Murdoch unveils Sky's free broadband offer
''Another report on this subject''
BSkyB has turned its big guns on the UK's broadband service providers—among them BT and ntl—by offering its 8m digital television subscribers free internet access at 2 Mbps, whatever TV package they take. "When it comes to broadband, too many families have been paying too much, for too little, for too long," said Sky CEO James Murdoch. "Revolutionising television has led one in three families to choose Sky. Today, we're taking the revolution into broadband."
The launch of Sky Broadband follows last year's acquisition of broadband service provider Easynet for £211m. Sky has recently been linked to the auction for AOL's internet access arm.
This morning Sky said it was offering a choice of three broadband packages: Sky Broadband Base, Mid and Max. The Base service offers access speeds of up to 2 Mbps, capped at 2 GB per month, and is free to Sky subscribers. Mid offers up to 8 Mbps, capped at 40 GB per month, and costs £5 per month; Max offers up to 16 Mbps, is uncapped, and costs £10 per month. Subscribers living in areas beyond Sky Broadband's network will join the Sky
Broadband Connect service, offering up to 8 Mbps, capped at 40 GB, and costing £17 per month, until their area joins the network and will then be offered the Base, Mid and Max packages.
All options come with a free wireless router. Sky is also offering anytime UK landline calls for just £5 per month under its Sky Talk telephony service.
The Sky Broadband network already covers 28% of households including London, Birmingham Manchester Edinburgh and Glasgow. Sky said it would pass more homes than the entire cable industry by early next year, "reaching 70% of all UK households by the end of 2007".
Sky said its strategy of building a scale broadband customer base, "targeting revenues from high growth opportunities in online advertising, search and content and increasing penetration of additional products" would cost £400m over the next three years. Sky Broadband would contribute to group profits in 2010.
Murdoch added: "Sky Broadband is a compelling product which rewards our 8m customers with a quality service offering flexibility and great value. Sky is ideally equipped to enter the large and growing markets of broadband and telephony and by pushing the boundaries of the home entertainment market, we will help our customers realise the full potential from technological convergence.
"The business case is clear; we believe our investment will enhance top-line growth, be earnings enhancing from 2010 and with the benefits of scale, deliver increasingly attractive returns thereafter while offering substantial savings and compelling value to customers. This is a transformational new initiative for Sky."
Sky opened advanced registrations for its broadband service today, and kicked off a multi-million pound advertising campaign featuring the strapline 'uploads, downloads, save loads'. The full service will be launched in August.
Regards Satdude.
''Another report on this subject''
BSkyB has turned its big guns on the UK's broadband service providers—among them BT and ntl—by offering its 8m digital television subscribers free internet access at 2 Mbps, whatever TV package they take. "When it comes to broadband, too many families have been paying too much, for too little, for too long," said Sky CEO James Murdoch. "Revolutionising television has led one in three families to choose Sky. Today, we're taking the revolution into broadband."
The launch of Sky Broadband follows last year's acquisition of broadband service provider Easynet for £211m. Sky has recently been linked to the auction for AOL's internet access arm.
This morning Sky said it was offering a choice of three broadband packages: Sky Broadband Base, Mid and Max. The Base service offers access speeds of up to 2 Mbps, capped at 2 GB per month, and is free to Sky subscribers. Mid offers up to 8 Mbps, capped at 40 GB per month, and costs £5 per month; Max offers up to 16 Mbps, is uncapped, and costs £10 per month. Subscribers living in areas beyond Sky Broadband's network will join the Sky
Broadband Connect service, offering up to 8 Mbps, capped at 40 GB, and costing £17 per month, until their area joins the network and will then be offered the Base, Mid and Max packages.
All options come with a free wireless router. Sky is also offering anytime UK landline calls for just £5 per month under its Sky Talk telephony service.
The Sky Broadband network already covers 28% of households including London, Birmingham Manchester Edinburgh and Glasgow. Sky said it would pass more homes than the entire cable industry by early next year, "reaching 70% of all UK households by the end of 2007".
Sky said its strategy of building a scale broadband customer base, "targeting revenues from high growth opportunities in online advertising, search and content and increasing penetration of additional products" would cost £400m over the next three years. Sky Broadband would contribute to group profits in 2010.
Murdoch added: "Sky Broadband is a compelling product which rewards our 8m customers with a quality service offering flexibility and great value. Sky is ideally equipped to enter the large and growing markets of broadband and telephony and by pushing the boundaries of the home entertainment market, we will help our customers realise the full potential from technological convergence.
"The business case is clear; we believe our investment will enhance top-line growth, be earnings enhancing from 2010 and with the benefits of scale, deliver increasingly attractive returns thereafter while offering substantial savings and compelling value to customers. This is a transformational new initiative for Sky."
Sky opened advanced registrations for its broadband service today, and kicked off a multi-million pound advertising campaign featuring the strapline 'uploads, downloads, save loads'. The full service will be launched in August.
Regards Satdude.