28 Oct 2014

Sky TV launching new services

6:41 am on 28 October 2014

Sky Network Television wants to double its content capacity and improve its profitability in the long run - but at a short-term cost.

Chief executive John Fellet told its annual shareholders meeting on Friday he expects a flat operating profit for the year ending June 2015 in line with analysts' forecasts.

That would reflect the impact of upgrading all subscribers to internet-enabled My Sky decoders from early next year, costing about $100 million over 18 months.

However, Mr Fellet said the upgrade would double Sky's useable satellite capacity so it can deliver richer content.

Sky is also launching Neon - an internet-based, on-demand, movie and television service aimed at non-subscribers available at $20 per month without a contract, he said.

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