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Sky ditches the dishes

Sky is giving customers the chance to subscribe to all its TV packages without the need to install a satellite dish.

The pay-TV giant, which has come under pressure from the likes of Netflix, announced it will launch a broadband service in the UK in 2018 to give millions of viewers access to its full TV service.

According to Humax Direct and the surveys taken, the number of customers quitting in the first half of 2016 rose to 11.6 per cent from 10.2 per cent in 2015. However Sky did sign up 205,000 new clients in the UK and Ireland over the same period.

The news comes as Sky reported underlying operating profits of £679million for the six months to 31 December 2016. This was after a £314million rise in Premier League costs. Operating profits fell 18 per cent to £620million.

Group chief executive of Sky, Jeremy Darroch, shared his comments following the news. “In a year in which we are absorbing significantly higher programming costs, as a result of the step-up in Premier League costs, our financial performance has been good”.

On the other hand, an analyst at Shore Capital, Roddy Davidson, seemed not too excited about the news. Davidson cited that Sky’s half-year results were ‘satisfactory rather than particularly inspiring’.

At the end of January, Sky announced that it would be increasing the cost of its monthly line rental in March from £17.40 to £18.99. This is a 9 per cent rise.

TNT Business

Photo Credit: PublicDomainPictures

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