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PromNZ
154 posts

Master Geek


  #214009 11-May-2009 09:12
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Interesting article in NZ Herald this morning about Prime onto FV.



Sky Television is negotiating a special deal to get its free channel Prime on to Freeview.



After long delays that have hampered Freeview, Sky says it is "looking at whether Kordia can cut some sort of entry-level deal".



Talks follow a Beehive meeting between industry leaders led by Broadcasting Minister Jonathan Coleman.




They do re-iterate that the cost of getting Prime on FV outweighs the commercial revenue it could generate.



wellygary
8342 posts

Uber Geek


  #214027 11-May-2009 09:55
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PromNZ:
They do re-iterate that the cost of getting Prime on FV outweighs the commercial revenue it could generate.


They can bleat about the current marginal cost vs marginal revenue situation, but to continue past 2010 with prime UHF will require a further capital commitment that I think SKy would prefer to avoid.

The article totally misses the point that Prime (and the other analogue UHF) licenses expire in 2010, so they will be required to a pony up real $$$ to the govt to keep using the analouge signals past this date + also Sky have a contract with BCL (Kordia) for UHF broadcast services that ends in 2010, thus to keep this running after 2010, will require more $$$ commitment. ( Although Kordia will take a bit a financial hit when these contracts end)

So I would say the chances of Sky wanting to get out of the whole analouge UHF ball game (Prime+ its remaining paytv service) in/by 2010 as fairly high.

The logical platform to move to is Freeview, although whether they can be convinced to spend the extra to go DTT HD is the $64 million question, (+ I am told they could just stuff prime on their own optus transponders unencryted and let freeview boxes (DVB-S)) grab the signal.

Biggles69
83 posts

Master Geek


  #214068 11-May-2009 11:54
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wellygary:
PromNZ:
They do re-iterate that the cost of getting Prime on FV outweighs the commercial revenue it could generate.


They can bleat about the current marginal cost vs marginal revenue situation, but to continue past 2010 with prime UHF will require a further capital commitment that I think SKy would prefer to avoid.

The article totally misses the point that Prime (and the other analogue UHF) licenses expire in 2010, so they will be required to a pony up real $$$ to the govt to keep using the analouge signals past this date + also Sky have a contract with BCL (Kordia) for UHF broadcast services that ends in 2010, thus to keep this running after 2010, will require more $$$ commitment. ( Although Kordia will take a bit a financial hit when these contracts end)

So I would say the chances of Sky wanting to get out of the whole analouge UHF ball game (Prime+ its remaining paytv service) in/by 2010 as fairly high.

The logical platform to move to is Freeview, although whether they can be convinced to spend the extra to go DTT HD is the $64 million question, (+ I am told they could just stuff prime on their own optus transponders unencryted and let freeview boxes (DVB-S)) grab the signal.


I read some where that Kordia don't want (won't let?) Sky unencrypt the prime satellite feed because they want control of the feed (in other words they want Sky to pay them to rebroadcast something which sky is already broadcasting on the same satellite!!!)

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