New Zealand - Broadcasting - FTA, Pay TV, Digital TV and Radio - Overview - 2010

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Last updated: 30 Jun 2010 Update History

Report Status: Archived

Report Pages: 10

Analyst: Stephen McNamara

Synopsis

Although the dominance of FTA television as a mass communication medium has been unsurpassed for many decades, the industry is now facing challenges from a number of fronts as incumbent broadcasters cling to their lucrative oligopolies. The FTA networks are competing for viewers and advertising in 2010 to maintain market share.

Pay TV penetration stands at around 50% of New Zealand households in mid-2010 with PVR customers from the MySki doubling in the last year. However BuddeComm doesn’t see penetration growing much further unless prices come down to more affordable levels.

Nevertheless some sectors of the broadcasting market are on a high. Local content on TV increased nearly 500% since 1989 to 2010 creating much needed local employment opportunities also increasing NZ media exports. Meanwhile in June 2010 New Zealand’s first TV channel ‘Heartland” containing 100% local content was launched by Sky and TVNZ.

The government plans to switch off analogue TV by 2015 or when 75% of homes have digital TV service. While there is discussion that the switch off date may be brought forward possibly to 2013, in the meantime, SKY became the first New Zealand 100% digital TV broadcaster after decommissioning the 20 year old analogue network in early 2010.

This report provides a snapshot of the FTA, Pay TV and Digital TV markets as we covered in 2010. More recent up-to-date information including statistics is provided in the later dated report – New Zealand - Broadcasting - FTA, Pay TV, Digital TV and Radio - Statistics & Overview - 2011.

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