What Is NextGen TV?

What Is NextGen TV?

NextGen TV, also known as ATSC 3.0, is the next-generation terrestrial broadcast system, designed to enhance the television viewing experience. It uses an IP (Internet Protocol) system, carrying internet content and services alongside traditional OTA (over-the-air) broadcast signals. It uses the same IP backbone as streaming media platforms.

Its signals are much stronger and transmit over larger distances than previous generations of terrestrial broadcasting with all the upgrades. It enables:

• Content consumption on mobile devices 
• Video on demand 
• Interactive features 
• 4K ultra-high-definition video quality 
• Improved compression efficiency 
• Theater-like immersive audio 
• Advanced emergency alerts and informing 

Who Developed NextGen TV and Why?

It’s the first major update to broadcast TV since the 2009 transition to digital broadcasting. The ATSC (Advanced Television Systems Committee) developed it to be future-proof and adaptable to what’s next in TV viewing access. It includes more than 20 standards and companion recommended practices.

The deployment of NextGen TV appeals to consumers’ new demands, as they want to stream content whenever and however they like. Currently, the ecosystem is fragmented. Local station streaming is available in certain markets, such as Hulu + Live TV or YouTube TV. Some stations have their own apps, which are expensive to deploy and not prevalent. Viewers can also use digital antennas, but those are only good for TVs, not mobile devices.

While NextGen TV is very consumer-driven, it also offers new ad products for you to sell to advertisers. As a result, you can expand your advertiser base to acquire new clients that were once resistant to TV OTA spots. You’ll also be able to offer existing customers new tactics to reach their target audiences. The expected revenue growth impact with NextGen TV is 3.8% for TV alone. Over the entire spectrum, it increases to 8%.

Image: ATSC

Why You and Your Advertisers Should Be Excited About NextGen TV

When any new ad inventory or protocol comes into the ecosystem, you have to express its value to your customers. Here are the high points to keep in mind:

• It allows for first-party data capture. This capability is critical, as third-party cookies, which digital advertising depends on for targeting, are on the path to extinction. First-party data collection will be the new route to target.
• Targeting is even smarter, combining first-party data and geotargeting. 
• It’s a performance-based tactic and supports frequency capping.
• Advertisers can hypertarget and still play on the big screen.
• It helps achieve addressable advertising, which means it’s not a spot buy (i.e., advertising during sports or morning news) but rather an opportunity to “buy” audiences in aggregate. You can “find” the audience that an advertiser wants to target.
• You can provide more transparency and visibility to advertisers with access to how viewers see ads across multiple screens.
• The NextGen TV model works to prevent ad fraud, saturation and ad waste.