Sky Places 900 Roles in Jeopardy in Significant Restructuring to Compete With American Streaming Giants
Sky has announced that 900 roles are now at risk as the broadcaster pushes forward with reshaping its business model in the streaming era.
Staff Impact
The company, which has roughly 23,000 employees across Britain, anticipates that the consultation process will lead to about 600 roles eliminated, with another 300 reassigned to other areas.
New Offerings
This latest round of cuts – marking the third in a little over 18 months – comes after a number of product launches, including the second iteration of its smart TV and a budget-friendly alternative.
Company Direction
The Comcast-owned media group is concentrating efforts on enhancing current offerings, with the cuts mainly affecting the firm’s tech and product teams along with related corporate functions.
Starting of last year, Sky has cut nearly 3,500 positions as it shifts focus from legacy broadcast television services toward internet-delivered solutions as it competes against American leaders such as Netflix.
Overall, since Comcast purchased Sky for £31bn in 2018, around 6,000 roles have been cut from the organization.
Streaming Adoption
Sky estimates that more than 90% of new subscriptions now come through online services including its smart TV and a new streaming set-top box.
“In recent years, Sky has introduced a range of industry-leading offerings such as our full fibre broadband service,” stated a company spokesperson. “These innovations are now firmly established and used by millions of customers, strengthening Sky’s standing for innovation and great service. As we look ahead, we are changing our strategy to bring customers the next generation of experience by focusing on digital-first service, unbeatable content, and even better performance from our products.”
Earlier Reductions
In March, Sky moved to reduce 2,000 jobs at its support facilities and shut down three sites.
The company said that these closures would help it become prepared for tomorrow as it transitioned from phone-based customer interactions to digital communications.
Last January, Sky cut about 800 positions, mainly from its group of installation engineers, as a growing number of users move away from traditional pay-TV equipment in favor of easy-to-use internet-based options.
Content Partnership
Earlier this year, Sky struck a deal with Warner Bros Discovery, the owner of popular film studios and award-winning series.
The partnership will result in Warner’s streaming service becoming accessible via Sky, though it also resulted in the loss of sole distribution privileges for some programs.
