Discussion in 'TVs' started by daniel.godfrey, Apr 14, 2005.
The first people/companies are usually the ones to make the mistakes and fail, others who follow learn and adapt and reap the rewards
The big US media concerns will add HD content gradually and evolve the service safe in the knowledge their existing SD broadcasts/revenue sources are backing them up.
But I bet SKY are now very worried. There is one hell of an investment here at stake, SD was almost a killer early on but HD...
What SKY are doing is nothing like Voom.
SKY are launching a handful of channels carrying HD versions of existing content to an established SD user base and the service will not be considered as a standalone service but will be part and parcel of BSKYB as a whole.
SKY's upcoming service has more in common with the US networks/premium channels HD offerings in such that they will not be relying on HD revenues to sustain the company as a whole.
I don't think SKY are under any illusion that HD will take off like a rocket especially considering the intial costs to the viewer but long term HD is the future and having the platform in place has proven a sound tactic already.
also Sky have a monopoly in UK satellite TV.
I never said they were the same
currently there is just a handful of us who are interested, probably the ones reading this forum, unless it becomes mainstream then they will cut their losses, a business decision just like vroom We will not manage support the extra service. 40,000 subscribers in the states.......I for one am not a current SKY user, SKY HD may tempt me but it has to be worth my while, current SKY doesn't do that and I am sure I am not alone here. I view it as a new service not as an add on to all the sky crap now. If they go sport (where the money is) I won't subscribe, if they go movies then we are talking...
The only reason I could see that you would think SKY would be worried about a US HD service collaspsing is if they were going to use the same business model.
I suspect that HD-DVD and/or Blu-ray would be more down your street since you would just be paying for what you watch and not having to take a bundled service.
Voom failed only because it was a poorly run, poorly funded, and especially a poorly marketed service. The goofy name and its reliance on occasional late night infomercials being good indications of that. It's failure has nothing to do with the health of the HD market.
It also needs to be considered that the other two existing sateliite services, especially DirecTV, are goliaths in comparison with deep pockets that could have likely put Voom out of business even if it were successful simply by outspending them and ultimately offering more services. For example, DirecTV is launching four more satellites for 150 more national HD channels and 1500 more local (local networks) HD channels. Voom, as it existed, couldn't compete with that, and the existing subscriber base those services could easily tap into.
Your Sky service, which has no competition in space, should do just fine.
I actually fully support SKYs efforts in HD (did I really say that about SKY?) but what worries me is there are so few of us that know about HD at the moment that there is not a big enough market YET
Agreed but that same could be said about any new product/service that intends to replace or enhance such a well known service as PAL broadcasting.
SKY are long term thinkers and are not afraid to invest in order to recoup many years down the line, SKY Analogue, SKY Digital and SKY+ all demonstrate this.
The BSKYB announcment last year of a dedicated HD service kicked started everything, within weeks other EU broadcasters had announced (No doubt already had firm plans in place) and a basic standard has evolved very quickly.
Along with HD ready displays which are going to turn up all over the place (which helps those with a little knowledge) there will be a huge marketing push in the months before the HD launch and believe me even the BBC will want a piece of that
It may of course take analogue switch off and the introduction of mpeg4 DTT boxes which will be the ultimate catalyst for HD as Freeview was for standard digital penetration.
SKY can only go so far since they are PAY based but that will be far enough to make the service have a positive impact on the revenue results which at the end of the day is the purprose of it's introduction
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