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The Cable Show 2008

TANDBERG TV Finally Brings Encryption Support to the Edge


| May 20, 2008 | Digital Media Infrastructure | Show Update

| Analyst: Yoav Schreiber


Current Perspective: Neutral
Vendor Importance: Moderate
Market Impact: Low

Analyst Show Flashes from The Cable Show 2008
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Event Summary

May 16, 2008 – Ericsson’s TANDBERG TV unit announced that is universal Edge QAM, the EQ8096, will support Privacy Mode Encryption to provide an added layer of protection for video on demand (VoD) content, ensuring that valuable programming can only be viewed by authorized subscribers. The content encryption technology benefits both content providers and cable operators by protecting premium video assets and associated revenues. The technology will be available as a software upgrade in Q3 2008.


Analytical Summary

• Current Perspective: Neutral on the announcement that Ericsson’s TANDBERG TV unit will be adding Privacy Mode Encryption support to its EQ8096 universal Edge QAM, because while the move enables cable operators to add encryption technology in order to secure their growing video on demand (VoD) offerings more efficiently, the Privacy Mode Encryption standard is essentially a table stakes addition that rivals (i.e., ARRIS and Harmonic) have already delivered. Furthermore, while the addition of Privacy Mode Encryption is an expected part of the EQ8096 product roadmap, the announcement lacked an operator endorsement that would have validated TANDBERG TV’s essentially late-to-market support of the standard.

• Vendor Importance: Moderate to Ericsson/TANDBERG TV, because the company needed to follow through on this addition to its EQ8096 product roadmap to meet cable operator expectations for implementing content security for their VoD offerings, as well as keep up with rivals.

• Market Impact: Low on the video headend and content security segments of the digital media infrastructure (DMI) market, since the announced support of Privacy Mode Encryption in the EQ8096 is essentially a necessary competitive response to previous moves by rivals. And while TANDBERG TV commands sufficient cable sector market presence and portfolio range, the announcement does not effectively require a competitive response from rivals.



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