Sky TV says it is assessing the financial consequences of its new satellite and extra support for customers. Photo / Rich Parsonson
Increasing numbers of Sky TV customers have been left frustrated as they lose satellite signal and, therefore, coverage of their favourite channels, shows and sports coverage.
The company confirmed on Monday it had had to increase helpline and frontline technical call-out resources to lookafter customers because the existing and ageing Optus D2 satellite has been moved out of position.
“Sky is aware that a growing number of customers have experienced intermittent signal disruption in recent weeks following the decision by Optus to place the existing satellite into an inclined orbit to conserve fuel,” publicly-listed Sky TV said in a notice to the NZX.
The satellite is nearing the end of its life, ahead of a new satellite being operational – expected by May.
“Sky is working with individual customers to remedy these issues, and has increased its operational capacity in both customer care and in‐field services to take every step within its control to ensure customer needs are met,” the company told the NZX.
Although the company has said the number of customer complaints is small – online forums reveal that dozens of customers are angry about losing Sky coverage.
One Waiheke Island customer said she had been left “underwhelmed” and “annoyed”.
“Just rang Sky due to ‘No Satellite Signal’ message showing for two days on my white Sky box. After going through all the pointless steps that did nothing I was told getting a technician out to fix it won’t happen till March 1st!”
Another said: “I think it would be a very good idea if Sky owned up publicly that they do indeed have a problem, instead of fobbing us off like they have been. An apology and a statement that they are doing something about it would be very much appreciated. I am an old lady I’m my 80s and don’t know how to organise a protest or I would.”
Sky told the NZX yesterday that it had been undertaking an “accelerated migration plan” to move from the Optus D2 satellite to a new satellite by May.
“The accelerated programme was initiated upon advice from satellite provider Optus that the current D2 satellite would reach the end of its commercial life earlier than anticipated.”
Optus had provided two replacement options – Sky had landed on a preferred choice of a new satellite that would be “located in the same orbital slot as D2″.
“Based on project updates provided by Optus as well as progress on Sky’s own programme milestones, Sky remains confident that it can achieve migration to the new satellite by May 2025, noting there remains [sic] inherent technology and logistical risks to the successful migration, some of which are outside Sky’s control.”
The alternative satellite – which is in a different orbital slot – would remain a contingency option.
“Sky will continue to prioritise a smooth transition for customers, noting that the preferred satellite significantly reduces the near‐term requirement for home visits to customers [given the common orbital slot with D2].”
Sky was also continuing to “accelerate” the rollout of its new, internet-connected Sky Box and the IP‐only Sky Pod, thus negating the need for satellite access.
It was also reminding customers of their “existing complimentary access to companion app Sky Go which is available to all Sky Box customers”.
It told the NZX it was “assessing the financial consequences of progressing the preferred satellite option, as well as the increasing cost and revenue impacts associated with providing additional near‐term, pre‐migration customer support as the D2 satellite reaches end‐of‐life”.
“While management fully assesses the impact of the final phase of the migration project, Sky advises that any revenue, opex or capex impacts will be treated as one‐off items and therefore excluded from its normalised FY25 guidance and from the calculation of free cashflow for dividend policy purposes.
“Sky continues to receive assurance of security of satellite supply from Optus through to 2031 and is focused on ensuring a successful migration by May 2025.”
The company would give an update on the satellite issues at its interim results announcement on February 21.
Editor-at-Large Shayne Currie is one of New Zealand’s most experienced senior journalists and media leaders. He has held executive and senior editorial roles at NZME including Managing Editor, NZ Herald Editor andHerald on SundayEditor and has a small shareholding in NZME.