Netgem hybrid STB “minimising the risk”?

Netgem has introduced a new hybrid set-top box. Utilising a ‘pay as you grow’ business model, and targeting Tier 2 and Tier 3 service providers who want to introduce Pay TV services as a pure-play OTT offer, this new Duo TV solution has been designed to enable operators to deliver lower cost Pay TV.

The interesting thing here is that Netgem will rent operators the new set-top boxes on a per-user fee, and take them back if there is high churn or low uptake, essentially minimising the risk.

Furthermore, the operator can decide what CapEx/OpEx balance it wants, since the company can negotiate any variation of a purchase/rental model.

“Lots of T2 and T3 operators in Europe face increasing competition and need to launch TV services quickly but do not want to make a huge commitment to buying 50,000 set-top boxes up front,” says Christophe Aulnette, Netgem’s CEO. “The upfront payment model does not work for some operators anymore. We are ready to share the risk.”

Music to the ears of many operators?

DuoTV combines a DVB front-end with IP, and has the ability to stream SD or HD content  to a tablet. There is only one tuner available at present, but there are already plans for a version with two.


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