Sky NZ targets 80,000 HD PVRs

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Sky TV New Zealand is targeting 80,000 high-definition hard-disk set-top boxes (pictured, left) by the end of its next financial year in June 2009. Ninety per cent, says Sky NZ, will come from existing subscribers. Sky NZ had just over 720,000 subs at the end of 2007.

The box, due to be released next month, will cost NZ$15 a month or an upfront NZ$599. Sky NZ is forecasting that 15% of those taking up the offer will pay upfront, with 85% choosing the monthly payment option.

Called MySky HDi, the cost to the company of the box is US$330, against a standard decoder cost of US$122. But ARPU from MySky HDi subs is forecast at NZ$81, against NZ$62 for regular Sky NZ subs in the company’s last financial year.

The set-top boxes have three tuners and an ethernet port for additional IPTV services which are scheduled to start over the next 12 months – hence, says the comapmny, the “i” in HDi.

Sky NZ’s earnings before tax and interest will take a NZ$22 million hit over two years from investment in the service. Revenues from MySky HDi are forecast at NZ$17 million in 2008/9 and NZ$31 million in 2009/10.

High definition (1080i) programming will cost NZ$10 a month, or NZ$25 a month for a multiroom service. The company thinks 45% of MySky HDi subs will take multiroom, while 15% will buy an HD ticket but no multiroom service.

Programming will include over 100 sports events, including rugby, English Premiership foorball and US Open golf, as well as movies. At launch, Sky NZ will offer footage from recent sports events that the company filmed in HD. The company is offering high-definition versions of Sky Sports 1 and 2, Sky Movies and Sky Movies Greats and hopes o have 90% of its movies broadcast in high definition by the atart of next year.

TV3, which is one of the key HD broadcasters on the new Freeview HD digital-terrestrial service, will also be available on the platform.

Sky New Zealand is controlled by News Corporation.


Source: Rapid TV News