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September 11, 1996 in Social Responsibility News

Digital VOD ATM Set-top Box CommerciallyViable

.To provide a favorable position in the US video-on-demand (VOD) settop box market.
.Technology can also be applied to Korean digital cable TV business.

The race has been heating up among electronics companies to develop digital set-up boxes that can provide VOD services. Samsung Electronics Co. has announced that it has come out with a digital asynchronous transfer mode (ATM) settop box (model name: SSD-200F).

The SSD-200F is currently the only settop box that can be connected with commercial VOD service networks using ATM transmission hardware. By developing the new device, SEC has secured a technology base for the VOD business and has acquired an advantageous position in the US VOD settop box market.

The SSD-200F has been put to work in a test service system in the US that incorporates commercial ATM transmission hardware developed by BBT Co. of the US. When this service begins full-scale operation, it will target 2 million subscribers, representing a US$ 1.5 billion settop box market. As VOD services become more widespread in the US, the demand for settop boxes is expected to explode.

ATM transmission hardware is capable of simultaneously sending a variety of data (video, audio, character, etc. ) and this hardware is becoming the standard for the VOD industry. Most new transmission systems being built in advanced markets are using the ATM standard.

ATM settop boxes are now being developed by Philips, Divicom, NEC and Hewlett-Packard, but Samsung is the first to develop an ATM set-up box that can be connected with the BBT optical transmission hardware now being tested for commercial application. Moreover, Samsung*s SSD-200F can be used to provide digital cable TV service to the VOD service.

Samsung Electronics is now focusing research efforts on the development of a multi-functional subscriber terminal that can handle such diverse function as digital broadcast stystems, the Internet, and digital video discs.

VOD (Video On Demand ) :
VOD is a new service by which subscribers can select what videos they want to watch at any time via their telephone line. The on-line video they receive can be stopped during play, rewound or fast forwarded just like when using a VCR, so VOD service is far more convenient that the conventional video rental service.

The VOD system digitizes video data into 0*s and 1*s at the telephone substation and transmits that data to the subscriber via the telephone line. Optical cable is required to transmit the data fast enough to make the system practical.

The telephone substation has video service hardware as well as a data base of digitized movies than can be called up for transmission to subscribers on request. The video server not only transmits the video, but also calculates and charges the user fees.

ATM (Asynchronous Transfer Mode) :
The ATM switching system can transmit digital signals between the video server and the user at 155Mbps or faster. Therefore, it has become the standard for VOD service.

Settop box :
The settop box decompresses audio and video signals transmitted from the video server through the digital network to the home. It then sends those signals in their original form to the TV set.

MPEG-2 :
The Moving Picture Experts Group designates names for different types of moving picture data compression technology. MPEG-2 will also be the standard for compressing DVDs, which are expected to make their market debut at the end of this year.

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