A strategy paper produced for TV, radio and music group Chrysalis,/B> predicts that pay-TV incremental revenues could be boosted to £5 billion annually with the advent of digital TV. The source of this bonanza is said to be cash-rich consumers in the C1/C2 socio-economic groups who would be prepared to spend at least twice as much on pay-TV as they do at present. The paper acknowledges the high start-up costs of establishing digital TV in Britain but takes an upbeat view of longer term prospects [unlike the myopic City short-termists who have marked-down BSkyB shares because digital investment will initially erode its profits].
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