Sky Network Television (ASX:SKT) reports its new satellite scheduled for delivery and in service in late 2023 has been delayed until late 2025.
The company says the delay comes based on the advice from the satellite’s manufacturer, as well as various factors including covid and manufacturing supply chain issues.
Sky notes the delivery of the new software-defined satellite was expected to occur in late 2023 following the company renewing its partnership with Optus in July 2020.
It is reported the new software-defined satellite is probed to replace the existing D-series satellite.
The company also notes it is working closely with Optus to ensure the ongoing security of supply for Sky’s satellite requirements in its core Sky Box business. A number of options being considered by both parties include, if required, using another satellite already in an orbital location that supports ongoing delivery of satellite coverage to the Sky platform.
Addressing the replacement satellite, Sky Chief Executive Officer (CEO) Sophie Maloney says: “We remain excited about the benefits of the new software-defined satellite, especially as we experience weather events that the new satellite can better help mitigate against. And, of course, we understand how important it is to ensure coverage and access to Sky and the free-to-air channels we carry (including Prime) to all of New Zealand. Based on the information shared and assurances by our partner Optus to date, we are confident of the mitigation options to ensure our continued delivery of the key moments that matter most to our Sky customers.”
Sky announces updates for the market on further developments are expected in due course.
Sky Network Television is an ASX-listed New Zealand broadcasting company that provides pay television services through satellite, media streaming service, and broadband internet services. The company is also a wholesale channel provider to New Zealand IPTV provider Vodafone and currently employs about 898 employees.
Sky also recorded an annual revenue of NZD$736.1 million for 2022.