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Now TV (Hong Kong)

From Alfawiki
Now TV Limited
Company typeSubsidiary
IndustryPay television
PredecessoriTV
FoundedSeptember 26, 2003; 23 years ago (2003-09-26)
Headquarters
Hong Kong
,
Hong Kong
Area served
Hong Kong
ProductsPay-TV services, IPTV, Video on demand
OwnerPCCW

Now TV (presented as now TV) operates as a pay-TV provider in Hong Kong, managed by Now TV Limited, which is fully owned by PCCW. It was introduced on 26 September 2003, utilizing IPTV technology to transmit its signal through the fixed broadband infrastructure of HKT.

As the leading pay-TV operator in Hong Kong, Now TV boasts the highest number of subscribers, the widest selection of channels, the most HD offerings, and a comprehensive video-on-demand (VOD) library. The brand name "Now" represents "Network Of the World."

The service features 197 television channels, including 176 branded as Now TV—32 of which are in HD—alongside 21 channels from the TVB Network Vision and more than 30 categories of VOD content.

History and establishment

By March 1998, PCCW provided a variety of services such as news, VOD, music videos, home shopping, online banking, and educational programming. Its predecessor, iTV, had approximately 67,000 subscribers by the close of 2000.

After the HKSAR government liberalized the pay-TV market in July 2000, iTV and i-Cable encountered significant competition. Subscriber numbers declined, leading to iTV discontinuing its interactive TV services by late 2002. Subsequently, Now Broadband pay-TV was launched in September 2003 under PCCW with an initial lineup of 23 channels; iTV is generally recognized as the precursor to Now TV.

In December 2005, Now TV enhanced its connection speeds to reach up to 18 megabits per second (Mbit/s), achieving at least 75% coverage at speeds up to 8 Mbit/s. The introduction of Video-On-Demand services followed in January 2006.

Currently, Now TV offers access to 136 channels.

Starting with 23 channels at launch in September 2003, Now TV rapidly expanded its offerings to over 30 channels by incorporating sports content, BBC World, Animax, and Cantonese-language channels such as Star Chinese Movies and Xing Kong. Within four months of its debut, it had attracted more than 200,000 subscribers.

By October 2005, the subscriber base had grown beyond 450,000. According to PCCW’s annual reports, paying subscribers reached 549,000 by December 2005 (61% paid subscriptions and 31% free), up from 361,000 at the end of 2004 and 269,000 mid-2004. Despite this growth in subscribers, Now TV reported operating losses in 2005. By August 2006, subscriber numbers had exceeded 654,000.

Strategy

In July 2000, the HKSAR government granted five new pay-TV licenses to established broadcasters including Galaxy Satellite Broadcasting and Hong Kong Network TV. This development intensified competition for both content acquisition and viewer attention.

To set itself apart from local digital terrestrial broadcasters—Television Broadcasts Limited (TVB) and PCCW’s subsidiary ViuTV—Now TV solidified its position by securing long-term agreements with international channel providers.

Exclusivity

On November 15, 2006, Now TV placed a HK$1.56 billion bid to obtain exclusive broadcasting rights for Barclays Premier League matches in Hong Kong across three seasons starting from 2007–2008—more than twice the estimated HK$700 million previously paid by i-Cable two years before. Earlier in January 2006, Now TV entered into a three-year contract with ESPN STAR for live UEFA Champions League matches spanning from 2006 to 2009.

In December 2006, Now TV acquired exclusive rights to air the Euro 2008 football tournament for HK$400 million. Additionally, Playboy TV has been exclusively available on Now TV since December 1, 2006.

Pricing

i-Cable adopted a more adaptable pricing strategy, enabling customers to pick individual channels, mirroring the pay-per-channel system used by Now TV. Despite this change, in October 2005, Now TV announced it would maintain its monthly subscription fees, justifying the decision by highlighting the addition of new channels and enhancements in service quality to stay competitive. By December 2006, following the acquisition of exclusive broadcasting rights for ESPN, the Premier League, and Euro 2008, Now TV intended to increase its subscription fees to leverage the value of these premium sports offerings.

Awards

During the 2004 CASBAA Convention, Now TV was honored with "The Chairman's Award" in recognition of its pioneering marketing efforts for a secure pay-TV platform combined with advanced interactive features, which significantly boosted subscriber numbers. CASBAA comprises over 120 companies serving an audience exceeding 3 billion viewers worldwide.