Digital video holding hand Hunan cable group investment 1 billion yuan to promote OTT business

China Securities Network News (reporter Houlihon) digital video (300079, shares bar) OTT business to be further promoted. Company 8th Night Notice that the company recently signed with Hunan Cable Group on the development of OTT business cooperation operations, intelligent terminal Distribution and intelligent Home Gateway/Smart Router research and development and promotion of radio and television Internet cooperation Framework Agreement, the company plans to invest more than 1 billion yuan. The company's shares will be licensed on April 9. According to the agreement, the two sides set up comprehensive strategic cooperative partnership, all-round and deep cooperation, and jointly promote the development of the three-network integration business. One of the digital video program to Hunan Cable group OTT Project investment more than 1 billion yuan, for OTT integration business platform construction, terminal distribution and OTT content introduction, and plans in 3 years to Hunan Province, the current user's SD set-top box to replace the HD Smart set-top box, is expected to replace more than 3 million terminals. The joint operation of the OTT business will be carried out in the form of cooperative income sharing. In addition, the digital video will join the Hunan cable group's Videos Cloud Laboratory, jointly carry out OTT related technology research. At the same time, the two sides will jointly study the family integrated information Gateway, research and development and construction of cable TV network based IP service support platform and other cooperation. In fact, on March 20, the company and the number of Chinese media (000156, shares bar) also signed the OTT Joint Operations Strategic Agreement. The success of Hunan cable group, indicating that the company in the future or will be the template, and continue to promote the business, occupy more market share. Market analysts believe that the company's OTT operations require Internet content providers (such as Youku potatoes or other third-party game makers), IPTV license (such as the number of Chinese media), radio and television operators tripartite resources support. After obtaining the support of the first two partners, it is expected that the follow-up cooperation with the radio and television operators will deepen. Due to the effect of "battalion change" and the extension of the project confirmation cycle, the company began to continue its three-quarter accelerated decline in the two quarter of 2013. This is expected to change this year. March 24, the company released a quarterly forecast, is expected to increase 20% to 40% in the first quarter. Clearly, this means that the company began to resume growth in the first quarter and is expected to accelerate quarterly this year. Digital video In 2013, the layout of the game, film, E-commerce and other new business, although it seems to be chasing market hotspots, but market analysts believe that these new businesses are based on the smart TV value-added applications of the "card-type" layout, The current start-up of OTT operations means that these value-added applications may explode over the next 1-2 years, and the "virtual operator" role that the company is pushing forward to determine it will be an important content distributor in the field.