A minority program
Swiss Television and Swisscom are producing an edition of "Tagesschau" for viewing on cell phones. The competition is taking a wait-and-see approach, and the Competition Commission is investigating.
Television Schweizer Fernsehen and Swisscom produce a Tagesschau edition for reception on cell phones. The competition is waiting and the Competition Commission is investigating. For a week now, Swisscom Mobile customers have been able to watch the Tagesschau of Schweizer Fernsehen SF, or Téléjournal of Télévision Suisse Romande TSR, on their cell phones. The prerequisite for this is the possession of a device with UTMS or EDGE reception. The short messages last one minute and forty seconds. During this time, there are four to six news items to watch, plus the latest stock market prices and weather forecasts. Every hour, from seven in the morning until eleven at night, the newsrooms of SF and TSR update the news bulletins. Those who want to be kept up to date on the go pay either one franc per broadcast or nine francs for a monthly subscription with unlimited access. Distribution and production of the short news bulletins are financed by Swisscom Mobile. At the launch, SF editor-in-chief Ueli Haldimann stressed that not a single franc in fees would be used for the new service. Conversely, this also means that those who pay fees are not entitled to use the news for their cell phones without further cost consequences. "SF makes its basic service available to all fee payers at no additional cost," says SF spokesman Urs Durrer. "The 100-second daily news is an additional offer that SF provides to a business partner."
There could also have been several business partners. SF was not in exclusive negotiations with Swisscom Mobile. "Orange was in talks with SF about this," confirms a company spokeswoman. But there was apparently no interest from the competition. "Basically, we consider the time for optimized short versions of TV content or news broadcasts for cell phones to be still early."
Weko storm in a teacup Despite SF's openness in its choice of partner and Orange's deliberate decision not to partner, the Competition Commission Weko is investigating whether the cooperation decision between the largest TV broadcaster and its counterpart in the mobile sector was conducted in a fair manner. According to Rafael Corazza, head of the Weko secretariat, the competition watchdogs want to find out "whether Swisscom Mobile forced its exclusive position as a partner on Swiss television". As a first step, the players are now being questioned.
"This is a completely normal process," says Corazza when asked by Werbewoche. Proceedings would only be initiated if there were indications that there had been conduct relevant under antitrust law. But that is not yet the case. Precautionary measures are not under discussion at the moment. So SF will not be forced to make its cell phone short messages available to another cell phone provider. "The reference to a possible distortion of competition did not come from a competitor who felt disadvantaged, but from the media," he said.
SF and Swisscom Mobile are unanimously "surprised" by the Weko clarification, especially since the exclusive partnership is only for six months. "After that, the service will also be available to other providers," says SF spokesman Durrer.
Only a niche need In the first week since the launch, several thousand customers have already watched the daily news on their cell phones, according to Swisscom spokesman Carsten Roetz. This was apparently too much for the technical infrastructure. According to various media reports, the servers were overloaded, especially on the day after the launch. Instead of the latest world news, only an error message appeared on some cell phone screens. But the vast majority didn't even notice and received the Tagesschau signal.
Only just over one percent of the more than four million Swisscom Mobile customers regularly watch TV on their cell phones. No figures are available from Orange, but there is a meaningful assessment of mobile TV offerings: "This is still a niche need, but it has great potential."
Mobile TV advertising The huge potential should also interest the advertising industry. After all, cell phones offer an attractive feedback channel via SMS or phone calls. But for the time being, these options remain unused. "At the moment, no special advertising slots are planned in the vicinity of the 100-second messages," says Martin Schneider, director of SF advertising marketer Publisuisse. In the next few weeks, however, he will be holding talks with Swisscom Mobile in this regard.
But, Schneider is convinced, mobile TV advertising will certainly become an issue in the foreseeable future. "But until then, a few technical problems will have to be eliminated." Breakdowns like the one on the day in question must not happen again. Otherwise, the audience will stay away not only from the news, but also from the advertising.
Nick Lüthi
There could also have been several business partners. SF was not in exclusive negotiations with Swisscom Mobile. "Orange was in talks with SF about this," confirms a company spokeswoman. But there was apparently no interest from the competition. "Basically, we consider the time for optimized short versions of TV content or news broadcasts for cell phones to be still early."
Weko storm in a teacup Despite SF's openness in its choice of partner and Orange's deliberate decision not to partner, the Competition Commission Weko is investigating whether the cooperation decision between the largest TV broadcaster and its counterpart in the mobile sector was conducted in a fair manner. According to Rafael Corazza, head of the Weko secretariat, the competition watchdogs want to find out "whether Swisscom Mobile forced its exclusive position as a partner on Swiss television". As a first step, the players are now being questioned.
"This is a completely normal process," says Corazza when asked by Werbewoche. Proceedings would only be initiated if there were indications that there had been conduct relevant under antitrust law. But that is not yet the case. Precautionary measures are not under discussion at the moment. So SF will not be forced to make its cell phone short messages available to another cell phone provider. "The reference to a possible distortion of competition did not come from a competitor who felt disadvantaged, but from the media," he said.
SF and Swisscom Mobile are unanimously "surprised" by the Weko clarification, especially since the exclusive partnership is only for six months. "After that, the service will also be available to other providers," says SF spokesman Durrer.
Only a niche need In the first week since the launch, several thousand customers have already watched the daily news on their cell phones, according to Swisscom spokesman Carsten Roetz. This was apparently too much for the technical infrastructure. According to various media reports, the servers were overloaded, especially on the day after the launch. Instead of the latest world news, only an error message appeared on some cell phone screens. But the vast majority didn't even notice and received the Tagesschau signal.
Only just over one percent of the more than four million Swisscom Mobile customers regularly watch TV on their cell phones. No figures are available from Orange, but there is a meaningful assessment of mobile TV offerings: "This is still a niche need, but it has great potential."
Mobile TV advertising The huge potential should also interest the advertising industry. After all, cell phones offer an attractive feedback channel via SMS or phone calls. But for the time being, these options remain unused. "At the moment, no special advertising slots are planned in the vicinity of the 100-second messages," says Martin Schneider, director of SF advertising marketer Publisuisse. In the next few weeks, however, he will be holding talks with Swisscom Mobile in this regard.
But, Schneider is convinced, mobile TV advertising will certainly become an issue in the foreseeable future. "But until then, a few technical problems will have to be eliminated." Breakdowns like the one on the day in question must not happen again. Otherwise, the audience will stay away not only from the news, but also from the advertising.
Nick Lüthi
