Week 45 in Telecoms, Internet, Media

Corporate

• KPN: Raises EUR 700m debt from Sustainability-Linked Bond (0.875%, matures 331115), links coupon to performance against commitment to reduce absolute value chain CO2 emissions; coupon may increase by 0.375% from 311115 if target not met
• Proximus: Raises EUR 750m from green bond (0.75% due 361117)
• Deutsche Telekom:
• T-Mobile NL to raise EUR 2b debt (Term Loan B (institutional investors), 4% over Euribor + 0.15% in ase of failing green targets) - S&P: 7-yr, YTM 4.15% (E+400), offered at 99.5%, +/- bp on ESG goals, commitments due 211118; MS, Barclays & DB global coordinators
• 21Q3; increases div 2021 to 64c; sale of T-Mobile Infra to Cellnex NL (DT 37.65%) closed 210601, EUR 0.4b (377m) cash inflow for DT, sale & lease-back for 12 yr; total consideration of Simpel acquisition EUR 293m
• United Internet: 21Q3; confirms outlook 2021: rev EUR 5.6b, EBITDA 1.15b
• 1&1: 21Q3; confirms outlook 2021: SR EUR 3.10b, EBITDA 670m
• Telefonica: Plans 2-4k job cuts in ES via voluntary redundancy program
• Vodafone UK supports consolidation (Bloomberg: 3 UK merger; co-invest in Virgin Media O2 FTTP)
• Inmarsat: Offer from Viasat, $7.3b ($850m cash + 46.36m new shares at 67.00 $/share ($3.1b) = 37.5% Viasat stake + $3.4b debt), to close 22H2
• Google/Alphabet: 
  • Acquires $1b equity stake (via nonvoting convertibles) in CME (Chicago Mercantile Exchange), CME trading systems to migrate to GCP
  • Establishes Google Labs (merges AR, VR, Starline, Area 120), head Clay Bavor
• Amazon: 
  • Rivian prices IPO at 78.00 $/share (original range 57-62, raised to 72-74), valuation $77b, to raise $11.9b from 153m shares, ticker RIVN; first trade 211110 $106.75, closes at $110.73 - Amazon reports as 10% owner (owns Class Class A stock, series A, D, E, F), totakl 148,409,083 shares + 3,723,050 warrants (conversion $9.089) + $490m convertiles (at $71.03 [= 6,898,494 shares])
  • Acquired Rivian shares [see 211109], total 158,363,834

Broadband, FTTP, mobile, 5G

• Broadband: 
  • US House approves Infrastructure Investment and Jobs Act: to invest $1.85t in 10 yr o/w $65b in BB for nationwide coverage
  • Gvt NO proposes expanding BB funding by NOK 100m for nationwide coverage 2025
  • Digital Economy and Society Index (DESI) 2021 (based on 2020 results)
  • 4 main areas: 1. Digital skills: 56% of individuals have basic digital skills, 2. Connectivity: very-high-capacity networks available in 59% of EU HH, 3.  Integration of digital technologies: 26% of companies use cloud, 4. Digital public services
  • Ranking: 1 DK, 2 FI, 3 SE, 4 NL, 5 IE
• TIM: Reuters: KKR considers expanding FiberCop stake (37.5%) or direct sake in TIM  
• Open Fiber: EC approves 40% sale to Macquarie (CDP 60%)
• Vodafone UK becomes anchor tenant on CityFibre's FTTP network spring 2022
• Youfone: Provides services over Primevest FTTH (Eindhoven, Rotterdam, Den Haag): 1 Gb/s for 52 EUR/mo, TV 14 EUR/mo, FT 1 EUR/mo
• Copper switch-off:
• Court denies T-Mobile's claims in case against KPN
• Telus plans copper switch-off 2023 
• 1&1 (= United Internet) plans to exceed 5G coverage requirements (1k sites YE 2022, coverage 25% YE 2025, 50% YE 2030); to resell BB & TV from 1&1 Verasatel; plans full Open RAN network, with Rakuten
• Ericsson ConsumerLab report 5G Pacesetters - what's their secret? (analysis of 73 MNOs in 22 markets, based on 105 criteria in 16 categories)
• launches 5G Maturity Index
• measures progress in 5G based on two aspects: consumer satisfaction/perception & service provider’s own efforts
• 4 stages of maturity (Explorer, Potential, Aspirational, Pacesetter)
• 6 strategies to succeed (cost efficiency, smartphone experience & coverage, extend FMC with 5G, extend BB with 5G, premium value tiers, innovative & immersive services)
• NGMN report Green Future Networks: Network Energy Efficiency
• 6G: KPN, T-Mobile NL, VodafoneZiggo, TNO, TU Delft, TU Eindhoven, Universiteit Twente (with support from AT, Topsector ICT) publish position paper Communicatienetwerken voor en door Nederland; propose Future Network Services (PPP); to focus on 6G, other
• Liberty Global: Liberty Charge to add 80 EV chargepoints in Croydon; targets 600 in London YE 2021 - Plans migration to e-vans (currently 4300 vehicles) by 2030 - To install EV chargepoints at customers' homes, optional at homes of e-van drivers

Cloud, security

• Investor consortium (Advent International, Permira Advisers, Crosspoint Capital Partners, Canada Pension Plan Investment Board, GIC Private Limited, Abu Dhabi Investment Authority) offer EV $14b for McAfee (26 $/share, premium 23%), equity value $12b  
• Nokia 2021 Threat Intelligence Report  
• Gartner: global cloud rev 2022 $474b (2021: $408b); 85% of organizations will embrace cloud-first principle by 2025 
• Google: GCP plans #6 datacenter in BE in Farciennes (Charleroi)
• Amazon: AWS plans #2 region in Canada in Alberta end 2023/early 2024: AWS Canada West (Calgary) Region (3 Availability Zones)
• TIM: Considers selling minority stake in Noovle (cloud computing) end 2022

Video, audio, media

• Netflix: Launches feature Kids Clips on iOS [a la TikTok] (short clips from existing library of children’s movies & series)
• Amazon: Launches Share Clip: allows clip sharing (max 30 sec) from select originals on iOS
• Walt Disney:
• 20/21Q4 (as of 211002):
• Paying subs total 179m: Disney+ 118.1m (+60%), ESPN+ 17.1m (+66%), Hulu SVOD 39.7m (+22%), Hulu With Live TV 4.0m (-2%)
• ARPUs Disney+ $4.12 (-9%), ESPN+ $4.74 (+4%), Hulu SVOD $12.75 (+1%), Hulu With Live TV $84.89 (+18%)
• plans to raise originals investment above previous guidance ($8-9b in 23/24) driven by local & regional content (currently 340 local titles in development)
• Disney+ to double #countries (currently 60, target 120 by FY 21/22, target 160 by FY 22/23; launches 211112 in S Korea & Taiwan, 211116 in HK)
• to maintain flexibility regarding release windows
• considers building Disney Metaverse 
• Disney Plus Day (2 yr anniversary) premieres: movies Jubgle Cruise and Home Sweet Home Alone, series Dopesick; shorts Olaf Presents and The Simpsons and Ciao Alberto; specials for Star Wars and Marvel Cinematic Universe; screens select movies at 200 AMC theaters 211112-14, $5 each - Premieres 17 titles - Changes UX
• ITV: 21Q3; distr deal for ITV Hub with Virgin Media O2, 5 yr
• SES (Astra sats) plans OTT service in DE (HD+ IP; >50 HD channels), first app for Panasonic smart TVs
• SKO (NL) report Oct 2021: living room TV usage -16% yoy (live linear -22%, delayed -5%, on demand -5%)
• Spotify: Acquires Findaway (150 employees; audiobook distr platform (325k titles), connects creators with resellers: Apple, Google, Scribd, Audible, Nook, Rakuten Kobo, Chirp, Storytel (a Spotify partner), Overdrive, Audiobooks.com, etc), to close 21Q4
• CvdM (NL) report Mediamonitor 2021:
• digital transformation (newspapers, podcasts, SVOD, strreaming audio), concentration (DPG Media + Sanoma, RTL NL + Talpa Netwerk (not approved yet)), Netflix led market in normalising paying for content, Pay-TV inceasingly for aging groups
• 4 recommendations in relation to proposed RTL/Talpa merger: 1. Future-proof and indepedent pubcaster, 2. RTL NL to hold Dutch (not Luxemborg) license, to comply with Mediawet, to create level playing field for broadcasters, 3. Level playing field with Big Tech (Google, Meta), 4. Tranparency on ownership and financial KPIs

Web services

• B2B: 
  • Apple launches Apple Business Essentials for small businesses (max 500 employees), max 3 devices/user (free beta in US): bundle of device management, AppleCare+ (24/7 phone support for IT & end-users), business iCloud storage (max 2 TB/user), option for onsite repairs; commercial launch spring 2022
  • Microsoft partners with Meta to integrate Microsoft Teams into Facebook Workplace
• Niantic (Alphabet spin-off) launches platform Lightship to build real-world metaverse apps
• Twitter: Launches Twitter Blue in US (3 $/mo), Canada, Australia, NZ (4.5 NZD/mo):
• Ad-free acrticles (formerly Scroll; from WaPo, LA Times, USA TODAY, The Atlantic, Reuters, The Daily Beast, Rolling Stone, BuzzFeed, Insider, Hollywood Reporter)
• Top Articles (most shared [a la Nuzzel])
• features (exclusive app icons, colorful themes, Bookmark Folders, Custom Navigation)
• Undo Tweet
• Reader (turns long threads into an easier-to-read experience)
• early access to new features

Regulatory, platforms

• Google: 
• ECJ upholds EC fine EUR 2.42b on marfket abuse with Google Shopping (2017)
• Supreme Court UK rejects case by Richard Lloyd (2017) over data collection via Apple Safari (2011-12, 4.4m users) for lack of evidence
• US State AGs (led by Texas) update antitrust lawsuit against ad business Project Bernanke (2013) using bidding data to its own advantage)
• Amazon: Bloomberg: aims to settle EC concerns (abuse of market power by using 3rd-party seller data for its own retail brands, using Buy Box for Prime subs for own brands) [see 201110]
• Facebook:
• Meta to block all political, religious ad targeting (incl sexual orientation, religious practices, political beliefs, social issues, advocacy causes, political organizations & figures, health causes) from 220119
• Oversight Board quarterly update 21Q3: 78 recommendations since 210101
• US Appeals Court: Facebook may pursue lawsuit (WhatsApp et al v NSO Group Technologies et al, Oct 2019) against NSO Group over Pegasus malware in WhatsApp [see 200403]

Week 44 in Telecoms, Internet, Media

CORPORATE

• Alphabet establishes Isomorphic Laboratories: uses AI (based on DeepMind research) for drug discovery, DeepMind CEO Demis Hassabis to be CEO
• Amazon
• WFH: Launches Amazon FamilyFlex: program that provides employees flexibility & expansive benefits for themselves & their families, provides resources to create the right balance between home life & work life (incl pregnancy & parental leave, adoption assistance, the ability to swap shifts & create custom schedules)
• Chair Jeff Bezos sold shares (from 51141599 to 50533149 = 608450 shares) at average roughly $3330 = $2.03b
• Chair Jeff Bezos sold shares (from 50533149 to 50141599 = 391550) at average roughly $3390 = $1.33b

FIBER & TOWERS

• Deutsche Telekom: Establishes GlasfaserPlus: 50/50 JV with IFM Global Infrastructure Fund (= IFM Investors = 23 pension funds); IFM to contribute EUR 900m; plans 4m rural OA FTTP lines in DE by 2028, Telekom DE to be wholesale customer; to raise bank debt; total DT FTTP investment 2022-2030 (incl GlasfaserPlus) EUR 30b
• Orange:
• Operational launch of TOTEM (towerco); owns passive mobile infrastructure assets (sites, land, leases, leases to third parties); open for other operators; to keep control; 150 employees (100 in FR, 50 in ES); >26k sites in FR (18500 sites o/w 58% tower sites, 30% flat roofs, 12% other) & ES (7900 sites o/w 50% towers, 50% flat roofs); considers incorporating passive assets from other Orange companies in Europe
• Operational launch of Orange Concessions (Orange 50%, consortium (La Banque des Territoires (Caisse des Dépôts), CNP Assurances, EDF Invest) 50%); comprises 24 PINs (to cover 4.5m HH), 100 employees, valuation EUR 2.675b; target 30% coverage of rural market by 2025
• TIM: Bloomberg: considers relinquishing control of network to revive merger talks for FiberCop with Open Fiber
• BT: cancelled search for co-investment partner for Openreach, FTTP roll-out cost dropped to 250-350 GBP/home (from 300-400)    
• Liberty Global:
• considers (slide 8) establishing NetCos (with wholesale) for Virgin Media O2, Virgin Media IE, VodafoneZiggo    
• Virgin Media IE plans full fiber upgrade (10 Gb/s): 952k premises by 2025, open network with wholesale; EUR 200m (excl success-based customer connection costs), 500 jobs
• EQT: Closes EQT Infrastructure V, cap EUR 15.7b, total 12 portfolio companies (ferry line operators Molslinjen and Torghatten in Nordics, energy transition companies Covanta and Cypress Creek in N America, digital infrastructure operators Deutsche Glasfaser, DELTA Fiber, Fiberklaar in Cont Europe), 60-65% invested
• GSMA survey report (103 CSPs): rising energy demand and costs are critical issues; along with the use of renewables, AI energy management software is central to many CSP strategies to shrink their environmental footprint
• Oxford Analytica report for Virgin Media O2 (Digital Connectivity Index): digital connectivity upgrading (full fiber & Mobile) boosts economic growth; becoming OECD leader (currently #11 or #8 shared with Lithuania, NO, ES) would add GBP 70b in GDP & 510k jobs by 2026, annual GDP growth rate to rise by 0.88 pp by 2026
• Italian gvt plans tenders early 2022 for EUR 4b for 6.2m rural & semi-rural premises
• UK:
• KCOM reaches 250k FTTP premises
• CityFibre reaches 1m HP; works with 30 ISPs

SERVICES

• 5G
• IBM proposes maintenance (robot Spot) killer app for 5G
• T-Mobile US: smartphones are 5G killer app
• GSMA Intelligence brief: FWA is one of the most promising 5G use cases
• Telstra launches 5G FWA service (average 378 Mb/s during daytime, coverage 75% of pops, target 95% 250630), 85 AUD/mo, no contract, incl router, data cap 1 TB/mo
• Far EasTone (Taiwan) demos network slicing (simultaneously connecting multiple network slices per device running on Android 12), with Ericsson
• Google: Android 12 to support network slicing, 2 versions: 1. for enterprise-owned handsets (routes all data sent and received by a device over the network slices provided by that company's mobile operator), 2. implemented in the work profile (enterprises will be able to route data to and from separate repository over a network slice)
• CLOUD
• France gvt launches EUR 1.8b cloud research support fund (incl edge computing) over 4 yr (667m from gvt FR, 444m from EU, 680m from private sector)
• SMART CITY
• Smart City Observatory annual IMD-SUTD Smart City Index (SCI) based on economic & technological aspects (survey of 15k city dwellers in 118 cities): Singapore #1, Zurich #2, Oslo #3, Taipei City #4, Lausanne #5, Helsinki #6, Copenhagen #7, Geneva #8, Auckland #9, Bilbao #10
• VIDEO
• Discovery: Discovery+ integration with HBO Max (will result in a service that appeals “to all demographics,” global addressable market “should be on par with the biggest streaming services”) may initially be offered as bundle    
• Netflix: Expands mobile games to all subs on Android (downloadable from Google Play store), 5 titles at launch: Stranger Things: 1984 (BonusXP), Stranger Things 3: The Game (BonusXP), Shooting Hoops (Frosty Pop), Card Blast (Amuzo & Rogue Games), Teeter Up (Frosty Pop)
• Amazon: Trials Prime Video Channels data sharing with Discovery in Europe
• Conviva State of Streaming report 21Q3

PLATFORMS

• Facebook shuts down Face Recognition system on Facebook (over societal concerns, awaiting regulation), to delete >1b facial tenmplates - Meta may use facial recognition for Instagram, Portal, metaverse
• Microsoft Ignite developer event; launches Microsoft Mesh for Teams (AR/VR; build spaces, bring avatars); launches Loop: app (combines a flexible canvas with components that sync across Microsoft 365 services to help teams communicate and work remotely together)
• Draft impact assessment (by Regulatory Scrutiny Board) of EU Data Act rejected (over not providing sufficient information on the conditions for public bodies to access data, the compensation for businesses and the relation with other legislative measures)
• Data Governance Act is aimed at sharing data protected by laws that impede access (such as personal data, data protected by some intellectual property provisions or by specific trade secret laws, etc)
• EP special committee on AI roadmap report to be debated in EP 211109
• EU Council proposes exclusive power to enforce obligations on VLOPs (very large online platforms) under DSA (country of origin principle would bottleneck enforcement with countries such as Ireland and Luxembourg)
• Australian privacy commissioner: Clearview AI breached privacy by scraping biometric information from the Internet and releasing it through a facial recognition tool; required to delete all data of Australians

RESULTS

• Telefonica, Telefonica DE, BT
• Liberty Global, VodafoneZiggo, Sunrise UPC, Virgin Media O2, Virgion Media IE, UPC    
• RTL, Mediaset, ProSieben
• ViacomCBS, Discovery, Lionsgate
• Pinterest, Airbnb

Netflix: becoming self-financing

Netlix reports rising numbers for subscribers, ARM (average revenue per member), revenues and cash content investments. The pandemic reduced investments temporarily, giving cash generation a boost. With $7.5b in cash, there currently is no need to raise cash on the bond market.

See a company profile here (in Dutch).

Two graphs illustrate Netflix's progress.

In the lower one, CF from ops falls when content investments are up - except in the final quarter, when rising investments led to rising CF from ops.

Week 43 in Telecoms, Internet, Media

CORPORATE

• KPN
• complets EUR 200m SBB, reduces shares outstanding by 73,684,157 (~1.75%).
• KPN Wholesale:
• KPN Wholesale extends contracts with Budget Thuis and Youfone by 5 yr; total ~75 wholesale customers
• KPN Wholesale to index tariffs 220101: MDF-access, Collocatie, ODF-access FttH, Carrier (Pre)Select, WLR, WBA/VULA, WMP
• T-Mobile NL sues KPN to delay copper switch-off 2 yr (to no earlier than 250101) on account of: full information available May 2021, ACM market assessment due 21Q4, switching off normally requires 3 yr migration (EC based), hearing 211027 - T-Mobile claims 37% of consumers cancel, 68% of business customers oppose migration
• BT: Rumor: hires investment bank Robey Warshaw to defend from Altice offer [see 210610]
• Telstra: Acquires Digicel Pacific (2.5m subs in Papua New Guinea, Nauru, Samoa, Tonga and Vanuatu, Fiji; 1700 employees; EBITDA margin 54%),$270m;  with Australian gvt ($1.33b; total $1.6b + $250m earn-out
• Vivendi: Plans to expand Prisa stake (9.94%) to 29.9%
• Channel 4: Rumor: Michael Grade considers offer

FIBER, TOWERS

• Handelsblatt: Telekom DE plans fiber JV for rural FTTP, EUR 6b, 4m lines by 2028; candidate investors: Brookfield, Caisse de depot et placement du Quebec, IFM (expected IRR 8%); start-iup capital EUR 1b
• Telenet:
• Telenet BV (HFC in 2/3 of Flanders & parts of Brussels) partners with Fluvius System Operator (HFC in 1/3 of Flanders, leased to Telenet until 2046), non-binding LoI (binding LoI expected spring 2022), to establish NetCo (to contain HFC & FTTP) to roll-out OA FTTP    
• starts strategic review of tower business (3311 sites o/w 2145 owned (o/w 37% towers) + 1166 owned by 3-rd parties)    
• SIRO (Vodafone, ESB) plans expansion by 320k to 770k premises (2.1m pops) in 154 towns, EUR 620m (o/w EUR 170m from EIB)
• KPN plans roll-out in Oisterwijk end 2022 (also: Delta Fiber)
• Open Dutch Fiber (KKR, DTCP) (total 209k premises in 7 towns)
• Open Dutch Fiber starts roll-out in Leidschendam-Voorburg (city #6) plans entire muni; first in Leidschendam (37k premises) Nov 2021, activation from March 2022, to finish mid 2023
• Open Dutch Fiber to start roll-out in Delft-West (city #7) Nov 2021, areas Tanthof West, Tanthof Oost, Buitenhof, Voordijkshoorn, Hof van Delft; activation from early 2022, to finish 2023
• Underline started operations, first roll-out in Colorado Springs (target 55k premises, $100m, 400 route km): OA FTTP; tiers: 500 Mb/s for 50 $/mo, 1 Gb/s for 65 $/mo; target list contains 2500 cities

5G

• Ericsson launches Critical IoT software toolbox upgrade for Time-Critical Communication (cloud gaming, AR/VR, remote control, mobility automation, industrial control) to deliver consistent low latency and high reliability in 5G networks
• IBM proposes maintenance (robot Spot) killer app for 5G
• Dish orders 5G blockchain tech from Helium Network for crowdsourced network, rewards users with crypto currency (HNT)
• EE (BT) launches 5G-700 for indoor at 50 sites

WIFI

• Amazon: eero networks activated with ISPs grew >75% yoy at 210930; new customers: REV (Cable Bahamas Group), OXIO (Canada), Eye Networks (Nordics), Adamo and MasMovil (Spain), TalkTalk and Utility Warehouse (UK), UScellular and Mediacom (US); current portfolio: eero 6 and eero Pro 6 mesh WiFi systems, eero Secure (security), eero Insight (mgt solution)

LEO

• Amazon: Project Kuiper (3236 sta LEO system) ordered by Verizon for backhaul, rural connectivity

QUANTUM COMPUTING

• Amazon partners with Caltech to establish AWS Center for Quantum Computing

SERVICES

• B2B: Cisco WebexOne event: launches Webex Hologram: real-time holograms (instead of avatars) for holographic meetings of remote colleagues (with Magic Leap 2 glasses) or shared 3D images at meetings
• B2C: Telefonica adds home insurance offer (Telefonica Seguros), with Santalucia and BBVA Allianz
• Video:
• Swisscom launches blue Play (films & series), free for blue TV subs; via STB or OTT (apps for iOS, Android, LG Smart TV, Samsung Smart TV) or web (blue.ch); different offerings per language territory: 3k titles in Italian, 5k in French, 10k in German; adds features to blue Sport
• Viaplay: Rumor: in distr talks with Ziggo, KPN, Delta/Caiway
• Netflix: S&P raises rating 2 notches to BBB (investment grade), outlook stable
• ViacomCSB: Bundle of Paramount+ (Essential tier, with adss, no local CBS stations) & Showtime priced at 12 $/mo or 120 $/yr; bundle of Paramount+ (Premium tier) & Showtime 15 $/mo or 150 $/yr
• WarnerMedia: HBO Max launches in ES, Andorra, NO, SE, DK, FI with promo until 211130: lifetime 50% discount at 5 EUR/mo; max 3 streams, 5 profiles
• Redbox: Plans package of streaming & disc rental
• Gaming:
• Roblox: Service outage since 211028 (7PM est) >48 hr, has 200m MAU, 40m DAU, average 156 min/day for daily active users - Restored 211031 5:30 PM EST
• Samsung plans cloud gaming platform for Smart TVs based on Tizen OS
• Facebook:
• metaverse investments to reduce oper profit 2021 by $10b; to report in 2 business segments: Family of Apps (FoA; Facebook, Instagram, Messenger, WhatsApp, other) & Facebook Reality Labs (FRL; AR/VR consumer hardware, software & content)
• Facebook Connect; changes corporate name to Meta Platforms Inc, stock ticker MVRS from 211201; plans new VR games (with Vertigo Games, Epic Games, WarpFrog, Rockstar Games), new hardware (Project Cambria: VR/MR headset, to release 2022; Project Nazare: AR glasses), plans metaverse development (with focus on privacy, safety, interoperability); launches Horizon Home (home base in the metaverse); updates Project Aria (3D mapping and contextualized AI); launches Quest for Business (new features); updates Spark AR; launches Presence Platform for developers to create MR experiences for Oculus Quest (VR headset) - Rumor: plans smartwatch - Acquires Within (VR fitness app Supernatural) - Oculus executive named Jason Rubin wrote a 50-page document “The Metaverse” in 2018

REGULATORY

• EP approved European Council mandate on EC's proposal to EU Roaming Regulation (to extend RLAH regulation beyond June 2022), interinstitutional negotiations to agree on a common final text to start; Transatel proposes lower wholesale raoming caps to protect MVNOs (do not have inbound roaming income) and IoT
• Anacom (PT) raises EUR 567m from 4G/5G auction: Nowo (= MasMovil) acquires spectrum in PT, EUR 70.2m: 5 MHz in 1800 band, 5 MHz in 2600 band, 4x10 MHz in 3500 band; NOS spends EUR 165m, Vodafone PT EUR 133m, Meo EUR 125m, DixaRobil EUR 67.3m, Dense Air EUR 5.76m

PLATFORMS

• Erasmus Centre for Entrepreneurship (ECE) report for NLdigital & Dutch Startup Association on DMA impact on start-ups & scale-ups
• CISPE report on potential unfair practices for cloud computing services (survey of 25 companies): large software providers (Microsoft, Oracle) may abuse market power with unfair license terms (limiting choice); call on EU to address this in DMA
• ACCC Digital Platform Services Inquiry interim report; “Google’s existing dominance and its commercial arrangements have significantly increased barriers to entry and prevented new or emerging rival search engines from reaching consumers”; considers mandating a ‘choice screen’ for Android devices or end bundling of search engines with devices or other services
• FT report: Apple's privacy changes (iOS 14, since April 2021, App Tracking Transparency (ATT) policy) cost Snapchat, Facebook, Twitter, YouTube $9.85b

RESULTS

• Orange, TIM, KPN, Proximus, Swisscom, Telenor
• Telenet, Comcast
• Cellnex
• Nokia
• NENT Group, Spotify, Universal Music Group
• Microsoft, Apple
• Alphabet, Amazon, Facebook

Week 42 in Telecoms, Internet, Media

CORPORATE

• Vodafone:
• Partners with Deloitte on virtual center for digital healthcare (Vodafone Centre for Health with Deloitte)
• Establishes pan-European R&D unit Vodafone Technology, 7k software engineers by 2025
• Sunrise UPC: yallo (Sunrise UPC subbrand) launches TV offer, becomes full-service provider: 270 channels, developed with Wilmaa, free for FTTH and Home 5G subs, free TV box
• Virgin Media O2 launches Volt FMC offer for consumers & small businesses (double BB speed, doube mobile data, CPE discount GBP 150, free WiFi Plus, free RLAH in 75 countries)
• RTL: Establishes JV TechAlliance with Amobee for ad-tech solutions from Amobee and Smartclip and Yospace (for addressable TV ads), to close 22Q1
• Sony: Sells GSN Games to Scopely, $1b in cash & stock
• Google: Lowers Play Store fees to 15% (subsc riptions), 10% (ebooks and on-demand music streaming services) 2023
• Amazon:
• To hire for 150k seasonal jobs in US o/w 4500 in Illinois, 23k in California, 6200 in Arizona, 3000 in Minneapolis/St. Paul
• Amazon Accelerate 2021 conference: added 100k brands (sellers) YTD; launches new services for 3rd-party sellers:  search analytics dashboard; Product Opportunity Explorer; adds services, tools, benefits; launches tools to empower 3rd-party sellers to offer products in Amazon's 21 global stores; adds tools for 3rd-party sellers for local sales (in-store pickup, fast delivery)
• Facebook:
• To create 10k jobs in EU in 5 yr to develop metaverse - Rumor: plans name change to reflect metaverse (possibly Horizon); currently >10k employees working on CPE (incl AR glasses)
• Agrees with Alliance de la Presse d’Information Générale (APIG) on remuneration of news
• Snap:
• Establishes Arcadia: AR content studio (ArcadiaCreativeStudio.com)
• 21Q3; expects significant headwinds from Apple’s privacy changes to iOS, global supply chain issues, labor shortages impacting partners
• Pinterest: Rumor: PayPal plans offer, 70 $/share = $39b

NETWORKS

• Ookla Speedtest Global Index (Sep 2021) global average FBB 113/62 Mb/s, MBB 63/13 Mb/s; FBB: Monaco #1 (262), Sing #1 (256), HK #3 (255), RO #4 (232), CH #5 (230), NL #25 (165); MBB: UAE #1 (238), S Korea #2 (203), NO #3 (178), Qatar #4 (172), China #5 (165), NL #16 (107)
• NKOM (NO) report on BB at 210630 (total 2512137 HH): FTTP availability 76%, cable BB ~12%, FWA ~2%, remainder <100 Mb/s [www.ekomstatistikke.no]
• FTTP
• Eir: Rumor: plans FTTP network spin-off, outside investor to acquire 49% stake
• Altice: Rumor: Blackstone, CVC Capital Partners, Apollo Global Management, EQT, Masmovil interested in Altice PT, valuation EUR 7b; Altice denies sale plan
• PPF: Sells 30% stake in CETIN to GIC (Singapore sovereign wealth fund)
• Virgin Media O2: Bloomberg: considers network carve out, valuation GBP 9.8b
• Strategy Analytics report on PON standards
• 5G: ITU-R approves first non-cellular 5G standard (ETSI DECT-2020 NR) for IoT (for enterprises) as part of IMT-2020 (5G), for shared spectrum in 1.9 GHz band
• Cloud: TelcoDR raises $1b for cloud software acquisitions

SERVICES

• VIDEO
• WarnerMedia: 21Q3 HBO & HBO Max: 45.2m US subs (down on loss of Amazon Channels subs), 69.4m globally (+7.1m yoy); 2022 film releases to get 45 day exclusive theater window; considers new name for HBO Max; AVOD tier to have same content as SVOD tier from 2022
• Netflix: 21Q3; to change viewing stats to total hr viewed in first 28 days; Historic Top 5 for series: Bridgerton 625m hr in first 28 days, Money Heist 619m hr, Stranger Things season 3 582m hr, The Witcher season 1 541m hr, 13 Resons Why season 2 496m; Historic Top 5 for movies: Bird Box 282m hr, Extraction 231m hr, The Irishman 215m hr, The Kissing Booth 2 209m hr, 6 Feet Underground 205m hr; Squid Game 142m viewers (>= 2 min) in first 28 days; considers internal game development
• YouTube: App Annie: Apple iOS drives $3b in consumer spend YTD worldwide from paid membership channels & premium subscriptions
• MUSIC
• Apple: Adds low-end tier: Apple Music Voice Plan, 5 $/mo with limited features, in 17 countries, access through Siri for 1 person; currently 90m tracks
• GAMING
• Google provides white-label Google Stadia to AT&T/Warner Bros to create streaming version of video game Batman: Arkham Knight

HARDWARE

• Google: Pixel 6 Event: launches Pixel 6 ($600; 128 or 256 GB; RAM 8 GB) & Pixel 6 Pro ($900; 128, 256 or 512 GB; RAM 12 GB), with Tensor CPU & SoC (from ARM), 5G, Android 12; launches Pixel Pass in US: 45 $/mo for Pixel 6 or 55 $/mo for Pixel 6 Pro, extended warranty, Google One (200 GB storage), Google Play Pass, YouTube Premium, YouTube Music Premium; launches Pixel Stand (gen 2), $80 (wireless charger)
• Apple: Unleashed Event: Launches new MacBook Pro (14 from $2000, 16 inch from 2500) with new M1 Pro and M1 Max chips; launches new AirPods 3 (gen 3, with H1 chip), $180; rumor: to launch new Beats Fit Pro earbuds 211101; launches Apple Music Voice Plan (access through Siri) in 17 countries, 5 $/mo (currently 90m tracks); launches new HomePod Mini (new colors)
• Comcast: Launches XClass TV in US: smart TV, built by Hisense, 43 inch for $300, 50 inch for $350 incl 12 mo free access to Peacock Premium With Ads; pre-installed apps: Hulu With Live TV, YouTube TV, Sling TV (Dish), Netflix, HBO Max, Hulu, Disney+, Amazon Prime Video, YouTube, Comcast’s Xumo, ViacomCBS’s Pluto, Fox’s Tubi, Amazon’s IMDb TV - Distr deal with Walmart
• Spotify: IKEA plans Spotify-enabled speaker that doubles as a lamp (Vappeby)

REGULATION

• CNMC (ES) approves proposal extending competitive markets (at least 3 operators, Telefonica's share <50%) from 66 (35% pops coverage) to 696 cities (70% pops coverage) where Telefonica will not have wholesale obligation; to retain wholesale obligation in 7453 munis (30% pops coverage); Telefonica's O2 brand to go nationwide
• NKOM (NO) launches regulation of Telenor's FWA service to prevent pricing squeeze

PLATFORMS

• Agreement on digital tax between FR, IT, ES, AT, UK and US - Digital services taxes to end 2023 (levies paid for the DSTs in the interim will be credited to future tax bills), US to end punitive tariffs on products from AT, FR, IT, ES, UK
• ACM (NL) starts market investigation related to EU Platform-to-Business Regulation (190711), plans first report spring 2022; Min EZK plans law appointing ACM as regulator

Week 41 in Telecoms, Internet, Media

CORPORATE

• Plume raises $300m from SoftBank et al at $2.6b valuation; total raised $697m
• OVH Groupe: IPO price EUR 18.50, valuation EUR 3.5b
• GitLab:
• Prices IPO at $77, valuation $11b, to raise $801m selling 10.4m shares
• IPO: opens at $94.25, closes at $103.89

M&A

• EQT: Sells Adamo (80% (mgt 20%); OA FTTP Spain; 1.8m premises, 250k subs incl wholesale and mobile; 300 employees) to Ardian Infrastructure [owns 30.2% stake in Inwit, 26% in EWE]; to close 22Q1; rumored valuation: >EUR 1b
• Telefonica: Sells Movistar El Salvador (60%; 40% held by Corporacion Multi Inversiones) to General International Telecom Ltd, $144m = EUR 125m (7x EBITDA 2020) o/w EUR 75m for Telefonica
• KKR: Rumor: interested in Reintel (= Red Eléctrica de España), Allianz, Axa, PGGM, Vauban (Natixis), QIC also interested; 49% stake to be sold; full valuation EUR 1.2-1.3b

INFRASTRUCTURE

• KPN:
• Orders Oracle Fusion Cloud Applications Suite (ERP, SCM, HCM), to be implemented & managed by Deloitte and Oracle Consulting; to streamline operations (finance (planning & forecasting), procurement, supply chain mgt, HR) while reducing opex and energy consumption
• Copper to fiber migration lowers maintenance opex 67%, churn 40%, raises ARPU 8.6% to EUR 54; cloudification, move to cloud-native apps reduces datacenters from 30 to 4
• Telefonica: Orders TREE platform from Atrebo (digitisation) to manage infra (200k towers & other sites) by 2022, based on Telefonica Tech's blockchain platform (TrustOS); to provide real-time status
• HFC:
• VodafoneZiggo orders High-Density R-PHY Shelf from CommScope to push fiber deeper
• Comcast and Cox test Docsis 4 - Comcast demos network to modem connection of DOCSIS 4.0 tech - Demos e2e Full Duplex (FDX) Docsis 4.0
• Virgin Media O2 demos 2.2 Gb/s over Docsis 3.1
• Shaw Comms plans migration to Docsis 4.0 by 2030, to complete mid-split architecture by early 2022
• Telekom DE (DT): BNA proposes (draft decision) no ex-ante regulation for FTTH networks, relying on non-discriminatory access based on obligation of equal treatment under the Equivalence of Input principle; Telekom has an obligation to declare in good time any migration to fiber from copper infrastructure and to present its plans
• Sharing
• Stratix for ACM report (literature review) on Dynamic Spectrum Management & Sharing (overview of spectrum sharing methods, technologies and (potentially) usable frequency bands, an assessment of aspects relevant for potential pilots, and recommendations on feasible pilots and proof-of-concepts)
• Telenet: Bloomberg: plans to sell 3k mobile sites (o/w 75% rooftops, shared with Proximus and Orange BE), EUR 600m [EY: specialised manager can boost efficiency 40% relative to telco owner]
• SoftBank and KDDI order shared Multi-Operator RAN (sites, equipment) for 4G, 5G, DSS from Nokia
• Tutela Global State of Mobile Experience (2021 annual report, 2b crowd-sourced tests from 830m users in 30 countries on 30 networks): By operator: #1 TDC NET, #2 T-Mobile NL, #3 Telenor NO #4 VodafoneZiggo, #8 KPN; By country: #1 DK, #2 FI, #3 SK, #4 NL, #5 AT; By video experience by operator: #1 SoftBank, #2 Elisa, #3 NTT DoCoMo
• GSA NTS Snapshot: total 5G commercial networks 180 in 72 countries; 465 operators in 139 markets invest in 5G
• Nokia launches 360 High Gain 5G mmWave technology to overcome LoS requirements for indoor mmWave FWA over 5G, boosts capacity 5-10x (captures a 360 mmWave fingerprint of the indoor environment, picks up direct and reflected signals from any direction, and adapts to the changing environment, through advanced analytics)
• OneWeb adds 36 sats, total 358 (of planned 648), to be operational mid 2022

CLOUD

• Google: GCP Cloud Next '21: launches Google Distributed Cloud solutions for telcos

AI

• Facebook: Launches research project Ego4D: personal video (from GoPro cameras and AR glasses) + AI to develop “episodic memory” (answering questions like “where did I leave my keys?”) and “audio-visual diarization” (remembering who said what when); with 13 universities; collected 3205 hr of video from 855 participants in 9 countries

CPE

• HTC launches Vive Flow, $500: VR headset (functions as virtual laser pointer with buttons for selecting items and calling up the homescreen, with smartphone as remote control)
• Ziggo offers Chromecast With Google TV for whole home service (max 2 per address), EUR 80, with dedicated Ziggo Go TV app (Ziggo Go app is for mobile devices)
• Telegeography: internet bandwidth 2021 +29% (2020: +34%)

SERVICES

• Altice USA launches Optimum FlexAbility [a la KPN Hussel, Verizon Mix & Match]: no contract, select services from BB (100 Mb/s, 300 Mb/s for 30 $/mo, 500 Mb/s, 1000 Mb/s for 50 $/mo), mobile data (1 GB for 14 $/mo, 3 GB, unlimited for 45 $/mo; no discount for additional lines), TV (Basic for 29 $/mo (50 channels), Premier for 94 $/mo (420 channels + HBO Max, Starz, Showtime), Stream TV 5 $/mo (free for 1 Gb/s subs))
• Apple TV+: Report on piracy (up to 125k seeders per title)
• Sports:
• Prime Video presents Sport 2021 showcase (London)
• Viaplay: Pricing NL to be 'very affordable', not just for sports
• 20210919: Netflix: CEO Hastings claims streaming market is far from saturated; linear TV to disappear in 10-20 yr; will not do news/journalism or sports (except possibly when source can be controlled, as with Formula 1)
• Walt Disney: Rumor: plans to spin-off ESPN - Rumor: denies

PLATFORMS

• Gvt NL publishes Preliminary Netherlands' input for proposed European Chips Act
• Techdirt report on Section 230 reform
• Frank Pallone (D-NJ) proposes Justice Against Malicious Algorithms Act (to replace Section 230)
• US Senators Amy Klobuchar (D-Minnesota) & Chuck Grassley (R-Iowa) propose American Choice and Innovation Act: prohibit dominant platforms from discriminating among businesses that use their platforms in a manner that would materially harm competition on the platform
• FTC warns businesses against placing fake reviews, fine max $43,792 per violation
• European Digital SME Alliance publishes position paper on EU AI Act

Week 40 in Telecoms, Internet, Media

CORPORATE

• Orange: Orange in Europe Day (strategy briefing): focus on convergence, to add fixed-line assets (in existing markets: ES, BE, LU, PL, RO, Slovakia, Moldova)
• Proximus: Launches Banx (banking app, JV with Belfius) [see 210622], focus on sustainability, tech from Doconomy (CO2 dahsboard), 2 tiers: Essential (free: 1 account, 1 debit card, add MasterCard for 1 EUR/mo) or Premium (6.50 EUR/mo; 2 personal accounts, 1 couples accoun, 4 debit cards, 4 MasterCards); with loyalty program (save point to exchange for discounts at partners)
• Orange BE: Launches Orange Money app (for money transfer), also for non-subs
• Destiny: Acquires Stuart (BE; managed hosting)
• Iliad: Xavier Niel (HoldCo II) reaches 96.40% (57,568,859  shares), 96.17% of votes, plans squeeze-out
• Twitter: Sells MoPub (mobile ads) to AppLovin, $1.05b cash, to provide transitional services to AppLovin [see 130909]

PAY-TV

• Ziggo to lose NBA rights to ESPN NL from 2021-22 season (starts 211019) [see 210614]
• SKO report Sep 2021:
• Living room TV usage -12% yoy (live linear -18%, delayed linear -0.4%, on demand +1.0%)
• Delayed + on demand 37.8% of usage (record high)
• Sky: Launches Sky Glass:
• streaming connected smart TV (no dish, no box), tech & OS developed with Comcast
• first in UK (211018), then other Sky markets; syndicates to Australia with Foxtel, plans further global expansionTV in 3 sizes (Small 43”, Medium 55”, Large 65”), designed by Map Project Office
• with

• Dolby Atmos, voice control, Glance Motion Technology (walk past to activate), personalised playlist
• apps pre-installed: Sky, BBC iPlayer, Netflix, Disney+, ITV Hub, All4, Spotify, Peloton, PlayWorks etc
• whole home service using Sky Stream Puck, 10 GBP/mo;
• plans to launch 4K smart camera 2022 (chat, play games, workout, share entertainment at home)
• pricing
• for Small TV from 13 GBP/mo (with Sky TV; interest free, 48 mo) or 26 GBP/mo (with Sky Ultimate TV), 39 GBP/mo (with Sky Originals and Sky Exclusives, Netflix)
• pricing for Medium TV adds 4 GBP/mo, Large TV adds 8 GBP/mo)
• [suggests Small TV costs GBP 624, Medium TV GBP 816, Large TV GBP 1008]
• "By taking this step, Sky will operate across the whole value chain, from content production, through to connectivity and aggregation, all coming together on the Sky Glass screen."
• "Choose to buy your TV like you buy your mobile phone by paying in one go or spread the cost with interest-free monthly payments."
• TIM launches TIMvision Gold pay-TV package, 45 EUR/mo (promo: 30 EUR/mo for 12 mo) + EUR 10 activation fee: TIMvision, DAZN (sports, incl Serie A), Mediaset Infinity (UEFA Champions League), Netflix, Disney+; discount available on TIMvision Calcio e Sport (20 instead of 30 EUR/mo)
• T-Mobile NL relaunches T-Mobile TV App for smart TV or media player (from Android TV 8) or Apple TV (no IPTV STB required), for BB+TV subs, max 4 devices simultaneously (TV from 12.50 EUR/mo)
• Orange Slovakia launches Android TV based STB from nangu.TV (incl Assistant, Chromecast)

STREAMING VIDEO

• WarnerMedia: HBO Max to expand to 7 countries in Europe 2022: NL, GR, Turkey, Iceland, Baltics (total 27 countries in Europe, 67 globally; target 190 by 2026); annual subscription to cost equal to 8 mo (ES, FI: 9 EUR/mo or 70 EUR/yr, SE/NO 90 kr/mo or 700 kr/yr; DK 80 kr/mo or 600 kr/yr); theatrical window 45 days for Europe
• Molotov: Launches Grand Cinéma: SVOD, 20 EUR/mo, films & series from 14 channels & SVOd services (Starzplay; FilmoTV; The 6 Ciné+ channels from Canal Plus: Premier, Frisson, Emotion, Famiz, Club and Classic; Paramount Channel & Paramount Channel Décalé; Drive-in Movie Channel; RTL9; Action, PlayboyTV)
• YouTube: Oxford Economics for YouTube: YouTube (creators) contributed $20.5b to US GDP in 2020
• Kantar report on churn US 21Q2 (vs 21Q1): Peacock 13%, Peacock free 9%, Pluto TV 6%, Crackel 8%, Tubi 10%, Prime Video 4%, Netflix 4%, Apple TV+ 9%
• Walt Disney: Disney+ to launch in HK 211116, 73 HKD/mo ($9) or 738 HKD/yr ($96); to offer 1200 films & 16k episodes at launch - And in Taiwan 211114, 270 TWD/mo ($10) or 2800 TWD/yr ($100) 
• Netflix: Raises prices in NL from 8, 11, 14 to 8, 14, 16 EUR/mo for Basic, Standard, Premium - In BE from 8, 12, 16 to 9, 13.5, 18 EUR/mo 

WFH

• Cisco publishes (first quarterly) Hybrid Work Index survey report (preferences, habits, technology usage)
• GSMA Intelligence report (How networks stayed the course as everyone stayed at home): average global mobile data traffic 6 GB/mo, speeds dropped and recovered faster in 5G countries

FTTP

• Telefonica: Bloomberg: considers selling stake in fiber access unit, valuation EUR 15b - Reuters: to sell 15-35%, 5-10 candidates [to raise max EUR 5b]
• Swiss court confirms ComCo measures against Swiccom over market abuse with FTTP: no network expansion unles with Layer 1 access based on P2P topology with 4 fibers; Swisscom claims will delay expansion by several years, planned switch to P2MP topology, target 60% coverage YE 2025 ("Competitors also benefit from this as it reduces their own investments and costs"), may appeal at Federal Supreme Court; "Providers without their own network always have access to the maximum available bandwidth and, thanks to [1] the fibre-optic partnership and [2] wavelength-division multiplexing (WDM) network access model, have additional access options to the lowest network level Layer 1. These two access options were originally put forward by COMCO itself." [Salt gets Layer 1 access on P2MP because it co-invests]

FWA

• T-Mobile US reduces Home Internet price from 60 to 50 $/mo
• BT pilots Tarana Wireless FWA tech G1 (hundreds of Mb/s per sub at 3-5 km with no LoS, 30 km with LoS, unlicensed spectrum (5 GHz)); Tarana: “Tarana here is after end-game broadband. We’re not here trying to build a stopgap to fiber. We’re believers that wireless is a true alternative to fiber and is a long-term durable alternative to fiber because the technology trends are in our favor at this point.”; Supersonic (= MTN) pilots Tarana in ZA at 150 towers (to expand to 400); Wisper (US) demoed Tarana: 300 Mb/s at 8 km, non-LoS
• Starry plans IPO via merger with FirstMark Horizon Acquisition Corp (SPAC) at $1.66b valuation, to raise $452m

NETWORKING TECHNOLOGY

• Analysys Mason for Nokia: IP network automation (service fulfilment, network lifecycle management, network & service assurance processes) reduces opex 65%
• BT (with Toshiba) plans world’s first commercially available quantum-secured metro network in London
• Rigetti Computing (makers of quantum computers & processors) plans IPO via SPAC merger with Supernova Partners Acquisition Co, valuation $1.5b
• Mobile X Global plans launch on Verizon (provides Network as a Service) 2022: personalised plans, global connectivity without data roaming charges, based on proprietary cloud platform X0.1

SECURITY, OUTAGES, LEAKS

• Min EZK (NL) publishes updated Regeling veiligheid en integriteit telecommunicatie (Rvit) (already notified at EC) on mobile network security, AT as regulator
• Twitch reports data leak
• Facebook: Network outage hits Facebook, WhatsApp, Instagram, Messsenger for ~6h 25m, caused by faulty configuration changes on backbone routers; Border Gateway Protocol (BGP) update to datacenter routers - Fortune: rev loss $100m - SMS traffic up in France - AT&T: mobile traffic down ~10%
• Facebook: Network outage hits Facebook, Instagram, Messenger, Workplace due to configuration change for 2 hr
• Microsoft Digital Defense Report: state-sponsored hacking from Russia (58%), Ukraine, UK

PLATFORMS

• Google and YouTube ban ads & monetisation on climate denial content
• Google: Search rivals (DuckDuckGo, Ecosia, Qwant, Lilo) ask EC to act on antitrust ruling, based on DMA [see 180718, 210927]; preference menu that let users choose their search default when setting up an Android device is not available on Chrome desktop or on other OS and is only shown once to users
• Apple:
• Reuters: EC plans antitrust investigation over iPhone NFC chip (allows only Apple Pay to access)
• Reuters: ACM (NL) finds that Apple's requirement for developers to use in-app payment system is anti-competitive, demands changes
• EC proposes AI regulation
• EP proposes ban on police use of facial recognition technology in public places and on predictive policing (using AI tools in hopes of profiling potential criminals before a crime is even committed) and on private facial recognition databases (like the ones used by Clearview AI)
• BEREC publishes final Report on the ex-ante regulation of digital gatekeepers (DMA)
• OECD adopts OECD Recommendation on Enhancing Access to and Sharing of Data (EASD)
• Ireland joins plan to adopt minimum of 15% corporate tax rate [see 210605], total 136 countries (representing >90% of global GDP), to yield additional $150b yearly tax rev, to split a separate $125b in corporate tax receipts between participating governments worldwide
• FTC (Japan) starts investigation of mobile OS dominance of Apple (iOS, market share 70%) and Google (Android, market share 30%)
• EBU, EDRA, AER call on EC to include digital voice assistants in DMA

Sky launches Sky Glass: smart TV in 3 sizes, seeking global syndication

Launches Sky Glass:

• streaming connected smart TV (no dish, no box)
• tech & OS developed with Comcast
• first in UK (211018), then other Sky markets
• syndicates to Australia with Foxtel, plans further global expansion
• TV in 3 sizes (Small 43”, Medium 55”, Large 65”), designed by Map Project Office
• with
• Dolby Atmos
• voice control
• Glance Motion Technology (walk past to activate)
• personalised playlist
• apps pre-installed: Sky, BBC iPlayer, Netflix, Disney+, ITV Hub, All4, Spotify, Peloton, PlayWorks etc
• whole home service using Sky Stream Puck, 10 GBP/mo
• plans to launch 4K smart camera 2022 (chat, play games, workout, share entertainment at home)
• pricing for Small TV from 13 GBP/mo (with Sky TV; interest free, 48 mo) or 26 GBP/mo (with Sky Ultimate TV), 39 GBP/mo (with Sky Originals and Sky Exclusives, Netflix), pricing for Medium TV adds 4 GBP/mo, Large TV adds 8 GBP/mo)
• [suggests Small TV costs GBP 624, Medium TV GBP 816, Large TV GBP 1008]
• Quotes:
• "By taking this step, Sky will operate across the whole value chain, from content production, through to connectivity and aggregation, all coming together on the Sky Glass screen."
• "Choose to buy your TV like you buy your mobile phone by paying in one go or spread the cost with interest-free monthly payments."

Week 39 in Telecoms, Internet, Media

M&A

• Orange: To buy out Groupama (21.7%) from Orange Bank (1.6m subs in FR, ES), to raise equity EUR 230m
• Iliad: Xavier Niel (Holdco II) reaches 90%, to start squeeze-out
• Polsat Plus: Plans tender offer (SBB), max 82,904,517 shares at 35.00 PLN/share = PLN 2.9b (EUR 630m) - Plans EGM 211116
• Sony:
• Acquires Bluepoint Games
• Sells Sony Pictures Television Channels (22 channels + 2 OTT services) in Central and Eastern Europe (12 countries: Poland, Hungary, Czechia, Romania, Bulgaria, Slovakia, Croatia, Serbia, Slovenia, Bosnia Herzegovina, North Macedonia, Montenegro.) to Antenna Group
• Mediahuis: Plans offer for Aachener Verlagsgesellschaft (AVG; Aachener Zeitung, Aachener Nachrichten)

STRATEGY

• Vodafone: Vodafone Digital Services & Experiences Briefing: focus on
1. Deep & trusted customer relationships (improve NPS; multi-product connectivity strategy Digital First)
2. Leading digital consumer services (h leads to higher ARPU, improved distribution efficiency, higher NPS and lower churn; to further develop consumer IoT, Vodafone TV, home services, device lifecycle services and loyalty applications)
3. The leading FinTech in Africa (58m customers; Vodacom has clear financial ambitionsto grow its new services, which include financialservices, at or above 20% CAGR)
4. The global IoT connectivity leader (130m devices connected; current rev EUR 0.9b, addressable markety EUR 10b)
• Verizon: Defines 5 vectors of growth:
1. 5G adoption
2. Network monetization
3. Investments in MEC (with AWS)
4. “mix and match” model with partners (Disney+, Discovery+, Apple Music, other)
5. MVNOs
• Ericsson strategy update, launches new look & feel for brand;
• Launches new
• Purpose (To create connections that make the unimaginable possible)
• Vision (A world where limitless connectivity improves lives, redefines business and pioneers a sustainable future)
• Expects 4 future scenarios in era of hyper connectivity
1. Enabling new ways of learning
2. Redefining business
3. Reimagining entertainment
4. Tackling the climate crisis

WHOLESALE

• KPN: T-Mobile NL sues to delay copper switch-off 2 yr on account of: full information available May 2021, ACM market assessment due 21Q4, switching off normally requires 3 yr migration (EC based)
• CTU (CZ) proposes wholesale regulation, starts market consultation
• Verizon: MVNOs as vector of growth (see above)
• Google: platforms (see below)

NETWORKS

• Vodafone and partners (Benu Networks, Casa Systems, Cisco, Nokia) first to test disaggregated broadband: open architecture Broadband Network Gateway (BNG), works across separate software & hardware from multiple vendors
• Rumor: Open Dutch Fiber plans FTTP in Ridderkerk, to finish 2022; KPN plans FTTP in Ridderkerk, to start 2022

SERVICES

• COMMS
• Microsoft: Microsoft updates Skype ("Skype has been in our lives for nearly two decades, and we are here to stay")
• VIDEO
• NBCU: Rumor: to relaunch Peacock early 2022; to hold exclusive rights to Universal movies (after theater window); focus on Winter Olympics China; new UI; marketing phrase For All Fankind
• CNBC: Apple TV+ had <20m subs in US/Canada at 210630 - The Information: 40m global users o/w 20m paying subs; Entertainment Strategy: 8.1m US subs
• Netflix: Viewing stats: top 10 series & top 10 films by # accounts (viewed >2 min) and by overall time spent
• Amazon: Expands IMDb TV (free AVOD) to UK; distr first as part of Prime Video, later as Fire TV app
• Facebook: Distr deal for Facebook Watch with Vodafone in Europe: STB integration; first in DE, IT, CZ, PT, GR
• GAMES
• Netflix:
• Acquires Night School Studio (produces Oxenfree; 21 employees)    
• Expands gaming platform on Android (test) to ES, IT [see 210826]
• WEB
• Google:
• Cancels plans for bank accounts (Plex), syncing with Google Pay [see 191113]
• Google Search On event: enhances Seaarch using Multitask Unified Model (MUM): ML for more detailed and context-rich questions (to combat misinformation); enhances Shopping with Lens (take a photo and add a query to find answers), more images, in-store inventory checks
• Amazon: Hardware event    
• Facebook: Establishes XR Programs & Research Fund, $50m in 2 yr, to develop metaverse ("a set of virtual spaces where you can create and explore with other people who aren’t in the same physical space as you")

SPECTRUM

• NKOM (NO) ends 5G auction (190 MHz in 2.6 & 400 MHz in 3.6 GHz, valed 220101 - 411231); winners:
• Telenor (2x40 in 2.6 for 416m + 1x120 in 3.6 for 1.01b, total after discount 1.22b)
• Telia (2x30 in 2.6 for 289m + 1x100 in 3.6 for 781m, total 910m after discount)
• ICE (NOK 554m for 1x80 in 3.6)
• Altibox (= Lyse; NOK 845m; to launch FWA 22H1; 1x50 in 2.6 for 53m, 1x100 in 3.5 for 792m, total 724m after discount)

PLATFORMS

• Google:
• Starts appeal at ECJ (Luxembourg, 5-day hearing) against EUR 4.34b EU antitrust fine over Android [see 180718]; claims markets defined too narrowly, ignores Apple iOS
• ACCC (Australia) publishes Digital advertising services inquiry (final report), claims Google (vertically integrated) dominates in digital ads
• Movement for an Open Web files complaint at EC over Google Search (ad-tracking changes) [see 210622]