Broadcast group ProSiebenSat.1 planning paid TV options
Heavily indebted private German broadcaster ProSiebenSat.1 wants to move into paid TV channels to help increase revenues, financial daily Handelsblatt reported on Wednesday.
“The direction for us is clear: We must become independent of the advertising market,” CEO Thomas Ebeling told the paper.
Options for the company – which runs the free digital terrestrial channels ProSieben, Sat.1, Kabel 1 and N24 – include pay TV and video-on-demand over broadband internet.
By 2014, ProSiebenSat.1 hopes to glean some 30 percent of its revenue from sources other than advertising – double the current amount, the paper reported.
But the changes at the Munich-based broadcaster will take place slowly, Ebeling emphasised.
After purchasing Scandinavian television channel company SBS in 2007, ProSiebenSat.1 is sitting on a debt of more than €3.4 billion. The company is expected to begin paying back part of the massive sum in 2014. But in 2008, revenue sank by six percent to €3.05 billion – some €129.1 million less than hoped.