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Table of Contents
Product
Our Product segment generated
46%
,
47%
and
45%
of our revenue for the years ended December 31, 2015, 2014 and 2013, respectively.
Interactive Program Guides ("IPGs")
Our IPGs allow service providers to customize certain elements of the IPGs for their customers and to upgrade the features and services they can
offer. Our IPGs provide viewers with current and future program information and are compatible with service providers' subscription management, pay
-
per
-
view (
PPV
)
and VOD services. We also offer operational support, professional services and content metadata. Our IPGs also have the ability to include
advertising, and when advertising is provided in the IPG, we typically share a portion of the advertising revenue with the service provider. We currently
offer IPGs marketed to service providers under the i
-
Guide, Passport and FanTV brands in the U.S., Canada and Latin America.
Our FanTV platform is a complete unified discovery platform, which combines live TV, VOD and streaming services in a unified entertainment
discovery experience. The platform is designed to enable customers to quickly create or deploy advanced and personalized discovery experiences. It is
available as an end
-
to
-
end customizable service provider set
-
top IPG, as a suite of mobile IPG applications or as a robust portfolio of cloud
-
based
Application Programming Interfaces ("APIs"), which enable customers to quickly create and deploy integrated media experiences. By utilizing the FanTV
user interface, our customer
s users can choose movies or shows and instantly see where and when they can watch it
-
regardless of whether it is on linear
broadcast television, VOD or an internet
-
streaming service. They can also create personalized WatchLists to track programming favorites from multiple
devices (smartphone, personal computer or television) and receive alerts on when and where those movies and shows are available to watch
-
in theaters,
across streaming services or on television. Our FanTV product is available as a smartphone application, and on selected Android
-
or Linux
-
based hardware
platforms.
Our xD guide is a discovery application that extends the legacy cable video experience from set
-
top boxes to an advanced user interface on tablets
and smartphones. Designed for seamless operation with Rovi's i
-
Guide and Passport IPGs, xD makes extensive use of Rovi Cloud Services, such as video
and celebrity data, search and recommendation services, user profile management and advertising services, as well as enabling consumers to remotely tune
to programming or set their DVR to record.
We also offer the Rovi DTA Guide. As cable operators continue to introduce high definition channels and plan for future services, placing digital
terminal adapters (DTAs
)
in cable homes has become an important step to cost effectively enable additional TV services by supporting cable operators'
efforts to remove analog channels in order to reclaim bandwidth. The Rovi DTA Guide includes such features as TV listing by time, program information,
parental controls and more, but due to the limited DTA device capability, has a less extensive feature set than a full IPG or an advanced set
-
top box. DTAs
also serve as a low cost alternative to traditional set
-
top boxes, with appeal in low cost geographic markets such as Latin America.
Service providers generally pay us a monthly per subscriber fee to license our IPGs. Our service provider customers include America Movil S.A.B.
DE C.V., Charter, Cogeco Inc., Cox, Mediacom LLC, Shaw Communications Inc. and others. As of
December 31, 2015
, 18 million pay TV subscribers
worldwide are estimated to have access to a Rovi
-
provided IPG, including 7 million internationally.
Additionally, we offer multiple IPGs to the CE industry, including those marketed under the G
-
GUIDE brand in Japan and our HTML Guide in
Europe and North America. These IPGs are generally incorporated into mid
-
to high
-
end flat panel televisions and Blu
-
ray or DVR hard drive recorder
-
based
products. Our IPGs generally deliver continuously updated multi
-
day program listings to users. We use a variety of terrestrial, satellite and broadband
internet transmission means to deliver listings data to our IPGs. For our HTML Guide product line we have moved from embedding our software technology
into the CE device to using web standards such as HTML and JavaScript to deliver advanced functionality using our Rovi Cloud Services. This shift in
technology makes our CE products easier to deploy and more compatible with the application architectures of today's connected televisions.
Our CE IPG licensees include devices distributed by many companies, including Panasonic, Samsung and Sony. Generally, our agreements enable
our licensees to incorporate our CE IPG technology in specified products, in certain territories, provided we receive license fees based on the number of
units produced or shipped that incorporate our technology or utilize our patents. Our agreements with the major CE manufacturers generally allow them to
ship an unlimited number of units incorporating our CE IPG technology, provided they pay us a fixed fee.
6