Wednesday, March 28, 2007

PCCW Achieves Forecast

PCCW in Hong Kong ended 2006 with 758 thousand IPTV subscribers, which is 8 thousand than the 750 thousand that it had forecast for the year. This is an increase of 209 thousand increase over the 549 thousand IPTV subscribers that it had at the end of 2006. PCCW's broadband subscribers grew to 1.117 million at the end of 2006 from 953 thousand at the end of 2005.

PCCW received HK$739 million (US$95 million) in IPTV and content revenue in 2006. 501 thousand of the 750 thousand IPTV subscribers are pay TV subscribers. (The remaining 249 thousand IPTV subscribers take only the free channels included in the broadband subscription.) The ARPU for IPTV and interactive services grew to HK$140 (US$18) at the end of 2006 compared to HK$114 (US$15) at the end of 2005.)

PCCW added more than 30 TV channels in 2006 bringing its total to 120. This included exclusive rights for broadcasting the English Premier League (EPL) and the Union of European Football Associations (UEFA) soccer matches. PCCW plans to introduce HD in H2 2007 using ADSL-2+ at 18 Mbps..

PCCW's 2006 results are available at Take a look at both the Annual Results Announcement and the Annual Results Presentation.

PCCW continues to add IPTV subscribers at a strong rate and to meet its own forecasts for its business. I have stopped second guessing them and accept their projections even though they are in a saturated broadband market. PCCW's IPTV service has been an important factor in its ability to add broadband market share and to retain basic telephone customers.

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