Roughly half of our planet’s population has access to a television set. And while those 50% might not sound like much, you should still take into account the fact that it works out to be about 3.5 Billion people who watch at least some form of broadcasting.
If you just happen to be living in the UK, that number rises all the way up to a whopping 96%, second only to the US, which sits at almost 97%.
And if you’re enjoying your television in the UK it is entirely possible you’re doing so on one of British Sky Broadcasting’s many channels, as that company is the largest provider of digital and satellite television in the UK with over 10 million subscribers in the UK and Ireland.
Sky television and British Satellite Broadcasting merged in 1990 to form the broadcasting giant, both companies were in financial dire straits and a merger was believed to be a lifeline for both and despite the merge generally being considered to be successful, the new entity still came under investigation from the office of fair trading and independent broadcasting authority, there were concerns that one of BSkyB’s principal owners – Rupert Murdoch, who already owned several newspapers which along with BSkyB’s news division would equate to a strangle hold on multiple forms of communication.
As a result of those investigations, BSkyB had to undergo a massive re-organization, which included massive budget cuts and layoffs; all in order to decrease weekly loses in excess of 10 million and an overall debt of £1.28 billion.
BSkyB’s early saving grace and main marketing tool was, not surprisingly – sports, or to be more precise: Football.
In 1991 BSkyB joined forces with BBC and together they managed to produce an offer of greater value than their main rival and previous rights holder – ITV, BSkyB paid just over £300 million for about 60 live matches for every year of the 5 year deal, and with that, they had assured themselves of a financial future in the football obsessed UK, their hold on Premier league matches continued to be complete until 2006 when they began sharing a small part of live broadcasts with Irish based Setanta sports.
BSkyB’s business model went to a full pay service in 1993 and by mid-1994 they were reporting over 3.5 million household as subscribers, profits began to skyrocket, and by 1995 the company announced its intention of entering UK’s stock market – the FTSE100.
Since that time, BSkyB has continued to expand its user base as well as the limits of its service, it went digital in 1998, one of the first broadcasters in Europe to do so, and they also launched the UK’s first HDTV services in 2006.
Both BSkyB and its primary owner and founder Rupert Murdoch have been under investigation multiple times for numerous violations of privacy laws and attempts to influence government policies in relation to broadcasting and reporting, but that did not seem to have a great effect on BSkyB’s money making, and it should not impact your decision to trade in BSkyB binary options.
While BSkyB’s market seems to be pretty well established, as with any other company, it continues to seek growth in income, to do so, it seems only logical that it would have to offer increased content or services, so in addition to looking at incomes you would be well advised to pay attention to potential purchases, expansions or new broadcasting technologies BSkyB intends to use, as those will likely affect BSkyB binary option prices.
Invest smartly in BSkyB binary options, and you may hear the news of your profits broadcast all over the UK…