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Old 07-07-2013, 12:48   #292
BomberAF
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Join Date: Aug 2009
Location: Liverpool
Services: Sky HD, VM 50Mb/s Broadband
Posts: 158
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Re: Coming Soon to Virgin TV (2013) Vol. 3.

Quote:
Originally Posted by BomberAF View Post
The reason I believe the price will stay the same is because BT will have to do a deal with VM. As a result of this VM can sell to VM customers a wholesale price, as VM will be able to guarantee BT X amount of customers and as such many many millions per year. BT cannot expect VM to carry their channel for nothing, or expect VM customers to pay more than non BT sky customers, so VM can make a profit. This would be unlawful, and a breach on competition laws. BT will get a subscription of every person that subscribes to the XL package but it won't be £12 or £15, it will be less. This will allow VM to make a profit as being a middle man or a broker in the deal.

If the price goes up by a pound or 2 then it may be down to the fact that VM have had to pay more for BT sports and have as such had their profit margin squeezed. It may be that VM decide they can charge more for their product.

I would like to clarify this post.

I am not speculating on this deal, or the price or how it will be given to you. On the face of it, it will be given to you in exactly the same way that ESPN was. When I say that you may have to pay more is because VM have had to pay slightly more for this product and as such have had to charge customers slightly more.

I don't think this will be the case because the deal was set up specifically to get around an increase in prices so therefore it would result in no price increase. VM now have more people paying for an XL subscription because the dream boxes have gone so they have more money, this is a huge factor that has helped keep the price down.
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