YTL may offer new personalised digital hybrid TV

Deal with Sezmi TV expected for exclusive rights in Asia

PETALING JAYA: YTL Communications Sdn Bhd (YTL Comms), which is gearing to launch its WiMAX-based services on Nov 18, is expected to sign an agreement with US-based Sezmi TV for a new personalised digital television content offering on its network.

It is learnt that the agreement will give YTL Comms exclusive rights to offer hybrid TV services, comprising traditional TV, on-demand and Internet content to Malaysia and the Asian region.

It may take YTL Comms a year to roll out the services in Malaysia. The overall cost of bringing digital TV on its network to TV screens, computers and via mobile screens may be a whopping RM1bil to RM2bil. This amount would also cover the extension of the services to the region, sources said.

It is unclear how YTL Comms will fund this venture.

Separately, YTL Comms – a unit of YTL Power Bhd – is investing RM2.5bil to build its WiMAX network which will have nationwide coverage by Nov 18.

“It is really an alternative for TV viewers and it comes in digital format and can be delivered via various ways,” said a source.

Sezmi is based in California and is a four-year-old Silicon Valley start-up. It is offering an Internet-connected set-top box with a digital aerial. It combines free over-the-air channels with net content and uses spare bandwidth on the digital broadcasts to provide popular cable channels.

According to the Sezmi website, its all-in-one personalised television service is available to viewers in 36 markets across the United States. Those in the know claim that YTL Comms has taken up at least a 20% stake in Sezmi.

What content YTL Comms will provide is unclear but it will have to compete with Astro TV which has been in the business for over a decade and Astro has exclusive rights to many programmes.

Global convergence is forcing telcos and celcos to get into the broadcasting business since the lines are blurring between the two. Telecoms operators – such as AT&T and Verizon in the United States and BT, France Telecom and Telecom Italia in Europe – are also offering content over broadband.

Locally, Telekom Malaysia Bhd is offering IPTV via its high-speed broadband network and the other cellular players are also looking into ways to get into the TV content business for their users. Maxis Communications Bhd is conducting trials for IPTV and it will be much easier for the company than many others as its sister company, Astro, sits on many exclusive content rights.