a mix of servers and systems from Concurrent and nCUBE. Those systems are: Asheville, N.C. (Concurrent); Birmingham, Ala. (nCUBE); Duluth, Ga. (Concurrent); Ft. Worth, Texas (nCUBE); Greenville/Spartanburg, S.C. (Concurrent); Hickory, N.C. (Concurrent); Long Beach, Calif. (nCUBE); Newtown, Conn. (nCUBE); Pasadena, Calif. (nCUBE); St. Louis, Mo. (Concurrent); Slidell, La. (Concurrent).
Charter is moving ahead with GigE in nCUBE markets today, and expects to do the same in Concurrent properties once the vendor’s cable-based GigE products are ready to roll, company Vice President of Engineering and Technology Don Loheide said in an earlier interview for a feature story that will appear in the September issue of
CED magazine, Broadband Week's sister publication. Charter, in the meantime, is leveraging legacy transport equipment made by Synchronous Inc., a company that Motorola
Inc. acquired in January, in the MSO’s Concurrent-based VOD markets. Concurrent officials have maintained that the company’s GigE-based servers for cable networks should be out of the lab phase and ready for prime time “in a matter of months.”
- Jeff Baumgartner
Related stories:
Concurrent,
Internet Photonics team on GigE VOD transport, 8/22/02
Diva
completes death spiral while Gemstar picks over the scraps,
5/30/02
Jedai
rolls out new GigE access, 4/29/02

Microsoft's IPG gets the green
light to run on more Motorola set-tops
Microsoft
Corp. believes its Microsoft TV IPG can help reduce churn for
operators, and the company has been working with Motorola Inc.'s Motorola
Broadband Communications Sector to expand its use. The latest:
The IPG has received ACADIA validation for use in Motorola's
DCT-1000 and DCT-1200 set-top boxes.
Microsoft considers the Microsoft TV IPG, which was
introduced in May, as an alternative to TV Guide Interactive
because Gemstar will receive a portion of Microsoft's IPG
licensing revenue, Microsoft told CED Broadband Direct in
May. The IPG has already been validated to run on Microsoft's
DCT-2000 set-tops, Motorola's most widely deployed box.
ACADIA validation is designed
to act as a benchmark for operators choosing software, content and
applications. The Application Integration Center is a Motorola
subsidiary and is the facility for the Horizon Developer Program.
The center is intended to supply the expertise and resources to
take a prototype to deployment.
Related story:
Microsoft
TV unveils 'thin-client' IPG, 5/6/02

TVN taps into children's market
Whoever believes children should be seen and not
heard obviously isn't tapping into the multi-billion dollar
market. TVN
Entertainment sees the revenue potential of this market in the
video-on-demand space and has put together a programming package
for its VOD affiliates.
The company has put together a package that
includes 18 hours of Sesame Street programming from Sesame
Workshop, 13 episodes of Backyard Safari from RCN Entertainment
and various programs, including Mattel's Barbie in the Nutcracker
and The Great Bear Scare from Artisan's Family Home Entertainment
label. The package also will include MGM content, including Pink
Panther cartoons and Hello Kitty. The MGM deal is a trial
agreement.
Blue Ridge, Charter Communications Inc., Insight
Communications, Mediacom Communications Corp., RCN Corp., Spark
Interactive and Seren Innovations Inc. are among the affiliates
that have signed up for the children's VOD package, TVN said.
In July, Intertainer inked a licensing deal giving
it the right to distribute 21 half-hour Sesame Street
episodes, including The Best of Kermit on Sesame Street, Cookie
Monster's Best Bites and Getting Ready for School.
Related story:
Intertainer
enters Elmo's world, 7/30/02

BigBand lands Cox HD deployments,
hits digital milestone
Cox Communications
Inc. said it has tapped BigBand Networks Inc. to support the MSO’s rollout of high definition television in several markets later this year.
Initially, Cox will use BigBand’s Broadband Multimedia Service Router (BMR) in Las Vegas, Nev. and Phoenix, Ariz. Cox said the gear will help the operator reduce costs and better allocate and manage its available bandwidth without expensive system rebuilds or upgrades.
“As more content becomes available, HDTV’s massive bandwidth requirement is a formidable challenge, with each HDTV feed requiring approximately up to six times the capacity of standard digital television,” said Cox Manager of Digital Technology Steve Watkins, in a press release.
The deployments will mark the first for BigBand’s “RateShaping” equipment, BigBand COO Jamie Howard told
CED Broadband Direct. BigBand’s RateShaping technology is designed to maintain video quality while enhancing channel capacity by up to 50 percent when carrying live HD programs, or, more specifically, insert up to three HD channels in one QAM.
Howard said Cox plans to use BigBand’s equipment in other HD markets, with some of those markets coming online later this year.
BigBand also has deployments with Time Warner Cable, Blue Ridge Communications and Canada’s Rogers Cable Inc. BigBand also is in discussions with AT&T Broadband, Adelphia Communications and a number of international cable operators.
“We are continuing our field trials and lab evaluations with all of the top tier cable operators,” Howard said. “We are in HD trials and evaluations with all of the top five (North American) MSOs.”
In addition to HD and standard definition television, BigBand’s has also developed or is in the process of developing product to support digital ad insertion, switched video and video-on-demand.
Separately, BigBand said more than 1.5 million digital subscribers are served by the company’s BMR equipment, which includes the compact BMR100 and high capacity BMR1200. The company surpassed the 500,000 mark less than four months ago.
- Jeff Baumgartner
Related story:
BigBand
reaches digital milestone, 4/11/02

Hotel broadband sector poised
for growth
The hospitality market was hit hard after the
September 11 terrorist attacks on New York City and Washington,
D.C. But now almost a year later, the market is beginning to
rebound, which is good news for the broadband industry, one
analysis says.
Lower occupancy following Sept. 11 and a
unsustainable business model nearly devastated in hotel broadband
market in its infancy, says a new report, dubbed
"Pay-Per-View or Free Shampoo: Where is Hotel Broadband
Headed," from InStat/MDR,
which is owned by the same parent as Broadband Week. The
wounds, however, are beginning to heal, and hotels are embracing
broadband with renewed enthusiasm, according to Amy Cravens, an
InStat/MDR analyst.
The market is positioned for strong growth in the
second half of this year. After 2003, roughly 250,000 ports will
be shipped per year, and by 2006 more than 1 million ports will
have shipped, according to the report. InStat/MDR also found that
the trend of using ADSL networks to deploy services is fading, and
is being replaced by the deployment of higher bandwidth VDSL
networks. The hotel broadband market will largely be driven by new
builds, which will most likely be wired with CAT 5, shifting the
market toward Ethernet.
Looking at the equipment side of the market is
expected to generate $286 million in revenue by 2006, with the
majority of the revenue coming from business in the United States,
says the report.
Specifically, the hotel broadband report takes a
look at the trends driving the hotel broadband market and the
projected revenues in various sectors, including equipment and
services. It also projects take rates and penetration.

MSO selects Terayon as a
preferred vendor
Terayon
Communications Systems Inc. joins Motorola Broadband and
Toshiba America Information Systems as a preferred next-generation
cable modem vendor for Cox
Communications.
Cox has approved Terayon's TJ 715 DOCSIS 2.0-based
cable modem for use in its networks. The modem is DOCSIS 1.1
certified. CableLabs has not yet begun testing for DOCSIS 2.0
certification.
The MSO plans to deploy the modem in its Phoenix
system shortly. Phoenix, viewed as a highly competitive market for
residential broadband service, is Cox's largest facility.
The news of the deal with Cox gave investors
something to smile about, and gave Terayon's stock a much-need
shot in the arm. At one point in morning trading, Terayon shares
were up 52 cents, or 24 percent, to $2.68.
Earlier this month, Comcast Corp. certified
Terayon's TJ 615 cable modem for deployment in its high-speed
network. The cabler plans to deploy the DOCSIS 2.0-based modem in
select service areas.
Related stories:
Comcast
certifies next-gen Terayon modem, 8/21/02
Toshiba
supplying Cox with DOCSIS 1.1 modems, 8/2/02
Cox
tabs Motorola for next-gen cable modems, 7/31/02

CableLabs issues OCAP RFP
CableLabs has released a request for proposal (RFP) for implementations of OCAP (OpenCable Application Platform), a middleware specification for digital set-tops, televisions and other consumer devices based on the cable industry’s OpenCable platform.
CableLabs said the RFP aims to solicit industry implementations of OCAP for OpenCable devices and “to hasten the ability of cable operators to launch new services made possible by OCAP.”
OCAP currently comes in two flavors: 1.0 and 2.0. OCAP 1.0 is largely based on Europe’s Multimedia Home Platform (MHP) and includes an execution engine based on Java. OCAP 2.0, a heavier version, will add a presentation engine to the mix.
CableLabs, which is distributing the RFP on behalf of the cable industry, said it will serve as the repository and evaluator of technical information submitted in response to the RFP.
Several MSOs, including AT&T Broadband, Comcast Cable and Time Warner Cable, voiced support of OCAP in Monday’s announcement. Charter Communications and Cox Communications are also participating in the RFP process, CableLabs said.
Still, “individual cable operators will make independent and subjective judgments about which, if any, [OCAP] vendors to negotiate with,” said Time Warner Senior Vice President of Advanced Engineering and Subscriber Technology Mike Hayashi, in a press release.
OCAP vendors typically refer to existing middleware suppliers such as Liberate Technologies, Canal Plus, Microsoft Corp., OpenTV Corp. and PowerTV Inc., a division of Scientific-Atlanta Inc.
All interested parties must advise CableLabs by Aug. 26 their intention to answer the RFP. Final responses to CableLabs and cable operators are due on Sept. 12.
- Jeff Baumgartner
Related stories:
CableLabs
concludes second OCAP interop, 8/2/02
CableLabs:
At long last, OCAP, 1/4/02

Broadband briefs:
• Sweden to get VOD network
Infraconcepts plans to roll out a video-on-demand
network, dubbed SmarTV, in Sweden, with the help of SGI
and Thirdspace.
SGI and Thirdspace are supplying their turnkey VOD
system, which is based on SGI's Origin 300 survey platform and
Thirdspace's OVS video server software and OVA, which handles the
business logic in the system.
Infraconcepts initially will offer SmarTV to 1,500
households outside Stockholm, in Sollentuna.
• Indictments delayed in Adelphia case
Five former Adelphia
Communications Corp. executives will have to wait a bit longer
for their case to go to court. A federal court postponed the
hearing for 30 days. The U.S. Attorney's Office has said it
needs more time to review information it has received from the
defendants.
Last month, John Rigas, his two sons Timothy and
Michael, and two other former Adelphia executives James Brown and
Michael Mulcahey were arrested and charged with securities
fraud.
On Friday, a U.S. Bankruptcy Court for the Southern
District of New York approved Adelphia for its $1.5 billion debtor
in possession credit facility.

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