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The satellite elephant in the room

How many ways can you say "No comment"? Read all about the topic that had Nine, TEN and Seven ducking for cover.

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If ever there was a topic that commercial Free to Air Networks are reluctant to discuss it is the issue of channel availability via Foxtel satellite.

Nine, TEN, Seven and WIN were all coy in their answers when TV Tonight asked about Foxtel satellite subscribers being able to access their full suite of channels. Many experienced spokespeople were doing their level best to avoid the words “No Comment.”

Some wouldn’t even answer some questions.

While Foxtel cable viewers enjoy a full suite of channels, the situation for Foxtel satellite viewers is more complex, compounded by problems depending on where you live.

Upstaging the commercial broadcasters are public broadcasters ABC and SBS who offer all their channels to all Foxtel viewers around the country, whether they are cable or satellite subscribers.

Seven, 7TWO, Nine, GO! and TEN are re-transmitted via satellite in Sydney, Melbourne and Brisbane, but not in Adelaide, Perth, regional WA or Canberra. This is because the networks have not agreed to bear the satellite costs associated with retransmission.

Their HD channels are not transmitted to satellite viewers on Foxtel anywhere in the country for the same reason. The HD signal requires a larger bandwidth and therefore a higher cost.

But who should bear the satellite costs? Foxtel or the Free to Air networks?

A Foxtel spokesperson told TV Tonight, “Foxtel does not guarantee subscribers access to all of the retransmitted commercial free to air services.

“Foxtel has a standing offer to all the Broadcast Networks that Foxtel will retransmit their channels on satellite so long as they pay the cost of the satellite bandwidth, at cost, from our satellite provider – Optus.

“ONE, 7Mate and GEM are all HD channels and to date the relevant networks have not seen fit to pay the costs to retransmit.”

Even SD channel ELEVEN isn’t transmitted.

Free to Air networks appear to be reluctant to foot the bill, any bill, where the number of subscribers does not justify the expense.

A Seven spokesperson said the decision is based on the economics of the HD market and its growth forecasts from publicly known subscriber data.

“We are constantly reviewing subscription numbers, it is very hard to justify SD bandwidth in more markets based on publicly known SD subscriber data in these markets.

“When will Foxtel increase its HD subscribers to justify the cost of Satellite bandwidth?”

A TEN spokesperson said the matter was commercially sensitive but was continuing ongoing and protracted discussions with Foxtel.

“There is a cost to them to do it and they try and recoup the cost of that with us,” they said.

In January the network launched ELEVEN, abandoning its former TEN SD signal. ONE underwent a programming revamp this month adding new dramas -but neither is available via Foxtel satellite.

“This has been something we’ve been discussing with them for quite some time. Clearly when ONE was operating as it was last year and the audience wasn’t particularly strong for us there were factors that we had to take into consideration,” they explained.

“ELEVEN is a completely different kettle of fish because its audience is strong and it did well really quickly. So we’re still going through that process with them.”

Nine has markets in Sydney, Melbourne and Brisbane where Nine and GO! are currently available, but not GEM. The markets of Adelaide and Perth have none of the Nine suite via satellite, but these fall under the domain of WIN Television.

Nine was the most reluctant of the big three to discuss the issue, simply confirming what was currently available and deferring to WIN for other markets.

Nine declined to answer some questions, but on the question of whether the bandwidth cost of an HD channel in GEM differs significantly from the costs of an SD channel, it simply answered: “No.”

WIN Television declined to answer any questions at all.

So what’s the big deal? Can’t viewers simple exit the Foxtel platform and watch these channels like everybody else through conventional methods?

That’s what networks are counting on.

But if subscribers are lax at exiting the Foxtel platform, it could impact on ratings as well as missing promotions of upcoming programming.

It also means those programmes cannot be recorded on IQs: including The Amazing Race, Survivor, An Idiot Abroad, The Simpsons, Neighbours, Family Guy, The Big C, Nurse Jackie, Supernatural and Sons of Anarchy.

For Perth and Adelaide viewers the problem is much worse, given Seven, Nine an TEN are also unavailable.

Despite some of these channels approaching their second birthday, networks publicly push a line about “on-going discussions” to address the problem. It’s just as well the question wasn’t about HD content.

It seems viewers are being left behind while the political football of transmission costs drags on.

As one spokesperson told TV Tonight, “We hope that we will find a resolution but I can’t say when the resolution will be.”

71 Responses

  1. Not to mention that foxtel could rebroadcast the HD channels in SD if they wanted too.. would be cheaper for them and the networks.. but of course they wouldn’t want to do anything that would advantage the FTA networks. Foxtel is not bound by the legislative restrictions on the FTAs which stop them from putting GEM, ONE or 7MATE on SD

  2. @Justin: luckily, you won’t have to care whether it is live on fta, because you’re a foxtel subscriber and all nine games will be live on fox.

  3. As a Foxtel Satellite subscriber from the NSW Central Coast, I really hope the FTA’s start rebroadcasting all their channels via Foxtel. Not only is changing inputs to watch FTA networks annoying, the local FTA reception is awful. Pixels and garbled (or No Signal) channels do not encourage me to watch.

    I want to be able to watch, record, series link FTA programs, but can’t. I don’t get to watch FTA shows much (except 7, 9, GO, 7TWO and 10 – which thankfully are on Foxtel)

    Considering how much I pay for Foxtel as it is, I would Not be in favour of paying extra for FTA channels, as some here have suggested. It’s in the FTA’s best interest to make themselves available to as many viewers as possible – if they want ratings.

  4. Having been a Foxtel satellite subscriber here in Adelaide for years it is a bloody disgrace that we don’t get 7,9,10 i where ever possible refuse to watch free to air because of this they treat us like second class citizen’s here in Adelaide. And we still wont be getting live Friday night free to air footy here in Adelaide next year what a joke.

  5. @Armchair Analyst:

    Fact is, they Are doing it. And they are businesses, so you know they wouldn’t be doing it if it wasn’t profitable to them.

    At the beginning only Nine signed on for it, Seven and Ten did not… and a few years later, suddenly Seven and Ten wanted in as well… what changed their minds? Obviously they feel it makes financial sense for them to be on the platform, otherwise they wouldn’t have agreed to foot the retransmission bill.

    What do they get out of it? Ratings. If some of those 30% who have PayTV are to lazy to switch out of the AV/HDMI mode, or are less likely to watch a show that isn’t in their EPG, or able to be recorded/series linked on their PVR, then those are lost viewers. I don’t know how many there are like that, but the proof is in the pudding, clearly Seven/Ten think there are enough to warrant voluntarily signing a retransmission agreement with Foxtel.

  6. Since i have found out about free to air channels being broadcast on Foxtel i have always wondered. What exactly do FTA Networks get out of that deal? considering they have to pay to have their channels broadcast on the pay tv spectrum. it would be good if the FTA networks just ceased their relationship from pay tv. The Networks want people to think that pay tv is there enemy when really they are not. They should all just give each other free publicity and thats it declare that they are all in bed with each other.

  7. Question: why do free to air networks supply advertising for foxtel when they know that the more people who join foxtel, the less viewers they are most likely to get? Please Explain!

  8. Simple Solution to this whole scenario is for Foxtel to pay for satellite costs to satisfy their customers. Why should the Free-to-Air networks spend money to satisfy a small percentage of the population because “it’s too much effort to switch from Pay-TV to FTA on my TV” or “I can’t record Eleven or GO! on my IQ”.

    The Free-To-Air networks should instead focus this money on more quality programming, while Foxtel can take the money from the Foxtel subscribers and give them a service that they want.

  10. If you got foxtel, you wanted foxtel, you didn’t get it Just because your aerial was crap, a new aerial is cheaper than a lifetime subscription to foxtel.

    also, i didn’t say that ppl with foxtel didn’t/don’t want the fta’s on there, just that noone will get foxtel just for the fta’s (or cancel because of a lack thereof).

  11. @DansDans, that was Before the govt launched VAST. if ppl are getting foxtel just for fta, then they are simply not aware of VAST. nobody would pay money for something they can get for free. either that, or they are simply not aware of it.

  12. @Dakota, you need to have an iQ2, be on cable (not satellite), And be subscribed to the HD tier in order to get GEM and 7mate. But they are on there.

    @Billy, if you’re not getting the FTA channels on Foxtel, then it’s because your unit only has one satellite input, which is shared with all the other units. as a result you can only receive the channels on horizontal transponders (the fta channels are on vertical transponders) so as not to interfere with the reception to the other units.

  13. @Ararat – now you’re talking through you a$$ mate. When I worked for fox, quite a lot of the technical calls I got were from people who wanted FTA on their service and couldnt get it – A lot! And I also got Foxtel in because the aerial in the spare room was poor and couldnt pick up any digital TV, so Fox became the only option to get FTA (added bonus of getting Foxtel as well – no reason to get a new aerial)

    There are Lots of people out there who get Foxtel and primarily watch FTA channels. Dont kid yourself.

  15. A ‘must carry’ clause is whats needed. foxtel should hav a stb that can do sat and terrestial
    im more upset that some regions ie Mt Gambier dont
    have 7two 7mate go gem ONE or ELEVEN now thats quite sad

  16. I hope this doesn’t count as a stupid question, but I don’t think GEM & 7mate are part of the Foxtel Cable suite either are they? I was extremely happy when ELEVEN was put on there, but I don’t have those channels available to me on Foxtel.

  18. Kudos to you David. Thanks for asking these questions.
    Tyson you are a grade A jerk! If you dont like this site, simple buddy P**s Off! And leave the rest of us enjoy this quality site in peace.

  19. Oh Tyson, that is hilarious. “Widely known..” Okay.

    David, myself and at least 10-15 of my friends come here regularly, and none of us are in any way associated with the TV industry.

  20. and to those geniuses suggesting that foxtel should pay the fta’s for being on the foxtel platform, that’s just moronic. they get the right to broadcast their ads on an additional platform. what does foxtel get out of it? just convenience for its customers (Nobody signs up to, or stays with foxtel based on whether or not they retransmit something that is available for free, what fool would pay money for that?).

    want proof? the fact that 7/9/10 are all paying $$$ to be on foxtel, and not getting $$$ from foxtel in return (and noone is forcing them into this) is hard indisputable proo that such arrangements are in fta’s favour rather than foxtel’s.

  21. ppl, stop addressing tyson, he is likely a troll employed by the networks to distract everyone from the topic. and he’s succeeding.

    the odd fact is that the government pays for the retransmission of All channels from all over the country on the same satellite as foxtel via its VAST service. surely foxtel/the networks could negotiate that they will contribute a portion of what they pay now for retransmission towards the government, and in return will be allowed access to these channels on Pay boxes as well.

    everyone wins (except optus who is renting out the transponders). foxtel gets all fta’s on its service, the networks end up paying less for their carriage on foxtel, and the government has it’s cost for running VAST subsidised.

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