BSkyB announces plans for free-to-air television

BSkyB has announced plans to increase digital television uptake in the UK with a free-to-air (FTA) television service.

The plans were unveiled at an investor conference in London by James Murdoch, the Chief Executive of BSkyB. He said that the company would introduce FTA satellite proposals later this year and had begun work on developing a premium package of services in the High Definition Television (HDTV) format for launch in 2006.

BSkyB plan to introduce FTA satellite television offering access to almost 200 television, radio channels and interactive services which will be available without a monthly subscription fee. Users will be able to purchase a Sky digibox, minidish and initial viewing card) direct from BSkyB for a one-off payment of £150 - this will include professional installation.

While there is no obligation to subscribe to a pay-TV service, the FTA satellite deal will provide an easy upgrade path for viewers who subsequently want pay-TV. There will be no requirement for additional equipment and viewing cards can be enabled remotely for the reception of pay-TV services.

BSkyB anticipate that the new FTA satellite proposition will support the Government's proposed switchover to digital-only broadcasting by providing an additional subscription-free option for viewers not currently attracted to pay-TV.

Around 27% of UK households are currently unable to receive the full range of digital terrestrial television services in the Freeview package that replaced ITV Digital.

The line-up of channels available to FTA digital satellite viewers includes the BBC's digital television and radio services and digital versions of the five exixting analogue terrestrial television channels, including all the national and regional variants of BBC One and BBC Two.

Access to the encrypted signals of ITV1, Channel 4 and five will be enabled via a digital satellite viewing card, which will also enable automatic reception of the relevant variant of the regionalised FTA channels.

In a separate initiative, BSkyB announced the development of a premium package of channels in HDTV format. The proposed introduction of HDTV to the digital satellite platform in 2006 will ensure that Sky customers continue to benefit from the most advanced television services available in the world.

HDTV delivers substantially superior picture quality than standard television and is the preferred format for a growing number of top US television productions.

James Murdoch, Chief Executive of BSkyB, commented: “These initiatives are another step in giving consumers a choice from Sky that suits their needs at the top and lower ends of the scale. They will help drive even greater take-up of digital TV services and enable Sky to enjoy a close relationship with even more customers.”

(GB)