[opendtv] Ofcom opens consultation on Sky's DTT plan

  • From: "Manfredi, Albert E" <albert.e.manfredi@xxxxxxxxxx>
  • To: <opendtv@xxxxxxxxxxxxx>
  • Date: Wed, 24 Oct 2007 12:37:10 -0400

"'For example, if as a result of Sky's position in the wholesale
provision of sports and movies channels, Sky were to emerge as the main
retailer of pay TV services not only on the satellite platform but also
on DTT, other providers of pay TV services may find it more difficult to
enter the market. This may not be in the long term interest of
consumers,' said Ofcom."

I don't follow that. It would seem, on the contrary, that if these three
or four pay programs on DTT succeed, then perhaps there is a future in
pay-TV OTA, and others would jump in.

Some would make it, some would fail, as the quality and quantity of
by-subscription OTA channels finds its equilibrium.

My gut feeling is that Sky will lose most of its OTA customers by doing
this, so we'll see.

Bert

----------------------------------------------------
http://www.dtg.org.uk/news/news.php?id=2739

Ofcom opens consultation on Sky's DTT plan

Media regulator Ofcom has announced a consultation on BSkyB's plans to
replace Sky's free-to-view channels on Freeview with pay-TV services on
the UK's digital terrestrial television (DTT) platform. Ofcom said it
was seeking views on the proposal, submitted by Sky and National Grid
Wireless (NGW), by December 14.

Earlier this week Sky outlined plans to remove Sky News, Sky Sports News
and Sky Three from Freeview and replace them with three MPEG-2 video
streams. Sky Sports 1 will occupy one channel while the other two
streams will feature a mixture of childrens programming, movies, news
and factual programming and Sky One's entertainment in the evenings. A
fourth stream will be taken up by Sky News, should Sky and NGW get
approval from Ofcom to adopt MPEG-4 compression technology.

Ofcom said its probe would consider how the regulator could "best ensure
fair and effective competition for the benefit of consumers in the light
of the development of the DTT platform, Sky's strong market position in
pay-TV and the specific aspects of the proposal".

While the Sky/NGW proposal would "increase the choice and availability
of retail pay-TV services on the DTT platform" it would "also have an
impact on competition for pay-TV services on DTT and possibly across
other digital TV platforms".

"For example, if as a result of Sky's position in the wholesale
provision of sports and movies channels, Sky were to emerge as the main
retailer of pay TV services not only on the satellite platform but also
on DTT, other providers of pay TV services may find it more difficult to
enter the market. This may not be in the long term interest of
consumers," said Ofcom.

Lovelace Consulting 04.10.2007
 
 
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