Welcome!

.NET Authors: Lori MacVittie, Yeshim Deniz, Ivan Antsipau, Liz McMillan, Michael Bushong

News Feed Item

Starz Reports Fourth Quarter And Year End 2012 Financial Results

ENGLEWOOD, Colo., Feb. 27, 2013 /PRNewswire/ -- Starz (NASDAQ: STRZA, STRZB) today reported fourth quarter and year end 2012 results.  Highlights include (1):

  • Completed separation of Starz and Liberty Media on January 11, 2013
  • Increased STARZ subscriptions in 2012 by 8%, or 1.6 million subscribers, to 21.2 million and ENCORE subscriptions in 2012 by 5%, or 1.6 million subscribers, to 34.8 million subscribers
    • 56 million combined subscriptions; most-ever for Starz, leads U.S. premium television category
  • Completed a new, multiyear agreement with Sony Pictures Entertainment that extends exclusive first-run output premium pay TV deal for theatrical releases through 2021
  • Premiered the final installment of the STARZ Original series, "Spartacus," with "Spartacus: War of the Damned," on January 25, to 3.1 million viewers in its premiere weekend
  • Launched STARZ PLAY and ENCORE PLAY with DIRECTV, AT&T U-verse TV, and Verizon FiOS, AT&T first to launch MOVIEPLEX PLAY 
  • Raised $175 million of senior notes due 2019 as additional notes under the indenture governing the existing $500 million 5% senior notes
    • Issue upsized by $25 million due to strong demand

(Logo: http://photos.prnewswire.com/prnh/20080522/LATH063LOGO-b)

Chris Albrecht, Starz Chief Executive Officer said, "2012 was a very strong year for Starz.  Our lineup of quality original programming and theatrical films led to record subscribers at STARZ and ENCORE, bolstering their position as the largest pair of premium networks in the U.S.  Importantly, we recently extended our first-run output relationship with Sony Pictures Entertainment through 2021 across all platforms, enabling us to offer world class theatrical movies from Sony into 2023, complementing the Disney films we will offer into 2017.  In terms of our digital strategy, we are progressing rapidly with the launch of our TVEverywhere PLAY services.  Cox, DIRECTV, AT&T U-verse TV, and Verizon FiOS have launched the service, and we anticipate additional distributor launches in the remainder of 2013."

Albrecht continued, "Looking ahead, in addition to our solid foundation of theatrical product, our pipeline of STARZ Original series including 'Da Vinci's Demons,' 'Magic City,' and 'The White Queen,' is setting the stage for our long-term growth as an independent public company.  In addition, 'Spartacus' is wrapping its epic run to strong viewership and continued demand from distributors both domestic and abroad, while 'Black Sails' is a strong 2014 addition to the lineup.  We also have a development slate of future projects that is the strongest ever for STARZ.  We are confident that we have the right content strategy in place with a terrific complement of exclusive originals and quality first-run theatricals that will differentiate us among premium content providers and provide value to our distributors, subscribers and shareholders in the years to come."

Revenue decreased 2% to $422 million for the fourth quarter and increased 1% to $1,631 million for the year.  The decrease in revenue for the fourth quarter was primarily a result of a decrease in Starz Distribution revenue due to fewer titles available from The Weinstein Company LLC ("TWC") and a decrease in revenue from Starz Networks primarily due to the non-renewal of the Netflix agreement.

Revenue for the year ended December 31, 2012 grew primarily as a result of an increase in revenue for Starz Distribution driven by the strong performance in ancillary markets of our original series "Spartacus," and AMC Networks' original series "The Walking Dead," as well as Starz Networks due to higher effective rates partially offset by the non-renewal of the Netflix agreement.  These increases in revenue were partially offset by a decrease in revenue at Starz Animation as a result of fewer projects at our Film Roman studio.

Adjusted OIBDA(2) increased 8% to $101 million for the fourth quarter and decreased 1% to $445 million for the year.  Notwithstanding the decrease in revenue mentioned above, the increase in Adjusted OIBDA for the fourth quarter was primarily due to fewer exhibitions at Starz Networks of first-run (first window) films and higher utilization of second window films licensed under our output agreements with Disney and Sony and decreased advertising and marketing costs associated with original programming.   Starz Networks did not have a new original series premiere during the fourth quarter of 2012, while the first season of the original series "Boss" premiered in October 2011.  Starz Networks' increase was partially offset by increased production and acquisition costs at Starz Distribution due to revisions made to ultimate revenue estimates which resulted in impairments to capitalized production and acquisition costs for certain titles.

The decrease in Adjusted OIBDA for the year was primarily due to increased production and acquisition costs at Starz Distribution resulting from the revisions made in the fourth quarter to the ultimate revenue estimates as mentioned above.  This decrease in Adjusted OIBDA was partially offset by lower advertising and marketing costs at Starz Networks resulting from one fewer Starz original series premiere during 2012.  Starz Networks had three new original series or new season premieres in 2012 as compared to four in 2011.  Consolidated Eliminations also contributed to the decrease due to fewer exhibitions of Overture Films' titles on Starz Networks during 2012.

Operating income decreased 2% to $86 million for the fourth quarter and decreased 5% to $405 million for the year.  The decrease in both periods was due to the fluctuations in Adjusted OIBDA discussed above combined with an increase in stock compensation expense for the quarter and the year.

Capitalized production and acquisition costs increased 91% to $89 million for the fourth quarter and increased 33% to $284 million for the year.  The increase for the quarter was due primarily to increased investment in original programming.  The increase for the year was due to increased investment in original programming and timing of payments for certain TWC titles.  We plan to make additional investments in original programming in the future.

Share Repurchases

From January 14, 2013 through January 31, 2013, 69,800 shares of Series A Liberty Capital common stock (NASDAQ: STRZA) were purchased at an average cost per share of $15.38 for total cash consideration of $1.1 million.  Starz has approximately $398.9 million remaining under its current repurchase authorization. 

FOOTNOTES 

(1)

Starz CEO, Christopher Albrecht, will discuss these highlights and other matters during the Starz earnings conference call which will begin at 4:00 p.m. (ET) on February 27, 2013.  For information regarding how to access the call, please see "Important Notice" later in this document.

(2)

For a definition of Adjusted OIBDA and applicable reconciliation see Schedule 1 below.

NOTES

  • Unless otherwise noted, the foregoing discussion compares financial information for the three and twelve months ended December 31, 2012 to the same periods in 2011.
  • During August 2012, the board of directors of Liberty Media Corporation ("Old LMC") authorized a plan to spin off wholly-owned subsidiary Liberty Spinco, Inc. ("Liberty Spinco") (the "Spin-Off"), which, at the time of the Spin-Off would hold all of the businesses, assets and liabilities of Old LMC not associated with the businesses of Starz, LLC (with the exception of Starz, LLC's Englewood, Colorado corporate office building).  On January 11, 2013, the Spin-Off was effected in a tax-free manner through the distribution, by means of a pro-rata dividend, of shares of Liberty Spinco to the stockholders of Old LMC. As a result, Liberty Spinco became a separate public company on January 11, 2013 and was renamed "Liberty Media Corporation" ("New LMC").  In connection with the Spin-Off, the parent company of Starz, LLC was renamed "Starz".  Unless the context otherwise requires, Old LMC is used when events or circumstances being described occurred prior to the Spin-Off, and Starz is used when events or circumstances being described occurred following the Spin-Off.
  • In connection with the Spin-Off, Starz, LLC distributed $1.8 billion in cash to Old LMC (paid as follows: $100.0 million on July 9, 2012, $250.0 million on August 17, 2012, $50.0 million on September 4, 2012, $200.0 million on November 16, 2012 and $1.2 billion on January 10, 2013) funded by a combination of cash on hand and borrowings under Starz, LLC's senior secured revolving credit facility.  Such distributed cash was contributed to New LMC prior to the Spin-Off. Additionally, in connection with the Spin-Off, Starz, LLC distributed its Englewood, Colorado corporate office building and related building improvements to Old LMC (and Old LMC transferred such building and related improvements to a subsidiary of New LMC) and then leased back the use of such facilities from this New LMC subsidiary. Following the Spin-Off, New LMC and Starz operate independently, and neither have any stock ownership, beneficial or otherwise, in the other.

SUPPLEMENTAL INFORMATION
As a supplement to Starz's consolidated statements of operations, to be included in its Form 10-K, the following is a presentation of quarterly financial information and operating metrics at December 31, 2012.

Please see definition of Adjusted OIBDA below and a discussion of why management believes the presentation of Adjusted OIBDA provides useful information for investors.  Schedule 1 to this press release provides a reconciliation of Adjusted OIBDA to operating income for the same periods, as determined under generally accepted accounting principles ("GAAP").

QUARTERLY SUMMARY

(amounts in millions)

4Q11

1Q12

2Q12

3Q12

4Q12

Revenue

$  432.6

$  405.0

$ 402.5

$    401.0

$    422.2

Adjusted OIBDA

$    93.6

$  126.8

$ 108.5

$    108.1

$    101.4

Operating income

$    87.2

$  120.0

$ 100.3

$      99.5

$      85.6

Subscription units – Starz

19.6

20.1

20.7

20.8

21.2

Subscription units – Encore

33.2

33.6

34.2

34.3

34.8

CASH AND DEBT
The following presentation is provided to separately identify cash and debt information.

(amounts in millions)

12/31/2012

12/31/2012


Audited (GAAP)

Proforma (1)

Cash

$          749.8

$             99.8




Debt:



Bank facility

5.0

380.0

5% senior notes

500.0

675.0

Transponder capital lease

34.8

34.8

Building capital lease

-

44.8

        Total debt

$          539.8

$       1,134.6

(1)     Amounts reflect cash and borrowings outstanding following completion of
          the Spin-Off and additional $175M notes offering



Starz cash decreased $650 million and debt increased $595 million primarily as a result of the cash distribution to Old LMC and the capital lease resulting from the distribution of Starz, LLC's corporate office building to Old LMC in connection with the Spin-Off.

NON-GAAP FINANCIAL MEASURES

This press release includes a presentation of Adjusted OIBDA, which is a non-GAAP financial measure, together with a reconciliation to operating income, as determined under GAAP.  We define Adjusted OIBDA as: revenue less programming costs, production and acquisition costs, home video cost of sales, operating expenses, advertising and marketing costs and general and administrative expenses. Our chief operating decision maker uses this measure of performance in conjunction with other measures to evaluate our operating segments and make decisions about allocating resources among our operating segments. We believe that Adjusted OIBDA is an important indicator of the operational strength and performance of our operating segments, including each operating segment's ability to assist in servicing our debt and fund investments in films and television programs. In addition, this measure allows management to view operating results and perform analytical comparisons and benchmarking between operating segments and identify strategies to improve performance. This measure of performance excludes stock compensation, long-term incentive plan and phantom stock appreciation rights and depreciation and amortization that are included in the measurement of operating income pursuant to GAAP. Accordingly, Adjusted OIBDA should be considered in addition to, but not as a substitute for, operating income, income from continuing operations before income taxes, net income, net cash provided by operating activities and other measures of financial performance prepared in accordance with GAAP. The primary material limitations associated with the use of Adjusted OIBDA as compared to GAAP results are (i) it may not be comparable to similarly titled measures used by other companies in our industry, and (ii) it excludes financial information that some may consider important in evaluating our performance. We compensate for these limitations by providing a reconciliation of Adjusted OIBDA to GAAP results to enable investors to perform their own analysis of our operating results.  Please see Schedule 1 below for applicable reconciliation.

SCHEDULE 1

The following table provides a reconciliation of Adjusted OIBDA for Starz to its operating income calculated in accordance with GAAP for the three months ended December 31, 2011, March 31, 2012, June 30, 2012, September 30, 2012 and December 31, 2012, respectively.

QUARTERLY SUMMARY

(amounts in millions)

4Q11

1Q12

2Q12

3Q12

4Q12

Adjusted OIBDA

$  93.6

$  126.8

$ 108.5

$  108.1

$  101.4

Stock compensation expense

(2.0)

(2.6)

(3.6)

(3.6)

(10.2)

Depreciation and amortization

(4.4)

(4.2)

(4.6)

(5.0)

(5.6)

Operating income

$  87.2

$  120.0

$ 100.3

$  99.5

$  85.6







 

 

Starz

Consolidated Balance Sheets

December 31, 2012 and 2011

(Amounts in thousands)

(Unaudited)






2012


2011

Assets




Current assets:




Cash and cash equivalents

$

749,774


$

1,099,887

Restricted cash


4,896

Trade accounts receivable, net of allowances of $35,045 and $38,355

241,415


241,026

Program rights

340,005


388,298

Deferred income taxes

990


10,114

Other current assets

44,727


31,336

Total current assets

1,376,911


1,775,557

Program rights

338,684


373,552

Investment in films and television programs, net

181,673


183,942

Property and equipment, net

96,280


98,531

Deferred income taxes

12,222


Goodwill

131,760


131,760

Other assets, net

38,520


39,833

Total assets

$

2,176,050


$

2,603,175





Liabilities and Member's Interest




and Noncontrolling Interests




Current liabilities:




Current portion of debt

$

4,134


$

4,129

Trade accounts payable

6,162


8,690

Accrued liabilities

256,062


304,150

Due to affiliates

39,519


53,836

Deferred revenue

24,574


26,734

Total current liabilities

330,451


397,539

Debt

535,671


540,915

Deferred income taxes


10,308

Other liabilities

7,784


11,312

Total liabilities

873,906


960,074





Member's interest

1,311,951


1,651,484

Noncontrolling interests in subsidiaries

(9,807)


(8,383)

Total member's interest and noncontrolling interests

1,302,144


1,643,101





Total liabilities and member's interest and noncontrolling interests

$

2,176,050


$

2,603,175








 

 


Starz

Consolidated Statements of Operations

Years Ended December 31, 2012, 2011 and 2010

(Amounts in thousands)

(Unaudited)








2012


2011


2010







Revenue:






Programming networks and other services

$

1,419,074


$

1,372,141


$

1,380,349

Home video net sales

211,622


241,892


224,988

Total revenue

1,630,696


1,614,033


1,605,337







Costs and expenses:






Programming costs (including amortization)

661,157


651,249


647,817

Production and acquisition costs (including amortization)

192,340


158,789


177,954

Home video cost of sales

63,880


62,440


69,815

Operating expenses

53,410


53,703


73,260

Advertising and marketing

105,674


132,183


175,417

General and administrative

109,403


106,081


125,421

Stock compensation, long term incentive plan and phantom stock appreciation rights

20,022


7,078


39,468

Depreciation and amortization

19,406


17,907


20,468

Total costs and expenses

1,225,292


1,189,430


1,329,620







Operating income

405,404


424,603


275,717







Other income (expense):






Interest expense, including amounts due to affiliate of none, none, and $16,054, net of amounts capitalized

(25,688)


(5,012)


(20,932)

Other income (expense), net

3,023


(3,505)


(542)

Income from continuing operations before income taxes

382,739


416,086


254,243







Income tax expense

(130,465)


(172,189)


(98,764)







Income from continuing operations

252,274


243,897


155,479







Income (loss) from discontinued operations (including loss on sale of $12,114 in 2011), net of income taxes


(7,486)


3,315







Net  income

252,274


236,411


158,794







Net loss attributable to noncontrolling interests

2,210


3,273








Net income attributable to member

$

254,484


$

239,684


$

158,794

 

 

Starz

Consolidated Statements of Cash Flows

Years Ended December 31, 2012, 2011 and 2010

(Amounts in thousands)

(Unaudited)








2012


2011


2010

Operating activities:






Net income

$

252,274


$

236,411


$

158,794

Adjustments to reconcile net income to net cash provided by operating activities:






Loss (income) from discontinued operations


7,486


(3,315)

Depreciation and amortization

19,406


17,907


20,468

Amortization of program rights

617,789


611,041


611,615

Program rights payments

(456,558)


(554,341)


(532,566)

Amortization of investment in films and television programs

141,553


126,102


116,928

Investment in films and television programs

(284,063)


(213,655)


(117,035)

Stock compensation, long term incentive plan and phantom

stock appreciation rights

20,022


7,078


39,468

Payments of long term incentive plan and phantom stock appreciation rights

(33,410)


(7,696)


(196,232)

Noncash interest on debt due to affiliate



16,313

Deferred income taxes

(17,410)


37,023


52,954

Other non-cash items

4,533


11,014


2,808

Changes in assets and liabilities:






Current and other assets

1,759


(29,101)


9,510

Due to affiliates

(5,637)


89,271


(1,554)

Payables and other liabilities

31,819


9,433


12,983

Net cash provided by operating activities

292,077


347,973


191,139

Investing activities – purchases of property and equipment

(16,214)


(7,723)


(7,099)

Financing activities:






Borrowings of debt

500,000


505,000


129,343

Payments of debt

(504,029)


(59,170)


(202,035)

Debt issuance costs

(8,514)


(10,191)


Distributions to parent

(600,000)



(75,221)

Distributions to parent related to stock compensation

(4,689)



Minimum withholding of taxes related to stock compensation

(13,273)



Excess tax benefit from stock compensation

4,401



Contribution from parent



15,000

Contribution from noncontrolling owner of subsidiary


3,000


500

Settlement of derivative instruments

3


(2,863)


(6,301)

Restricted cash


8,226


10,300

Net cash provided by (used in) financing activities

(626,101)


444,002


(128,414)

Effect of exchange rate changes on cash and cash equivalents

125


(17)


59

Net cash provided by discontinued operations



1,072

Net increase (decrease) in cash and cash equivalents

(350,113)


784,235


56,757

Cash and cash equivalents:






Beginning of year

1,099,887


315,652


258,895

End of year

$

749,774


$

1,099,887


$

315,652

 

IMPORTANT NOTICE

  • Starz (NASDAQ: STRZA, STRZB) CEO, Chris Albrecht will discuss Starz's financial performance, and may discuss future opportunities in a conference call which will begin at 4:00 p.m. (ET) on February 27, 2013.  The call can be accessed by dialing (888) 401-4674 or (719) 325-4766 at least 10 minutes prior to the start time.  Replays of the conference call can be accessed through 6:00 p.m. (ET) on March 6, 2013, by dialing (888) 203-1112 or (719) 457-0820 plus the pass code 3814585#.  The call will also be broadcast live via the Internet and archived on our website.  To access the webcast go to http://ir.starz.com/events.cfm.  Links to this press release will also be available on the Starz website.
  • This press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements about business strategies, market potential, future financial prospects, new service and product launches including original content programming, new distribution platforms for our programming, the continuation of our stock repurchase plans and other matters that are not historical facts.  These forward-looking statements involve many risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements, including, without limitation, possible changes in market acceptance of new products or services, competitive issues, regulatory matters affecting our businesses, continued access to capital on terms acceptable to Starz, and changes in law and market conditions conducive to stock repurchases. These forward-looking statements speak only as of the date of this press release, and Starz expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statement contained herein to reflect any change in Starz's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. Please refer to the publicly filed documents of Starz, including the most recent Forms 10-K and 8-K, for additional information about Starz and about the risks and uncertainties related to Starz's business which may affect the statements made in this press release. 

About Starz
Starz (NASDAQ: STRZA, STRZB) is a leading integrated global media and entertainment company with operating units that provide premium subscription video programming on domestic U.S. pay television channels (Starz Networks), global content distribution (Starz Distribution) and animated television and movie production (Starz Animation), www.starz.com.

Starz Networks is a leading provider of premium subscription video programming through the flagship STARZ® and ENCORE® pay TV networks which showcase premium original programming and movies to U.S. multichannel video distributors, including cable operators, satellite television providers, and telecommunications companies.  As of December 31, 2012, STARZ and ENCORE serve a combined 56 million subscribers, including 21 million at STARZ, and 35 million at ENCORE, making them the largest pair of premium flagship channels in the U.S.  STARZ® and ENCORE®, along with Starz Networks' third network MOVIEPLEX®, air over 1,000 movies monthly across 17 linear networks, complemented by On Demand and authenticated online offerings through STARZ PLAY, ENCORE PLAY, and MOVIEPLEX PLAY. Starz Distribution develops, produces and acquires entertainment content, distributing it to consumers globally on DVD, digital formats and traditional television.  Starz Distribution's home video, digital media and worldwide distribution business units distribute original programming content produced by Starz, as well as entertainment content for itself and third parties.  Starz Animation produces animated TV and movie content for studios, networks, distributors and audiences worldwide.

Contacts:


Courtnee Ulrich

Theano Apostolou

Investor Relations

Corporate Communications

(720) 875-5420

(424) 204-4052

[email protected] 

[email protected]

 

SOURCE Starz

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
IoT is still a vague buzzword for many people. In his session at Internet of @ThingsExpo, Mike Kavis, Vice President & Principal Cloud Architect at Cloud Technology Partners, will discuss the business value of IoT that goes far beyond the general public's perception that IoT is all about wearables and home consumer services. The presentation will also discuss how IoT is perceived by investors and how venture capitalist access this space. Other topics to discuss are barriers to success, what is new, what is old, and what the future may hold.
The Internet of Things (IoT) is going to require a new way of thinking and of developing software for speed, security and innovation. This requires IT leaders to balance business as usual while anticipating for the next market and technology trends. Cloud provides the right IT asset portfolio to help today’s IT leaders manage the old and prepare for the new. Today the cloud conversation is evolving from private and public to hybrid. This session will provide use cases and insights to reinforce the value of the network in helping organizations to maximize their company’s cloud experience.
Cultural, regulatory, environmental, political and economic (CREPE) conditions over the past decade are creating cross-industry solution spaces that require processes and technologies from both the Internet of Things (IoT), and Data Management and Analytics (DMA). These solution spaces are evolving into Sensor Analytics Ecosystems (SAE) that represent significant new opportunities for organizations of all types. Public Utilities throughout the world, providing electricity, natural gas and water, are pursuing SmartGrid initiatives that represent one of the more mature examples of SAE. We have spoken with, or attended presentations from, utilities in the United States, South America, Asia and Europe. This session will provide a look at the CREPE drivers for SmartGrids and the solution spaces used by SmartGrids today and planned for the near future. All organizations can learn from SmartGrid’s use of Predictive Maintenance, Demand Prediction, Cloud, Big Data and Customer-facing Dashboards...
Whether you're a startup or a 100 year old enterprise, the Internet of Things offers a variety of new capabilities for your business. IoT style solutions can help you get closer your customers, launch new product lines and take over an industry. Some companies are dipping their toes in, but many have already taken the plunge, all while dramatic new capabilities continue to emerge. In his session at Internet of @ThingsExpo, Reid Carlberg, Senior Director, Developer Evangelism at salesforce.com, to discuss real-world use cases, patterns and opportunities you can harness today.
All major researchers estimate there will be tens of billions devices – computers, smartphones, tablets, and sensors – connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be!
Noted IoT expert and researcher Joseph di Paolantonio (pictured below) has joined the @ThingsExpo faculty. Joseph, who describes himself as an “Independent Thinker” from DataArchon, will speak on the topic of “Smart Grids & Managing Big Utilities.” Over his career, Joseph di Paolantonio has worked in the energy, renewables, aerospace, telecommunications, and information technology industries. His expertise is in data analysis, system engineering, Bayesian statistics, data warehouses, business intelligence, data mining, predictive methods, and very large databases (VLDB). Prior to DataArchon, he served as a VP and Principal Analyst with Constellation Group. He is a member of the Boulder (Colo.) Brain Trust, an organization with a mission “to benefit the Business Intelligence and data management industry by providing pro bono exchange of information between vendors and independent analysts on new trends and technologies and to provide vendors with constructive feedback on their of...
Software AG helps organizations transform into Digital Enterprises, so they can differentiate from competitors and better engage customers, partners and employees. Using the Software AG Suite, companies can close the gap between business and IT to create digital systems of differentiation that drive front-line agility. We offer four on-ramps to the Digital Enterprise: alignment through collaborative process analysis; transformation through portfolio management; agility through process automation and integration; and visibility through intelligent business operations and big data.
There will be 50 billion Internet connected devices by 2020. Today, every manufacturer has a propriety protocol and an app. How do we securely integrate these "things" into our lives and businesses in a way that we can easily control and manage? Even better, how do we integrate these "things" so that they control and manage each other so our lives become more convenient or our businesses become more profitable and/or safe? We have heard that the best interface is no interface. In his session at Internet of @ThingsExpo, Chris Matthieu, Co-Founder & CTO at Octoblu, Inc., will discuss how these devices generate enough data to learn our behaviors and simplify/improve our lives. What if we could connect everything to everything? I'm not only talking about connecting things to things but also systems, cloud services, and people. Add in a little machine learning and artificial intelligence and now we have something interesting...
Last week, while in San Francisco, I used the Uber app and service four times. All four experiences were great, although one of the drivers stopped for 30 seconds and then left as I was walking up to the car. He must have realized I was a blogger. None the less, the next car was just a minute away and I suffered no pain. In this article, my colleague, Ved Sen, Global Head, Advisory Services Social, Mobile and Sensors at Cognizant shares his experiences and insights.
We are reaching the end of the beginning with WebRTC and real systems using this technology have begun to appear. One challenge that faces every WebRTC deployment (in some form or another) is identity management. For example, if you have an existing service – possibly built on a variety of different PaaS/SaaS offerings – and you want to add real-time communications you are faced with a challenge relating to user management, authentication, authorization, and validation. Service providers will want to use their existing identities, but these will have credentials already that are (hopefully) irreversibly encoded. In his session at Internet of @ThingsExpo, Peter Dunkley, Technical Director at Acision, will look at how this identity problem can be solved and discuss ways to use existing web identities for real-time communication.
Can call centers hang up the phones for good? Intuitive Solutions did. WebRTC enabled this contact center provider to eliminate antiquated telephony and desktop phone infrastructure with a pure web-based solution, allowing them to expand beyond brick-and-mortar confines to a home-based agent model. It also ensured scalability and better service for customers, including MUY! Companies, one of the country's largest franchise restaurant companies with 232 Pizza Hut locations. This is one example of WebRTC adoption today, but the potential is limitless when powered by IoT. Attendees will learn real-world benefits of WebRTC and explore future possibilities, as WebRTC and IoT intersect to improve customer service.
From telemedicine to smart cars, digital homes and industrial monitoring, the explosive growth of IoT has created exciting new business opportunities for real time calls and messaging. In his session at Internet of @ThingsExpo, Ivelin Ivanov, CEO and Co-Founder of Telestax, will share some of the new revenue sources that IoT created for Restcomm – the open source telephony platform from Telestax. Ivelin Ivanov is a technology entrepreneur who founded Mobicents, an Open Source VoIP Platform, to help create, deploy, and manage applications integrating voice, video and data. He is the co-founder of TeleStax, an Open Source Cloud Communications company that helps the shift from legacy IN/SS7 telco networks to IP-based cloud comms. An early investor in multiple start-ups, he still finds time to code for his companies and contribute to open source projects.
The Internet of Things (IoT) promises to create new business models as significant as those that were inspired by the Internet and the smartphone 20 and 10 years ago. What business, social and practical implications will this phenomenon bring? That's the subject of "Monetizing the Internet of Things: Perspectives from the Front Lines," an e-book released today and available free of charge from Aria Systems, the leading innovator in recurring revenue management.
The Internet of Things will put IT to its ultimate test by creating infinite new opportunities to digitize products and services, generate and analyze new data to improve customer satisfaction, and discover new ways to gain a competitive advantage across nearly every industry. In order to help corporate business units to capitalize on the rapidly evolving IoT opportunities, IT must stand up to a new set of challenges.
There’s Big Data, then there’s really Big Data from the Internet of Things. IoT is evolving to include many data possibilities like new types of event, log and network data. The volumes are enormous, generating tens of billions of logs per day, which raise data challenges. Early IoT deployments are relying heavily on both the cloud and managed service providers to navigate these challenges. In her session at 6th Big Data Expo®, Hannah Smalltree, Director at Treasure Data, to discuss how IoT, Big Data and deployments are processing massive data volumes from wearables, utilities and other machines.
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at Internet of @ThingsExpo, Erik Lagerway, Co-founder of Hookflash, will walk through the shifting landscape of traditional telephone and voice services to the modern P2P RTC era of OTT cloud assisted services.
While great strides have been made relative to the video aspects of remote collaboration, audio technology has basically stagnated. Typically all audio is mixed to a single monaural stream and emanates from a single point, such as a speakerphone or a speaker associated with a video monitor. This leads to confusion and lack of understanding among participants especially regarding who is actually speaking. Spatial teleconferencing introduces the concept of acoustic spatial separation between conference participants in three dimensional space. This has been shown to significantly improve comprehension and conference efficiency.
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, will discuss single-value, geo-spatial, and log time series data. By focusing on enterprise applications and the data center, he will use OpenTSDB as an example to explain some of these concepts including when to use different storage models.
SYS-CON Events announced today that Gridstore™, the leader in software-defined storage (SDS) purpose-built for Windows Servers and Hyper-V, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Gridstore™ is the leader in software-defined storage purpose built for virtualization that is designed to accelerate applications in virtualized environments. Using its patented Server-Side Virtual Controller™ Technology (SVCT) to eliminate the I/O blender effect and accelerate applications Gridstore delivers vmOptimized™ Storage that self-optimizes to each application or VM across both virtual and physical environments. Leveraging a grid architecture, Gridstore delivers the first end-to-end storage QoS to ensure the most important App or VM performance is never compromised. The storage grid, that uses Gridstore’s performance optimized nodes or capacity optimized nodes, starts with as few a...
The Transparent Cloud-computing Consortium (abbreviation: T-Cloud Consortium) will conduct research activities into changes in the computing model as a result of collaboration between "device" and "cloud" and the creation of new value and markets through organic data processing High speed and high quality networks, and dramatic improvements in computer processing capabilities, have greatly changed the nature of applications and made the storing and processing of data on the network commonplace. These technological reforms have not only changed computers and smartphones, but are also changing the data processing model for all information devices. In particular, in the area known as M2M (Machine-To-Machine), there are great expectations that information with a new type of value can be produced using a variety of devices and sensors saving/sharing data via the network and through large-scale cloud-type data processing. This consortium believes that attaching a huge number of devic...