Washington, D.C.
(February 7, 2007)
-- DIRECTV said today that 30 percent of its 16 million
customers subscribe to a High-Definition or Digital
Video Recording service.
That would come to approximately 4.8 million subscribers overall.
In a conference call with analysts, DIRECTV officials did not break down the numbers into separate categories. But they said the HD and DVR subscribers are helping to reduce churn.
Many high-def and DVR subscribers sign up for two-year commitments in return for set-top and programming discounts.
"We are continuing to improve the quality of our subscribers," said DIRECTV CFO Mike Palkovic, referring to DIRECTV's campaign to attract and keep subscribers who pay higher monthly programming fees. "The two-year commitments reduce churn."
That would come to approximately 4.8 million subscribers overall.
In a conference call with analysts, DIRECTV officials did not break down the numbers into separate categories. But they said the HD and DVR subscribers are helping to reduce churn.
Many high-def and DVR subscribers sign up for two-year commitments in return for set-top and programming discounts.
"We are continuing to improve the quality of our subscribers," said DIRECTV CFO Mike Palkovic, referring to DIRECTV's campaign to attract and keep subscribers who pay higher monthly programming fees. "The two-year commitments reduce churn."
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In releasing its fourth quarter report today, DIRECTV said it added 275,000 net subscribers during the time period, bringing its overall total to 16 million.
The satcaster also said that its quarterly profit nearly tripled.
However, some Wall Street analysts questioned whether DIRECTV could maintain the growth due to increased competition from cable.
In other high-def remarks, DIRECTV said:
* That "software problems" with its HR20 HD DVR led to numerous returns and related issues in the fourth quarter. But DIRECTV CEO Chase Carey said the company believes that it has reconciled the problems.
* HD and/or DVR subscribers pay $30-40 more per month in programming fees and services. In addition, churn within that group is less than one percent, far less than the average.
"So long as those numbers hold up, investing in HD and DVRs will continue to be a priority for us," said Palkovic
* The explosion of a Sea Launch rocket this month will not change DIRECTV's plans to offer 100 national HDTV channels by year's end. Sea Launch is scheduled to launch the second of two DIRECTV satellites this year. Carey said the first satellite, a ground launch, will have enough capacity for the 100 channels.
He added that it's still unclear if the second Sea Launch satellite will be delayed.
Click TVPredictions.com to see today's Swanni Sez.
© TVPredictions.com
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In releasing its fourth quarter report today, DIRECTV said it added 275,000 net subscribers during the time period, bringing its overall total to 16 million.
The satcaster also said that its quarterly profit nearly tripled.
However, some Wall Street analysts questioned whether DIRECTV could maintain the growth due to increased competition from cable.
In other high-def remarks, DIRECTV said:
* That "software problems" with its HR20 HD DVR led to numerous returns and related issues in the fourth quarter. But DIRECTV CEO Chase Carey said the company believes that it has reconciled the problems.
* HD and/or DVR subscribers pay $30-40 more per month in programming fees and services. In addition, churn within that group is less than one percent, far less than the average.
"So long as those numbers hold up, investing in HD and DVRs will continue to be a priority for us," said Palkovic
* The explosion of a Sea Launch rocket this month will not change DIRECTV's plans to offer 100 national HDTV channels by year's end. Sea Launch is scheduled to launch the second of two DIRECTV satellites this year. Carey said the first satellite, a ground launch, will have enough capacity for the 100 channels.
He added that it's still unclear if the second Sea Launch satellite will be delayed.
Click TVPredictions.com to see today's Swanni Sez.
© TVPredictions.com
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Phillip Swann is president and publisher of
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Times, The Associated Press and The Hollywood
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