FFalcon whitepaper gives a detailed overview of the need for developing future smart TV business models and the importance of partnerships for IBC 2018
Amsterdam, Netherlands – FFalcon Technology, a part of TCL Group, co-released a major new report with Statista entitled: ‘The Revenue and Business Opportunities for the Smart TV Ecosystem’ at IBC 2018, Amsterdam, which took place 13 – 18 September.
The whitepaper provides a detailed overview of the need for developing future smart TV business models to meet changing consumer needs and demands, and how streaming media players are shaping innovation in the industry, amongst other insights.
FFalcon’s CEO, Tony Guo, comments: “We want this report to be a wake-up call for smart TV businesses worldwide. With the rise of streaming media players, alongside new brands, all creating competition for those already established in the smart TV market, the growing popularity of the smart home is just one example of innovation that many may have taken for granted so far. Our report aims to educate smart TV businesses about how to integrate their offerings into the smart home, to ensure they grab their own share of voice in this growing marketplace.”
The whitepaper also sets out how technology trends are shaping the future of smart TVs and why collaboration will be key to smart TV success moving forward, with case studies showcasing just how important customer experience will become as a recurring revenue model for the smart TV industry as a whole.
FFalcon’s wake-up call outlines that too many players will not survive without content partnering, as technology trends have the potential to drive the TV set market. “The most dominant trend from recent years is OTT that develops strong momentum attacking traditional linear TV broadcasts. Manufacturers may adapt this trend by managing to deliver the OTT content more effectively than the rivalling streaming media players (SMPs). This, however, requires to engage in powerful partnerships with content and ecosystem partners.“
As content providers continue to focus on attracting paying customers for their own products and services, they may be selective in supporting competing service providers, but FFalcon’s whitepaper indicates that TV manufacturers can differentiate against content distributors in offering a broad range of content services rather than focusing on selected services and providers. For the best user experience, FFalcon’s whitepaper advises the greatest value for all players being in a unified user interface (UI), which serves different OTT services and linear TV seamlessly integrated.
Tony Guo continued: “Key to any business’ success in the evolving smart TV market will be in starting with the customer’s needs, demands and preferences. The ability to watch TV from any room in the house is another important consideration, but there are several opportunities that this offers for savvy TV brands.”
A Statista analyst concluded in the whitepaper: “While OTT and VoD players may already have their sights firmly set on our markets, having an eye on the future possibilities and revenue opportunities that partnerships can create, and the value that can be extracted from many diverse industries, means that global competitors will not just sit around and wait for European players to fully prepare their business strategies and product development plans. This means that there needs to be greater willingness to partner, today, to realise growth.”
To build a better, more integrated industrial capability, FFalcon attracted CNY450 million (equivalent to GBP51 million or USD66 million) investment from technology giant Tencent in 2017, which saw Tencent pre-load its entertainment content onto FFalcon’s internet-connected smart TVs, which feature voice control and customized search recommendations. FFalcon has also built strong partnerships with other premium technology companies such as Alibaba and Google, and OTT service providers including Netflix, YouTube and Spotify, enabling it to ensure quality internet service and content provision worldwide.
Tony Guo spoke at IBC to offer further insights from the “Future Value of Smart TV Ecosystem — 2018 Global Smart TV Industry Whitepaper” during a presentation alongside Eike Hartmann, Head of Research Projects at Statista on Saturday 15 September.
Established in 2017, FFalcon Technology is an independent company responsible for the operations of TCL Electronics and its subsidiary companies’ global smart TV platforms.
As part of its focus on user experience and smart TV services, FFalcon Technology also designs, produces, manufactures and sells its own smart TVs with integrated services including UI/UE, applications, content operations, cloud services and content license from brands such as Netflix, Google, YouTube, Tencent, Foxxum and Eros Now.
FFalcon Technology’s vision is to provide consumers with the ultimate experience in family digital entertainment products and services, which it does by offering them the very best smart TV devices and services.