News Corp sells stake in SKY

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DS9

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#114802 4-Mar-2013 09:54

Now that News Corp has existed SKY, I am a little unsure on its future due to lack of financial scale for technical progression.

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simantics

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#774184 4-Mar-2013 11:03

In the six months to to December last year Sky TV earned $68.2 million. I would argue Sky has some money to play with, but without the threat of a cable-cutting service it'll continue to 'innovate' at the speed common to monopolies.

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Goosey

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#774185 4-Mar-2013 11:04

How do you come to this conclusion that there would be a lack of financial scale for progression due to one company selling their stake of shares?

really? Companies aquire and sell shares daily. Newscorp is selling their stake and others will buy their shares that are up for sale.

freitasm

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#774186 4-Mar-2013 11:06

But here is the thing: The T-Box is going to be rebranded as Vodafone. And with red. And Vodafone has more marketing will than TelstraClear...

langers1972

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#774192 4-Mar-2013 11:18

freitasm: But here is the thing: The T-Box is going to be rebranded as Vodafone. And with red. And Vodafone has more marketing will than TelstraClear...

Well I for one hope they ditch the T-Box and give us all MySky rather than rebranding the T-Box (unless they can fix it and remove the need for all those ugly external modems)

nickb800

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#774194 4-Mar-2013 11:20

freitasm: But here is the thing: The T-Box is going to be rebranded as Vodafone. And with red. And Vodafone has more marketing will than TelstraClear...

I'm not so sure about that - TCL has simply been more localised in its advertising - billboards, bus stops - which makes sense given the specific areas covered by its HFC network. Vodafone does more nationwide advertising - TV ads and whatnot.

That said, if VF can launch the T-Box nationwide (IPTV?) then they will have Sky quaking in their boots, as it will be the first nationwide, triple/quad-play service (that isnt some clumsy reseller billing agreeement ala Sky-Telecom)

I do wonder if this withdrawal will limit funding/innovation from Sky - right at the time when they need to be innovative - and prevent/delay their move to an IPTV platform - which is an inevitable development in the VF/TCL corner.

DS9

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#774217 4-Mar-2013 12:00

Gooseybhai: How do you come to this conclusion that there would be a lack of financial scale for progression due to one company selling their stake of shares?

really? Companies aquire and sell shares daily. Newscorp is selling their stake and others will buy their shares that are up for sale.

When News Corp owned 44% of SKY TV it had a company that owned BSKYB,Foxtel,SKYitalia e.t.c. (that is one powerhouse of technical innovation) behind it, now they have exited SKY TV, SKY now have to pay for or try to produce their future technical products independently.

I aim to misbehave.

Goosey

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#774222 4-Mar-2013 12:25

One would imagine these links between the companies NewsCorp own independantly would still exist with the form an SLA that potentially already exisits between them. Your potentially saying the board of SKYTV havent considered this at all ? What kind of share value would this present to prospective buyers if your assumptions prove to be true? IMHO I doubt SKYTV will suffer at all and perhaps welcome new buyers/capital with an open door.

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old3eyes

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#774225 4-Mar-2013 12:35

nickb800:
freitasm: But here is the thing: The T-Box is going to be rebranded as Vodafone. And with red. And Vodafone has more marketing will than TelstraClear...

I'm not so sure about that - TCL has simply been more localised in its advertising - billboards, bus stops - which makes sense given the specific areas covered by its HFC network. Vodafone does more nationwide advertising - TV ads and whatnot.

That said, if VF can launch the T-Box nationwide (IPTV?) then they will have Sky quaking in their boots, as it will be the first nationwide, triple/quad-play service (that isnt some clumsy reseller billing agreeement ala Sky-Telecom)

I do wonder if this withdrawal will limit funding/innovation from Sky - right at the time when they need to be innovative - and prevent/delay their move to an IPTV platform - which is an inevitable development in the VF/TCL corner.

I though that TCL's pay TV offering was just a resale of sky compared to what it was like when it was Saturn..

Regards,

Old3eyes

DS9

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#774229 4-Mar-2013 12:38

Gooseybhai: One would imagine these links between the companies NewsCorp own independantly would still exist with the form an SLA that potentially already exisits between them. Your potentially saying the board of SKYTV havent considered this at all ? What kind of share value would this present to prospective buyers if your assumptions prove to be true? IMHO I doubt SKYTV will suffer at all and perhaps welcome new buyers/capital with an open door.

As a shareholder and News Corp selling their full holding at a 7% discount suggests to me something different, the MYSKYHDi box is the same as FOXTEL's IQ box because they could use scale which no longer exists for SKY, I will be selling as soon as the hold has been lifted as I can see only one direction for SKY in the medium term.

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Goosey

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#774237 4-Mar-2013 12:44

Wouldnt it be more prudent to think the sale will introduce a new buyer who potentially may want to capatilise on the current platform and potentially push more digital offerings such as but no limited to competing with movies on demand / streaming segment of the market. New buyer could already be an exisiting online media player who wants to have a ready to go solution to enter an emerging market.

Goosey

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#774238 4-Mar-2013 12:45

We dont know the secret strategic plan of SKYTV and just because a part owner is selling up their stake, doesnt mean the strategic plan for SKYTV also goes south (or north or west or wherever the rupert and sons empire is going to next).

nickb800

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#774240 4-Mar-2013 12:47

old3eyes:
nickb800:
freitasm: But here is the thing: The T-Box is going to be rebranded as Vodafone. And with red. And Vodafone has more marketing will than TelstraClear...

I'm not so sure about that - TCL has simply been more localised in its advertising - billboards, bus stops - which makes sense given the specific areas covered by its HFC network. Vodafone does more nationwide advertising - TV ads and whatnot.

That said, if VF can launch the T-Box nationwide (IPTV?) then they will have Sky quaking in their boots, as it will be the first nationwide, triple/quad-play service (that isnt some clumsy reseller billing agreeement ala Sky-Telecom)

I do wonder if this withdrawal will limit funding/innovation from Sky - right at the time when they need to be innovative - and prevent/delay their move to an IPTV platform - which is an inevitable development in the VF/TCL corner.

I though that TCL's pay TV offering was just a resale of sky compared to what it was like when it was Saturn..

At the moment, yes (arguably a worse version given the bugs in the TBox). But if they move to an IPTV platform, nationwide, they could bring much more flexible video on demand features.

Also, if Sky looses its partnership with NewsCorp for content, VF/TCL will be waiting to pick up some exclusive for content themselves, thus becoming more than resellers

DS9

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#775463 6-Mar-2013 09:21

So no cornerstone or internationally established company to change the direction, SKY is now just a cash cow for the institutional investment firms. I believe my prier points stand and we will now forever lag behind the world. At least when News Corp had a stake they had influence. 9 HD channels in 2013 is a joke especially when most other countries have 3D. Also a internet ONdemand service already via the STB. SKY R&D dept. will have to go it alone. Thank God for SoHo because I cannot wait for the 01/04/13 :-)

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Bung

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#775501 6-Mar-2013 09:54

DS9: When News Corp owned 44% of SKY TV it had a company that owned BSKYB,Foxtel,SKYitalia e.t.c. (that is one powerhouse of technical innovation) behind it, now they have exited SKY TV, SKY now have to pay for or try to produce their future technical products independently.

When I brought up News Corp's other Sky holdings at the time the Android Sky App seemed to be permanently delayed, the answer given here was that NZ did its own thing.