Unlocking high quality linear channels at a fraction of the cost

The world of broadcasting has undergone a major shift over the past few decades. From the days of traditional broadcast television to the rise of digital streaming platforms, the way we consume content has evolved dramatically. During this evolution, the technology powering video channel playout has also undergone significant changes. Despite this, there is still a lot to be done.

The Era of Traditional Broadcast

For decades, traditional broadcasters relied on expensive, hardware-intensive equipment to deliver linear content to viewers. These setups involved complex playout systems that managed the scheduling, encoding, and distribution of video signals. The costs associated with purchasing, maintaining, and upgrading this equipment were substantial. Broadcasters had to invest heavily not just in the technology itself but also in skilled personnel to operate and manage these systems.

Moreover, the rigidity of traditional broadcast infrastructure made it challenging to adapt to changing viewer preferences. Launching a new channel or modifying existing ones requires significant time and resources. This lack of flexibility often meant that broadcasters could not respond swiftly to market demands or capitalize on emerging content trends.

The introduction of FAST Channels and with that new challenges

As internet access improved and streaming technology advanced, Free Ad-Supported Streaming TV (FAST) channels emerged as a promising alternative. These channels aimed to combine the linear viewing experience of traditional TV with the accessibility of online streaming.

For content providers, FAST channels offered a way to reach audiences without the hefty infrastructure costs of traditional broadcast. However, the reality proved more complex. A handful of vendors quickly dominated the virtual channel playout market, offering proprietary solutions that, while technologically advanced, came with high price tags.

Many of these vendors charged $5,000 or more per channel per month, still a significant expense for broadcasters, especially those looking to manage multiple channels, cater to niche audiences, or would like to offer personalized channels.

This concentration of market power led to several issues:

• Vendor Lock-In: Broadcasters found themselves tied to specific vendors, making it difficult and costly to switch platforms or adopt new technologies.
• High Operational Costs: The ongoing fees eroded profit margins, which is particularly challenging for smaller broadcasters or those operating in competitive markets.
• Limited Flexibility: Proprietary systems often lacked the customization options broadcasters needed to differentiate their offerings.

Introducing VOD2Live

A more cost-efficient and flexible technology would be VOD2Live. This approach leverages existing Video on Demand (VOD) content to create linear, broadcast-like channels. Instead of relying on expensive playout equipment or costly vendor solutions, VOD2Live uses software to assemble and stream content in a scheduled format.

How VOD2Live Works

At its core, VOD2Live automates the process of turning VOD assets into a continuous, linear feed. Content that has already been transcoded and prepared for on-demand viewing is organized into playlists or schedules. These are then streamed to audiences in real time, mimicking the experience of watching a traditional TV channel.

This technology means significant cost savings compared to the FAST channel technology vendors. By utilizing existing VOD content and eliminating the need for additional transcoding and playout equipment, the cost can be reduced by up to 90%. This means that channels can be operated for a fraction of the cost charged by traditional vendors.

Since VOD content is prepared and transcoded in advance you could optimize encoding settings and focus on achieving the best possible video quality, knowing that the content will perform well across various devices and network conditions.

Launching new channels or adjusting schedules becomes a matter of software configuration that allows broadcasters to respond quickly to audience preferences, experiment with niche channels, or temporarily feature special programming.

In addition, despite being based on pre-recorded content, VOD2Live systems can seamlessly incorporate live feeds when necessary. This is crucial for events like breaking news, sports, or live performances, ensuring that broadcasters can offer a comprehensive viewing experience.

Advancements in Monetization

Monetization is a critical aspect of any broadcasting operation and dynamic ad insertion is the common model for virtual channels. Traditionally, this has been achieved through either Client-Side Ad Insertion (CSAI) or Server-Side Ad Insertion (SSAI).

Recently, Server Guided Ad Insertion (SGAI) has emerged as a better alternative. SGAI combines the best of CSAI and SSAI by allowing the server to guide the ad insertion process while the video player handles the actual insertion. This approach offers several advantages including better scalability by removing the need for individual manifest files. Additionally, the ads are resolved just in time optimizing the ad inventory.

Like VOD2Live, SGAI will lower operational costs and increase revenue compared to previous technologies.

Getting started

One of the opportunities presented by modern technology is the ability to leverage open-source solutions. By using software that is freely available and collaboratively developed you can avoid the pitfalls of vendor lock-in and reduce expenses even further.

If you would like to get started with VOD2Live and SGAI, the Eyevinn Open Source Cloud offers a suite of tools that enable all components needed to transcode, create virtual channels, and monetize through SGAI.

· The Video Supply Chain will handle the video on demand transcoding pipeline based on open source transcoder SVT Encore and the Shaka Packager.

· Eyevinn Channel Engine will create linear channels based on an existing VOD library all enabled with ad avails for ad monetization with dynamic ad insertion.

· SGAI Monetization through a proof-of-concept implementation allowing for insertion of HLS Interstitials and resolve the ad-request coming from the player using the Test Ad Server.

Explore open-source cloud solutions today and take the first step toward a more efficient and profitable broadcasting future.

Magnus Svensson is a Media Solution Specialist and partner at Eyevinn Technology. Eyevinn Technology is the leading independent consulting company specializing in video technology and media distribution.

Eyevinn Technology is world leading independent specialists in video technology, video development and sustainable streaming. Proud organizer of the yearly Nordic conference Streaming Tech Sweden.