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Presentazione BP v 0 42

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Information about Presentazione BP v 0 42
Education

Published on April 18, 2008

Author: Davide

Source: authorstream.com

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Slide1:  Creating a Content Distribution Network for the new Broadband Internet Amedeo Beck Peccoz Phone: +39 380 2633361 e-mail: amedeo.beckpeccoz@teledotto.com Giuseppe Cavagna Phone: +39 02 4986902 e-mail: giuseppe.cavagna@teledotto.com Paolo M. Trezzi Phone: +39 335 7446178 e-mail: paolo.trezzi@teledotto.com Corporate Business Plan Overview May 2002 Slide2:  Amedeo Beck Peccoz, CEO (Chief Executive Officer) & Sales Director (ad interim) Born in Vercelli (Italy), 31 years, Software Engineering at Politecnico di Milano Amedeo is the ideator of Teledotto and will play an essential role in the operations of the company: his knowledge of the telecommunication market and people is a key factor in the sales and network deployment processes; he carries a strong technical background and is responsible in the first place for the overall design of the software and hardware solution that Teledotto requires; Giuseppe Cavagna, CFO (Chief Financial Officer) Born in Milan (Italy), 54 years, graduated in Economic Science at Università di Pavia. Giuseppe role will be: Company management Financial Controller Public Relations and social engineering The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide3:  Paolo M. Trezzi, Business Operation Executive Born in Milan (Italy), 49 years, Graduated in Physics at Milan University, specialized in Nuclear Physics at Milan University, researcher at CNES (Center National d'Etudes Spatiales - France) in Satellite Remote Sensing Science and computer image treatment. Paolo will be responsible for: Marketing activities Brand building Mirko Viviani, CIO (Chief Information Officer) Born in Cremona (Italy), 26 years, Information Science at Università degli Studi di Milano His role will be to: analyze and develop all the software that Teledotto will need, from the content distribution algorithms, to the encoders, from the monitoring to the billing system. coordinate all the resources (either internal or external) that will actually code the software. design and run the operations of the NOC. Slide4:  Case Study 1: Olympic Games According to Executive Telecom in 2004 there will be over 80 millions broadband (>1Mbps) subscribers worldwide. Let's assume that 10% of them would consider watching the Olimpic Games trought the Internet. In Athens the International Olympic Committee should provide at least 8 Terabps of connectivity for a monthly cost not lower than 1 billion Euro, hence an average monthly cost of 125 Euro per End User. The quality of the service offered at the end user would be significantly lower than TV due to inevitable network congestions. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide5:  Case Study 2: RaiClick In February 2002 RAI (Italian Public TV) launched a new service named RaiClick to allow vision of B-movies over the Internet. RAI managed to offer this service trough the network infrastructure of FastWeb (metropolitan fiber provider). Array of servers have been engineered in order to provide the required computational power and storage capabilities. The servers are physically located in one single place and topologically located on one sigle network. It has been possible to watch the movies during off-peak hours with little, if any, disconnections/reconnections. Slide6:  Content distribution today The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide7:  High costs: content distribution services costs are a direct function of the number of End Users. There can be little, if any, scale economy. Low performances: End User experienced quality decreases as the number of End Users increases. Highly demanded content is usually delivered with lower quality. No scalability: content distribution is only for large content lasting long, there is no space for smaller content or for events lasting shorter nor for short events interesting many End Users (e.g. sport events, concerts, ads, etc.) No network resilience: centralized server clusters are typically connected to one single network and subjected to its availability. Low server resilience: physical aggregation of servers in one place increases expected downtimes. There are little chances, if any, to guarantee customers Quality Of Service. Content distribution today: disadvantages Slide8:  Teledotto content distribution Slide9:  Lower costs: CDN costs are a direct function of the number of installed Edge Locations. Higher performance: End User experienced quality remains at its best, regardless the number of End Users. Any content is delivered with the best quality. High scalability: any kind of content can be easily distributed, short TV-like spots, movies trailers, full movies, live events, etc. Full network resilience: distributed servers spawning multiple networks ensure top availability. Extreme server resilience: physical distribution of servers in eliminates downtimes. Teledotto offers SLAs to protect customers Quality Of Service. Teledotto content distribution: advantages Our Mission:  Our Mission Bridging the "Convergence concept" by offering an advanced Content Distribution Network able to deliver the highest possible audio/video content quality over the Internet, bringing together the quality of TV programming and the flexibility of the Net. Customer relevant cost reduction and End User significant quality increase represent our goals in creating a win-win business proposition. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Our Business Model:  Our Business Model Our Business Model is based on the experience of a number of Content-related industries some of which failed while others are alive and kicking: Service vs Infrastructure Teledotto is a service based company that relies on an infrastructure. It is not an infrastructure based company. Local vs Global World-Wide CDNs have proven to be hard business, we start with locally to expand later. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide12:  Our Business Model Copyright? No, thanks! Copyright owner CDNs have failed (e.g. I-Beam), Content neutrality is a must for a winning business. Cost structure Teledotto main cost is a direct function of the number of Edge Locations. Revenue structure Teledotto main revenue source is a direct function of the number of End Users connected. It's not a function of the number of Customers! Slide13:  Our Customers Content Producers and Content Aggregators Business which produce or aggregate content, including multimedia, which needs to reach as many End Users as possible with the highest "visualisation" quality possible in an efficient, effective, reliable and secure manner. We connect directly End Users which are not our Customers. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Our Customers:  Service offering Customer base Our Customers Slide15:  Customer Benefits Teledotto Network will enable: Content Providers to distribute content, including multimedia, effectively while by-passing the increasing congestion of the Internet with cost-effective and quality oriented services. Teledotto will handle both live and on-demand events. End Users to acquire content in a more efficient, faster and reliable manner. End users will be all categories of "Internauts" (Corporate, Prosumers, and Residential). The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide16:  Our Objectives Step 1: National Italian Objective To install our Edge Server hardware solution at the Italian ISPs (Internet Service Providers) and become a recognised architectural solution for the provision of content to millions of End Users. Step 2: International Objective Once acquired the critical "customer mass" expand into other non-Anglo-Saxon countries (e.g. Spain, France, Germany). Such costs will only include the Edge Server deployment. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide17:  Our Objectives With 30 locations in 2005 Teledotto will reach directly over 95% of the Italian internet End Users. Slide18:  Our Strategy Two-fold strategy: Technological and Commercial Technological strategy: design and implement a Service Centre Platform able to manage the multiple content streams incoming from the different content providers design and build hardware edge servers to be located at key strategic Internet congestion points design and implement a proprietary content distribution software Commercial strategy: partnership with ISPs (enable them to rebrand Teledotto core services) acquisition of key customers in particular Content Providers The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide19:  Market Size and Share Some market considerations and findings The CDN market can be easily evaluated in term of End Users rather than number of potential Customers. This parameter is significant as revenues are a direct function of End Users, regardless the effective number of Customers. The CDN is a recent introduction to the telecom industry. Market forecasts expect revenue generation to grow and differentiate in an unpredictable manner. There is plenty of reliable monitoring of the total number of Internauts at a world-wide level. It is therefore easier to estimate, with a low margin of error, the potential End User base for Teledotto Network services. Teledotto aims at controlling at least 1/3rd of the total number of Italian Internauts as End Users of its services. The remaining market will be shared by Anglo-Saxon centric CDNs and other local Telco operators. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide20:  How much is the market worth in Italy? Italian Content Delivery Market is expected to be worth to 116 Million EURO in 2005 Teledotto aims at acquiring a minimum market share value of 33% by 2005 Market Size and Share Slide21:  Market Size and Share Slide22:  Competitors The only competitors in this market are US/UK/Australia based, there are no non-Anglo-Saxon direct competitors. They are not interested in providing a high quality delivery service in non-Anglo-Saxon countries due to involved costs and revenues generated. Other Italian players that have the strength to approach this market will end up competing with their potential customers. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide23:  Competitors Slide24:  Forecast Teledotto is seeking an investment of Euro 3,5million in the next months to invest in business development, recruit additional managers and employees to fill key positions in the organizations, finance the technology platform for the digital market place, finance the marketing campaign that is part of the customer acquisition and brand building exercise. For this purpose we focused our projections on the main revenue stream represented by the fees from content aggregators. Management believes this pricing strategy will optimize the balance between short-term revenue and the speed of building an user community. Expansion into another Country is expected to cost EUR 600.000 to be revenue generating. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide25:  Forecast: EBITDA Slide26:  Forecast: cash flow Slide27:  Market Status In September 2000 the International Olympic Committee announced in a press release that the rights to distribute the 2004 Olympic Games in Athens over the Internet will not be given to any organization, as noone has been able to guarantee the ability to deliver. From April 2002, after only 2 months from the launch, RAI suspended the RaiClick ads campaing as the on-demand streaming service had become nearly unusable. The Staff Case Study Content Distribution Our Mission Our Business Model Our Customers Customer Benefits Our Objectives Our Strategy Market Size and Share Competitors Revenue Forecast Market Status Slide28:  Amedeo Beck Peccoz - CEO Phone: +39 380 2633361 e-mail: amedeo.beckpeccoz@teledotto.com Giuseppe Cavagna - CFO Phone: +39 02 466341 e-mail: giuseppe.cavagna@teledotto.com Paolo Trezzi - Business Operation Executive Phone: +39 335 7446178 e-mail: paolo.trezzi@teledotto.com

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