BLOGG

Open Insight #19


Welcome to the 19th edition of Open Insight, our blog for investors. Here, we share our progress, challenges, and insights related to our growth journey.

The past quarter has truly been a milestone in the history of our company. Driven by strategic initiatives, we have achieved significant success which is reflected in our strong results and an enhanced market position. By focusing on expanding our product portfolio and strengthening our expertise in IP and cloud technology, we have been able to meet and exceed our goals.

A key part of our progress has also been our efforts in time synchronization through new products and agreements.


NAB Show 2024

Looking ahead to this year’s NAB Show in April, we are excited to showcase our latest innovations and technical advancements. One of the most exciting launches at this year’s NAB Show is our newest product, Nimbra Connect iT.

This solution is tailored to meet the needs of individual events, broadcasters, and production companies. With its fast and easy installation and flexibility, Nimbra Connect iT, together with Nimbra Edge, provides a platform to handle various transport requirements at all levels.

Through exciting collaborations and advancements in areas such as UHD IP (Ultra High Definition Internet Protocol) remote production and cloud-based services, we continue to support our customers’ successes.

It makes us proud to see Sweden’s leading role in the future of time synchronization and our contribution to shaping global standards for this technology.

Nimbra Connect iT

A flexible cloud transport solution
For many of our customers cloud technology is still new, which requires a gradual increase in knowledge and gradually expanded capacity. The solution is specifically designed to meet the needs of individual events, broadcasters, and production companies. Nimbra Connect iT offers fast and easy software installation in 5 minutes, and by integrating IP, cloud, and internet for transport, the solution provides a flexible and reliable infrastructure to handle different needs.

Nimbra Edge and Nimbra Connect iT are both products included in our cloud portfolio, but they are designed for different use cases. Nimbra Edge is intended for large-scale networks, while Nimbra Connect iT is designed for small-scale use cases. Customers have the option to easily transition from starting to use Nimbra Connect iT and, if needed, switch to Nimbra Edge, providing flexibility depending on needs and scale.

Scalable and secure media transport solutions for long-term growth
We offer solutions for growth through both IP and cloud-based networks, with customized hardware and software solutions for media transport. Our ability to provide flexible solutions enables expansion opportunities for our customers to grow and enhance their systems over time by adding software.

This ensures continuous development and steady revenue streams for us through regular support and licensing fees. The customer initially invests in hardware and purchases our software to improve and secure their media transport.

We offer a wide range of features for the transfer and conversion of media content between different types of networks. One example of such a feature is our Trust Boundary application, which ensures secure transmission of media content. We also have software solutions that can compress video streams to enable efficient transmission over the internet.

By simplifying the management and distribution of media content, we can offer many different functionalities and increase capacity to meet our customers’ needs. Our software plays a central role in providing these functionalities and improving performance and efficiency.
Continuous support is part of our offering to proactively address any challenges.

We have flexible pricing models designed to meet various types of requirements and the needs of our customers.

Read more here.

UHD IP remote production in collaboration with Mobilelinks

An example of modern IP-based formats is our collaboration together with Mobilelinks, to enhance the broadcast quality of the Swedish Hockey League (SHL). By using UHD (Ultra High Definition), which provides a very high video resolution, and IP for remote production, we combine high-resolution video format with IP-based production.

Mobilelinks has expanded and upgraded their Nimbra-based network, connecting 14 arenas across Sweden. This enables the handling of multiple concurrent matches and more efficient use of broadcasting equipment and resources.

In this collaboration, we also employ advanced technologies that support ST 2110 and JPEG XS to ensure high quality and efficiency in the broadcasts.

Read more here.

Mediatech launches new cloud service based on Nimbra Edge

Mediatech, a leading system integrator in Hong Kong, chose our cloud solution to meet the increased demands for security, efficiency, and flexibility from broadcasters and corporate clients.

Nimbra Edge provides a secure and reliable transport of media streams from any location to studios and other destination points. Mediatech can now offer a more scalable and cost-effective solution compared to traditional methods, providing their customers with access to modern and flexible distribution channels.

Read more here.

Quanta and Globecast enhance their offerings with Net Insight

Quanta, a new customer based in São Paulo, are known for their infrastructure solutions for the audiovisual industry in Latin America.

By integrating our Nimbra 400 platform with the Nimbra Edge cloud platform, they have been able to expand their services for sports and events in the region. They can now handle multiple streams with minimal delay, providing end customers with high-quality live content that enhances their viewer satisfaction and loyalty.

Quanta can also offer more than just live content transport – they also serve as reliable partners for disaster recovery, which is highly valuable for larger production companies.

Read more here.

Globecast

We have also strengthened our partnership with Globecast, a global provider of media solutions.

They have made a transition from an older technology called SDI (Serial Digital Interface) to a more modern and advanced technology based on IP. They have implemented our Nimbra 1060 platform in their new facility, Westlake Village Studios in Los Angeles. This enables a smooth and seamless transition from older technology to new IP-based infrastructure.

With an IP-based infrastructure, they can transmit video, audio, and other media data over a network using standard-based IP protocols. This provides advantages such as increased flexibility, scalability, and cost and operational efficiency. Instead of relying on dedicated cables and hardware connections, existing IP networks are used to transport media data.

It becomes easier to configure and expand the infrastructure and to handle different types of media data on the same network. Globecast can now offer its customers a broader portfolio of services with greater flexibility, improved service, and efficiency.

Read more here.

Sweden takes a leading role in future time synchronization

In collaboration between authorities and commercial operators, Sweden has created a national time reference managed by independent entity Netnod, from which everyone receives a common Swedish time.

At the same time, Swedish authorities have imposed regulatory requirements on all Swedish 5G operators to not solely rely on GNSS for network time synchronization. This is part of Sweden’s pursuit of technical independence and increased security and robustness, where 5G is seen as critical infrastructure similar to TV and radio.

In an article in 5G Magazine, we, along with Netnod, present the Swedish model for achieving independence from GNSS/GPS synchronization for critical infrastructure and services.

Net Insight’s synchronization technology, Precision TimeNet, offers scalable and cost-effective time synchronization that is not dependent on GNSS, utilizing existing network infrastructure, including leased lines. Several Swedish 5G operators, such as Three Sweden and Teracom, have chosen our solution, which simplifies the implementation of time synchronization without the need for GNSS.

The reliance on GNSS has grown globally and is used in everything from telecommunications and financial services to national security. At the same time, awareness has increased that GNSS is a sensitive solution that can easily be disrupted, leading to instability and significant revenue losses.

It is gratifying to see that Sweden has taken a leading role in offering new reliable and secure alternatives for time synchronization, and I am confident that these requirements and solutions will spread to other countries and to other critical infrastructure.

MWC 2024

We once again participated in the Mobile World Congress in Barcelona, and it was fantastic to see the exhibition back in full swing with over 100,000 attendees.

This year’s themes revolved heavily around the types of new services and use cases we can expect to see in 5G, as well as how operators can become more cost-effective through the use of AI and automation.

It was also interesting to see the focus on critical networks and robustness in general. 5G has great potential in critical sectors, both in the public and private spheres. The geopolitical situation in the world has also emphasized the importance of building secure and resilient networks. This was reflected in our meetings with customers, media, analysts, politicians, and regulators.

There was a high awareness of the significance of network robustness, and it was encouraging to hear them acknowledge the crucial role that synchronization plays in this regard, recognizing that GNSS alone is not sufficient to ensure a reliable network.

Zyntai update

I am pleased to announce that our time synchronization solution, Zyntai, is now commercially launched. Zyntai has undergone software quality assurance without any major critical issues, and our solution has been implemented directly in several production networks.

When we started this project over two years ago, our goal was to achieve general availability by Q1, 2024. We have now achieved this ambitious goal, and I am very proud of our engineering team, who have worked tirelessly to make this possible.

At the same time, we continue to roll out Zyntai as planned, including to Three Denmark, a new customer we announced earlier in January. Three Denmark is using our technology to enhance synchronization capacity in their 5G network and reduce reliance on conventional GPS/GNSS systems, with the first delivery completed during Q1 2024.

In another important project, we have entered into a framework agreement with Teracom for the delivery of our time synchronization solution, Zyntai. This agreement primarily focuses on time synchronization of Teracom’s critical service networks.

The project, spanning 2023 and 2024, is valued at over 10 million SEK. In our agreement with Teracom, we are working to enhance security within critical communication networks.

Framework agreement with Teracom

In another important project, we have entered into a framework agreement with Teracom for the delivery of our time synchronization solution, Zyntai. This agreement primarily focuses on time synchronization of Teracom’s critical service networks.

Read more here.

The project, spanning 2023 and 2024, is valued at over 10 million SEK. In our agreement with Teracom, we are working to enhance security within critical communication networks.The commercial launch of Zyntai was also reflected in our order backlog, which increased to 195 million SEK in December. It is important to note that this order backlog extends over a longer period.

The expansion of new networks is time-consuming for operators and often spans over a longer duration with careful planning of various products and phases. An example is Turk Telekom, our largest customer, who will commence their implementation this year, but a major rollout is planned to begin next year.

With the full launch of Zyntai, we have already started deploying it for existing customers, and it is in operation. Additionally, our concept validations, known as “Proof of Concepts” (PoC), now utilize Zyntai.

During the quarter, we have started tests with new customers, as well as revisiting ongoing tests with customers to conduct validations with our new-generation solution, which has been very positive.

Net Insight’s time synchronization technology, Precision TimeNet, is being standardized by ITU

Our time synchronization technology, Precision TimeNet, is becoming a global standard through ITU. To ensure performance and the proper functioning of mobile networks, synchronization of data and signals at the exact right time is needed. It is gratifying that ITU has recognized the benefits of our technical solution and the need to complement existing standards.

The standardization of this technology is important as it simplifies time synchronization across large networks for various industries and ensures interoperability with existing solutions. For us, standardization is important as larger telecom operators often require that standardization has begun for new technical solutions. It may also mean that we can reach new market segments and applications eventually.

Read more here.

Eventful year with a strong finish


Thank you for your time. As we summarize 2023 and the beginning of 2024, it is truly an eventful time we look back upon. We are now heading into an exciting spring with many projects and initiatives in both media and 5G synchronization.

Crister Fritzson,

CEO Net Insight

About the Author

Crister Fritzson

CEO