Hotbird neighborhood coverage. Photo: Eutelsat

Eutelsat expects to announce other customers soon for its high profile Over the Top (OTT) pay-TV solution CIRRUS, which it launched with much fanfare at the International Broadcasting Convention (IBC) 2018.

The signing of the operator’s first high-profile customer, Mondo Globo, is the first tangible sign of success with this new solution. New customers could also be imminent. Gerry O’Sullivan, Executive Vice President (EVP) of Eutelsat told Via Satelliteat CABSAT 2019 that Mondo was just the start. “We will be announcing other customers as they go live on our platform,” he said. “We are providing full end-to-end services, including full multiscreen to our customers, which is a completely different proposition on the market. Customers will vary in size and scope, so some like Mondo Globo, who are relatively new to the industry to more established pay-TV operators. Some customers already have 500,000-750,000 subscribers and they want someone to take the burden of running that operation from them. We have had huge interest at Cabsat. I think the model that Mondo Globo is launching; high quality local content to remote large diasporas could be repeated in many markets worldwide.”

Sullivan admits that CIRRUS is part of Eutelsat’s return to growth strategy. Given the importance of video in Eutelsat’s overall revenues, the success of initiatives like this will be key for the operator. Eutelsat CIRRUS is a hybrid satellite-OTT delivery solution, enabling broadcasters to offer a flexible, seamless content experience across multiple screens. It will provide a turnkey content delivery solution via satellite and OTT to operators seeking to launch or upgrade their service, offering the benefits of rapidly deployed video services, low operational costs, high image quality, and consistent end-user experience. “It’s part of our continuous innovation path. When it comes to pay-TV, satellite is the most efficient way to deliver high quality video, coupled with OTT for multiscreen….. it’s the perfect customer experience,” said O’Sullivan.

The deal with Mondo Globo is a significant one for the company. Telearabia PRO, Mondo Globo’s new TV platform of Arabic-language Standard Definition (SD) channels, specifically targets the European hospitality sector. It comprises six premium Arabic lifestyle and entertainment channels, including three MBC Groupchannels. Fully-assembled through Eutelsat CIRRUS, the platform is available on Eutelsat’s HotBird neighborhood located at 13 degrees East and features live channel broadcasting, channel numbering, program information, and content security.

The Customer Speaks

Shady Hamzeh, President of Mondo Globo, believes there is a huge opportunity for the company to offer Arabic channels to people not based in their home markets. He told Via Satellitein Dubai, “The Arabic demographic in Europe is more than eight million people. In terms of households, the addressable market is around 2.0 million households and we are looking at 5 to 15 percent marketshare of these 2 million households. That would leave us between 100,000 to 300,000 potential subscribers, with an upper limit of 500,000 potential subscribers. In two years’ time, a realistic figure would be around 200,000 subscribers to Telearabia MAX. The offer is going to be available on all technologies ranging from satellite (HOTBIRD), OTT (4K certified Android TV Boxes), apps (IOS, Play store and at a later stage Roku, Amazon, Samsung, LG, and others). Consumers will be able to receive the offer, whether they are living in the mountains, remote areas, or urban centers. They will be able to watch Telearabia MAX regardless of where they are in Europe.”

Hamzeh said the company is able position itself as a pay-TV package and owning its own pay-TV platform. “It is quite transparent and complimentary to us. We are able to focus on things we do best, which is content delivery and value creation for content providers and content owners. In terms of technology, Eutelsat is providing us with turnkey solution and state of the art technology, leaving us to focus on the marketing, selling, content acquisition, value creation and fighting piracy,” he said.

The impact of the service could put pressure on illegal services, as Mondo Globo will be able to offer a much higher level of customer service which customers will not get anywhere else. “We have ambitious plans to market the service,” he added. “Firstly, we will get the broadcasters involved to shed some awareness on piracy, and the impact of piracy on the market. At the same time, they will promote Telearabia MAX and Telearabia PRO. We will also collaborate with local media outlets in key cities and markets where the Arabic population is heavily present, in addition to the traditional marketing (online and offline). Telearabia MAX and PRO will have full EPG system (provided by Eutelsat) in addition to customer service and support. I am happy to announce as well our first client to Telearbia PRO which is the Radisson Blu Edwardian Group in London and Manchester.”

He calls on content providers to go beyond just offering an international version of channels, which he believes is now “old school.” “What people want is to see the exact channel line-up that they have back in their home country, wherever they are currently living or traveling to,” he said.