Editorial
As the new National Digital Research Centre (NDRC) advertises for a Chief Executive Officer and other core personnel, it is an appropriate time for small to medium-sized enterprises to pause and consider what the opportunities are. For some cynics, the proposed NDRC is tarnished by the lamentable passing of Media Lab Europe. But the reality is that this centre is going to be a very different enterprise. For one, its core modus operandi is to commercialise research in the digital media space, something that the Media Lab didn’t do. Although the centre will, of course, cater for the all-important “blue sky” research themes through its university partners, it will also look more closely to enterprise in order to develop exploitable research that can go quickly to market. This is where the opportunity lies for digital media enterprises – and an opportunity that might not be readily apparent to them.
Traditionally, the links between enterprise and third levels in this country have been tenuous and weak. Although, there have been of course notable spin-off successes – such as Iona and Havok coming out of Trinity College Dublin - they are the exception rather then the rule. In comparison to the US, we have a pitiful record in terms of enterprise spin-offs from universities based on research or indeed, industry-led research. But that is set to change. In fact, it needs to change if we are going to keep the momentum of a knowledge economy going. |
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But a core change that needs to be made is the perception of R&D among small to medium-sized enterprises. Even with a relatively beneficial tax credit system for R&D in this country, the popular enterprise perception is that R&D is a luxury only afforded to large multi-nationals. The concept of a team of skilled technical employees – whose sole occupation is not immediately profit-generating – is rightly considered implausible by most SMEs. However, what collaboration with third level research affords is the ability to retain such a team of researchers without the expense. Enterprise Ireland is already seeing the fruits of industry-led collaboration through their eLearning CEO Forum and their Mobile and Wireless Forum. Digital Enterprise Research Institute in Galway successfully tendered to develop specific research for eLearning as initiated by a collaboration of eLearning companies in Ireland. A similar Mobile and Wireless industry-led initiative has just tendered to third level institutes for research in the area of IP Multimedia Subsystem (IMS).
Yes, time and effort needs to be invested in order to instigate research projects; but if carefully managed, like anything, the dividend can be worthwhile. SMEs need to approach the topic from a business angle – it is the equivalent of forming a partnership where both parties will benefit from the potential success of the results. The only money down is time.
But time is, of course, an issue. The consistent pressures of running a digital media business require that an owner-manager keeps their eye firmly on sales revenue and cash flow – particularly in the growth period. This often means that the needs for training and upskilling, let alone research and development, are often put on the back-burner. In this regard, both government and enterprises need to carefully consider each others position. There are a number of initiatives for the instigation of research in third level through Enterprise Ireland. Likewise, there are also a number of initiatives provided by the government for upskilling and training. However, both sides will have to offer a certain amount of flexibility in order to accommodate both the bureaucratic process of government as well as the demands of business. A real concern is that it is the larger, well funded multi-national organisations who can take full advantage of these initiatives - as they have the resources to deal with the investment of time – where as the small to medium enterprise will continue to plough a difficult furrow alone.
IPTV – the Future of Broadband in Ireland?
Hardly a day goes by without the broadsheets lamenting the state of broadband in Ireland. In fact, Ireland’s broadband growth rate has slowed to 19% in the first quarter of 2006, down 28% from the fourth quarter of 2005. The latest score card from the European Competitive Telecommunications Association reveals that Ireland is ranked 14 out of the original 15 EU member companies. Anecdotal evidence from one leading telecommunications provider in Ireland suggests that of their churn from broadband (i.e. those customers who do not renew their broadband subscription), a worrying 60% have gone, not to another provider, but back to dial-up.
So what’s happening? Well, price is obviously still an issue with the majority of subscribers to broadband using the more familiar ADSL option over their existing phone lines. When the price of phone line rental and broadband subscription is added – regardless of the offer – it seems high. With the average price being €45 a month for broadband, it compares unfavourably with, for example, digital TV which seems to offer much more at first glance (80 channels) for a similar price.
Perception is a major part of the problem. Broadband is now accepted by the government as being a utility, potentially every bit as important as gas, water, electricity or television. But whereas, you can see the immediate benefits of water and electricity, the same cannot be said for broadband – hence those returning to dial-up. For example, if your regular websites of choice on dial-up were, for instance, www.ireland.com for news, www.rte.ie for entertainment, the odd purchase on Amazon or eBay and checking your emails, a move up to broadband will see very little difference in terms of service, but significant difference in out of pocket expense. The benefits of broadband over price are just not readily apparent to the average user in this situation.
What needs to happen is that average users need to become more fully aware of the utility of broadband and that broadband providers need to offer more in terms of service. This is not about cost, speed or bandwidth – it is about content. One of the potential white knights on the horizon then is IPTV. So what is IPTV?
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IPTV, as the name indicates, means the delivery of television over Internet Protocol (IP) networks i.e. broadband. This is not the same as streaming television over the web (often confusingly called WebTV) but rather using the same protocols as you use for the internet, to deliver television and other multimedia content. Again this goes back to another Hub hobbyhorse – the misconception that the Internet is the web. In fact, the Internet is simply a group of interconnected networks using the TCP/IP protocol. |
The web is just an application of the internet, as is email and Instant messenger – which also use the same protocols. In the case of the Web, you use a Browser on a PC to interface with the network. In the case of IPTV, you will use an interface on your television
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| Fig.1 – Triple Play |
For broadcasters, IPTV is just another platform for them to deliver broadcast channels – like Satellite, Cable or DTT. But for telecommunications companies, it is the chance for them to offer an entirely new multimedia experience extending the borders of conventional “broadcast” television.
It is an integrated, ‘all-embracing’ media platform offering a bundle of diverse content and communication services from a single provider over a single network to a single user device – all with a single payment. In other words, it’s the Holy Grail.
Frustratingly for traditional landline telecommunications companies, they have been left out of the internet boom as they are resigned to being merely the “carrier”. Unlike mobile operators, they can’t take a share of any revenue from transactions made over the internet through a PC. However, with IPTV that could change. For many telecommunications communications - eircom included – who have a full bouquet of service offerings, it paves the way towards “triple” play, and in some case a “quadruple” play. This relates to the bundled offering of television, broadband internet, telephony and mobile with just one bill. The fact that the main interface is a set-top box and television means that they can offer other revenue-generating services – such as Video On Demand services, interactive shopping channels, games and other unthought of applications. They can also potentially offer a whole new level of interoperability, whereby content and services can be offered on demand - anytime, anywhere – to the television, the PC, the mobile or the PDA. The idea of setting your TV to record Extras on BBC 2 (and perhaps even watching it) through your mobile phone handset would be particularly appealing.
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Already, BT in the UK is offering BT Vision IPTV set top boxes which gives customers access to over 30 Freeview channels through their TV aerial (a DTT Tuner); Video on demand offering a huge library of movies, comedy, music and kids shows that you can order and watch at the touch of a button and pay accordingly.
A Digital Video Recorder that allows you store up to 80 hours of programming and press pause while watching any programme. Also on offer are instant messaging, chat and video telephony all through the TV (to and from BT Vision customers only). You are also able to control your BT Vision service via the internet whenever you're online
An effective IPTV offering in Ireland would be a god-send for broadband uptake as it would offer a clear and simple USP for broadband to the customer. It would also offer an ideal platform (i.e. the television) to educate customers to the benefits of broadband in terms of lifestyle and business when using their PC online.
Currently, the size of the IPTV market is still relatively small. The total number of IPTV subscribers worldwide is currently estimated at around two million, with Korea, Hong Kong and Japan as the main markets. Subject to realistic market predictions, by 2010 IPTV could reach 34 million households. An example of 2 successful services in Europe are Free IPTV in France with 200,000 subscribers as of March 2005 and FastWeb in Italy with 250,000 subscribers.
A few barriers to its adoption remain however. One is that telcos do not have the experience to aggregate, or indeed programme, content. Secondly, set top boxes – as Sky have long understood – need to be carefully handled. Consumers are not used to their television “crashing” – where as they are well used to their PC doing so. Any applications that run on IPTV set top boxes will need to be robust and carefully monitored. Again, this is not part of the average Telco’s experience. Thirdly, there is the bandwidth problem that occurs when users start to demand High Definition broadcasts. The average HD image is generally 4 times the size of a standard one in terms of bandwidth constraints. Although it is likely that compression technologies will develop in tandem with the roll-out of HD, Telcos will still find it hard to compete with the likes of Sky Digital who have been in the set top box game for years and who also are now looking at subscription broadband offerings.
To get an idea of how the IPTV battle might be waged in Ireland, you need only look at the applicants for the Digital Terrestrial Television trials being run by the Department of Communications, Marine and Natural Resources. They are BT Ireland, Channel 6, Chellomedia Services, the Communicorp Group, Magnet Networks, Sky Ireland, TVONE Broadband Media, USP Ireland and a joint bid from RTE and Eircom. It is interesting to see that four of the applicants are telecommunications companies. It seems that the IPTV revolution may be underway and that broadband may finally find a home.
News
August 10th: Digital Hub learning programmes on track to deliver high skilled talent pool to support industry development
The Digital Hub Development Agency (DHDA) has said that one of the clearest benefits of The Digital Hub project to date has been the delivery of ground breaking learning programmes to children in the South West Inner City.
Speaking at the launch of ‘Nature Bytes’, which is a showcase of digital media films by local children, the DHDA’s Director of Marketing, Dr Stephen Brennan said, “children living in the vicinity of The Digital Hub are now among the most proficient in the country in the application of digital media technology. We are confident that the skills they have developed through The Digital Hub’s learning programmes will leave them well placed to take advantage of the high-value jobs that will come on-stream in the Project over the next five years. This will have a very positive impact on their communities.”
‘Nature Bytes’ features the work of over 80 children, who have worked with The Digital Hub over the past month to produce a series of 5-minute still films. Each film focuses on elements of nature that the children experienced while on excursion to the countryside and parks over the summer.
One of the productions is entitled ‘A Change from the Flats’ and captures a trip to Botanic Gardens by children from School Street Flats. The children scripted, produced and acted in the film. The showcase was launched by broadcaster, Eanna Ni Lamhna, and will run in the Auditorium of the Digital Exchange, Crane Street from 10 – 12th August.
Since 2002, The Digital Hub has been working with 16 local schools, as well as homework clubs and summer projects, to delivery digital media learning to children. According to Dr Brennan, “in all of our learning programmes, we have paid particular attention to delivering content that is relevant to the evolving digital media enterprise cluster at The Digital Hub. Animation, pod-casting, film production, photography and even mobile games have featured in our learning. We hope that graduates from our schools-learning programmes will be the next generation of digital media entrepreneurs, researchers and employees working in the Hub.
During the launch, the DHDA announced that it was looking to expand the number of partners involved in supporting its learning programmes. “To date, Diageo Ireland has played a pivotal role in enabling us to deliver learning programmes to children and the wider community. However, we are now seeking to extend our learning programmes, and would like to establish new partners to enable us to meet this objective.”
In addition to Diageo Ireland, The Nature Bytes project was supported by the Community Foundation for Ireland and by Adobe. “There is a real trade off for the digital media industry in supporting our learning programmes: proficiency in digital media technology at an early age provides young people with the skills, motivation and focus to study and work in the sector. Thereby providing an important skills pool from which the industry can benefit over the coming years. We are grateful to the Community Foundation and Adobe for recognising this opportunity by supporting Nature Bytes,” added Dr Brennan.
The Digital Hub Development Plan
In accordance with Section 9 of the Digital Hub Development Agency Act 2003, Digital Hub Development Agency (DHDA) has published a Draft Development Plan. The plan is the result is of an extensive consultation process with our community, public sector and private sector partners.
There are a number of ways in which a copy of the plan can be obtained:
The plan is available for inspection at the offices of DHDA, Digital Exchange, Crane Street, The Digital Hub, Dublin 8, until 5.30pm, Monday, 28th August 2006.
The plan can be obtained by emailing your full name and address to: info@thedigitalhub.com
A copy of the plan can be obtained by post. Please telephone DHDA, Tel: 01 4806200
Submissions or observations to the plan can be made in writing.
These should be addressed to: Draft Development Plan, Digital Hub Development Agency, Digital Exchange, Crane Street, The Digital Hub, Dublin 8.
Or by email: info@thedigitalhub.com
The closing date for submissions or observations is Monday, 11th September 2006.
All submissions will be considered by the Community, Public, Private Partnership (CPPP) Steering Group, which has been appointed by the Board of DHDA to ensure full consultation.
Events
Sept. 14th: IDC's Business Continuity, Storage and Security Conference 2006
Location: The Jurys Ballsbridge Hotel, Dublin.
Time: 9am
Price: Free to end users - subject to verification by IDC
Organisations are rightfully being encouraged to develop holistic strategies to prepare the entire organisation for disruption at any level. However, this approach creates its own challenges, with multiple stakeholders, processes and systems needing consideration. IDC's Business Continuity and Security Conference will explore the developments in business continuity and highlight the crucial aspects, from infrastructure and storage to software.
More info: agreenwood@idc.com
Tel: +44 (0)20 8987 7123 http://www.idc.com/getdoc.jsp?containerId=IDC_P11671
Sept. 20th: Centre of Excellence - Education
Location: Alexander Hotel, Merrion Sq., Dublin 2.
Time: 9am
Price: 250 including lunch
On 20 September 2006 the Irish eGovernment Awards and Centre of Excellence, will hold a seminar focused on education and the web. The event includes -- Winners Irish Education eGovernment Awards 2006 - State Examinations Commission - case study; Expert in harnessing the web to support education - Declan Tuite of DCU and one of the judges for the Irish eGovernment Awards; International eLearning expert -- case study TBC.
More info: louise@irishegovernmentawards.ie
Tel: 01 668 0601http://www.irishegovernmentawards.ie/centre-of-excellence.htm
Sept. 25th: it@cork -- Blogging Training Series
Location: National Software Centre, Mahon, Cork.
Time: 6pm
Price: Members EUR50, Non EUR100
Beginning Monday September 25th for five consecutive weeks it@cork looks at:
1. How to set up a blog?
2. How to optimise your blog?
3. How to find content?
4. How to Promote your blog and posts?
5. How to Podcast?
All five sessions cost just EUR50 for members or EUR100 for non-members.
More info: catherine.wall@itcork.ie Tel: 021 2307011 Fax: 021 2397046 http://www.itcork.ie/index.cfm?page=events&eventId=74
Sept. 27th: CITA short course on Knowledge Management
Location: Radisson SAS St, Helen's Hotel, Stillorgan Rd, Dublin.
Time: 9.30am - 3.30pm
Price: Members EUR375 / Non EUR475
The aim of this short course is to provide background information for companies operating in the construction sector on the requirements for preparation and implementation of a Knowledge Management solution in their businesses.
More info: cryan@cita.ie Tel: 01 479 5716 Fax: 01 479 5886
https://www.cita.ie/short_courses/short_courses.html
Sept. 28th: Internet Marketing for 21st Century Businesses - Cork
Location: Rochestown Park Hotel, Rochestown Rd, Douglas, Cork.
Time: 9am
Price: EUR265
Most companies use their websites as little more than an on-line brochure. By attending this morning seminar discover multiple ways to directly leverage your company's website for consistent, high-quality sales lead generation. Doing the right things in the right way a website can significantly improve a company's selling landscape. This is a non-technical seminar and is geared towards marketing, sales, senior management and individual professionals who recognise the increasing importance of online marketing to business success.
More info: seminars@praxisnow.ie Tel: 086-8103183
http://www.praxisnow.ie/seminarsCork.html
Sept. 28th: IT Compliance - Challenges and Emerging Trends
Location: National Software Centre, Mahon, Cork.
Time: 5.30pm:
Price: FREE for members, EUR20 for non members
This event is chaired by Phil Vaughan, Director of IM, Centocor Ireland. Dee Cairie, Director, Torque Management, will discuss 'Compliance - A strategic Approach' and Hilary Harte, Information Security Manager, Pfizer Ireland Pharmaceuticals will speak on IT Security & Compliance Case Study: Incorporating ISO17799 into a Mature Organisation.
More info: catherine.wall@itcork.ie Tel: 021 2307011 Fax: 021 2337046
http://www.itcork.ie/index.cfm?page=events&eventId=75
Oct. 3rd: it@Cork Java Conference
Location: Radisson Hotel, Little Island, Cork.
Time: 2pm
Price: EUR30 for members, EUR75 for non members
Renowned Java experts are set to visit Cork for a conference hosted by it@Cork, the Cork network for IT professionals. Simon Ritter of Sun Microsystems and Adrian Colyer from Interface21 will address developers in the Radisson Hotel. Simon Ritter is Sun's foremost Java Evangelist and Adrian Colyer is an acknowledged international expert on Aspect Oriented Programming (AOP).
More info: catherine.wall@itcork.ie Tel: 021 2307011 Fax: 021 2397046
Oct. 5th: Exploiting business opportunities on the internet
Location: Seven Oaks Hotel, Carlow.
Time: 2pm
Price: EUR20
The Irish Internet Association and Carlow County Enterprise Board are hosting this half day seminar. Having a website is only the first step in making a return on your online investment. Websites have to be content driven, user friendly and generate sales (or leads) to make it a business reality. The seminar will looks at ways to sell products online, via your own website or sites like eBay. This seminar is aimed at small business owners, their employees, IT providers and marketing managers who have a web presence but have never had the time, resources or knowledge to make the internet work for their businesses.
More info: events@iia.ie Tel: (059) 9130880 Fax: (059) 9130717
http://www.iia.ie/events.asp?eventid=96
Oct. 19th: TIF Annual Conference - Telecoms Convergence & Infotainment
Location: The Mansion House, Dawson St, Dublin 2.
Time: 11:30
Price: EUR350 (ex VAT), EUR250 for add. bookings
This year's Telecommunications & Internet Federation annual conference takes the theme of telecoms convergence and the growth in infotainment. Speakers include Mr Noel Dempsey, TD, Minister for Communications, Marine and Natural Resources; Pierre Danon, Executive Chairman, eircom/Babcock & Brown; Sir Christopher Bland, Chairman, BT Group UK; Ken Peterson, Executive Chairman, Magnet Networks Ltd; John Killian, Head of International Business, Verizon USA and Mike Quigley, COO, Alcatel Group France. National speakers include Delia Bushell, Managing Director, Sky Ireland; Shane O'Neill, Director of Strategy, Liberty Global & Chairman of UPC Ireland; Danuta Gray, Chief Executive, O2 Ireland and Teresa Elder, Chief Executive, Vodafone Ireland Ltd.
More info: carolyn.doumeni@ibec.ie
Tel.: +353 (0)1 605 1528 Fax: +353 (0)1 638 1528