BENEFITS OF BUILDING AN IN-HOUSE CONTENT DISTRIBUTION NETWORK (CDN) October 2011 Current thinking. Subject to change. CONTENT SERVICES FROM BT WHOLESALE BT owns & manages the largest communications network in the UK Provides a wide range of digital media distribution services to the entertainment industry - for 50+ years Media services incorporate BT Media & Broadcast, BT agilemedia & BT Wholesale Content Services Introducing a new approach to content distribution & delivery - developing broadband as a TV platform Content Connect (CC) - a CDN built to address exponential growth of broadband video traffic Current thinking. Subject to change. BT WHOLESALE & ISP BROADBAND MARKET ~19.5 million UK broadband lines BT Wholesale provides broadband: – to around 8m UK homes & businesses – to 600+ fixed & mobile operators & ISPs – BT investing £2.5bn in fibre & continuing to roll out advanced copper broadband – broadband services provided on an open wholesale basis Broadband Subscriber Numbers Q4 2010 Total Broadband Subs 19,620,484 BT Wholesale (DSL) 7,979,755 LLU Lines 7,489,629 Virgin Media (DOCSIS) 4,011,100 Other (Kingston etc) 140, 000 (Source: Enders Analysis) Current thinking. Subject to change. MARKET CONTEXT INTERNET VIDEO TRAFFIC CONTINUES TO RISE IN UK AND AROUND THE WORLD PROLIFERATION OF INTERNET ENABLED DEVICES DRIVING CSP/CDN STRATEGY • BBC iPlayer reported 90m online TV content requests in September 2011 • Virgin Media BBC iPlayer TV requests were an additional 23m • Ericsson believes IP video will grow to over 90% of network traffic in the next few years • Cisco predicts global internet video will increase from 2.7 to 19.5 exabytes (1m larger than terabyte) by 2014 • Redshift research found 35% of UK viewers watch more TV on mobiles than 2 years ago • Content Providers use multiple CDN partners for greater reach, burst and economic benefits • The rise & range of connected devices offers Content Service Providers increasing options to reach their customers Current thinking. Subject to change. BT WHOLESALE’S CONTENT CONNECT FAMILY Standard: enables ISPs to present content to BT for caching within BT Wholesale’s broadband access network to participating ISPs’ end users Premium: provides advanced quality of service within the broadband access network to assure delivery to end users Content Connect Standard Premium ~8.3m BTW Users CDN Key Features CC Standard CC Premium Download/ Streaming from caches to End users Delivery via the ISP network Delivery via the ISP network and QoS Origin Server access Yes (BT or CSP provded) Yes (BT or CSP provded) Geo Blocking Yes (in ISP network) Yes (in ISP network) Usage reporting and billing Yes Yes SLA for performance reliability and resillience Yes Yes Current thinking. Subject to change. CONTENT CONNECT ARCHITECTURE CC Content Caches CSP Origin Server CC Standard WWW (Internet) CC Premium Backhaul DSL BR AS 21CN ISP Network MSAN WCC Origin Server Current thinking. Subject to change. ISP Origin Server Traditional Internet CDN traffic flow A DEDICATED SERVICE PORTAL FOR PARTNERS Developing a secure destination zone for Content Connect partners to manage their business • • • • • • • Content management, cache deletion… Skytide insight for performance, reporting & analytics across all ISPs Ability for ISPs to view volume & actual content (url) delivered by CSPs Fault management & help features Service management & training Access to billing information Network status visibility All under one wholesale.com security & authentication wrap Current thinking. Subject to change. BT WHOLESALE CONTENT CONNECT BROADBAND VIDEO DISTRIBUTION FOR UK PARTNERS BT sees broadband as a video delivery platform & a viable complement to DTT, Cable or Satellite A NETWORK CDN Deployed deep in BT’s network A QUALITY USER EXPERIENCE CC Assured provides traffic prioritisation in the broadband access network delivering a predictable & consistent user experience TRANSFORMING THE COMMERCIAL MODEL Establishing a new commercial model for content delivery which brings the ISP into the ecosystem & offers greater choice for CSPs INSIGHT AND OPERATIONAL SIMPLICITY A single reporting portal for deeper audience & operational insight with industry leading reporting system from Skytide Current thinking. Subject to change. THE UK WHOLESALE MARKET Homes/businesses Fibre Managed network services BT Wholesale Copper Broadband, data, voice Fibre Exchanges Copper Openreach Access products (LLU, WLR, GEA, Backhaul) THANK YOU Current thinking. Subject to change.