Digital satellite pay television In Poland there are currently four operators of digital satellite pay television: Cyfrowy Polsat SA, Canal+ Cyfrowy Sp. (Cyfra+), ITI Group ('n' platform), and Telekomunikacja Polska SA (TPSA). According to our estimates, at the prior year's end our share in the satellite pay-TV market, measured by the number of subscribers, reached 55%.
Our share in net subscriber additions on the satellite digital television market settled at 48% as measured by the number of subscribers acquired in 2010; whereas, over the last three years our market share in net additions averaged 49%. Since 2009, due to the increasing market saturation, the number of new subscribers tends to decline in the overall market for satellite television as well as in our case. Cyfrowy Polsat's share in net additions in the satellite pay-TV market in the years 2008-2010, based on the number of newly acquired subscribers: Source: Own calculation based on the data published by individual operators. Cable television Poland has over 500 cable television operators, serving over a thousand cable networks.
Currently, the major market players include UPC Telewizja Kablowa Sp. Z o.o., Telewizja Kablowa Vectra SA, Multimedia Polska SA, and Aster Sp. Z o.o., which together serve over 60% of Poland's cable television market. Although cable operators are our natural competition, in some areas we have a cutting-edge advantage.
The satellite signal reaches everywhere. Cable television requires telecommunications infrastructure, which in practice limits its expansion possibilities to cities and densely populated areas. Whereas, we can gain customers even in places where cable TV infrastructure does not exist or is underdeveloped. We can also effectively compete against cable providers with a wealth of broadcast channels. Analogue cable technology can carry around 60 programs only, while we offer several hundred channels, including almost 90 in Polish and 19 in high definition. Another advantage is our digital picture and sound quality, ensuring an incomparably better reception than analogue transmission. Digital television via Internet protocol (IPTV) We also recognize a competitive threat from IPTV providers although the transmission of digital television via Internet protocol is developing in Poland at a relatively slow pace.
Telekomunikacja Polska SA has begun offering IPTV to their Warsaw-based customers having a DSL connection already in 2006. At the end of 2010, they had around 115 thousand subscribers, and on the top of that 35 thousand clients used IPTV services provided by Telefonia Dialog (according to figures published by these operators). Digital terrestrial television (DTT) In Poland there are currently seven analogue terrestrial channels, only four of which are available to more than 90% of households.
Yet the transition to digital signal transmission has been postponed due to the lack of formal regulations. There is also no official government plan for making use of the available digital frequencies. Nevertheless, we hope that in the period immediately after the launch of digital terrestrial television, its programming offer will be limited to the existing analogue terrestrial channels, and only later it will be enriched with additional TV channels.
Our digital satellite pay television services are sold to customers in the domestic market only. Our platform provides access to more than 90 Polish-language channels, including sports, music, entertainment, information, education and film. We are the only operator of digital satellite pay TV that offers all of Poland's main terrestrial channels: Polsat, TVP 1, TVP 2, TVN, TV4, as well as two most popular sports channels: Polsat Sport and Eurosport. Thematic packages Subscribers to Family Package HD can select from among 8 extra options to be purchased according to their personal programming preferences. Among them we offer 3 additional packages (Extra Package HD, Sports Package HD, VoD Home Video Rental) as well as 5 supplementary services (HBO Package HD, Cinemax Package HD, HBO Cinemax Package HD, Entertainment Package, selected adult channel).
Additional packages Extra HD: TV channels available in Extra HD Package VoD Home Video Rental VoD Home Video Rental is available to all subscribers, regardless of the type of decoder used to receive our program offer. VoD operates based on 15 satellite channels, which during one month provide access to nearly 60 films on a rotational basis. By paying a fixed subscription fee (PLN 20) our customers have access to Monthly VOD Film Catalog. The Catalog is available on 7 positions VOD59-VOD65 and is updated weekly with new titles. TV channels available in Sport HD Package Supplementary services TV channels available in HBO HD Package TV channels available in Cinemax HD Package TV channels available in Cinemax HBO HD Package TV channels available in Entertainment Package As at 31 March 2011 Premium Package The real TV fans can now select the Premium offer prepared for the customers to receive all channels, including the Monthly VOD Film Catalog. Free-to-air channels In addition to our paid programming packages, our customers have access to all free-to-air television and radio channels available via satellite in Poland, including CNBC, Bloomberg, Super RTL, ZDF, Rai News 24, Rai Due, Fashion TV, France 24, and most popular Polish radio channels, such as RMF FM, Radio Zet, and 3 programs broadcast by Polskie Radio.
Cyfrowy Polsat has one of the largest and most modern broadcasting centers in Poland and Europe alike. It was built in 2006 and began broadcasting in early 2007.
The center consists of many mutually integrated video, audio and IT systems, all featuring state-of-the-art technology and equipment. This facility is designed and used to transmit television programs - including those in high definition (HD), providing our viewers with the highest quality picture and sound. The center broadcasts television programs from tapes and MPEG files provided by external contractors and ensures the transmission of digital streams to the satellite, it also controls the signal parameters and the antenna guidance system. The broadcasting process is fully controlled by a specialized signal monitoring system, while good signal quality and operational reliability are secured by our qualified employees and other specialized firms. Satellite signals must travel over 100 thousand kilometres to reach the audience, yet the process is not that complicated. All the customer needs is a digital set-top box and a satellite dish directed at our satellite. Delivery of satellite programs may be performed in two different ways - we send the programs ourselves from our broadcasting center to our rented transponders (separate parts of a satellite that enable reception of terrestrial signals and their retransmission back to the Earth), or we hire contractors to do it for us (they transmit their signal and we only add our encryption).
We acquire the program content by three methods: classic playout, retransmission, and optical fiber. The first is the most labour- and time-consuming way, but at the same time allows the greatest control over the material. The sender provides tapes or MPEG files containing the broadcast materials and scheduling (i.e. The play list) for specific days, and our operators upload such content into the transmission servers. Whereas, in the retransmission scheme we receive the program via satellite and, having added our encryption system, we send it to our transponder. The optical fiber method is used to obtain the ready-made programs in digital but uncompressed format (this is a kind of physical connection with the sender via a fiber-optic link).
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Marcin Bukowski Director of Television Technologies. Producer of Decoders In November 2007, we started manufacturing our own set-top boxes. Four months later the first decoder manufactured in our factory, called Mini, was launched into the market. It has been entirely designed by our internal team of engineers, and its production was taken up by our subsidiary Cyfrowy Polsat Technology. In September 2008, the factory was moved to our headquarters in Warsaw which enabled integration of all the teams involved in the design and manufacture of decoders. In April 2010, we began the production of HD set-top boxes, launching a brand new model called HD5000. In 2011 we plan to expand our hardware offering with new high-definition satellite TV receivers.
Set-top boxes In order to be able to watch our channels you need to have installed a set for reception of satellite television. It consists of a satellite dish and a decoder, including the subscriber card and a remote control. We offer both simple SD decoders (providing a standard image resolution), as well as most technologically advanced HD decoders (enabling high-resolution image) which, when equipped with a hard disk drive, are capable of TV program recording and playback. With the purpose to acquire market-leading high-tech solutions, we entered into cooperation with such providers as Echostar and Sagem. Since 2011, our purchases of decoders from external suppliers have been limited just to DVR set-top boxes. Last year our factory produced the following decoders: M100, Mini, Family Decoder, and HD5000. They accounted for almost 80% of equipment that we provided under the satellite television contracts.
In addition, we offered the following third-party decoders: Echostar 717, Echostar 717A, Echostar DSB-7100HD, Echostar DSB-7200HD, Echostar HDS-400E, Echostar DVR-7400HD, Samsung DSBS305G, Samsung DSB-H370G, and Sagem ESI 88. High-definition decoders offered by Cyfrowy Polsat Video recording decoders offered by Cyfrowy Polsat.
Running our own factory enables us to produce high quality decoders while incurring manufacturing costs which are far lower than the price of purchasing such equipment from third-party vendors. Owing to that we can substantially reduce the cost of new set-top boxes and, concurrently, are able to shorten the time to market for any new product or product modification. As a result, we benefit from considerable savings on decoder operating costs. Furthermore, the functionalities of our set-top boxes are designed in line with the customers' expectations as analyzed by surveys, so that we can be sure the equipment is going to meet their needs.
The software installed on our set-top boxes is developed by in-house engineers, enabling us to rapidly respond to emerging customer needs. In this area we are completely independent and self-reliant, which translates into better service for our customers and significant cost savings, too. Adam Dawidziuk Director for Set-Top Boxes. Market Environment Analytical data on the market for telecommunication services, including the Internet, are usually available in the second half of the next year, thus the latest available information covers the year 2009. Poland, in comparison with other countries of Eastern and Central Europe, has one of the largest populations of Internet users over the age of 7 years, accounting for 17.9 million users. The country exhibited a strong growth in Internet connections during 2009, the number of which surged by 7.3 million or 32% in year-on-year terms.
According to data presented by the Office of Electronic Communications, the number of households with broadband access increased by 5.2 million or 13.6% as compared with 2008. Hence, the broadband Internet penetration rate reached almost 39%. Whereas, Eurostat estimated that in 2009 approximately 59% of Polish households with at least one person aged 16-74, held a computer with an Internet connection.
The whole Internet market in Poland was estimated to be worth PLN 4.1 billion at the end of 2009. We believe that in 2010 the market penetration of fixed broadband Internet was roughly at 44% of households.
Internet access via mobile networks is much less developed, with approximately 3 million mobile Internet modems the market penetration stands at 8% of the population. The Polish Internet market is served by several large telecom operators as well as by plenty of smaller Internet providers. Our Competitors Cyfrowy Polsat's Internet service offers significant advantages over the competing solutions offered by cable and mobile operators. We provide Internet access speeds up to 28.8 Mbps, which is three times faster than typical Internet connections available on the Polish market. High-speed connections enable our customers to make full use of the Internet's most advanced and data-hungry multimedia services.
Finally, unlike other mobile operators, Cyfrowy Polsat does not limit the speed of transmission once the purchased data package has been used up. Furthermore, the low penetration of Internet access services in less-urbanized areas, lower-quality Internet access provided by mobile operators and the lack of appropriate infrastructure from cable operators should all pose an opportunity for the development of our integrated services. The competition from cable operators and TPSA is virtually restricted to large and medium-sized cities.
For customers located elsewhere, radio signal is usually the only Internet access option available. The steadily growing demand for Internet access services will be certainly followed by considerable demand for high quality wireless access. For many households in small towns and villages, the Internet access provided by Cyfrowy Polsat may be the only choice available, but we are sure our integrated services will be an attractive proposition. Currently we conduct customer testing of our latest product - LTE Internet. Cyfrowy Polsat, as the first provider in Poland, third in Europe and fourth worldwide, is going to offer its customers a super-fast Internet connection based on the LTE (Long Term Evolution) technology. The introduction of such service will place our Company far ahead of the competition, especially that we will be the only operator having appropriate frequencies for the development of LTE.
Currently, our Internet services are available for customers living in around 11,000 towns, and they may be purchased at the Authorized Points of Sale located within the network coverage area. Our offering includes several levels of subscription varying by amount of data transfer to be used in a month. Once the transfer package is used up, the subscriber may still benefit from full-speed Internet access - both during the day and at night - on attractive terms, either paying for each MB of traffic or buying an additional data package.
Cyfrowy Polsat Program Tv
We offer the most technologically advanced modems available on the market today. Depending on the contract term and additional transfer package chosen, our subscribers can buy modems starting just from 1 zloty. The modem installation is easy and does not require any technical expertise. In 2011, we plan to provide our clients with a commercial Internet access featuring the Long Term Evolution technology that is considered to be the future of mobile broadband Internet and the successor of widely used UMTS standard. The LTE mobile connection can offer a maximum speed of up to 150 Mbps. The first LTE network was launched by Swedish operator Telia Sonera in Stockholm and Oslo already in September 2009. Until November 2010, there were established 17 commercial networks utilizing this innovative technology, including the network built jointly by Mobyland and CenterNet that will be used by customers of Cyfrowy Polsat.
At present, more than 180 operators in 70 countries are getting ready to introduce LTE-based Internet services, turning this technology into a global standard. At the end of the last year, LTE networks served 350 thousand customers, yet this number is expected to reach 300 million users by 2015, of which 43% in Asia. Active preparations to launch the LTE services are taking place, among others, in Romania, Lithuania, Chile, Croatia, Brazil, Kuwait, Italy, Luxembourg, Jamaica, Kazakhstan, and Singapore.
Other countries that plan to introduce this technology include Armenia, Canada, Russia, Denmark, India, Ireland, Jordan, USA, Saudi Arabia, South Korea, China, and Switzerland. By 2013, LTE-based Internet access will be available also in Australia, Malaysia, and Taiwan. Cyfrowy Polsat will provide its services over the world's first 1800 MHz LTE network that was set into operation in September 2010 by Mobyland in cooperation with CenterNet (third in Europe and fourth worldwide operator of mobile services in this technology).
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The LTE network is significantly faster than other networks operating in Poland - it will enable download speeds of up to 150 Mbps (ultimately 326 Mbps) and upload speeds of up to 50 Mbps (ultimately 86 Mbps). Compared to HSPA+ or UMTS, this technology is characterized by much lower latency and may serve a considerably greater number of users.
Program Tv Polsat Sport
LTE services are now available in most of the nearly 500 base stations, where HSPA+ services are provided. In subsequent stages, this network will be gradually expanded. While preparing to the commercial implementation of LTE Internet, we spend a lot of effort developing our modems. Apart from Speed 1000 modem, we collaborate with HUAWEI to develop a tri-band E398 modem which is meant to operate in a 20 MHz channel and support multiple frequency levels: 1800 MHz for LTE technology, 900 MHz and 2100 MHz for HSPA+ technology.
This solution will make it possible for our customers to access Internet services provided both in HSPA+ and LTE technologies while using just one modem. I truly believe that mobile Internet technologies (and in particular LTE, which poses a huge growth potential due to its outstanding performance and speed) are going to revolutionize the market, and in a longer run they will become equal competitors for cable Internet, while retaining the advantage of mobility.
It is a big thing for us, being a media company, especially in times of the evolving media consumption and developing market for mobile devices. Dominik Libicki, President of the Management Board. Market Environment Analytical data on the market for telephone services are usually available in the second half of the following year, therefore the latest published information relates to the year 2009.
A report of the Office of Electronic Communications (UKE) concludes that the Polish mobile telephony market has grown mature. At the end of 2009, the penetration level amounted to 117.4% and the whole market was worth approximately PLN 18.7 billion. Revenues in the mobile sector comprised 44% of the total telecom market in Poland.
According to the UKE's report, the number of mobile telephony users reached 45 million at the end of 2009. Whereas, data released by the Central Statistical Office indicate that, at the end of 2010, the number of active SIM cards in Poland surpassed 47 million, implying a penetration rate of 123.42%.
Mobile Offer We provide mobile telephony services in the subscription (post-paid) model, treating them as part of our integrated offering. Our phone service attached to the television package provides our customers with 30 toll-free minutes for calls to all national mobile and landline numbers, or 90 toll-free minutes for calls within the network of Cyfrowy Polsat. Furthermore, our customers can choose one of the two additional packages offered: 120 Minutes Package and 240 Minutes Package. The Polish mobile telephony market is split between 18 operators, 6 of which are Mobile Network Operators (MNO) while the remaining 12 are virtual operators (MVNO). The marketplace is highly polarized - the big three traditional operators (Polkomtel, Polska Telefonia Cyfrowa, and PTK Centertel) controlled over 90% of the market in 2009 (according to UKE).
In spite of the dominant position of those largest market players, a new operator P4 managed to gain 2.1 million subscribers till September 2010 (according to World Cellular Information Service). In terms of revenues, as much as 99.83% of turnover in the mobile telephony market in 2009 were generated by the four major mobile network operators. Most of the mobile virtual network operators provide basic telecom services in the prepaid system, and only a few of them (including Cyfrowy Polsat) launched a subscription offer.
We believe that our key competitive advantage in the market for both telecommunications and television is our ability to offer a suite of services, including pay TV, internet access and a mobile phone. By introducing the Multi-play offer, we have become the only provider of integrated services to people living in the suburbs, small towns and rural areas.
For many of such households we are also the only or second, in addition to mobile phone operators, supplier of Internet access. We believe that, due to the low availability of integrated services and poor quality of Internet access offered in less-urbanized areas, our offering will be an attractive choice for our existing satellite pay-TV subscribers as well as for potential customers willing to benefit from integrated services. We are perfectly aware that the development of telecommunication services will depend on two factors - multimedia content and network speeds - and therefore we keep on developing and investing in both the areas. In the second half of 2010, we worked hard to develop our latest product - Internet in LTE technology, which enables downloading at speeds of up to 150 Mbps (target: 326 Mbps) and uploading at speeds of up to 50 Mbps (target: 86 Mbps). Compared to HSPA+ or UMTS, this technology is characterized by much lower latency and may serve a considerably greater number of users.
Due to its outstanding technical characteristics and quality parameters, our LTE Internet may eventually replace fixed-line services and satisfy increasingly demanding customers while enabling them to profit from ever-growing capabilities of the Web. Dr house saison 8 torrent cpasbien. At the same time, our Internet service ensures mobility which is more and more appreciated by customers. Capacity, speed, and low latency - these are all advantages provided by the latest generation of mobile Internet. The differences can be seen with the naked eye.
For comparison, a fulllength HD movie downloads in about 2 hours from a UMTS network, or in less than 1 hour in HSPA+ technology, while the LTE download will take just a few minutes. This will enable our LTE Internet customers to freely use any interactive and multimedia applications requiring high bandwidth and real-time transmission, such as online games, video communication and high-definition television over the Internet. Currently our new product and prototype HUAWEI Speed 1000 modem are undergoing customer tests. Our observations clearly indicate that Internet technologies gain an increasing share in the distribution of multimedia content.
This tendency is in line with our mission and development strategy. Therefore, apart from introducing increasingly more modern and faster technologies of Internet access, we continue to deliver more and more television content over the Internet. As the first satellite platform in Poland, we have launched a catch-up TV service offered under our own brand name 'Strefa Wideo' (Video Zone), which is a free online television providing access to selected broadcasts from our main television package. The advantages of a catch-up TV and our web-based Video Zone service will be above all appreciated by those who count their spare time in minutes, rather than hours. They are going to love the ability to choose their favourites from the programming schedule, and watch them at any convenient time and place Maciej Staszak, Director of Strategy and Development.
Polsat Tv
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Polsat Play is available live since 6 October 2008 although test broadcast was started on 1 May 2007. The channel is dedicated to the male audience and reaches a market share of 0.38% (as November 2012). The programming grid features documentaries, entertainment and educational programsFor more details on the channel, Polsat Play online broadcast or specific details such as tv shows, schedules or vod please check the official website. The TV online programming includes shows and programmes like Most Shocking, Knockout, The World According to Bunny.
Polsat Play online stream is aired live from Warszawa.
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