Archive for the ‘Broadcast technology channel strategy’ Category

Reminder: 2017 NAB Show Media Technology Business Summit is Sunday April 23rd

Analysis, broadcast industry technology trends, broadcast industry trends, Broadcast technology channel strategy, broadcast technology market research, Broadcast technology vendor financials, Broadcast Vendor M&A, Broadcaster Financial Results, Conference Sessions, market research, Media Services M&A, Online Video, OTT Video | Posted by Joe Zaller
Apr 21 2017

If you are attending the 2017 NAB Show, and you want to understand the commercial and technical issues that are driving the industry forward, you don’t want to miss the sixth annual Media Technology Summit.

11:00am – 3:00pm, Sunday, April 23, 2017

Las Vegas Convention Center, Room N249

We’ve worked hard to bring together an outstanding line-up of technology and business thought leaders from all parts of the media technology ecosystem, and we are very grateful that this incredible group has agreed to take part in this year’s event and share their experiences with our audience.

The full conference agenda is at the bottom of this post.

This summit is the one place at the NAB Show where C-Level executives from each part of the media ecosystem discuss the commercial issues facing their organizations, and how this has and will impact their technology investment and deployment strategies. Whether you are a media company, technology supplier, finance professional, or industry strategist, if you want to understand the executive perspective on business developments in the media technology sector, we’re sure you will find the conference to be a thought-provoking kickoff to the NAB Show. It’s also a great networking opportunity.

In addition to executive panel discussions, we will also provide an overview of the most up-to-date industry market research and analysis.  This includes preliminary findings from the 2017 Devoncroft Partners Big Broadcast Survey, the industry’s definitive demand-side market study, and the 2017 Global Market Valuation Report (GMVR), which is published by IABM DC, a 50-50 joint-venture between Devoncroft Partners and industry trade association IABM.

If you have not yet participated in the 2017 Big Broadcast Survey, you can register here and join thousands of your colleagues worldwide in the definitive study of media industry trends.

If you’d like to attend the Summit, all you need is an NAB Show badge.  So please bring any colleagues interested in the changing landscape of media technology.

You can also register using code ATT2.

This event has been standing-room-only for the past several years, and we are expecting a large turn-out, so please come early.

 

2017 NAB Show Media Technology Business Summit

Conference Agenda

11:05am – Strategic Industry Analysis: Valuations, M&A, and Equity Finance

Joshua Stinehour, Principal Analyst, Devoncroft

 

11:25am – The Broadcast & Media Technology Industry in 2017

Joe Zaller, President, Devoncroft

 

11:50am – The Vendor C-Suite: Strategies for an Evolving Market

David Ross, CEO, Ross Video

Johan Apel, President & CEO, ChyronHego

John Stroup, President, CEO, Belden, Inc.

Ramki Sankaranarayanan, CEO, Prime Focus Technologies

 

12:30pm – Leveraging Hyperscale IT Infrastructure for Next-Generation Media Workflows

Dave Ward, Senior Vice President, Engineering Chief Technology Officer and Chief Architect, Cisco Systems

Keith McAuliffe, Vice President and Chief Technologist, HPE Servers Global Business Unit Hewlett Packard Enterprise

Peter Guglielmino, Media & Entertainment CTO, IBM

Tom Burns, Media & Entertainment CTO, DELL EMC

Moderator: Al Kovalick, Founder, Media Systems Consulting

 

1:15pm – Service Provider C-Suite: Perspectives on the Future of Media Technology

Barry Tishgart, Vice President, Comcast Technology Solutions

Bill Wheaton, Executive Vice President & Chief Strategy Officer, Akamai

Darcy Antonellis, Chief Executive Officer, Vubiquity

Usman Shakeel, Worldwide Technology Leader Media & Entertainment, Amazon Web Services

Moderator: Janet Gardner, President, Perspective Media Group

 

1:50pm – The Broadcaster C-Suite: Trends Driving Investment Decisions

John Honeycutt, CTO Discovery Communications

Renu Thomas, EVP Media Operations, Engineering & IT Disney/ABC Television Group

Richard Friedel, EVP and GM, Fox Network Engineering and Operations

 

2:30pm – The Broadcaster C-Suite: The Opinion of Financial Decision-Makers

Christine Dorfler, Chief Financial Officer, NBCUniversal Owned Television Stations

Joe Dorrego, EVP/CFO, FOX Television Stations

Lucy Rutishauser, Senior Vice President Chief Financial Officer & Treasurer, Sinclair

Michael Tuvell, Senior Vice President Chief Financial Officer, Tribune Media

 

Related Content:

2017 Media Technology Business Summit Agenda on NAB Show website

 

© Devoncroft Partners 2009 – 2017. All Rights Reserved.

 

Media Tech Vendor M&A: Telestream Buys Vidcheck

Broadcast technology channel strategy, Broadcast Vendor M&A | Posted by Joe Zaller
Sep 05 2016

telestream-logo-transparant

Telestream announced that it has acquired Vidcheck, a provider of automated quality control (QC) solutions for broadcast and media technology applications.

Vidcheck_Logo

The deal, which was funded by cash from operations, has been completed. Terms were not disclosed.

Vidcheck founder Tom Dove will remain with the enlarged company.

The Vidcheck deal is Telestream’s sixth acquisition.  Similar to its recent purchases of cloud encoding company Panda, and captioning specialist CPC, Telestream CEO Dan Castles described the Vidcheck deal as a “tuck-in,” rather than a transformation. Although Telestream’s Vantage workflow orchestration platform currently includes an option called Analysis, the company believes that it can drive greater value for its customers by offering Vidcheck’s automated file-based QC software as part of its overall offering.

“Vidcheck’s team and product portfolio line up very well with our area of expertise,” said Castles. “It is not just some great technology and products that we are acquiring but also a gifted, talented and passionate team that will reinforce our resources here at Telestream. We look forward to leveraging our combined know-how to offer our worldwide customer base an even more complete and exciting product portfolio.”

Telestream says it will also continue to integrate and interoperate with multiple QC vendors, as it already does today.

 

© Devoncroft Partners 2009-2016. All Rights Reserved.

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Going to NAB? Don’t Miss 2nd Annual “Media Technology: Strategy and Valuation Conference,” A Thought Provoking Kick-Off to the 2013 NAB Show

broadcast industry technology trends, broadcast industry trends, Broadcast technology channel strategy, broadcast technology market research, Broadcast technology vendor financials, Broadcast Vendor Brand Research, Broadcast Vendor M&A, Broadcaster Financial Results, content delivery, technology trends | Posted by Joe Zaller
Apr 02 2013

If you are attending the 2013 NAB show, be sure not to miss the second annual “Media Technology: Strategy and Valuation,” conference which is being co-produced by Devoncroft, Silverwood Partners and the organizers of the NAB Show.

This event is being held in room N239/241 of the Las Vegas Convention Center on Sunday April 7th from 1:45 p.m. to 6:00 p.m., and it’s free for all registered attendees of the 2013 NAB show.

This year’s conference features an intensive, information-packed series of presentations and panels that discuss the strategic trends and industry-specific factors influencing the value of media technology companies.

We’ve worked hard to put together an outstanding line-up of speakers and presenters, including top technology buyers, leading technology vendor CEOs, and private equity investors who will speak to the opportunities and challenges involved with financing the next phase of technology change in the industry.

The agenda will offer attendees the informed opinions of technology purchasers, industry executives, market research organizations, and financial professionals. The event will serve as a thought-provoking kick-off to the 2013 NAB Show.

This session is intended for senior executives from technology vendors, end-users, and investment firms in the media technology sector.

 

Here’s the current lineup of presenters:

 

1:45 pm – 1:50 pm

WELCOME AND INTRODUCTION

Joe Zaller – President, Devoncroft Partners

 

 

1:50 pm – 2:20 pm

NAB SHOW SPROCKIT PRESENTATIONS

Hear from three market-ready start-ups who have been selected by the NAB’s SPROCKIT initiative.  This session will include an introduction of the SPROCKIT initiative followed by presentations from three of NAB Show’s inaugural SPROCKIT participants.

Presenter(s):

  • Hilary DeCesare, Co-Founder and CEO, Everloop
  • Heidi Messer, Co-Founder & Chairman, Collective[I]
  • John West, Founder & CEO, The Whistle

 

 

2:20 pm – 2:45 pm

THE BROADCAST & MEDIA TECHNOLOGY INDUSTRY IN 2013

Joe Zaller will present a summary of key data derived from the newly published 2013 Big Broadcast Survey (BBS), the largest and most comprehensive study of the broadcast industry. Key results from the 2013 BBS will include key investments areas as well as trends of significance that are impacting these purchasing decisions.

Joe Zaller – President, Devoncroft Partners

 

 

2:45 pm – 3:10 pm

STRATEGIC INDUSTRY ANALYSIS: VALUATIONS, M&A, AND EQUITY FINANCING

Jonathan Hodson-Walker and Joshua Stinehour of Silverwood Partners will present an analysis of strategic industry trends and the specific factors that affect company valuations, including transaction activity and valuations; vendor strategic considerations; and the current M&A environment along with near-term expectations. Attendees will also learn which businesses are buyers and investors targeting and why.

Presenter(s):

  • Jonathan Hodson-Walker  – Managing Partner, Silverwood Partners
  • Joshua Stinehour – Managing Director, Silverwood Partners

 

 

3:10 pm – 3:35 pm

M&A, VALUATION PERSPECTIVES FROM INDUSTRY EXECUTIVES

Joe Zaller will moderate a panel of three recognized executives at leading vendors will offer views on the critical drivers of value (in context of M&A) in the industry, and discuss the best practices they’ve learned on how to review an acquisition opportunity and how to integrate M&A into overall growth strategies. Obstacles to further industry consolidation will also be discussed.

Moderator:

Joe Zaller – President, Devoncroft Partners

 

Panelists:

  • Dan Castle — CEO, Telestream
  • Harris Morris – CEO, Harris Broadcast
  • Denis Suggs, Executive Vice President, Belden

 

 

3:45 pm – 4:00 pm

IABM END-USER RESEARCH OVERVIEW

Peter White, Director General IABM will present an overview of the latest end-user research from the IABM, including the changing requirements of broadcast technology buyers, and what this means for the supply community.

Peter White — Director General, IABM

 

 

4:00 pm – 4:25 pm

THE BROADCAST TECHNOLOGY BUYER PERSPECTIVE

Joe Zaller will guide a discussion with broadcast executives responsible for technology budgets as they ponder the questions of most significance to decisions on technology purchasing: How are savvy broadcasters aligning known technology expenditures against uncertain multi-platform revenue opportunities in order to counteract the ‘consumer-broadcast disconnect’? How are these companies assessing the business risk of technology purchase decisions today given the uncertainty of future business models?

Moderator:

Joe Zaller – President, Devoncroft Partners

 

Panelists:

  • Fred Mattocks – General Manager Media Operations and Technology, Canadian Broadcasting Corporation
  • Steve Plunkett – Chief Technical Officer, Red Bee Media
  • Phil Braden — SVP Technology and Applications, PCCW

 

 

4:25 pm – 4:50 pm

KEYNOTE: TECHNOLOGY CHANGE, BUSINESS CHANGE

Clyde Smith, FOX Networks Engineering and Operations  will offer a broadcast executive’s perspective on the major business issues facing the industry, what major initiatives and projects have been created to solve these issues, a candid assessment of the results of these initiatives, and a discussion of what is still needed from a technology standpoint to address these issues.

Clyde Smith — SVP New Technology, FOX Networks Engineering and Operations

 

 

4:50 pm – 5:15 pm

INVESTOR PERSPECTIVES ON INDUSTRY

Joe Zaller will moderate this panel of private equity professionals who have made recent investments in the media and entertainment space will offer their unique perspectives on trends of significance for the M&E sector. They will also preview their plans for intelligence-gathering at this year’s NAB Show, the trends that are driving investment dollars in the sector, and what characteristics influence their evaluation of an investment opportunity within the M&E industry.

Moderator:

Joe Zaller – President, Devoncroft Partners

 

Panelists:

  • Dave Golob, Francisco Partners
  • Kevan Leggett, Lloyds TSB Development Capital Ltd
  • William Smales, The Carlyle Group
  • Bryce Winkle, The Gores Group

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© Devoncroft Partners. All Rights Reserved.

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Reminder — Media Technology: Strategy & Valuation Conference at NAB 2012

broadcast industry technology trends, broadcast industry trends, Broadcast technology channel strategy, broadcast technology market research, Broadcast technology vendor financials, Broadcast Vendor Brand Research, Broadcast Vendor M&A, Broadcaster Financial Results, Devoncroft Digest, Top Broadcast Vendor Brands | Posted by Joe Zaller
Apr 13 2012

If you are attending the 2012 NAB show you might want to consider setting aside some time to attend a new half-day conference called “Media Technology: Strategy and Valuation.

We are excited to be co-producing this event along with the NAB Show and Silverwood Partners.

This session is being held in room N237 of the Las Vegas Convention Center on Sunday April 15th from 2:00 p.m. to 6:00 p.m., and it’s free for all registered attendees of the 2012 NAB show.

This conference will address industry-specific factors driving the valuations of companies including changing market dynamics, new technology, and evolving customer requirements. It is intended for industry technology executives, private equity investors, and venture capital investors in the media technology sector.

You’ll hear from experts from the financial community, broadcast industry technology buyers, leading service providers, and media technology market research analysts.

Download full agenda and speaker bios here

 

MEDIA TECHNOLOGY: STRATEGY & VALUATION

Presented by:

  

 

April 15, 2012

Las Vegas Convention Center, Room N237

 

1:30-2:00pm       Registration

 

2:00-2:25pm       Strategic Implications of Transitioning to Cloud and SaaS Platforms for the Media Industry

Presented by David Peto, CEO, Aframe

What is the reality of becoming a Software-as-a-Service (SaaS) business?

  • Opportunities and challenges with the business model from the SaaS provider perspective
  • Lessons learned from providing SaaS services to large media companies
  • Key customer variables for deciding to use SaaS services

 

2:25-2:55pm       The Broadcast & Media Technology Industry in 2012

Presented by Joe Zaller, President, Devoncroft Partners

  • Summary of key data derived from the newly published 2012 Big Broadcast Survey, the largest and most comprehensive study of the broadcast industry. Overview of the latest research from the IABM will also be provided.
  • Does brand perception impact valuation? Using data from the annual Big Broadcast Survey, color commentary and market research data will be provided to show how brand perception impacts both customer loyalty and Company valuation, and what vendors can do to change their brand perception for the positive.

      

2:55-3:25pm       Strategic Industry Analysis: Valuations, M & A, and Equity Financing

Presented by Jonathan Hodson-Walker, Managing Partner and Joshua Stinehour, Senior Vice President, Silverwood Partners

Analysis of strategic industry trends and the specific factors that affect company valuations:

  • Review of transaction activity and valuations
  • Technology shifting from a supporting role to a strategic role
  • Business opportunities and models evolving rapidly
  • What businesses are buyers targeting and why?
  • Analysis of Software, SaaS vs. hardware valuation and reasons for differentials

 

3:25-3:50pm       Online Video: Threat, Opportunity, or Both?

Presented by Andrew Taylor, VP Business Development, Grab Media

  • Expert insight on the business models of new media and multiplatform distribution.
  • Commentary on developments in online video, advertising technology, and new distribution and syndication models.

 

 

3:50-4:00             Break

 

 4:00-4:20pm       Technology Transition: Software, File-based, Cloud

Presented by Bernt Kåre Johannessen, Chief Development Officer, Vizrt

  • The business implications of file-based workflows, cloud computing, and multi-platform content delivery for both broadcasters and technology vendors. 
  • Efficiencies for the customer, business model implications, business and technology implementation challenges, revenue models, and required technologies.

 

 4:20-4:40pm       Executing the Strategic Plan: Suggestions and Recommendations for Executives

Presented by Graham Sharp, Director of Media Asset Capital

  • Understanding value and differentiation of business offering to customers
  • Unlocking strategic value of business
  • Tactical implementation of the strategic plan to fully realize value

 

 4:40-5:00pm       The Broadcast Buyer Perspective

Presented by Pat Sullivan, President and CEO, Game Creek Video

  • Game Creek is one of largest Outside Broadcast Truck providers in the US with a client list that reads like the who’s who of Broadcast: ABC, CBS, ESPN, FOX, HBO, NBC, MLB, NBA, and the NFL to name a few!
  • With an annual multi-million US$ budget being spent with Broadcast Equipment vendors, what do GCV want from their suppliers and what could they do better?

 

5:00-6:00pm       Cocktail and Networking Reception

 

Announcing the “Media Technology: Strategy and Valuation Conference.” A Thought Provoking Kick-Off to the 2012 NAB Show.

broadcast industry technology trends, broadcast industry trends, Broadcast technology channel strategy, broadcast technology market research, Broadcast technology vendor financials, Broadcast Vendor Brand Research, Broadcast Vendor M&A, content delivery, market research | Posted by Joe Zaller
Apr 04 2012

If you are attending the 2012 NAB show you might want to consider setting aside some time to attend a new half-day conference called “Media Technology: Strategy and Valuation,” which is being produced by Devoncroft, Silverwood Partners and the NAB Show

This event is being held in room N237 of the Las Vegas Convention Center on Sunday April 15th from 2:00 p.m. to 6:00 p.m., and it’s free for all registered attendees of the 2012 NAB show.

This conference will address industry-specific factors driving the valuations of companies including changing market dynamics, new technology, and evolving customer requirements. It is intended for industry technology executives, private equity investors, and venture capital investors in the media technology sector.

You’ll hear from experts from the financial community, broadcast industry technology buyers, leading service providers, and media technology market research analysts.

Here’s the current lineup of presenters:

David Peto CEO of A-Frame (who just raised $7m for a cloud-based broadcast production system) will discuss how SaaS business models will impact the broadcast production environment.

Joe Zaller from Devoncroft Partners will present a summary of the 2012 Big Broadcast Survey including a review of the most important industry trends, where money is being spent in the broadcast industry, the evolution of HD infrastructure and file-based workflows, and how a vendors brand can impact its valuation.

Jonathan Hodson-Walker and Josh Stinehour from specialist investment bankers, Silverwood Partners will present an in-depth analysis of strategic industry trends and the specific factors that affect company valuations such as technology, business models, and strategic positioning.

Andrew Taylor, VP of Business Development at Grab Media will provide an overview of multi-platform content delivery business models, including advertising technology, content delivery and content syndication.  This presentation will discuss the impact that multi-screen deployments may have on traditional media companies, and whether they present a threat or an opportunity for new business… or both.

Bernt Kåre Johannessen, Chief Development Officer at Vizrt will explain the business implications of file-based workflows, cloud computing, and multi-platform content delivery for both broadcasters and technology vendors.  This presentation will discuss efficiencies for the customer, business model implications, business and technology implementations challenges, revenue models, and what technologies are still needed.

Graham Sharp of Media Asset Capital will discuss how to effectively implement and execute a strategic change process.  This presentation will discuss unlocking strategic value of businesses, recommendations for execution, and understanding value and differentiation of business offering to customers.

Pat Sullivan, president of Game Creek Video, a leading sports production company, will provide the customer perspective on the dynamic evolution of the broadcast industry.  Sullivan will talk about what customers on the leading edge of technology are buying, how this has changed over time, how it might evolve in the future, and what they are looking for from broadcast technology providers.

 

 

To guarantee your place, please RSVP to nabstrategy@silverwoodpartners.com.

We look forward to seeing you there.

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Related Content:

NAB Media Technology: Strategy and Valuation Conference presented by Devoncroft, Silverwood and the NAB Show

TechCrunch Article: Aframe Goes After Avid With A Fresh $7m And A Very Big Cloud

Devoncroft – The 2012 Big Broadcast Survey

Silverwood Partners: NAB 2012 – Media Technology – Strategic Industry Analysis

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© Devoncroft Partners. All Rights Reserved.

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More Broadcast Vendor M&A: Grass Valley Buys PubliTronic, Enters Integrated Playout / Channel-in-a-Box Market

broadcast industry trends, Broadcast technology channel strategy, broadcast technology market research, Broadcast Vendor M&A | Posted by Joe Zaller
Oct 12 2011

Grass Valley announced today that it has purchased PubliTronic, a Netherlands-based broadcast technology supplier.  Terms of the acquisition were not disclosed.

PubliTronic provides integrated playout or channel-in-box (CiaB) solutions for broadcast playout applications.  According to Grass Valley executives, CiaB solutions have been deployed by approximately 5% of the market today and represent “one of the fastest growing segments in broadcasting, [and is] expected to increase significantly over the next three years.”

PubliTronic’s CiaB product provides an integrated playout package featuring a video server, media management, automation, broadcast graphics and other master control functionality.  PubliTronic’s products will be incorporated into the Grass Valley product line-up and will be re-branded as the Grass Valley K2 Edge.

The acquisition of the PubliTronic product line complements the existing Grass Valley server product business and puts Grass Valley into the automated playout business, which is shaping up to be one of the next battlegrounds in the broadcast technology business.  It was certainly one of the most important trends at the recent IBC 2011 trade show.

With the purchase of PubliTronic, Grass Valley joins the growing list of broadcast vendors who are making major bets in this area.  In addition to Miranda, Evertz, Snell, Grass Valley, PlayBox and VSN; who are now all vying for leadership in this segment, I’ve heard rumors that other firms including both Harris and Harmonic (Omneon) could launch CiaB products by NAB 2012, making this both a hot topic and a very crowded space.

With most CiaB systems providing similar functionality, it will be important for Grass Valley to differentiate itself from its competition.  In a statement, the company sought to do this, saying: “What this acquisition brings to customers is much more than a simple “channel-in-a-box” solution. Our next-generation K2 Edge™ server is a sophisticated and very powerful multichannel, integrated, automated playout system that delivers benefits to our customers from day one.”

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Related Content:

Press Release: Grass Valley Extends Leadership in IT-based Playout Solutions with Acquisition of Integrated Playout Solutions Provider PubliTronic

Press Release: Grass Valley Announces New K2 Edge Automated, Multichannel, Integrated Playout Solution

Announcement Coming From Grass Valley

BC 2011 Trends: Cloud, Channel-in-a-Box, 3D

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More Broadcast Vendor M&A: DG Fastchannel Acquires Canadian Ad Firm MIJO, Second M&A Deal in Six Months

broadcast industry technology trends, broadcast industry trends, Broadcast technology channel strategy, Broadcast technology vendor financials, Broadcast Vendor M&A | Posted by Joe Zaller
Apr 05 2011

DG Fastchannel announced that it has acquired MIJO, a provider of broadcast and digital media services to the Canadian advertising, entertainment and broadcast industries, for $39.5m in cash.

This appears to be a good exit for 32-year old MIJO, which provides US and multinational brands with a platform of bilingual and integrated media services.  MIJO had 2010 revenue of C$17.4m ($18m USD) and EBITDA of approximately C$3m, meaning that it achieved a valuation of 2.2x revenue and 5.8x EBITDA.

DG says it expects to achieve approximately $3.5m in cost synergies during the initial 12 month period following close.

MIJO co-founders Joel Reitman and Michael Goldberg are expected to remain with the company together with the core group of 110 employees, in order to assure operating continuity for Canadian clients.

This is the second M&A deal for DG FastChannel in the last six months.  Last September, it acquired Match Point Media LLC, a provider of services to the infomercial industry, for $26 million in cash.

It is likely that DG will continue to be acquisitive.  Last month the DG announced that it had appointed a new board member with “extensive experience in M&A” to assist the company with global expansion and operational improvement.

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Related Content:

You can read the DG press release about the acquisition of MIJO here.

DG FastChannel Buys Match Point Media, Expands into Infomercial Market

DG Appoints new board member to focus on M&A

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NAB 2011 And The Investment Banker’s View of the Broadcast Technology Industry

broadcast industry technology trends, broadcast industry trends, Broadcast technology channel strategy, broadcast technology market research, Broadcast technology vendor financials, Broadcast Vendor M&A, market research | Posted by Joe Zaller
Mar 29 2011

The 2011 NAB show is less than two weeks away and there appears to be a feeling of optimism in the industry, something that has been lacking for the past year or two.  The economy is seemingly healthier, the financial performance of both broadcasters and technology vendors has improved, and digital media is a hot topic across many industries as companies roll out plans to bring video and audio content to a growing number of platforms and devices. 

The pre-NAB period is typically when expectations are set for the year, as both customers and vendors reveal their respective buying and selling plans. So far there have been year there have been some interesting articles written about what customers are shopping for at the show, what new technologies are on display and of course the most important trends in the broadcast industry in 2011.  

But there’s another group of industry observers who also have an interesting view on the outlook for the broadcast industry – investment bankers and private equity firms – and this year there appears to be more interest than usual from these players.

So what do investment bankers think about the broadcast industry, and what are their objectives for the NAB show?  In a word: deals. 

At this year’s NAB show, bankers and PE players should have plenty to keep them busy.

Video and audio technologies have become strategic to many companies outside of the traditional broadcast business, so bankers will use the NAB show as a way to find companies that might add value to a larger enterprise or a portfolio of companies.

Within the traditional broadcast industry, the improving economy has increased speculation about broadcast vendor M&A and consolidation.

Indeed, as shown below, our most recent research of senior executives at broadcast technology vendors reveals that while about a third of companies intend to retain their private status, many others expect to be involved in some sort of strategic transaction within the next 2-3 years. 

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Recently Covington Associates and Silverwood Partners, two investment banks that focus on the broadcast and digital media industries, published pre-NAB “teaser” documents for their clients and prospects.

Covington’s pre-NAB market analysis provides a concise overview of macro drivers in the industry and highlights recent digital media M&A activity.  This is (as far as I know) the first time that Covington has published a pre-NAB industry analysis, presumably driven their recently enlarged digital media team, which marries former industry executives and investment banking expertise.

Silverwood has been consistency active in the broadcast industry for the past decade, and typically publishes a report before and after major industry trade shows. You can read their pre-NAB 2010 document here, their pre-IBC2010 document here, and their IBC 2010 Post-Show Perspectives here. 

Silverwood’s 39-page pre-NAB 2011 document takes an in-depth approach.  It covers trends in the digital media industry, recent financial performance by vendors, macro industry drivers, the accelerated pace of change in the broadcast technology space, the “3D hype cycle,” and the way customers are changing their commercial focus and broadcast technology procurement plans as their revenue models shift towards “new media.”

Silverwood ends their deck with an interesting section on broadcast industry IPO, PE and M&A transactions, and why company valuations may differ, based on a number of factors. In doing they are seeking to balance creating excitement about M&A, and setting realistic expectations about valuations.

Overall both are worth reading, regardless of whether you are a vendor, broadcaster, or independent industry observer.  They provide a perspective that is sometimes missing when people discuss the broadcast business. 

At the end of the day the broadcast industry is a business; so when you head off to the NAB show, make sure you understand what both technology and financial people are thinking.

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Related Content:

Covington Associates: 2011 NAB Show Overview

Silverwood Partners: 2011 NAB Show Strategic Industry Analysis

Broadcasting & Cable Article: Gearing up for NAB 2011

Broadcast Industry’s Most Comprehensive Market Study Reveals Top Trends of 2011

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The 2011 Big Broadcast Survey – Now Available

broadcast industry technology trends, broadcast industry trends, Broadcast technology channel strategy, broadcast technology market research, Broadcast Vendor Brand Research, Top Broadcast Vendor Brands | Posted by Joe Zaller
Mar 10 2011

After many months of work, I am pleased to announce that the 2011 Big Broadcast Survey (BBS) has been completed, and that reports from the study will be published soon.

If you’re not familiar with the BBS, it’s an annual demand-side study of the global broadcast industry. BBS reports help readers improve their strategic decision making, customer engagement, marketing strategy, product planning, and sales execution.

More than 8,000 broadcast professionals in 100+ countries participated in the 2011 BBS, making it by far the largest and most comprehensive market study of the broadcast industry.

Three types of reports are available:

  • The BBS Global Market Report is the broadcast industry’s first global demand-based study of the purchasing habits of technology buyers.  This report examines industry trends, major projects being planned, products being evaluated for purchase, current and future plant infrastructure and operational structure, broadcast technology budgets, and HD upgrade plans for a wide variety of products.

 

  • BBS Global Brand Reports are available for more than 100 broadcast technology vendors.  These reports provide deep insight into how each company is perceived by the market, along with comprehensive benchmarking of broadcast technology vendors on a wide variety of metrics, through a series of league table rankings

 

  • Twenty-six separate 2011 BBS Product Reports provide detailed vendor brand ranking for individual product categories. These reports enable users to benchmark their brand directly against specific competitors through a detailed understanding of the opinions of technology buyers who purchase, specify or use each product type.  

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If you would like information about these reports and how they can help your business, please get in touch.

In addition to these paid-for reports, we will also be publishing highlights from the study on the Devoncroft website.  These articles will be posted on a semi-regular basis, so please check back often.   

You’ll also be seeing information from the 2011 BBS in a wide variety of other industry websites and trade magazines.

The tables below show the product categories and broadcast technology vendor brands covered in the 2011 BBS.

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 Product Categories Covered in the 2011 BBS:

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Broadcast Technology Brands Covered in the 2011 BBS:

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Broadcast Technology Vendors Predict Strong Increase in Software Revenue

broadcast industry technology trends, broadcast industry trends, Broadcast technology channel strategy, broadcast technology market research | Posted by Joe Zaller
Nov 01 2010

When I recently saw the headline “Solving the TV Station Hardware Dilemma” on the Broadcast Engineering website, I stopped to read.

Although the article turned out to be about integrated playout (a.k.a. channel-in-a-box) automation servers rather than a debate about hardware versus software in a broadcast facility, it got me thinking about the shift in broadcasting towards IT-oriented technologies, and what vendors are doing about this market transition.

Our research has found that the move to IT-based operations is one of the broadcast industry’s most important technology trends. This will obviously have a major impact on the broadcast technology vendor community. 

Some commentators like boutique investment bank Silverwood Partners say that there is a diminishing hardware opportunity and that value is migrating to software-based products.  So what are broadcast technology vendors doing to change their product ranges and business models?

To better understand these issues we asked the nearly 800 broadcast technology vendors who responded to the 2010 Big Broadcast Survey, about the make-up of their current and future product portfolio.  Vendors were asked to break down the sources of their revenue by product hardware, software, maintenance, and service. 

Here’s what we found:

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Current Sources of Vendor Revenue – Product Mix

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Hardware products represent the largest percentage of vendor revenue, with more than 80% of respondents indicating that hardware sales represents greater than 20% of revenue, and 31% reporting that hardware products represent more than 80% of revenue.

While more than half of vendors reported that software represents a significant portion of their revenues, only 6% identified software as representing more than 80% of their sales.

Maintenance and service revenues represent a small part of the overall vendor revenue stream today.

But what are vendors projecting for the make-up of their future revenue?

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Future Sources of Vendor Revenue – Product Mix

Vendors were also asked to predict how their revenue by product mix would change over the next several years.

More than half of vendors report that they expect sales of hardware products to stay the same or increase over the next several years, while 20% expect hardware product sales to decline over the same period.

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Vendors expect to see large growth in software sales, with 76% of vendors predicting sales of software products will increase over the next 2-3 years.  Included in this number are an impressive 51% of vendors who expect software product sales to increase by more than 10%.

Vendors are also clearly looking towards maintenance and service revenues to expend their businesses.  Whereas the previous chart shows that today’s revenue from these sources is not huge, vendors are almost all anticipating that maintenance and service income will stay the same or increase over the next several years. 47% of vendors predict that maintenance revenue will increase, and 48% of vendors predict that customer service revenues will increase during this period.   

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Projected Future Vendor Hardware / Software Revenue – by Company Type

To better understand these responses, it’s helpful to profile the research participants according to the type of company they represent.

In the charts below, I have broken out the responses to the projected product mix question based on whether the respondent works for a company that provides primarily hardware products, primarily software products, or has a mixture of both.  In this case “primarily” is defined as more than 70% of a company’s revenue.  Responses for the average of all vendor responses are also shown for the sake of comparison with charts above.

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Hardware Sales

Firstly, let’s look at what vendors predict will happen to their hardware sales.  The chart below shows that 20% of respondents expect hardware product sales to decline over the next few years, while more than half expect hardware product revenue to stay the same or increase over the same period.

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However, there is a clear difference between those vendors who currently produce primarily hardware products versus those who currently produce primarily software products.

73% of respondents from companies who primarily sell hardware products think that their hardware revenue will grow over the next few years.  Conversely, just 39% of respondents from software-oriented companies think their hardware revenue will increase.

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Software Sales:

What about revenue from software products? The chart below shows how vendors project their software sales will change over the next 2-3 years.

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Virtually all vendor respondents predict that their revenue from software will increase over the next few years.  Just 5% of respondents believe that software revenue will decline during this timeframe.

67% of vendors respondents whose company sells primarily hardware products predict that their sales from software products will increase over the next few years, while 86% of respondents from software-oriented vendors believe their software revenue will grow.

These results show that while hardware product sales are not going away any time soon, technology suppliers are responding to market demand for software-oriented products.  Although this analysis does not attempt to put a value on or quantify the percentage of future software sales, it appears that vendors are gearing up to provide more software solutions in the belief that this will help drive revenue growth.

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This article is based on the findings from the 2010 Big Broadcast Survey (BBS), a global study of industry trends, technology purchasing behavior and the opinion of vendor brands.  With more than 5,600 people in 120+ countries participating, the 2010 version of the BBS is the largest and most comprehensive market study ever done in the broadcast industry.

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