The Satellite Triple Play: Sky Results<< Dial-up is slower than it was | Main | OLPC - One Laptop Per Child >> IanFogg | July 11, 2007, 05:48 PM There's an assumption I encounter regularly in Europe -- typically from US-based folks -- that while cable is weak here now, cable will win out in the long run; that cable is the natural broadband winner and delivers better quality than DSL; and that triple plays and multiplays are something only a cable company can deliver. Someone should tell Sky. Today, Sky announced their latest quarterly results: - 8 million TV households in the UK alone, plus more in Ireland, that's almost two and half times the UK's cable operator. Why is Sky so strong here and not cable? Some of the main factors: Market: The regulatory environment in the UK is totally different. DSL lines are shorter / better quality and so can deliver faster speeds more reliably. The DSL industry is set up to enable new entrants and the incumbent telecoms operator is relatively weak. The telephony market is organized to foster competition. Company dynamics: Sky has a strong brand and is tremendous at executing on its strategy. Cable is still working through the growing pains of numerous mergers over the last 10-15 years, frequent re-brandings, highly variable network quality between franchise areas, and has an ongoing hangover from surviving chapter 11. Read more about how DSL and cable compare in a variety of European countries in these reports : Cable Broadband Versus DSL, Competitive DSL ISPs, Cable Broadband in Europe, |
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