Niche PPV service lacked investor confidence
LONDON — U.K. pay-per-view outfit Digital Broadcasting Company has shut down its operations.
The move was prompted by a lack of funding, this despite the fact that DBC’s backers included News Corp, Pearson, Deutsche Bank and Nomura Intl.
A source close to DBC told Daily Variety “the investors had run out of patience” with its poor performance. A prospective buyer also backed out of doing a deal.
DBC traded under the brand u>direct tv and offered arthouse, Bollywood and softcore porn pics as well as sports events across 16 channels on satcaster BSkyB’s SkyDigital platform.
But in two years of doing business, the company garnered only 800,000 buys, representing sales of roughly £2.4 million ($3.4 million) – considerably less, for example, than sales for Front Row, Britain’s cable PPV service, per month.
DBC may have also been hurt by its placement on BSkyB’s electronic programming guide, which features a movie section dominated by the satcaster’s expansive Sky Box Office PPV service.
DBC’s suppliers included Universal, FilmFour, Alliance Atlantis and Downtown Pictures.