Quote:
Originally Posted by gunner45
Traditional linear TV is in terminal decline, and if the government pushes ahead with the preferred option in its green paper, Freeview will disappear altogether by 2034 (and cable and satellite will go as well as they won't keeping this unsustainable means of distribution going). But linear TV will not die: far from it, we already have scheduled shows which are streamed - like the growing number of Freely and FAST channels - and this is also linear TV because the viewers just choose what channel they want from the EPG. The fact that the underlying IP streaming technology is very different to RF broadcasting is for nerds to debate but a mere implementation detail for the viewers. The key takeaway is that watching live TV will remain hugely popular regardless of how shows are distributed (with huge ad revenues as well).
So, why does Sky want ITV? Answer: Sky would get ITV's mass‑audience live events (and thus ad revenue) even though linear TV is declining and, even better, ITVX which is is the UK's largest free streaming service, with well over 16 million monthly active users. With ITVX Sky becomes the biggest advertising media player in the UK with an estimated 70% share of all broadcaster-sold TV advertising revenue in the UK.
|
I think that the reason that ITV approached Sky was because they realised that ad revenue from TV was also in terminal decline and wanted to get out whilst their channels were still profitable.
The benefits to Sky are that they can circumvent this decline by cutting costs through ending duplication, economies of scale etc and have multiple new opportunities to push their pay TV business.
Join CF
You are here: 
