THE Cebu unit of the Lopez-owned SkyCable Corp. is now studying a plan to bring the “digital signal” to Cebu households and businesses sometime next year.

This is in line with the company’s plan to shift its technology from analog to digital and offer affordable packages to more price-sensitive markets, said SkyCable Cebu general manager Ronnie Pacio.

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“We believe that the future of the cable TV industry is digital. Gone are the days when (an operator) can only offer one package at one rate. SkyCable is at the forefront of thinking and reinventing the cable TV industry (in the country),” he said in an interview last week.

He also pointed out that digital cable TV will address the varied preferences of customers and enable SkyCable to tap price-sensitive sectors to increase its subscriber base.

For SkyCable Cebu’s technology shift, Pacio estimated an initial capital of P15 million to P20 million.

Through the digital signal, customers will be provided with clearer pictures. It will also allow them to view schedules of shows of a particular channel without losing the channel they are watching. At the same time, it will enable them to organize the channels according to their preferences.

For SkyCable Cebu, on the other hand, the digital signal will allow them to “tailor-fit” channels into affordable packages
according to preferences and budget of customers, said Pacio.

“Cebu, in general, is a price-sensitive market. And they always look for balance in the price and quality of a product,” he said.

The cable TV company is also expecting an increase in card sales for its SkyCable Prepaid (formerly C-load Prepaid Cable TV) as a result of reduced consumer purchasing power due to the global financial crisis.

Pacio disclosed that their prepaid service, which targets the working class, households with children and price-sensitive groups, is contributing more than 10 percent of their revenues.

Without stating figures, he said the bulk of their revenues still come from postpaid cable television service subscribers.

Another source of revenue for SkyCable Cebu is the SkyBroadband which was launched last year. It comes in plans and bundled packages, including its bestseller Plan 1 mbps with cable TV subscription for P1,999 per month.

Coverage

SkyCable has already covered at least 100 kilometers in select class AB subdivisions in Cebu for this service, which specifically targets those really wanting faster broadband connection.

The implementation of SkyBroadband in Cebu cost them P30 million, said Pacio.

“We are continuously expanding. We want to grow our cable, both prepaid and postpaid, as well as our broadband service as we align our operations with SkyCable Corp. and as we plan to bring digital cable TV to Cebu,” he said.

Upgrading

SkyCable Cebu coverage areas include Cebu City, Mandaue City, Lapu-Lapu City, Minglanilla, City of Naga, Talisay City and Consolacion.

Pacio said they have no current plans to expand their coverage areas since they are still focused on upgrading their plant and their lines to offer broadband in more areas and digital signal in the future.