The pay broadcaster Sky wants to get out of the crisis with a new type of device. The start in Germany is at the end of 2022.
Anyone looking for the program of their choice on television can despair today. There is more content than ever before, but it is spread across more and more providers. Various apps and reception boxes, meters of cable or satellite dishes make things increasingly confusing.
“There is an explosion out there,” says Devesh Raj, head of Germany for the pay-TV channel Sky, about a development that is stressful, frustrating or overwhelming. Sky will change that now. To this end, the British broadcasting group has developed a new type of streaming television, which it describes as “revolutionary”. “Sky Glass” is the name of the announced miracle device that CEO Dana Strong is presenting to the public for the first time at the company’s London headquarters. “It makes everything easier,” she promises. Compared to conventional TV sets, it’s like jumping from a cell phone to a smartphone. “We believe this is the smartest TV available.”
More soberly, it is an Internet television with cinema sound and voice control, the menu navigation of which is tailored to Sky. As usual, the available offer is sorted by categories such as sports, series or films, and across all platforms. Sky offers are next to those from Netflix or Disney, provided that you have the right of access.
In fact, it seems pleasant that a single remote control is sufficient and additional devices are superfluous. The device is also suitable for video conferences or game consoles. All you need to install is an Internet connection with a home network and a socket for the only remaining power cable.
But it is also clear that Sky wants to make itself the control center of modern television consumption. Whoever switches on the device by picking up the remote control is first presented with program suggestions that are tailored to the pay-TV channel. You can create your own playlist. Linear programs such as those from ARD or ZDF and their media libraries are also easily accessible.
Three sizes, also rented
In any case, this will be the case at the end of 2022, when “Sky Glass” starts in Germany. It will be ready in ten days on the British home market. The device is available there in three sizes, which cost the equivalent of a good 760 euros to more than 1200 euros. Technically somewhat comparable devices are about a third more expensive, according to Sky and also offers monthly rent for installments of 15 to 25 euros. In Germany the prices will be similar, says Raj. The existing package structure of the German Sky payment programs will not be changed. The price for this has to be added to a monthly rent for the device. In Great Britain that would be a total of 46 euros per month for a Sky package with Netflix plus television.
The message is clear. Whoever has “Sky Glass” doesn’t need anything else. The move into the device market is no coincidence. Streaming services like Netflix are increasingly draining the water from traditional pay-TV companies like Sky. The pay broadcaster has not provided any figures for Germany for years, but the domestic market across all providers has stagnated for years with around eight million paying customers. In 2020, sales across the industry fell by 200 million euros to 2.1 billion euros. The clear winners were Netflix & Co. Every German TV household has now subscribed to two streaming services on average.
Search for broadcast sovereignty
“Sky Glass” is the attempt to conquer broadcasting sovereignty and to integrate competitors such as Netflix or Disney in a controllable manner. Because only those who have a Sky subscription can buy or rent. The company is silent about what the development of the device cost or what sales and subscription numbers are expected from it. So you don’t have to be confronted with possibly exaggerated expectations later.
The Sky Glass for Great Britain is being built on the British Isles. It has not yet been decided where the German version will be manufactured, says Raj. He, too, urgently needs a new marketing argument for the German market, since sports rights are increasingly being lost in the field of soccer. Seven million Germans buy a new television every year, says Raj. Sky will be there from the end of 2022, including a Sky subscription.
