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Dish Network rev flat in ’16 despite declining pay-TV subs

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BENGALURU:  The fourth largest US pay-TV player Dish Network Corporation (DNC) reported almost flat revenues for the year ended 31 December 2016 (FY-16, current year, quarter ended 31 December 2016 – Q4-16, current quarter) as compared to the previous fiscal. Though Dish reported 2.164 million gross subscriber additions in FY-16, its net subscriber base declined by 392,000. The company closed the fourth quarter with 13.671 million pay-TV subscribers, compared to 13.897 million pay-TV subscribers in the fourth quarter of 2015. Last year the company lost approximately 81,000 pay-TV subscribers.

Dish reported revenues of $15,094.56 million in FY-16 as compared to $15,069.90 million in the previous year. Subscriber related revenue increased to $15,033.94 million in the current year from $14,953.60 million in the previous year.

Net income attributable to Dish in FY-16 was almost double (94.1 percent more) at $1,449.85 as compared to $749.09 million in FY-15. Consequently earnings per share also almost doubled (up 93.8 percent) in FY-16 at $3.12 as compared to $1.61 in the previous year.

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Pay-TV average monthly subscriber churn for 2016 was 1.83 percent compared to 1.71 percent in 2015.Dish reported higher pay-TV ARPU in the current year at $88.66 as compared to $86.79 in the previous year.

Subscriber acquisition costs totalled $1.471 billion for FY-16, a decrease of $212 million or 12.6 percent compared to the same period in 2015. pay-TV SAC was $643 during FY-16 compared to $723 during the same period in 2015, a decrease of $80 or 11.1 percent. The company says  that this change was primarily attributable to an increase in Sling branded pay-TV subscriber activations and a decrease in hardware costs per activation, partially offset by an increase in advertising costs per activation. Subscriber acquisition costs for Sling branded pay-TV subscribers are significantly lower than those for DISH branded pay-TV subscribers, and therefore, the increase in Sling branded pay-TV subscriber activations during 2016 had a positive impact on pay-TV SAC.

Dish includes all of its Dish and Sling branded subscribers in the company’s total pay-TV metrics, including in the pay-TV subscriber, pay-TV ARPU and pay-TV churn rate numbers. The company markets its Sling TV services primarily to consumers who do not subscribe to traditional satellite and cable pay-TV services. Sling TV services require an Internet connection and are available on multiple streaming-capable devices including TVs, tablets, computers, game consoles and smart phones.

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In addition, Dish bundles broadband and telephone services with its Dish branded pay-TV services. As of December 31, 2016, it had 0.580 million broadband subscribers in the United States. Dish lost approximately 43,000 net broadband subscribers during the FY-16 compared to the addition of approximately 46,000 net broadband subscribers during the same period in 2015. The company says that the net broadband subscriber losses during FY-16 primarily resulted from lower gross new broadband subscriber activations and a higher number of customer disconnects.

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DTH

DD Free Dish locks in 8 Mpeg-2 slots; Star, Zee, Sony, Colors lead day 1

With higher prices and tighter rules, India’s top broadcasters secure coveted free-to-air positions.

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NEW DELHI: The battle for India’s television screens has officially begun. On the opening day of Prasar Bharati’s 8th annual e-auction, heavyweights like Star, Zee, Sony, and Colors successfully secured eight coveted Mpeg-2 slots on DD Free Dish.

According to the media reports, this year’s auction is a significant departure from the past. The process assumes added significance this year as it is the first after Prasar Bharati amended its E-auction Methodology, tightening eligibility conditions and revising the reserve price structure for Mpeg-2 slots.

Despite the stricter rules and higher costs, the industry’s major networks showed no hesitation. Of the eight slots sold on Monday, six belonged to the premium Bucket A plus (Hindi general entertainment) and two to Bucket A (Hindi movies).

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Industry experts suggest that this early rush is all about reach. DD Free Dish currently beams into roughly 45 million households, mostly in rural and semi-urban areas. For broadcasters, missing out on this platform means losing access to a massive chunk of India’s viewing public.

The new rules, rolled out in January 2026, have raised the stakes significantly. For Bucket A plus (Hindi general entertainment channels), the reserve price now starts at Rs 15 crore, while Bucket A (Hindi movies) begins at Rs 12 crore, marking a notable increase from previous years.

To prevent tactical low-ball bidding, the prices will only go up in subsequent rounds. For instance, the second round for Bucket A plus jumps to Rs 16 crore. By front-loading the auction, Prasar Bharati ensures that the most popular channels pay a premium for the best positions on the dial.

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One of the most talked-about changes in this 94th e-auction is the operational clause. To stop speculative bidding, channels must now prove they are already active on at least one private DTH platform or a registered cable operator. In short: if your channel isn’t already on air somewhere, you aren’t invited to the party.

While it sounds like a corporate chess match, the outcome dictates what millions of people will watch for the next year (from April 2026 to March 2027). With the big networks securing their spots early, viewers can expect the usual mix of high-drama soaps and blockbuster films to remain the staples of free-to-air TV.

As the auction continues, the industry is watching to see if smaller players can stomach the rising costs or if the free dish universe will become an exclusive club for the media giants.

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