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Prime pulls out of Freeview

Updated: Seven's regional partner has withdrawn from Freeview, claiming regional Australia is not ready for HbbTV.

Prime-MSeven’s affiliate partner Prime Media has withdrawn from Freeview, effectively joining the WIN Network as the second regional broadcaster to shun the industry body.

Prime has been part of Freeview since its inception 2008. WIN departed in March 2012 with complaints over the organisation’s role and the costs involved.

Mumbrella reports the reasons for Prime’s exit are not clear, but  The Australian reports of an email from Chairman Kim Dalton to its broadcast members.

“Legal advice has been requested with regard to Prime’s financial obligations under the share buyback provisions of the recently executed Freeview Shareholders’ Agreement,” he wrote.

“The Freeview and FreeviewPlus budgets and cashflow positions are being reviewed in light of Prime arrears totalling $56,923.90 for the HbbTV extraordinary budget.”

The withdrawal comes just ahead of the launch of FreeviewPlus, which will provide additional web content and catch-up linked to an advanced EPG, via new hardware.

In a statement Kim Dalton said: “Freeview is about to launch FreeviewPlus, the world’s most advanced free-to-air TV service. Freeview has worked closely with all of Australia’s free-to-air broadcasters, TV manufacturers and retailers to ensure that the benefits of FreeviewPlus will be available to all Australians.

“Freeview remains fully committed to TV audiences in regional Australia. Viewers in these areas will have access to the full range of FreeviewPlus benefits via other regional commercial broadcasters and the national broadcasters, ABC and SBS.

“We hope that in time Prime will reconsider this decision. Freeview would welcome the network back as a member in the future.”

Regional broadcasters Southern Cross Media and Nine-owned NBN remain part of Freeview.

UPDATED: Prime CEO Ian Audsley told Mumbrella: “It is conditional for Freeview membership that shareholders participate in HBBTV and we’re of the view that the regional television market is not developed enough to support HBBTV at this time.

“The set of protections for HBBTV capable sets in regional Australia at this time is (projected at) 16,754 sets in early FY15,” he said “Now that’s a penetration of less than half of one per cent in our market of 3.9m TV sets.”

14 Responses

  1. I think Prime and other regional broadcasters are relcutant to join HBBTV becuase there are no plans to include regional TV areas to this online advertising platform. Prime (or any regional TV station) clients won’t be able to advertise on it so that means no revenue for Prime, WIN, SC10 or Regional 7.This is a huge problem for regional TV.

  2. This is a great idea if implemented properly. It would be great to see all catch up TV aggregated together in one place. As long as you have a smart TV Freeview should just develop an app like the Plus7 app on samsung smart TV’s and use that there should be no need to buy any additional equipment.

    1. Not on the market yet but should be in the same price range yes. Many recent smart TVs will be able to access it, but just depends on the model etc. However TVs that have basic internet access won’t. They need to be able to update software etc.

  3. It’s doomed like previous Freeview initiatives, unless they can offer it via a unified interface. People are sick and tired of standards changing and buying equipment that is made obsolete a week later. They’re not going to rush out and buy yet another set top box, unless there’s some compelling reason to do so. If this isn’t offered as an app across a broad variety of platforms, it’s never going to take off.

  4. HbbTV is Hybrid Broadcast Broadband TV. It means networks will be able to give much more web content, direct to tech-ready TV sets, including extras, themed channels with archive content, catch-up etc. Some may even use it as revenue (ie movies). FreeviewPlus will let you scroll backwards through your EPG and find a catch-up episode -if you have the right equipment.

  5. “Freeview is about to launch FreeviewPlus, the world’s most advanced free-to-air TV service.”

    From what I understand (& I follow such things fairly closely), the only things in FreeviewPlus that haven’t already been done for years by broadcasters in the UK and Europe are ones that have been tried and failed.

    David, maybe a run-down of the so-called “features” and “innovations” of FreeviewPlus – and comparing them to what’s worked/failed overseas – would make a good article?

    1. FreeviewPlus will be useful for those who have not yet embraced innovative paths to deliver content to their television screens. But the downside is it requires new purchase, such as a new TV, and I think many people made that leap already with their GFC cheque.

  6. “we’re of the view that the regional television market is not developed enough to support HBBTV at this time.”
    Yeah. Like having an Internet connection.

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