|
ImaginOn
Technology and Interactive Television
by David M. Schwartz, CEO, ImaginOn,
Inc. 11 May 1998
The
Concept of iTV
Since its inception, television has been a broadcast medium
aimed at a passive audience whose only choices during viewing
are changing the channel or switching the TV set off.
Advocates of advanced television systems have proposed fully
interactive TV ("iTV") that will allow viewers to play games
with other people or with a video game software program,
shop for merchandise and purchase it, navigate and view
remote locations anywhere on Earth, participate in classrooms,
direct the outcome of theatrical presentations, select any
movie and watch it anytime, and so on and so forth.
There has been no lack of ideas regarding desired capabilities
and content for iTV.
Barriers
to iTV
There are at least three types of obstacles barring
the path to iTV implementation: technical, economic
and regulatory. This paper will not consider the regulatory
barriers, on the assumption that if the technical and economic
barriers are overcome, suitable regulatory accommodations
will be made. The economic obstacles are arguably
the most formidable at this time; affecting all aspects
of iTV. Many of the technical barriers to iTV implementation
have been hurdled in either field or lab demonstrations,
though some troublesome issues remain.
Technical
Issues
The technical problems related to iTV that have been
solved include head-end system speed, bandwidth and storage,
user back-channel systems, TV set-top boxes, user interfaces
and internet connectivity. Among the biggest technical
problems that remain are distribution channel bandwidth
and user-feedback latency. Although brute-force solutions
to distribution channel bandwidth and user-feedback latency
are conceivable, they are so far from practical as to remain
technical, not economic, issues.
The bandwidth
limitation of coaxial cable or hybrid fiber/coax distribution
systems is presently at about 500 digital TV channels encoded
using MPEG 1. For iTV applications such as movies
on demand or home shopping, this number of channels is probably
sufficient. Two-way oriented applications, such as
World Wide Web browsing and chatting, quickly consume all
500 channels, even at relatively low 128 kbps connection
rates, allowing only 10% of a 50,000-customer cable system
to be online simultaneously. 3D video games consume
a channel per user, allowing only 500 simultaneous users,
unless the game is downloaded to the set top box.
Interactive classroom and remote viewing applications fall
somewhere in between video game and internet bandwidth requirements.
User feedback
latency in two-way communications is highly variable among
trial iTV systems and demonstration systems. A few
iTV systems have demonstrated round-trip response times
of as little as 50 milliseconds, while many systems average
over 500 milliseconds. For almost realtime iTV applications
such as home shopping, latency is not an issue. For
other applications, such as multi-user video games and internet
telephony, this factor is one of the keys to user satisfaction.
Economic
Issues
To date, the economics of iTV have discouraged commercialization.
Only one limited form of iTV, movies on demand, has proven
economically viable in some markets. Cable and satellite
distribution system owners have not been able to find a
business model that justifies the costs of the upgrades
and new capital equipment required for iTV. Presently,
the economics are marginal at best. For example,
for a 50,000 customer overhead cable plant in a suburban
area, the estimated cost of upgrading the plant, plus new
equipment and set top boxes is about $500 per customer.
Such a system can provide users with "500 Channel" two-way
digital service. Assuming that a 20% annual return
on investment is acceptable, the cable operator must find
a way for the iTV system to generate $5,000,000 per year
of net profit. Clearly, the customer base can not
be counted on to provide the entire ROI needed, though they
might carry half the burden. The other half would
have to come from advertisers or channel sub-licenses.
Compounding
the fundamental problem of paying for the upgrade or conversion
of the plant, is the content problem. Two obvious
sources for interactive content, films and the internet
are readily available, with known price structures.
Beyond those, content sourcing at reasonable cost is an
open question. Existing home shopping service providers,
such as QVC, do not offer any method of increasing interactivity
beyond the telephone dial-in already in use. Interactive
adult video content is either internet or CD ROM-based and
does not have any iTV-specific application.
Video games
are only practical for iTV if the game software can be downloaded
and executed on the set top box. However, very few
video games have been ported to any set top box environments.
Multi-user head-end server-based games are few and far between.
Distance
learning systems are presently all PC-based, with no provision
for iTV support. Price aside, there isn't much iTV
content available.
iTV
Solutions
The economics of iTV will improve over time in at least
four ways. The costs of the physical plant upgrades
and additions will continue to decrease as all computer-based
and computer-related products decrease in price. Improvements
in the quality and quantity of interactive content for use
in the new channels will become compelling enough to generate
premium usage fees. Innovative methods for delivering
advertising embedded within iTV programming will attract
more advertisers. Methods for increasing the efficiency
of bandwidth allocation and maximizing the usage of the
new channels will be implemented.
ImaginOn
software technology impacts iTV economics in three of the
four areas mentioned above. On the content creation
side, ImaginOn software tools reduce the production cost
of original interactive content based on film, video or
animation. These same software tools can be used to
re-purpose existing film, video or animation assets for
interactive use. "Mining" existing archives of film
and video can yield large numbers of iTV programs in a short
period of time, since no new production is needed.
Interactive
movies made with ImaginOn's software tools consist of hundreds
of short clips that are assembled together in real time.
During playback, the viewer's position in the timeline of
the movie is recorded. Advertising or promotional
clips can be spliced into the movie anywhere that makes
sense, at any time. This combination of known user
position and instant splicing makes "just in time" highly-targeted
advertising possible. For example, ImaginOn movie
playback software can be linked to an advertising sales
function so that the actual number of viewers approaching
a scene in the movie can be used to offer an upcoming advertising
slot only minutes before the ad will be aired. The
highest bidder for the slot gets their ad dropped in on-the-fly.
For iTV systems with internet connectivity, ImaginOn playback
software displays an on-screen "Go On Line" button that
instantly pauses the movie and connects the viewer to whatever
website is paying to be shown at that point in time.
Ideally,
every customer of an iTV system should feel like they have
control over what they see and when they see it with the
fastest response time available. With 500 channels
available, full frame-by-frame forward, reverse and pause
video control of movie playback by each viewer in a 50,000
customer system is impossible, since each person would need
their own separate video stream. Aggregating viewers
into groups by assigning movie playback starting times is
the typical solution. ImaginOn software provides a
powerful new method for conserving bandwidth during playback
of interactive movies by a multitude of viewers: looping.
As discussed above, movies produced with ImaginOn tools
are composed of numerous short clips strung together in
real time. Any of those short clips can be seamlessly
looped. When a film clip is designed to be a seamless loop,
it is relatively unobtrusive and useful from both the cable
operator's point of view and the viewer's. On the
operations side, film loops provide locations in the video
stream playback where multiple asynchronous video streams
can be re-synchronized on-the-fly. For example, two
video streams offset by 1 second can be re-synchronized
during a two-second loop by holding the first stream in
the loop for one "extra" loop to allow the second stream
to "catch up".
From the
viewer's perspective, loops are convenient places in a movie
to make a choice about what should happen next. For
example, while watching a travelogue of San Francisco, a
film loop repeatedly showing a view of the Golden Gate Bridge
on one hand, and Chinatown on the other, gives the viewer
a chance to select which part of the city to see next.
Viewers maintain control of the content via decision loops,
while operators conserve channels via resynchronization
loops; two sides of the same coin.
|