Sandvine report: Apple takes big bite of streaming video

WATERLOO, ON, May 14, 2013 /CNW/ - Sandvine, (TSX:SVC) a leading provider of intelligent broadband network solutions for fixed and mobile operators, today released its Internet traffic trends report, entitled "Global Internet Phenomena Report 1H2013 ", based on data from a selection of Sandvine's 200-plus service provider customers spanning North America, Europe, Middle East and Africa, Caribbean and Latin America and Asia-Pacific. Sandvine's Global Internet Phenomena report is published twice a year.

"We predict from this data that 2013 will be the year long-form video will make its move onto mobile networks," said Dave Caputo, CEO, Sandvine.   "The "home roaming" phenomenon, the concept of subscribers voluntarily offloading mobile traffic onto Wi-Fi networks, has continued. This combined with increased consumption of real-time entertainment on mobile networks globally, and the doubling of Netflix traffic on mobile networks in North America, suggests that users are getting comfortable with watching longer form videos on their handheld devices."

Sandvine's Global Internet Phenomena Report 1H2013 findings:

Global data usage

  • European mobile monthly usage increased 25% to 311MB in just six months
  • Skype and other communications applications represent over 7% of traffic in Latin America
  • Filesharing applications like BitTorrent continue to lose share in many regions but still account for 30% of traffic on Asia-Pacific fixed access networks
  • Tablets and smartphones consume over 20% of all fixed data in North America

Audio and video streaming

  • Apple devices (iPads, iPhones, iPods, AppleTVs, and Macs) represent 45% of all audio and video streaming on North American home networks
  • YouTube accounts for over 20% of mobile downstream traffic in North America, Europe and Latin America
  • Netflix mobile data usage share doubled in the last 12 months in North America

SMS revenue leakage on a tier-one European network

  • For every subscriber on the network, 10 WhatsApp messages are sent and received each day
  • 3% of all WhatsApp messages sent include a media file such as a photo or video

"This is the tenth year we have issued the Global Internet Phenomena Report and have witnessed the peak of file sharing, the introduction of Skype and other communication apps and the dominance of online entertainment, namely streaming video," said Mr. Caputo.  "Video continues to be the trend to watch as devices and tablets cater to higher definition content with larger screen sizes enabling the market for longer form video on mobile.  World Cup 2014 next June will be the event that shapes the next evolution of streaming video, as we predict it will be the most streamed event to date."

For more information on Sandvine's Global Internet Phenomena Report 1H2013 visit us at CTIA, May 21-23 in booth 4720 or www.sandvine.com.

GLOBAL INTERNET PHENOMENA REPORT METHODOLOGY
Sandvine's Global Internet Phenomena Reports are based on a representative cross-section of Sandvine's data from a selection of Sandvine's 200-plus customers spanning North America, Europe, Middle East and Africa, Caribbean and Latin America and Asia-Pacific.  Data is gathered over a one-month period and is completely subscriber-anonymous.  No identifiable information of any kind, including IP addresses are collected during the study.  Sandvine's network equipment analyzes data from an application utilization level and is not content aware.

ABOUT SANDVINE
Sandvine's network policy control solutions add intelligence to fixed, mobile and converged communications service provider networks to enable services that can increase revenue and reduce network costs. Powered by Sandvine's Policy Engine and SandScript policy language, Sandvine's networking equipment performs end-to-end policy control functions including traffic classification, and policy decision and enforcement across the data, control and business planes.  Sandvine's products provide actionable business insight, the ability to deploy new subscriber services and tools to optimize traffic while enhancing subscriber Internet quality of experience.

Sandvine's network policy control solutions are deployed in more than 200 networks in over 85 countries, serving hundreds of millions of data subscribers worldwide, www.sandvine.com

FORWARD-LOOKING STATEMENTS
Certain statements in this release which are not historical facts constitute forward-looking statements or forward-looking information within the meaning of applicable securities laws ("forward-looking statements") and are made pursuant to the "safe harbour" provisions of such laws. Statements related to potential benefits of, and demand for, Sandvine's products are forward looking statements which are subject to certain assumptions, risks and uncertainties that may cause the actual results, performance or achievements of Sandvine to differ materially from the results, performance, achievements or developments expressed or implied by such forward-looking statements. Readers are cautioned not to place undue reliance on such statements.

Image with caption: "Sandvine data predicts that 2013 will be the year long-form video makes its move onto mobile networks (CNW Group/Sandvine Incorporated)". Image available at: http://photos.newswire.ca/images/download/20130514_C5688_PHOTO_EN_26663.jpg

SOURCE: Sandvine Incorporated

For further information:

MEDIA CONTACT
Jennifer Ross
Sandvine
+1 519 880 2400 x3605
jross@sandvine.com

INVESTOR RELATIONS CONTACT
Rick Wadsworth
Sandvine
+1 519 880 2400 ext. 3503
rwadsworth@sandvine.com

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