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Australia - Broadcasting and Pay TV - Overview and Analysis - 2010

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Last updated: 21 Sep 2010 Update History

Report Status: Archived

Report Pages: 5

Analyst: Paul Budde

Synopsis

This report provides valuable information on the end users of pay TV – the viewers. By mid-2009 pay TV penetration had reached 33%, and while growth is expected to continue modestly during 2010, Australian figures are well below those of the developed markets around the world. Growth in 2009 came further under pressure with the introduction of new free-to-air digital TV channels.

While it is still not impossible for Foxtel to reach the 40% penetration mark, the company can only reach these targets if it either starts offering more attractive price packages or includes a broadband offering within an affordably priced package.

With the advent of digital television and the launch of a number of new digital free-to-air channels, Australian pay TV operators have been feeling the squeeze as viewers were quick to take advantage of the new conditions. However, in competition, Foxtel and Austar have served up to 30 new channels in a bid to attract FTA viewers to their subscriber base. Meanwhile the growing uptake of the iQ recorder is strengthening the value of Foxtel, as subscribers have slightly higher Average Revenue per User.

This report was archived in 2010 and contains background information on the state of the industry in 2010. Statistics and recent information are available in separate reports: see www.budde.com.au

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