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Old 18-01-2010, 16:25   #98
pedg
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Re: OFCOM ready to rule?

Quote:
Originally Posted by newbie1001 View Post
There is nothing stopping Virgin from been the next Setanta and actually bidding for the rights. If it wasn't for Sky not only Football,but Darts,Snooker,Cricket,Golf,Rugby League and mny other sports would not be succesfull as they are now.
By football being successful you mean spiralling debts and possible administration for a number of teams? Oh yes, they never had it so good have they?

Quote:
Originally Posted by newbie1001 View Post
Sky put a lot of money into these and quite rightly expect a return. By forcing them to lower prices will just have an impact into all sports sky provide to because no one else wants to bid anything significant for them.
If you read the ofcom report you would see that ofcom set the prices so that sky could continue to invest as much as they do now and make a reasonable return. At no point have ofcom come out and said it would involve sky spending less or sky not making a profit. Indeed they have reason to believe that with a lowering of the price an increase in subscribers would have a minimal impact on the money that skys broadcasting arm would make. Thus if they make the same money as before there is no reason why sky should not continue as they are at the moment.
Remember ofcom are not telling sky to open up their HD channels for free. VM and BT would have to pay extra for these which would add to skys income. The only reason they have not done so so far is to drive customers to skys delivery system and its stopping this abuse of power that is, to me, the best thing about the ofcom report not a 20% reduction in the cost of my subscription (nice though that would be, I might even put the money saved to pay for the HD channels!).
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