SKT-Sinclair Joint Venture Launches, Enters US ATSC 3.0 Broadcasting Business

"US First Communication and Broadcasting-Based High-Definition Broadcast" Equipment Supply Started in 2020 to Sinclair Stations
Focus on Three Major Businesses: Broadcast Cloud Infrastructure, Ultra-Low Latency OTT, and Personalized Advertising
First US ATSC 3.0 Multiview Relay Success at CES

From the left) Lucy Rutishauser Sinclair, Chief Financial Officer (CFO), Kevin Gage, CEO and Chief Operating Officer (COO) of Castdotera, Jongmin Lee, Head of Tech Innovation Group at SK Telecom, and Jinjoong Kim, Head of Value Growth Group at SK Telecom, are showcasing Castdotera's ATSC 3.0 broadcasting service at the SK booth in the CES exhibition hall.
[Photo by SK Telecom]

[Asia Economy Reporter Kim Heung-soon] SK Telecom is teaming up with Sinclair Broadcast Group, the largest terrestrial broadcaster in the United States, to target the U.S. digital TV broadcasting standard (ATSC) 3.0 market. ATSC 3.0 was commercialized in South Korea in 2017 (UHD broadcasting) and enables faster transmission of high-definition video compared to existing broadcasts.

SK Telecom recently launched a joint venture company called 'Cast.era' with Sinclair and opened an office in Arlington, Virginia, earlier this month, the company announced on the 12th. Kevin Gage of Sinclair serves as the joint venture's CEO and Chief Operating Officer (COO), while Dr. Kyungmo Park of SK Telecom is the Chief Technology Officer (CTO).

The joint venture aims to begin supplying ATSC 3.0 equipment to Sinclair-owned broadcast stations in the first half of this year, targeting the launch of the first high-definition broadcasting service based on telecommunications and broadcasting in the U.S. SK Telecom and Sinclair anticipate that all U.S. broadcast stations (about 1,000) will transition to ATSC 3.0 over the next decade.

The joint venture plans to combine SK Telecom's telecommunications technology with Sinclair's broadcasting infrastructure to focus on three main business areas in the U.S. broadcasting market: ▲broadcast cloud infrastructure ▲ultra-low latency OTT services ▲personalized advertising.

First, SK Telecom's cloud infrastructure management technology (TACO) and virtual network technology (SONA) will be applied to Sinclair's broadcasting system to build a cloud infrastructure for ATSC 3.0 broadcasting. SK Telecom explained, "Previously, each regional broadcast station operated its broadcasting system independently, but with the cloud infrastructure, integrated management of nationwide broadcast stations through Sinclair's hub servers will be possible, greatly improving operational efficiency."

The joint venture also plans to launch an ultra-low latency online video service (OTT) within the year, based on SK Telecom's mobile MMT (high-definition video transmission technology used in various multimedia applications) and Sinclair's news and sports content. Sinclair is a powerhouse in the U.S. content industry, having acquired Fox Sports Networks?which holds broadcasting rights for 42 teams in Major League Baseball (MLB), the National Basketball Association (NBA), and the National Hockey League (NHL)?for $10.6 billion in 2019.

Through the collection and analysis of viewer big data, the joint venture plans to introduce personalized advertising into actual broadcasts to respond to the rapidly changing advertising market.

During CES 2020, the world's largest IT and electronics exhibition held in Las Vegas from January 7 to 10 (local time), SK Telecom and Sinclair demonstrated the U.S.'s first ATSC 3.0-based multi-view broadcast in a vehicle 'cockpit' installed at the SK Telecom and Samsung Electronics booths. Within the first half of this year, a 5G-ATSC 3.0 testbed will be established at Jeju Technopark, and the 5G-ATSC 3.0 solution will be pilot-applied at Sinclair's broadcast station located in Washington D.C.

Lee Jong-min, head of SK Telecom's Tech Innovation Group, said, "We are confident that the joint venture with Sinclair will lead the U.S. ATSC 3.0 broadcasting market," adding, "We will wholeheartedly support SK Telecom's media business to bear fruit in overseas markets as well."