Living In An NBN World

Subscriber growth at leading pay-TV providers Foxtel and Austar remains strong, anchored to renewed commitment to marketing, more new HD content and the rapid expansion of next-generation services with online functionality.

According to MPA analysis published in Media Route 26, Foxtel and Austar will grow subs at a respectable rate during their current financial years. Austar is likely to end the year with 750,000 subs, while Foxtel will end June 2010 with 1.7 mil. subs.

The key for the industry is to grow subs and monthly customer spends through new HD channels and next-generation version PVR STBs, which will be internet and HD-enabled along with on-demand and ‘catch-up’ TV services, enabling subscribers to watch up to 400 hours of content via their PC.

HD and PVR services have already proved a notable success for market leader Foxtel, which continues to grow at an impressive rate. Over 50% of Foxtel’s subscriber base is opting for its Foxtel iQ PVR service, equivalent to more than 800,000 subscriber homes.

Since Nov. 15, Foxtel has begun offering its customers 30 new channel choices, including themed movie channels, extra sports and documentary channels, and general entertainment channels. Foxtel HD+ will be expanded to 15 channels, with content from Fox Sports, Showtime and UKTV amongst others.

Foxtel’s ramp-up comes as 50% shareholder Telstra slowly upgrades its broadband network, and showcases new digital technology. The company this month launched a free-to-air-based PVR called T-Box, bringing together digital terrestrial channels and on-demand movies from Telstra’s BigPond TV broadband service.