Derek
17-02-2006, 17:04
Very interesting article over at El Reg on Sky
Linky (http://www.theregister.co.uk/2006/02/17/dont_fear_sky/)
The industry rumours are that Ofcom is going to give Sky a pretty good kicking this year, as it has presumably become bored with slapping BT around.
...
UK Online was infamously late to market with DSL, has been dogged with provisioning problems and has a very high cash burn rate (e.g. national advertising campaigns etc), all with very few subscribers to show for it in comparison to rivals. Easynetââ‚à ‚¬Ã¢â€žÂ¢s network as a whole is poorly managed and not ready for video services †“ in fact, most analysts are deeply sceptical that the money Sky intends to invest in expanding its LLU operations will actually be even remotely enough to get the job done.
...
And that vulnerability is beginning to show. Churn (cancellation) levels are higher than ever, and the cynical majority in the industry reportedly believe the new portfolio of services is a cunning ruse to improve its subscriber statistics as it seems to have reached a difficult commercial plateau in customer acquisition.
It does seem to be written by someone with a dislike of Sky and Rupert Murdoch but does seem to make some pretty interesting points.
Linky (http://www.theregister.co.uk/2006/02/17/dont_fear_sky/)
The industry rumours are that Ofcom is going to give Sky a pretty good kicking this year, as it has presumably become bored with slapping BT around.
...
UK Online was infamously late to market with DSL, has been dogged with provisioning problems and has a very high cash burn rate (e.g. national advertising campaigns etc), all with very few subscribers to show for it in comparison to rivals. Easynetââ‚à ‚¬Ã¢â€žÂ¢s network as a whole is poorly managed and not ready for video services †“ in fact, most analysts are deeply sceptical that the money Sky intends to invest in expanding its LLU operations will actually be even remotely enough to get the job done.
...
And that vulnerability is beginning to show. Churn (cancellation) levels are higher than ever, and the cynical majority in the industry reportedly believe the new portfolio of services is a cunning ruse to improve its subscriber statistics as it seems to have reached a difficult commercial plateau in customer acquisition.
It does seem to be written by someone with a dislike of Sky and Rupert Murdoch but does seem to make some pretty interesting points.