Chorus Limited · NZX:CNU
Chorus — Forsyth Barr presentation (2014)
18 slides from Chorus's conference presentation, 2014
Slide 1: TV Futures: Evolution of entertainment on demand in NZ
TV Futures: Evolution of entertainment on demand in NZ
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements • This presentation may contain forward-looking statements regarding future events and the future financial performance of Chorus, including forward looking statements regarding industry trends, strategies, capital expenditure, the construction of the UFB networ
Slide 3: What we will talk about today
What we will talk about today Consumer Technology Adoption and trends: Preferences: Evolution of Trends in Pay TV, broadband MultiPlay and coverage and Connected devices capability Implications for NZ
Slide 4: Where is NZ in technology adoption?
Where is NZ in technology adoption? Technology pragmatists Cautious adopters Lagging the world – not leaders? OR Enthusiastic adopters Keeping pace with other markets Behaviour and attitudes aligned to international trends?
Slide 5: Entertainment adoption drives change
Entertainment 4 adoption drives change Internet innovators respond 2. User experience + attractive content Premium + personal preferences 1. Online and on- 3. Mobile devices demand drive personal, Supplements rather immersive viewing than supplants linear Content access broadcasting embedded into de
Slide 6: TV Everywhere: getting personal
TV Everywhere: getting personal Traditional broadcasters • Leverage advertiser/content relationships • Add relevance/flexibility Traditional Pay TV Internet Players • Add interactivity & flexibility • Device, application, billing capability to core offerings • User preferences/profiling • More targe
Slide 7: NZers are demanding more broadband
NZ’ers are demanding more broadband… Wired Broadband Penetration Rates NZ June 2013 29.5 35 broadband December penetration Broadband Connections per 100 population 2010: UFB Estimated 76% of NZ 30 March 2008: officially first launch of local loop launched households have 25 unbundling broadband toda
Slide 8: …and more connected devices…
…and more connected devices… Average # of smart devices in NZ homes increased from 2.9 to 5.2 in 3 years Streaming music Video sharing 0.3 Mbps 2 Mbps Browsing 3-5 Mbps OTT video Smartphones have grown from 13% 1-2 Mbps SD TV penetration in 2011 to 68% in 2014 2 Mbps Smartphone 1-2 Mbps Online gamin
Slide 9: … driving demand for bandwidth
… driving demand for bandwidth NZ Total Monthly Traffic by Application Cisco Visual Networking Index 2013 160 139.7PB 140 124.8PB Video is ~71% of total 111.3PB 13% 120 96.8PB 12% traffic Video today is 71% of total 100 80.5PB 11% traffic today 10% 80 65.2PB 9% 60 9% 67% Average data usage 40 63% 65
Slide 10: Boost provides confidence to market video services
Boost provides confidence to market video services
Slide 11: Boost service commitments
Boost service commitments Market Broadband that supports HD Video Outcome Service Minimum average throughput of 5Mbps Commitment from Handover Point to ETP Chorus Network RSP Aggregation HoP Network DSLAM ETP Modem Equipment Operational RSP Capacity planned Minimum 6Mbps End User Commitment Network*
Slide 12: Offers the ability to differentiate based on needs..
Offers the ability to differentiate based on needs.. Heavy 3+ simultaneous Usage users Fibre 200 Video calling Cloud services Fibre 100 Real time gaming Boost TV and movies on VDSL demand Boost HD Social networking Regulated UBA Emails and browsing Mainstream Fewer Users More Users Usage Pragmatists
Slide 13: Access is one part of complex network architecture
Access is one part of complex network architecture 1. Access 2. Backhaul 3. Core 4. International transit Internet traffic is routed through the The fibre backbone that links major Aggregates traffic and connections Auckland gateway. cities from the exchange. Carried via Southern Cross cable to Tran
Slide 14: We will share more network information
We will share more network information Boost >90% Boost HD capable lines are currently getting >6Mbps Home Wiring Modems Network ‘Nearest 33k non-ADSL2+ Neighbours’ modems Analysis algorithm impacting Line Insights indicates likely rate home wiring UFB Chorus UFB covers ~20% of Boost capable lines a
Slide 15: Fibre overview
Our fibre offerings Fibre overview
Slide 16: Fibre is supported by Multicast
Fibre is supported by Multicast Multicast supports ‘one to many’ broadcast programming over fibre • Provides service providers with flexibility to use the fibre platform for a mix of linear and on-demand We have multiple ports on the Optical Network Termination (ONT) point • These have the poten
Slide 17: Conclusion: NZ will be a fibre leader by 2020
Conclusion: NZ will be a fibre leader by 2020 Portugal Portugal Target UK Netherlands South Korea France Singapore 100% - Japan target Germany Spain Sweden Denmark Japan Europe 95% - Australia Hong Kong By 2020 NZ today US NZ 2020 New Zealand will Standard Fixed Broadband Australia Hungary 90% - be
Slide 18: Summary
Summary NZ technology users: ‘transforming in adoption, attitudes and behaviours’ *IDC Consumerscape survey March 2014 • Aligning to international trends and change New Zealand’s television and entertainment markets in transition • Critical that Chorus enables service providers Accelerate products s