About Boxer TV-Access AB
Boxer TV-Access AB is Sweden’s leading digital Pay-TV operator with some 700.000 subscribers in the Swedish digital terrestrial television (DTT) network. Boxer was founded in 1999, has nearly one hundred employees and is owned by digital network operator Teracom. Per Norman is the CEO.
Teracom is Sweden's largest radio and TV operator, runs and owns the Swedish digital terrestrial TV network. Teracom who has broadcasted radio and TV for almost 80 years, is since 1992 an independent company owned by the Swedish state.
In 2008, Boxer was appointed Pay-TV operator for the impending Danish digital terrestrial network. Operations in Denmark are underway since early 2009. Both Boxer and Mother Company Teracom have an ambition to expand to other geographical markets with PayTV services and/or network operations in terrestrial networks. The methods could be licenses or mergers & acquisitions, either alone or in partnership with other companies.
Our offering
Boxer’s business concept is to offer big enough Pay-TV packages with an easy to use technology at an affordable price. Primary target group is ordinary households who until the DTT digitalization have watched analogue Free to Air channels.
The channels in Boxers offerings are a selection of the most popular channels, as well as niche channels for smaller groups as well as a selection of premium channels. As terrestrial networks has limited frequency space this have to be used in a way that satisfies most interests and needs among the viewers and gives maximum freedom of speech for a large group of broadcasters.
In addition to Pay-TV channels, there is always a substantial range of Free to Air channels in terrestrial networks, not at least Public Service. Boxer is of course selling its own packages, but consumer information about our offering always includes all channels in the net, pay as well as FTA.
A major explanation behind the success of Boxer is the way Boxer has managed to implement easy to use technology. A major obstacle in the early days of the Swedish transition from analogue to digital terrestrial television was the public perception that digital TV was complicated and expensive. By making very basic specification for the receivers Boxer would subsidize, by allowing a lot of manufacturers deliver boxes into what can be said has been an open market and by subsidizing boxes that has been approved, Boxer has managed to create a market with a good supply of easy to use and inexpensive boxes. In recent years, a growing part of DVB-T receivers in the market is built-in to flat screens or recordable boxes (Personal Video Recorders, or HDD boxes). This development would not have been possible on such a scale without Boxer testing all equipment and subsidizing a wide range of products.
In order to make the digitalization of Swedish DTT smooth and problem-free, Boxer has invested a lot of time and money into educating and informing both retailers and antenna installation engineers. Over the years, several retailers and every shop has in one way or another gone through a Boxer training program and antenna installation engineers has been certified in special programs.
Selling subscriptions
The base for Boxers business, the subscriptions, is mostly sold through retailers of CE equipment, such as TV screens, DVD equipment etc. The retailer gets a commission for every sold subscription, and some of this commission is used to subsidize digital TV boxes or TV screens with inbuilt DVB-T tuners. The digital set top boxes are usually for free if the customer’s signs up for a Boxer subscription at the same time. The retailer network has been very important for informing the consumers about digital TV and taking care of all the questions about the new technology.
As well as the standard retailer networks, Boxer is also using its own web site to inform about the technology, about our services and prices and to sell directly to consumers. On the web site, consumers can, by typing in the address, easily search for the nearest retailer, installation engineer or, through a digital map easy check how digital reception works at home.
The analogue switch over (ASO)
Digital terrestrial television started in Sweden in 1999. The Swedish ASO was done during 2005-07 in phases. Boxer’s role was to make sure that there was an attractive pay TV offer available, as well as well functioning, easy to use boxes and well informed retailers and antenna installation engineers. Teracom, owner of Boxer, was instrumental in making the switchover work. Teracom made the planning as well as managed the transition process in itself. There was a government body formed for the task – The Digital Television Commission – who worked in close cooperation with Teracom. A major issue was the frequency alternation that was done during some regional shutdowns. Every household that used the digital network, that is to say most households, had to be informed about how to make a new installation of the box and when to make it. That was done with a mix of PR, advertising and direct contact with the consumers through organizations with special relations to different groups. Methods for these information campaigns where fine tuned during the ASO and can now be made to work in other countries.
Our role in a terrestrial network
A major reason that Boxer could be in a central position in a terrestrial network is Boxer’s relationship with the broadcasters. Boxer, being independent of any individual broadcast company, has a guiding principle to treat every company in a fair way, mainly looking after the interests of the viewers, as well as being the servant of the broadcasters. After all, a TV network is primarily built for broadcasters to reach their viewers and the role for a pay TV company like Boxer, is to make sure that there are economical conditions for that to happen.
But being a pay TV company in a terrestrial network is so much more than just financing broadcasters. It’s about being the engine in the network, about investing in technology and network coverage, giving old and new TV channels a fair deal so they can invest in content and being responsible for education and information of retailers and the general public.
A main reason for having a Pay-TV company in a terrestrial network is that the company can be responsible for upgrading the network to new technology. Unlike an analogue TV network, which hasn’t change technology since its introduction in the early fifties, digital networks have a need for constant upgrade. The DTT networks that started with the compression technology MPEG2, is now slowly converting to the modern MPEG4 technology, meaning that the viewers has to get a new MPEG4 box in order to see the new channels transmitting in MPEG4.
In 2008, the new transmitting standard DVB-T2 was signed-off, meaning that it will be ready for commercial rollout in a couple of years and that the viewers will have to get a new MPEG4/DVB-T2 box in order to see the new channels. After MPEG4, there is MPEG7 coming somewhere after 2012, and after that DVB-T2 will get a successor and so on. Technological development never stops in the digital world, regardless if it’s about computers or digital TV equipment.
Each of these technological developments offers better capacity, as well as other benefits. The consumers will get more channels, HDTV-channels, mobile services etc. But the main thing is that someone has to be responsible for the planning, the decisions of what and when, and most important, to make the huge investments needed to subsidize the new equipment so that the consumers is ready to upgrade. Not at least in a DTT network, with its political affiliation and attention from the media, it’s always a challenge to “force” the viewers to get another box. The subsidies can only be made if there is a well managed Pay-TV business in place. DTT networks that lack a Pay-TV operator, will inevitable be left behind in all coming technological upgrades.
All in all, Boxer has fulfilled its role as an independent “DTT Champion” in Sweden and is now building up a similar position in Denmark. More countries lie ahead in the forthcoming introduction of digital terrestrial television in Europe. Being a “DTT Champion” means cooperating and finding workable solutions with all interested parties – government, broadcasters, network operator, retailers as well as equipment manufactures.