In this Week in Review: financial results, acquisitions and new ventures. For your weekly summary of industry news and other VAN interviews and videos, sign up to the weekly Video Round-Up.
Facebook Maintains ‘Stickiness’, Despite Tough Competition
Facebook has recovered from last quarter, beating estimates in Q2 2015 with $4.04 billion in revenue and $0.50 earnings per share. The social network now has 1.49 billion monthly users, up 3.47 percent quarter over quarter. Stickiness (DAU divided by MAU), a representation of how engaged users are, held strong at 65 percent. revenue from mobile ad spend made up 12 percent more of advertising spend than the same quarter 2014 and the company also announced plans to monetise Messenger.
4C Acquires Teletrax
4C has completed the acquisition of real time analytics and cross screen marketing company Teletrax from Civolution, the Eindhoven-based content recognition company that was originally a spin-off from Philips Electronics. The combined company will operate under the 4C brand across eight locations.
Axel Springer and ProSiebenSat.1 Eschew Merger, Launch Joint Innovation Project
Axel Springer and ProSiebenSat.1 Media have announced that they will not merge, but will launch a a project to promote digital start-ups instead. The initiative aims at promoting innovative digital business ideas and startups to position Germany as a digital hub on an international level.
UK Ad-Spend Forecasts Upped Following Record Q1
UK advertising expenditure overcame European uncertainty to post 8.2 per cent growth in Q1 2015 according to Advertising Association/Warc figures. Reaching £4.7 million (€6.6m) in total, UK advertising spend in the first quarter of the year was the highest on record, fuelled by growth in traditional display advertising and mobile.
CSPs Should Increase Data Plans to Accommodate Video Say Gartner
Global mobile data traffic is set to increase by 59 percent from 2014 to 2015 and rapidly increase to 2018, according to Gartner. The rise is fuelled by video streaming, mainly amongst families with children and those streaming long form YouTube content. The company is calling for communication service providers (CSPs) to rethink their data caps to meet consumer needs.
Sixty Percent of Operators Opt For Hybrid OTT Model
A majority of operators (60%) favour the hybrid OTT model over more traditional solutions, according to research from MPP Global. The hybrid OTT model enables content owners to offer different price packages to its customers, ranging from paying on a TVOD (transactional video on demand) basis to signing up for a subscription.
Telly Addicted Brits Demand More From Their Ads
Britons spend more than seven full weeks a year, or a whopping 9.5 years over their lifetime in front of the telly according to research from uktvplay.co.uk. The average person watches TV on four different devices and a quarter of respondents think adverts should be as entertaining as the show.
IoT Connected Devices Over 38bn Units by 2020
The number of IoT (Internet of Things) connected devices will number 38.5 billion in 2020, up from 13.4 billion in 2015: a rise of over 285 per cent, according to data from Juniper Research.
Mobile Growth Opportunities Are Strongest In Africa and Asia
Opportunities for growth in mobile subscription services are strongest in Africa and Asia, according to data from TeleGeography’s GlobalComms Database. Subscription rates are falling in Europe and stable in the USA due to market saturation and weakening economic factors.
Snapchat Teams Up With Univision for Broadcast Partnership
Snapchat will team up with Univision Communications, which serves Hispanic America, to create unique Live Stories around Univision events, including sports and entertainment.
AT&T Completes DirecTV Acquisition
AT&T has completed its acquisition of pay-TV provider DirecTV following the Federal Communications Commission’s approval. The newly-combined company will become the largest pay-TV provider in the world.
Jun Group Raises $28 Million in New Funding
Private ad-tech firm Jun Group has raised $28 million in new funding, as the company looks to challenge the likes of Google, Facebook and Yahoo in helping bring more video advertising to mobile apps.
Twitter Boss “Not Satisfied” With Growth
Twitter’s Q2 revenue and earnings have beaten expectations, but co founder Jack Dorsey has said he is “not satisfied” with its user growth.
Sky Announces Growth in Year of Transformation
Sky has announced an 18 percent growth in profits in the year up to 30th June 2015, adding one million subscribers to its books. The figures are the first to include those from Sky Italia and Sky Deutschland after their acquisition in November 2014.
Time Warner Cable Residential Video Subscribers Down 45,000 in Q2
Time Warner Cable has reported a 45,000 decline in residential video net subscribers in Q2 2015, the best second quarter since 2008. This was partially offset by an increase in average revenue per subscriber.
IMAX Enjoys Record Breaking Revenues
IMAX unveiled “better than expected” Q2 numbers, mainly driven by box office performance with Jurassic World, Avengers 2 and Furious 7.
BT Adds 60,000 TV Customers
According to its Q1 results, BT added 60,000 TV customers in the quarter, bringing its total to 1.2 million and reported a 9 per cent rise in Adjusted Profit before Tax compared to last year.
Intelsat Delivers ‘Solid’ Q1 Despite Share Price Scare
Intelsat has reported total revenue of $598.1 million and net income attributable to Intelsat of $60.2 million, or $0.47 per common share on a diluted basis, for the three months ended June 30th 2015. This is despite the company’s stock share price hitting an all time low point last week.
Nintendo Closing TVii Service
Nintendo is shutting down its video service for the Wii U console less than three years after it launched.
Digital AdLab Launches to Address Skills Deficit in Digital Advertising
The Digital Advertising Operations Program (DAOP), has been launched by The Digital AdLab, to address the employment shortage and skills deficit currently impacting the digital advertising industry. The program will provide students, graduates and advertising professionals with ‘hands-on’ training on Google’s DoubleClick applications.
This Week on VAN
OutRigger Media are Helping Brands Make Sense of YouTube, read more on VAN
Programmatic TV: the Winners and Losers, read more on VAN
Programmatic Buying Can Only Take Us So Far: Next Stop is the Creative Tech, read more on VAN
Ad of the Week: NRG, Droga 5, ‘The Power Behind the Plug’
US energy company, NRG have released a powerful video which invites people to think about where their energy comes from.
An ode to infomercials featuring The Smiths. Please, please, please, let them get what they want.