A record-breaking crowd of 520 satellite TV executives, financial analysts and news media gathered in New York today for SkyFORUM, a day-long symposium dedicated to the discussion of important issues in the Direct-To-Home (DTH) satellite TV industry. In his opening remarks, Satellite Broadcasting and Communications Association (SBCA) president Chuck Hewitt announced that the DTH industry enjoyed its strongest first quarter ever in 1998, adding 494,000 new DBS subscribers, for a total of over 8.8 million DTH homes in the U.S. By comparison, the first quarter of 1997 saw the addition of 454,000 new subscribers.
"The continued upward swing in our subscriber growth is very
exciting," noted Hewitt. "At this rate, we fully expect to surpass
the 10 million mark this year. We're still a very young industry,
and growth like this is the best possible evidence we could hope for
that Americans are responding to, and increasingly opting for, the
video delivery method that offers the most viewing choice, the
highest-quality pictures and sound and the best service."
Evie Haskell, managing director of SkyTRENDS/Media Business
Corp., also announced some encouraging statistics for the DTH
industry. According to Haskell, the subscription and retail DTH
satellite services in the U.S. grew by 32 percent in 1997, and as of
Jan. 1, 1998, there were 29 states in which satellite TV
penetration topped 10 percent of the population.
In a panel discussion Wall Street analyst Hoyt Davidson of
Donaldson, Lufkin & Jenrette, reflected the financial industry's
growing optimism towards satellite TV, noting: "We're very
encouraged by the first quarter growth of DBS subscribership and the
growth of the entire DTH sector. With such promising numbers, we're
very bullish on the satellite TV business."
Also encouraging for the DTH industry was a report from research
firm the Yankee Group, which recently conducted a survey of home
dish owners. Bruce Leichtman, director, Media and Entertainment
Strategies, noted: "In our survey of satellite TV viewers, we
discovered that 88 percent rated their satellite service as either
'excellent' or 'above average.' This number reflects a level of
consumer satisfaction that is rarely achieved, and is a strong
indication of the DTH industry's overall vitality."
In another major announcement, Hewitt unveiled plans for two
cross-membership segment committees to develop and implement an
industry-wide certification and standards program. The program's
goal is to implement a retailer training and testing program that
will certify satellite retailers to install and service satellite
products.
SkyFORUM attendees enjoyed a luncheon speech by Christie A.
Hefner, chairman and CEO of Playboy Enterprises Inc., three panel
discussions featuring leading DTH providers, programming executives
and Wall Street analysts, as well as one-on-one interview
discussions with the top executives of all major DBS companies.
The Satellite Broadcasting and Communications Association (SBCA)
is the national trade organization representing all segments of the
home satellite television industry.
