After a much prolonged consolidation in the cable TV sector, the battle for dominance in the world of satellite and cable TV has boiled down to a fight between two main players: BSkyB, which delivers programming via satellite and Virgin Media, the company comprising the former ntl and Telewest cable networks. In essence, it also symbolises a more personal battle between the top men at the parent companies of each operator - News Corporation’s Rupert Murdoch and Virgin Group’s Richard Branson. This battle has not been restricted to the home either, for the two companies have come up against each other in the courts following widely-publicised criticism and disagreements and this battle has yet to be concluded.
Both BSkyB and Virgin Media have now emerged as cross-media communications operators, rather than simply providers of multichannel TV, and this is likely to be the key battleground for the market going forward.
This report considers the hypothesis: “As the way people consume TV continues to develop and advance, the most successful operators in the satellite and cable TV market will be those who can offer a more comprehensive entertainment and communications solution, allowing consumers to customise services to suit them across a range of different media.
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