FRONTLINE

2. FROM FRONTLINE THE REPORT DIGITAL

3. minutes things learn Within that: will next You other amongst the 25

4. Sky UK households have a hard disk recorder. 5,000,000 of their viewing is time shifted. 18%

5. THAT UK Terrestrial share of Viewing has by almost 1/3 9 years over the last

6. THAT served more than 120,000,000 Programme request IN JANUARY 2010

7. …THAT Live broadcasts like and are boosting UK live audiences

8. THAT only channels in digital sat. households have a share of % or more

9. How regenerated digital Old a 47 year TV show

10. 2006 2007 2009 2008 off switch Analogue

11. And that..

13. to: Has rebranded

14. Report from the DIGITAL FRONTLINE Keld Nielsen Global Business Development Director Kantar Media

16. Adoption rates

17. Availability of Digital television in UK 1999-2009 % take-up of digital capability Government announce Analogue switch off Source: OFCOM

18. State of the Digital Nation - UK % penetration by reception type Source: BARB

19. State of the Digital Nation - UK % penetration Source: BARB

20. UK Viewing on Digital Platform % penetration / % share of viewing Source: ? Source: OFCOM / BARB

21. How has digital affected the ‘Big Beasts’?

22. UK Terrestrial channel viewing in decline? UK Share of Terrestrial Channels % share of viewing Source: BARB/;Infosys

23. Top 5 channels in UK homes account for 60% of viewingCumulative share of viewing by channel, All UK Homes - 2009 % Five 5% Channel 4 7% BBC2 8% ITV1 18% BBC1 21% 1 30 278 Number of channels Source: BARB/InfoSys

24. 265 channels have a share of less than 1%Channel Shares in UK Homes - 2009 Source: BARB/InfoSys, All Individuals 2009

26. UK Viewing in Digital Satellite homes is more diverse with greater channel choiceCumulative share of viewing by channel, All UK Digital Satellite Homes - 2009 % Sky Sports 1 3% Channel 4 4% BBC2 5% ITV1 15% BBC1 15% 1 30 755 Number of channels Source: SkyView/InfoSys

27. UK big programme audiences are in decline Number of “event view” programmes – UK (for series, highest rated episode counted) Number of programmes Source: BARB

28. Catch a programme an hour later…? Addition of Channel 4+1 - UK % share of viewing Source: BARB

29. UK terrestrial channels extended into digital BBC1 BBC2 BBC3 BBC4 BBCHD BBC News BBC Parliament CBeebies CBBC ITV1 ITV2 CITV ITV2 ITV2 +1 ITV3 ITV3 +1 ITV4 ITV4 +1 Channel 4 S4C Ch4 +1 E4 E4+1 Film4 Film4 +1 More4 More4 +1 S4C2 4Music Five Fiver Fiver +1 Five USA Five USA +1

30. Maintaining a strong presence Additional share from new channels - UK % share of viewing Source: BARB/InfoSys, Base: All Individuals

31. Timeshift / Non-linear

32. PVRs drive timeshiftAverage minutes per day (UK) Source: BARB, All Individuals, 7 day timeshift

33. PVR penetration has driven timeshift growthPVR growth and Timeshifted viewing - UK Source: BARB/InfoSys

34. UK SkyView data shows high usage of PVRs Timeshift in Sky+ homes Source: SkyView indswith Sky+

35. 26% of timeshifted viewing is to Drama Series Which UK genres are most timeshifted? Other Drama series Children’s Sport Hobbies & Leisure Documentaries Films Entertainment Soaps % of minutes viewed Source: SkyView homes with PVR

36. Most Time-Shifted Programmes 2010 on…. Source: SkyView (Base : All Homes) min 1.0 TVR

37. 58% of the programmes that are recorded aired originally at peak time. Play is likely to be watched back in a similar pattern to the distribution of live viewing Source: SkyView homes with PVR

38. More UK peak time programs are delivered live to its audience these days Top 20 Programmes for whole year – UK (for series, highest rated episode counted) 1999 2009 • Coronation Street • Who Wants to be a Millionaire • Heartbeat • A Touch of Frost • EastEnders • Big Match League Final • Walking with Dinosaurs • Big Match Champions League • Vicar of Dibley • New You’ve Been Framed • Emmerdale • Goldeneye • TV Nightmares • Casualty • EastEnders Special • 2000 today • Mission Impossible • Neighbours From Hell • Comic Relief Launch • Who Wants to be a Christmas Millionaire • Britain’s Got Talent Final Result • Britain’s Got Talent • The X Factor Results • The X Factor • The Royle Family • EastEnders • Dr Who • Coronation Street • Dancing on Ice • Strictly Come Dancing • I’m a Celebrity – Get Me Out of Here! • I Dreamed A Dream – Susan Boyle Story • Doc Martin • Children In Need • Gavin & Stacey • Jonathan Creek • Comic Relief • The Gruffalo • The Apprentice • The Royal Variety Performance Source: BARB/InfoSys, Individuals – highest occurrence

39. STOP PRESS!! Average 15.6m for BBC1 during the live broadcast, peaking at 16.9m during the last minute BBC3’s Eastenders Live: The Aftermath attracted a massive 4.3m making it the most watched multi-channel programme ever EastEnders Live                                          BBC1 8-8.30pm                   15.6mEastEnders Live: The Aftermath                 BBC3 8.30-9.30pm              4.3m EastEnders Live (repeat)                            BBC3 10.30-11pm               1.4mEastEnders Live: The Aftermath (repeat)  BBC3 11-12pm                    1.2m Source: BARB/InfoSys Eastenders Live

40. Overall viewing trends

41. Total Viewing 2001-2009 - UK Average minutes viewed per day Source: BARB

42. Average minutes per day spent watching TV is remarkably stable!Average viewing across 50 countries Source: Eurodata Worldwide- 50 countries

43. Implications for audience measurement

45. The rise of on-line video… • More than 120 million UK TV and radio program requests during January 2010, almost double January 2009 (61.5m) • Covers all platforms, internet, Virgin Media’s service, Nintendo Wii and Sony PS3 console • Other broadcasters followed suit in UK

48. audio video text

49. DVD Box set UK Gold Repeats 2009 Season Episode 2 Audience Accumulation Accumulated Audience (millions) PREDICTION April