In 1995, a venture between News Corporation (in particular 20th Century Fox Media) and Telstra took place whereby Telstra would transmit a TV signal through its coaxial network and News Corporation would be the basis for offering channel negotiations and connections. Foxtel was formed ("Fox" representing News Corporation's Fox and "Tel" representing Telstra). On 23 October 1995, Foxtel commenced a 20 channel service, delivered over the Telstra Hybrid Fibre Coaxial network.[2]
In May 1998, Australis Media, the owner of a satellite television service known as Galaxy, was declared insolvent. In June 1998, Foxtel was able to significantly boost its customer base by acquiring Galaxy subscribers from the liquidator of Australis Media and immediately commenced supplying programming to Galaxy's subscribers on an interim basis.[3] In February 1999, Foxtel began offering its own satellite service to new customers.[4]
On 11 July 2011, Austar announced that "it had entered into definitive transaction agreements with Liberty Global, Inc. (LGI) and Foxtel Management Pty Limited (Foxtel) under which Foxtel would acquire Austar by a series of transactions including a scheme of arrangement (Scheme)."[7] This takeover involved a minority shareholder approval on 30 March 2012,[8] the approval of the ACCC on 10 April 2012,[9] and has had approval from a Second Court Hearing.[10] Austar shares were suspended from the ASX on 16 April 2012[11] and delisted on 27 April 2012.[7] The takeover was completed on 24 May 2012.
News Corporation acquired Consolidated Media Holdings in November 2012, bringing its stake in Foxtel to 50%, up from 25%.[12] On 15 June 2015, Foxtel officially agreed to buyout 15% shares in Ten Network Holdings, subject to approval from the ACCC. Prior to the acquisition, Discovery backed out from bidding partnership with Foxtel. Ten was later fully acquired by American media group CBS Corporation (now Paramount) in 2017.[13][14]
On 6 March 2018, News Corp Australia announced a merger of Fox Sports (Australia) with Foxtel (co-owned by News Corp Australia and Telstra). News Corp owns a 65 percent stake in the combined entity, with Telstra owning 35 percent.[16] The combining of the two businesses places emphasis on live-streaming sports and entertainment.
On 4 May 2020, it was announced that Foxtel would be closing down its owned & operated music video networks and replacing them with a new suite of MTV, Nick and CMT-branded channels, as part of a wider deal with Paramount.[17]
In late September 2022, Foxtel extended their partnership with WWE to become Australia's exclusive home of WWE. Foxtel is to relocate WWE Network into Foxtel's Binge streaming service in January 2023, following the launch of its dedicated linear TV channel in December 2022.[19][20]
Foxtel grew rapidly in 2007, with most of Foxtel's highest-ever rating events being broadcast that year, including the 2007 AFC Asian Cup quarter-final between Australia and Japan, which drew an average of 419,000 viewers,[21] an Australian pay television record at that time. This ratings record has since been eclipsed by the 2011 Rugby World Cup on Fox Sports 1 averaging around 500,000 viewers, which was smashed by the 2012 London Olympics Coverage, broadcast on 8 dedicated channels in both HD and SD formats, which saw an average of 946,432 viewers tuning in on the opening weekend, with around 600,000 to 700,000 viewers nightly thereafter.
Foxtel transmitted its cable service via Telstra hybrid fibre-coaxial (HFC) cable into the Brisbane, Sydney, Melbourne, Adelaide and Perth metropolitan areas, along with the Gold Coast. Foxtel now also transmits its satellite service into these cities as well as all over Australia, including regional areas since the takeover of Austar. Previous Austar customers are now 100% Foxtel customers with the conversion from Austar to Foxtel in regional Australia now complete. Foxtel on Mobile launched on Telstra's Next G Network in late 2006 and is now available within Telstra Next G (HSDPA/850 MHz) coverage areas, which covers 99% of the population.[22]
With the transfer in ownership of Telstra's HFC network to NBNCo for the provision of broadband services, Foxtel announced in 2022 that it would be abandoning HFC in favour of satellite and IPTV services. The transition was completed in 2023, after which no Foxtel services have been provided via HFC.[23]
Telstra's network and Foxtel were created to combat the threat posed to Telstra's local call business by the combination of Optus Television content bundling with Optus' local telephony services; Foxtel was the content arm of Telstra's defence strategy, while Telstra's multimedia broadband network was originally the sole delivery system.
In 2002, Foxtel and Optus Television agreed to a content-sharing arrangement.[24] Programming competition between the two companies has now dissipated. Prior to its acquisition by Foxtel in 2011, Austar, a regional pay television operator, also carried most Foxtel programming.
As of 2011[update], Foxtel is Australia's largest pay television operator, with programming available to over 70% of Australian homes, and delivered to over 1.65 million,[27] either directly or by Foxtel's wholesale customers. In April 2008, Foxtel's penetration into Australian homes passed 30%.[28] This penetration rate is significantly lower compared with market penetration rates in the US (over 85%)[29] and in Western Europe (over 55%).[30] This is due to the fact that Australian pay-TV fees are significantly more expensive and pay-TV began delivering its service much later in Australia than in the US.[original research?]
Foxtel announced its maiden annual profit in 2006, more than 10 years after it commenced services. The installation and maintenance of Foxtel services is Telstra's responsibility. In many markets Telstra has outsourced installation and maintenance to large communications contractors, including ABB Communications and Siemens-Thiess Communications joint venture.
In 2007, Network 10 formed an agreement with Foxtel to allow them to carry a digital version of Ten's programming. Included in the deal is electronic program guide data, which allows Foxtel iQ users to schedule recordings on Ten. Before the agreement, Ten was carried in an analogue format on cable only. In 2008, Seven Network entered an agreement to allow Foxtel to carry its SD signal. In 2008, the first Pay TV package comparison site YouCompare was launched to allow Foxtel packages and pricing to be compared to SelecTV, however this service was ceased along with the ceasing of SelecTV's service in late 2010.
On 20 May 2010, Foxtel and Microsoft announced a new way of receiving Foxtel through Xbox 360's online service Xbox LIVE.[32] The service launched November 2010 with 30+ channels and an additional 12 Video-on-demand channels. It also provided Foxtel's movie service, known as Foxtel On Demand, to non-subscribers for the first time on a pay-per-view basis. Further linear channels were added in April 2011 with the addition of 7 Telstra BigPond channels.
In June 2011, Foxtel launched an over-the-top service on Telstra's IPTV set top box called Foxtel on T-Box carrying the same services as the Foxtel on Xbox service.[33] Also as of June 2011, Foxtel's subscribers numbered just over 1.65 million.[34]
General entertainment channels are from 100 to 150 which includes metropolitan/state-based localised advertising primary channels the Nine Network, ABC TV, SBS TV, the Seven Network and Network 10, with general entertainment and informational channels Crime, Arena, LifeStyle, Fox8, Showcase, Foxtel One, WWE, Comedy, Sleuth, Comcast's Universal TV, Real Life, BBC First, LifeStyle Food, LifeStyle Home, Docos, Discovery, History, A&E, CI, Warner Bros. Discovery's Animal Planet, Discovery Turbo, Investigation Discovery, TLC and BBC Earth.
High definition and Ultra High definition channels are from 200 to 299 which includes metropolitan/state-based localised advertising versions of the ABC HD, 7HD, 7mateHD, 9HD, 9Gem HD, 10 HD, SBS HD, SBS Viceland HD and NITV HD, as well as timeshifted versions of general entertainment and informational channels for a two-hour delay of Fox8, Crime, Foxtel One, Comedy, Arena, LifeStyle, LifeStyle Food, BBC UKTV, Showcase, Sleuth, Real Life, Discovery and Discovery Turbo. As well as national channels A&E, Fox8 (native & SD upscaled), BBC First, Discovery and BBC Earth.
Movie packaged channels are from 400 to 499 which includes Foxtel Movies Hits (themed movies and pop-up events),[35] Ultra HD, Premiere, Action, Comedy, Romance, Family, Drama, Greats, LMN and SBS World Movies.
Metropolitan/state-based localised advertising News and Coverage channels are from 600 to 699 which includes Sky News Australia, Sky News Weather Channel, Sky News Extra, Sky News UK, Fox News (U.S sister channel of Sky News Australia), Warner Bros. Discovery's CNN International, NBCUniversal's MSNBC and CNBC, ABC News, SBS WorldWatch, BBC News, Bloomberg Television, Al Jazeera English, CGTN, CGTN Documentary and NHK World-Japan.
HD multichannels that were replaced by other HD channels include 10 Bold (replaced by 10 HD, 10 Bold was reduced to SD) and 9Gem (replaced by 9HD, rebranded today as 9Gem and was reduced to SD). 9Gem later relaunched an HD simulcast.
Channels completely discontinued include the beIN Sports channels, MTV, Nickelodeon, Nick Jr., PBS Kids, Disney XD, Disney Channel, Disney Junior[36] Binge, Discovery Science, Discovery Kids, Foxtel Movies Disney, Eurosport, Your Money, The Soundtrack Channel, Movie Network (replaced by Foxtel Movies), Showtime Network (replaced by Foxtel Movies), TechTV, Fashion TV (replaced by FX/Fashion moved to Fetch TV), Ovation, KidsCo, History+2, Starpics (replaced by Foxtel Movies), Gamesworld Interactive Games and the Interactive Sports Selector. Also discontinued in July 2020 were music channels [V], Max, Country Music Channel and Foxtel Smooth (replaced by NickMusic, MTV Classic and CMT respectively, with Foxtel Smooth closed down).
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