Quote:
Originally Posted by Chad
Virgin and SKY can chose to adsorb the costs or pass them onto their customers. Both choose customers. Smallworld however take the hit themselves:
http://www.smallworldcable.com/Cable-TV/Sky-Sports
Get SKY Sports 1&2 for £12.00 per month or the full SKY sports package for £16.00 per month. How refreshing.
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Smallworld are making a loss on those prices, as they are under the wholesale cost for 1&2, and don't factor how much more they are having to pay to get 3&4, F1 and SSN.
They did that specifically because
they weren't getting BT Sport which is fine if that is what works for them and they can cover the cost doing so via the general subscription income.
However VM would have to spend millions per year doing the same, due to the higher number of Sky Sport customers they have, in addition to the millions they've just paid to get BT Sport