Sky heralds in new format
As a direct challenge to LoveFilm and Netflix, BSkyB is launching its own pay-as-you-go internet TV service which will enable viewers to watch TV content whether they are Sky subscribers or not.
The service, which as yet still remains unnamed, will be available across a range of different devices including Macs, PCs, tablets, mobile phones, games consoles, laptops and internet-connected TVs. The move is seen as a departure from the subscription model, which has seen the number of people subscribing to pay TV services slow substantially over the last year as people download content from other sources. New subscribers will be able to choose between a range of pricing options from unlimited monthly access to pay-as-you-go, marking the first time that a company has sold TV content without a contract.
The news comes at a time when a number of online services battle it out for internet TV content domination, with US-based Netflix investing billions in new content deals to challenge Sky and Amazon’s Lovefilm. The movie rental market is worth around £400 million in the UK alone and digital downloads account for almost half of this market.
While BSkyB has a presence in more than 40 percent of UK and Irish homes it is hoped that the new offering will enable them to enter the other 13 million homes that are still to sign up to any form of pay-TV.
Is the way forward for accessing TV content? Watch this space to find out, or alternatively head down to MIPCOM 2012, 8-11 October, the world’s leading entertainment content market.
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