Industry Analysis & Industry Trends
Industry operators create complete TV programming schedules using content they have purchased or produced themselves. Over the past decade, the industry has undergone significant changes. For instance, it is increasingly dominated by subscription packages rather than free-to-air broadcasts and has come to include video-on-demand services provided on screens other than TVs. The switch to digital TV has had the biggest influence on the industry, allowing the number of new channels to increase rapidly and changing the sources of broadcasters' revenue. Industry revenue is expected to grow at a compound annual rate of 2.4% over the five years through 2016-17, reaching £12.6 billion, including growth of 2.5% in the current year... purchase to read more
Industry Report - Industry Investment Chapter
The industry has a medium level of capital intensity. IBISWorld estimates that the average broadcaster will operate with a capital-to-labour ratio of 0.25:1 in 2016-17. This indicates that for every £1.00 operators spend on capital, they are expected to spend £3.97 on wages. Capital costs are higher than the historical average because the digital changeover required expensive new infrastructure. Labour costs have also risen in recent years.
Historically, the industry's main capital requirement has been server infrastructure. Although the transmission of signals is typically outsourced, providing a consistently high-quality signal to transmitters without downtime or distortion has tended to require a significant amount of computing power. As .. purchase to read more