24,000 new subscribers for Sky in three months

BSkyB, the satellite broadcaster controlled by Rupert Murdoch, added 24,000 new subscriptions in Ireland over the three months…

BSkyB, the satellite broadcaster controlled by Rupert Murdoch, added 24,000 new subscriptions in Ireland over the three months to the end of December. This has taken its Irish customer base to 465,000.

Sky added 72,000 new subscribers in 2006, well ahead of the 46,000 new customers secured in the previous 12 months.

About 90 per cent of Sky's estimated €25 million annual revenue in Ireland is drawn from subscriptions, making the figure crucial to its bottom line.

The figures for the October to December period represented the fastest pace of growth experienced by Sky in the past five years and means it is closing in on UPC Ireland.

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UPC owns NTL and Chorus, the cable groups which, between them, have about 490,000 television subscribers.

Sky Ireland recently turned up the heat on UPC by adding Channel 4, a mainstream British channel, to its digital line-up. Channel 6, a fledgling Irish broadcaster, will be added next week.

With the exception of Setanta Sports, viewers now have an almost identical channel choice between Sky and NTL/Chorus.

Sky yesterday revealed plans to offer Irish viewers a "bonus mix" package. This will offer the seven Irish and British terrestrial stations available on Sky with two other "genres", which include news, music, children's television and documentaries, for €21.50 a month.

This is aimed at rivalling NTL's basic analogue pack of channels.

It is understood that Sky plans to target the Dublin area, where it lags its cable rivals. The satellite broadcaster has traditionally done well in rural areas not serviced by cable companies.

Delia Bushell, Sky Ireland's managing director, said: "Sky is experiencing record demand for its growing product range. We're confident about the future."

At a group level, BSkyB said it increased its subscriber numbers by 183,000 in the final quarter to 8.44 million. Revenues rose by 10 per cent to £2.2 billion. Sky said it was on track to achieve 10 million subscribers by 2010.

Meanwhile, the Neilsen TV ratings system here is set to be revamped. Traditionally controlled by RTÉ, TV3 and TG4, the board overseeing the ratings is set to be expanded to include Sky, Viacom, Setanta, Channel 6 and Living TV.

The number of homes profiled will rise from 600 to about 1,000, which Sky and others believe will be more representative of television viewing patterns.

Ciarán Hancock

Ciarán Hancock

Ciarán Hancock is Business Editor of The Irish Times