<%@ LANGUAGE="JSCRIPT" %> <% var objBrowser = Server.CreateObject("MSWC.BrowserType"); %> <% Response.CacheControl="max-age=600, public" %> British Sky Broadcasting PLC Annual Report 1999


THINKING OUTSIDE THE BOX

IT'S ABOUT CREATING INNOVATIVE NEW SERVICES. ITS ABOUT SMART THINKING. LIKE REMOVING BARRIERS TO CUSTOMER TAKE-UP OF THOSE SERVICES. ITS ABOUT GIVING CUSTOMERS WHAT THEY WANT. MORE CONTROL. MORE CHOICE. NOT JUST MORE, BUT BETTER. IT'S ABOUT BUILDING BSKYB TO BECOME THE LEADING PROVIDER OF ENTERTAINMENT, INFORMATION AND COMMUNICATION IN THE DIGITAL AGE.

PUT SIMPLY, IT'S ABOUT DELIVERING OUR VISION NOW.

SETTING YOU FREE

1,200,000 DIGITAL SALES AND RISING.

Sky digital. The fastest, most successful digital launch ever. The most sophisticated digital platform in the world. Delivering digital quality pictures and sound. Offering excellent programming. Great value for money. And the widest choice of channels selected through an on-screen programming guide that takes seconds to access.

Our aim is to bring Sky digital to every home in the country - as quickly as possible. From May this year BSkyB offered customers a free box and a free dish. And free access to the internet. And 40% off BT basic rates. The result? A threefold increase in monthly demand since the free offer was announced.

INCREASED INVESTMENT

CHOICE ISN'T ONLY ABOUT QUANTITY. IT'S ABOUT YOU. SO WE ARE DETERMINED YOU'LL FIND A CHOICE THAT'S AS UNIQUE AS YOU ARE. EVERYTIME YOU TURN TO SKY.

That's why we are making a significant investment in the British film industry. Sky Pictures will make top quality movies for first showing on Sky Premier. We're also investing in original programmes outside of movies. Sky Productions is making original drama and comedy series for Sky Premier and original programmes for Sky One, ranging from the contentious to the cool.

A WHOLE NEW WORLD

WE ARE MAKING THE MOST OF NEW MEDIA SO YOU CAN SEE AND DO THINGS DIFFERENTLY.

Our website is already the tenth most popular content site in Britain. We have developed this by becomming an Internet Service Provider ("ISP"), providing free Internet access via www.skynow.co.uk. We plan to deliver enhanced television with Sky Sports Extra in August 1999.

And this is just the beginning. Soon enhanced television will change the way we view Sky News too. Later in 1999, Open will take digital technology further than ever before, bringing interactive television to life.