"TechnologicalFollowing on from above; the technology changes have enabled the shift to TVeverywhere, we have identified a growing trend of TV viewing moving off the primaryscreen to secondary screens, through mobile and Internet enabled services (WIPO, 2015),One argument has the traditional Pa Tv providers such as sky behind the trend which is withInternet based content providers such as Apple, Amazon, Google Play and Netflix (Guardian,2015), however Sky has 12 million customers who subscribe to 38 million paid for products,and to provide a further sense of scale, although around half of all internet traffic is used tostream video, it only accounts for about 5% of viewing time MIRO, 2015), therefore Skymaintain a strong industry position with the available customer base.The main technological developmentsthat are prevalent are those that are providing accessto on demand content through the Internet, that can be viewed on the primary screen, orsecondary screens or on the move via mobile or download, access to box set' programmingcontent and films, including pay-per-view films and download to own film content (WIPO,2015)EcologicalEcological considerations are wide, varied and far reaching for the digital media/TV industryfrom extracting raw materials to designing and manufacturing products and services. Itincludes using components/products that don't pollute or damage the environment either inuse or at end of use , and it considers the energy, materials and natural resources used tomake the products, as well as waste management. In addition, the human factors. such aswhether child labour was used in production and whether any landfill waste hascontaminated water supplies that may in turn affect humans and our food chain (BBC, 2015)E-waste is the fastest growing global waste stream and Ian Williams, Professor of AppliedEnvironmental Science at Southampton University, talked about the extent of e-waste fromall the TV's, Smartphone and tablets people consume and discard, He argued that thisindustry has reached a point where it can no longer ignore its impact on the environment.Broadcasting and Connected Digital Media is an energy-intensive industry and with moreand more personal devices at the consumer end, over 50million tonnes of e-waste end up onland-fill each year. This coupled with Transport and energy usage elements bring manyconsiderations on the ecological front (BBC, 2015)LegalSky is regulated by Ofcom (2015). Ofcom expect competition in pay TV to deliver benefitsto consumers, in the form of choice innovation and lower prices (Ofcom, 2015), Ofcombelieve that in order for retailers to be able to compete in pay TV they need to be able toaccess content that consumers want to watch (Ofcom, 2015), The key content that isimportant to consumers in Pay TV is identified a premier league football matches (Ofcom,2015), Ofcom offer their view that Sky's strong market position means its content has thepotential to impact competition (Ofcom, 2015), Sky is well and truly on the regulators radar;after lobbying by BT and others Ofcom launched an investigation into whether Sky werelimiting competition in the market which negatively impacted consumers, the conclusion ofthis review was to impose regulation on Sky in the form of a WBO (Wholesale-must-offer)obligation, which required Sky to offer wholesale of its Sky Sports 1 & 2 channels to otherpay TV retailers with certain prices and terms set by Ofcom, this was introduced in 2010, theWMO was removed in 2014, after a further investigation by Ofoom, Sky need to remainwary though, as the eye of the regulator is upon them. (Ofcom, 2015)Appendix II - Five Forces 1. Rivalry Among existing CompaniesSky has a strong position in the supply of Pay TV, with a market share of around 50%. Thecontent shown on Sky Sports channels remains important to a large group of Pay TVsubscribers and the evidence indicates this is mostly due to Sky's Premier League footballbroadcast rights. BT Sport can be considered as Sky Sports only real and viable competitor asthe other holder of key sports content (Ofcom, 2015)Hooley et al (2004) in their work Marketing Strategy and Competitive Positioning tell us thatintense rivalry exists when Individual company growth is achieved only at the expense ofothers - hence rivalry intensifies, with another condition stimulating rivalry being wherefixed costs are high, both of these conditions apply directly to the competitive relationshipbetween Sky Sports and BT Sports, and will be examined here in turn:Following a rights auction earlier in 2015 Sky hold the majority of rights to broadcast livePremier League matches - 75% of available matches for 2016/17 to 2018/19 seasons. BTwon the remaining 25% of rights for the same period. However BT also secured exclusiverights for Champions League matches from 2015/16 to 2017/18, rights that were previouslyheld by Sky and shared by [TV (Ofcom, 2015), This needn't be an immediate worry to Sky asOfcom's (2015) studies report that Champions League content may be capable of influencingconsumer subscription decisions: but it will be to a lesser extent than the Premier League.Live Premier League matches stand out as the most important content for consumersubscription decisions in Pay TV (Ofcom, 2015). This demonstrates that BT are achievinggrowth at the expense of Sky, which is a stimulates rivalry (Hooley et al, 2004)Content costs are high in the specialist segment of sports broadcasting: the recent tranche ofPremier League rights were sold to Sky and BT for £5.1bn in February 2015, this representsa 70% increase on the previous auction (Ofcom. 2015). BT paid E897m for the rights tobroadcast Champions League matches from 2015/16 to 2017/18 (Ofcom, 2015). These bidding war's for available content and the sizeable cost involved in winning rights to contentrepresents intense rivalry (Hooley et al, 2004)2. The Threat of Market entryHooley et al (2004) inform us that a number of conditions make market entry more likely,these include; low costs of entry, existing or new distribution channels are open to use, littlecompetitive retaliation is anticipated and there are gaps in the market. We take each of thesepoints and invert the perspective to view barriers to entry, thus exploring the potential threatto Sky from new market entrants.Costs of EntryAs Sky's main/only viable competitor (Ofcom. 2015) and the most recent sports contentowner/broadcasting market entrant, BT, since launching its rival Sports Channels haveinvested over E2bn in building a portfolio of sports content (Ofcom. 2015), This in itselfindicates that the cost of market entry is high, but coupled with the cost of acquiring new PayTV subscribers, given subscriber inertia and low consumer switching rates, add the cost ofbroadcasting infrastructure and associated costs (Ofcom, 2015), then the barriers to entry aresignificant and a deterrent to potential new entrants, therefore Sky may continue to benefitfrom incumbency advantages resulting from these barriers to entry, and continue to focus onBT as an existing competitor (Ofcom, 2015)tiLlg or New Distribution Channels are Open pa The argument here will be framed around content rights, from what has been given alreadykey sports content, particularly premier league rights stand out as the most important contentfor consumer decisions in Pay TV (Ofcom, 2015) These rights are 100% allocated until theseason 2018/19, with Sky holding 75%, and BT the remaining 25% (Ofcom, 2015), therefore "