Sky looks at free-to-air channel

A free-to-air television channel is being considered by the pay television network SkyTV.

The Dominion Post reported SkyTV's director of communications, Tony O'Brien, as saying the free channel was at the conceptual stage.

"It's an opportunity for us to replay our various sports programming and include some first-run products as well."

SkyTV was looking at converting some of its UHF channels to free-to-air, but would also investigate buying either Prime or TV3's C4 music video channel, he said.

SkyTV is cashed up after quadrupling its profit in the second half of 2004 to $48.8 million, thanks to an increase in subscriber numbers and higher revenue per user.

The move to a free-to-air television channel would put the broadcaster head-to-head with TVNZ, TV3 and Prime.

A free version of SkyTV, broadcasting movies and delayed rugby, league and cricket, would shake up an already intensely competitive market and boost Sky's share of a fast-growing advertising pie.

- NZPA