Telcos Form Shared Headend IPTV Venture

Three independent Wisconsin telcos have partnered to provide shared headend services so they can avoid the capital expense of buying pricey equipment and less expensively roll out IPTV services.

The venture, MidWest Video Solutions LLC, was formed by Midwest Telnet, based in Westby; Tri-County Telcom, based in Strum; and Wisconsin Independent Network, based in Eau Claire.

Avoiding large capital expenditures is a priority for operators seeking deep pockets. Because of that, experts expect cheaper alternatives – such as shared headend services and turnkey managed IPTV packages such as those from SES-Americom – to become increasingly attractive. That’s because telcos want to deploy new services in increasingly tough economic times.

The telco trio’s venture coordinates the video signals from two existing geographically diverse downlink facilities and transports the aggregated video streams to other providers over a redundant fiber optic network. It can send signals to U.S. and international destinations domestically.

MidWest Video’s service doesn’t include content, so IPTV wanna-be providers, or those looking to expand their reach, could work with the venture or a third party to secure those carriage deals, said Marty Snustead, executive director for the company.

MidWest Video did not disclose pricing for the shared headend. Prices will vary based on a number of factors, including whether a provider is starting from scratch or seeking to upgrade from an analog video headend to a digital version, said Snustead.

And while the company does not provide in-home devices such as set-top boxes, it does install equipment to control the distribution of the video signals.

MidWest Video’s creators claim seven years of experience in providing digital TV signals over telephone networks to consumers and businesses, along with 30 years of analog video system experience. The venture also has experience in the marketing and administration aspects of IPTV.

Midwest Video said it will be at the Wisconsin State Telecommunications Association Spring Conference in Lake Geneva on May 21 and will market its services at various venues in the future.

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