Italy’s IPTV pioneer FASTWEB launched triple-play services over its broadband IP network in 2001. Its services include IPTV, VoIP, high-speed Internet and content services. FASTWEB has more than 794,000 subscribers for its high-speed Internet, telephony and pay-per-view television package. Out of that number, 191,000 subscribe to the IPTV offering.
Replay TV
In April, FASTWEB launched a 20Mbps high-speed Internet offering via ADSL2+ which provides on-demand replay of programmes from RAI, Mediaset, and Telecom Italia SpA's La7 and MTV channels, for three days after broadcast. In addition, under recent agreements made with two additional Hollywood studios - Sony Columbia and Paramount - FASTWEB is expanding its offering of on-demand film downloads. Mr. Parisi was also eager to note that FASTWEB’s VOD service has reached 1.5 million orders a month, compared to 800,000 only six months ago.
The IPTV offer includes free-to-air and satellite channels - including Sky premium content - as well as a catalogue of more than 5,000 on-demand digital video titles with Dolby Digital 5.1 audio. FASTWEB also has content deals with Universal, Dreamworks, Medusa, Buena Vista-Disney, 20th Century Fox, Mikado, Rai Cinema and Istituto Luce.
FASTWEB now has company in the Italian IPTV market, however. In December 2005, Telecom Italia launched the Alice Home TV IPTV service. By May 2006 the operator was offering a triple-play service in more than 60 Italian cities with a speed of 20Mbps, at a monthly flat fee of EUR 36.95. Content deals include Sky Italia (for movie channels), Paramount Pictures, Warner Bros. and Rai Cinema. FASTWEB and Telecom Italia will be direct IPTV competitors in many cities. Telecom Italia’s Sky Italia content deal allows Alice Home TV to offer premium movie channels Sky Cinema 1, Sky Cinema 2, Sky Cinema 3, Sky Cinema Autore, Sky Cinema Max, Sky Cinema 16:9, Sky Cinema Classics, Studio Universal and Rai Sat Cinema World for EUR 16 a month. The VOD movie service has more than 500 titles.
HDTV this year
Telecom Italia’s IPTV network infrastructure is from Alcatel, and its adoption of Microsoft technologies will enable new features, including a 16 screen mosaic. Over time, the operator hopes to offer new applications that will be accessible from PCs, cell phones and via Internet TV, and that those devices would be able to remotely connect with each other. Telecom Italia plans to offer HD in the second half of the year, including HD PVR.
Managing director Guiseppe Sala explains that the move from 4Mbps to 20Mbps will allow for a range of new services. He also sees this leading to the launch of more services aimed at business customers. The operator plans to invest EUR 350 million over the next three years. Its ADSL 2+ network will cover 60 per cent of the country by the end of this year, from an initial 40pc. According to industry sources, Telecom Italia had an estimated 6.1 million broadband subscriptions by April.
New IPTV developments in Italy
Tiscali has started testing IPTV services in Cagliari, according to the head of its Italian division, Sergio Cellini. He says the roll-out of its TV-over-Internet services is on schedule and that Tiscali will reach 9 million households by May, offering Internet access of 24Mbps. Thanks to new video servers, Tiscali will be able to offer video recording services and high-definition TV (MPEG-4). The technology partners are SeaChange and Orca Interactive. Meanwhile, thematic channel producer Digicast is planning to launch an IPTV service in June via a 6Mbps connection. Start-up Digital Television is targeting households in Veneto, Tuscany and Sicily for IPTV, broadband and voice offers, hoping to sign up 30,000 customers by the end of 2006. Finally, Wind, a provider of broadband Internet access, fixed-line and mobile telephony, is also working on an IPTV offering, but details are still sketchy.