The Government has offered Australia's three mobile operators, and vividwireless, renewal of their existing spectrum allocated on 15 year licences in the late 90s and early 2000s at set prices, while the Government expects to rake in $3 billion.
"To be successful a video on demand service must be competitive with DVD rental - cheaper, easier and on par quality wise. We believe [Bluebox] will be cheaper easier to use and more convenient for consumers," he said. However for Bluebox, Australia is primarily a test market: its main marketing focus is overseas, across the OECD countries.
Yearsley said a commercial launch for the Bluebox service was planned for some time late in 2008, possibly with Internode and a few other ISPs. He claimed that it would be commercially attractive to ISPs with their own infrastructure and even to those selling Telstra ADSL1 services.
Bluebox is focussing on breadth of content "We are looking at niche interesting content as well as the mainstream Hollywood Stuff, for example content from Tropfest," Yearsley said, adding that this would enable it to be commercial even with a market constrained the predominance of low speed broadband services.
Earlier this month destra announced that it had agreed to make available to Bluebox its current and future digital content library, commencing with movie titles. Destra CEO, Domenic Carosa said that Bluebox presented a new distribution platform for destra's content library, expanded with its recent acquisition of independent film and DVD distributor, Magna Pacific Holdings.
David Bass
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