Sky adds 152,000 broadband users in just one quarter
BSkyB appears to be the broadband provider that is still on the ascent, having added over half a million customers in the last year, and with the completion of the purchase of O2/Be broadband customers there is a chance they may break the five million mark at the end of the next quarter.
"Additionally, we are creating 550 new jobs to meet demand for our products and serve our growing customer base over the next 12 months. These will be based across the UK with 200 in Sky Retail Sales, Sky’s in-house sales team, and 350 in our customer service centre in Newcastle, supporting growth in our broadband customer base following the acquisition of the O2 and BE consumer broadband and fixed-line telephony business.
As we announced in March, the Group has reached an agreement with Telefónica UK for the acquisition of its O2 and BE consumer broadband and fixed line telephony business. The transaction completed on 30 April 2013 and both subscriber and financial impacts will be included in future periods, including any exceptional costs incurred as a result of the transaction."Extract from BSkyB results ending 31st March 2013
The total number of Sky broadband customers at the end of March 2013 was 4,387,000 (only 175,480 are not on a LLU connection). Three quarters of the LLU customer base is on a full LLU service (both broadband and telephone via Sky hardware), with the LLU network operating from 2,202 exchanges across the UK.
One aspect that appears to be driving increased levels of bundling has been the rise of On Demand services, and to help encourage their take-up some Sky Movies customers will be offered a wireless connector to allow them to easily connect their Sky+HD box to their Internet connection. Also the early adopters of Sky+HD who are still using the early boxes (150,000 subscribers) will be offered a free upgrade to the current HD box.
Sky has cleverly embraced the on demand TV world, which has the ability to otherwise reduce the broadcasters dominant position in the satellite market, Sky Go which is a free add-on for Sky TV customers has some 3.2 million unique users, and Sky Go Extra which includes a subscription element has a smaller customer base of 44,000. NOW TV which is a subscription service available to any UK Internet user is only mentioned as developing with no customer numbers.