Australian pay-TV operator Foxtel is launching its first Triple Play offering of broadband Internet and fixed-line telephony services bundled with its television product. The initiative follows approval by Foxtel’s shareholders Telstra and News Australia, and the execution of a wholesale agreement with Telstra. Such a move will also impact on the potential launch of Netflix in Australia.
The agreement with Telstra enables Foxtel to sell fixed-line broadband and telephony services nationally on both Telstra’s ADSL network and the National Broadband Network (NBN) as it is progressively deployed.
Richard Freudenstein, Foxtel CEO, described the move as “a transformative event” for the Foxtel business. “It will enable us to greatly enhance the breadth, quality and value of the services we offer to customers while opening up significant opportunities for growth. International experience demonstrates that triple play and broadband bundles have been hugely popular with consumers and have allowed operators to boost take up of subscription TV services.”
He said that broadband and telephony would be a tremendous complement to the traditional Foxtel service, soon to be delivered by its broadcast and IP-enabled iQ3 set-top box. “These new services will join our continually expanding offering, which includes highly flexible IP products – Foxtel Play, Foxtel Go, and the brand new online and on-demand movie service Presto,” he advised.
“These new products will draw on Foxtel’s investment in customer service and billing capability, its strong brand and rich content offerings. It is anticipated that they will enable us to acquire new subscribers and reduce churn by increasing choice and broadening the appeal of our offering,” Freudenstein added.
According to Foxtel, Benefits customers will enjoy with its new bundled service will include:
The services are expected to launch in late 2014. Pricing and other terms and conditions will be announced prior to launch.