In Korea news, Hanaro Telecom launched on July 24,"hanaTV", a commercial video-on-demand TV-Portal service. The convergence network includes movies, dramas, and educational programs on TV through broadband Internet network and Internet Protocol TV via Set-Top Box.
Hanaro Telecom's "hanaTV" service has secured 22,000 content/ programming items (16,000 hours) sourced from 50 content providers including Sony Pictures Television International, Walt Disney Television, CJ Entertainment SBS, BBC Worldwide, YTN, EBS, Daum, and National Geographic.
Hanaro is trying to sign an agreement with terrestrial TV Network, Munhwa Broadcasting (MBC) and more major movie producers including 20th Century Fox TV, Warner Bros Entertainment Inc. to provide differentiated premium content services to its customers.
Talks are also in process with Korea's largest terrestrial broadcaster, KBS.
Hanaro explained that it had become the first domestic fixed-line carrier to offer true network convergence with its Triple Play Service (TPS) bundling broadband Internet, telephony, and TV-Portal with "hanaTV".
The move is laying the foundation for Hanaro Telecom to transform itself into an integrated multi-media company to offer a new type of telecommunication-broadcasting convergence service.
Subscribers view "hanaTV" on a bandwidth capacity of 2Mbps through H. 264 CODEC and Download & Play, the most advanced service technologies, without the need to change a Set-Top Box in the future when real-time & multi-channel IPTV service is added, possibly in 2008.
hanarotelecom expects the "hanaTV" service to attract 250,000 subscribers with revenues of approx. 5 Billion Korean Won by the end of 2006, 1 Million subscribers with revenues of 70~80 Billion Won by 2007, and 1.5 Million subscribers with revenues of 200 Billion Won, when full-fledged IPTV services are expected to be provided.
hanarotelecom expects that the "hanaTV" business will reach its BEP next year and it will create synergy with the existing business such as expansion and retention of subscriber base through TPS.
President & CEO of hanarotelecom Byung-Moo Park expects "hanaTV" as a new growth engine for the company.
hanarotelecom has applied for patents for 5 technologies related to the "hanaTV" service(Advertising Scheduling, VOD Contents Channel-Up- and-Down, Contents Download & Play, VOD Contents Link,P2P-based Contents Sharing) via hanaromedia(formerly CelrunTV), one of its subsidiaries.
Tags: hanaro telecom, "hanaTV", IPTV convergence market, network convergence, terrestrial broadcaster