Sky Announces Details Of Proposed New Service

BSkyB has announced details of its new service that it hopes Ofcom will approve, bringing together TV, broadband and telephony services for DTT viewers.

‘Picnic’ is said to build on the success of its broadband offer to DTH satellite subscribers that is capable of reaching 70% of the UK through Sky’s unbundled telecoms network.

Despite the announcement, the actual launch of the service is dependent on the autumn consultation by Ofcom on Sky’s proposals for an MPEG-4 service over the DTT platform (see New Sky Service To Lure Consumers From Free TV), and potentially the pay-TV review. In addition to the DTT network, Sky is looking to also make the TV elements of the package available over broadband, and has reportedly been in talks with Microsoft (see Sky Could Make Pay-TV Service Available Via PC).

Subscribers will be able to choose one or more of the services in any combination. The television package will include access to Sky Sports 1, Sky Movies, Sky One, a children’s channel and a factual channel.

The initial service will consist of three streams using the current MPEG-2 compression standard. Subject to Ofcom’s approval Sky will then introduce a fourth stream carrying Sky News – the 24 hour news channel that is currently part of Sky’s contribution to Freeview.

The new PVR box is being manufactured by Sagem, although Sky intends to open production to other companies, and significantly includes “the ability to receive pay-TV services from other providers”.

“The launch of Picnic will be a big step forward for customers who are hungry for value and simplicity,” said the BSkyB chief executive, James Murdoch. “We are looking forward to the conclusion of the regulatory approval process, so we can get going delivering a great service and real savings to customers.”

BSkyB: 0207 705 3000 www.sky.com