Austar

Austar was an Australian telecommunications company established in 1995 as Community Entertainment Television, or CETV. Its principal business was subscription television for customers outside Australia's major metropolitan areas, supplemented at different times by internet access, mobile telephony, wireless broadband initiatives and related digital services. The business became one of the country's most significant regional pay-television operators and developed a distinct position by concentrating on households that were less directly served by metropolitan subscription-TV infrastructure. Austar's television operation used digital satellite distribution, primarily through the Optus C1 satellite, together with a digital cable network in Darwin. Its service footprint covered regional parts of New South Wales, Victoria, Queensland and South Australia, as well as Tasmania and the Northern Territory. By 30 June 2010, the company reported 747,148 television subscribers. Its services were available to approximately 2.4 million homes, representing about one-third of Australian households according to the referenced account. Austar's programming was sourced from the broader Australian subscription-television ecosystem, including programming associated with Foxtel and Optus services. The company expanded its consumer proposition beyond linear television. Austar launched the MyStar personal digital recorder to existing customers in late 2007 and more broadly in February 2008. MyStar enabled recording, time-shifting and electronic-program-guide access, while the later MyStar HD generation added high-definition output and a larger hard drive. Austar also introduced On Demand programming for compatible MyStar customers and operated Austar AnyWhere, an online service that allowed customers to watch or download selected full-length programs. These products represented an effort to move the brand from satellite television toward a more integrated digital-entertainment platform, although MyStar was criticized for technical problems including failed recordings, black screens, freezes and unexpected restarts. Austar also experimented with communications services. Austar Mobile, established in 2000, resold mobile services using the Optus GSM network and later relied on Optus after Telstra's CDMA network closed. The service had 19,970 customers on 31 December 2009. Austar Broadband began as a 2006 trial network in Wagga Wagga and Tamworth, New South Wales. The company also participated in regional wireless-broadband initiatives with Unwired and Soul Converged Telecommunications. Separately, Austar operated Austarnet dial-up internet access before announcing in 2011 that it would exit the internet business and discontinue those services. Austar's corporate ownership changed decisively during the early 2010s. On 11 July 2011, it announced definitive transaction agreements with Liberty Global and Foxtel for a takeover under a scheme of arrangement. The transaction received minority shareholder approval on 30 March 2012, Australian Competition and Consumer Commission approval on 10 April 2012 and subsequent court approval. Austar shares were suspended from trading on 16 April 2012, and the company was delisted from the ASX on 27 April. The acquisition was completed on 24 May 2012. Following the takeover, Foxtel progressively consolidated Austar's customers, technology and operations into its national platform. Foxtel satellite-connected iQ units became available to former Austar customers in November 2013, while Austar's MyStar-related online services were progressively removed. Austar AnyWhere closed on 30 June 2013, and the Austar branding was replaced by the Foxtel name during 2014. Austar therefore survives primarily as a historical brand and former regional subscription-television business rather than as an operating consumer brand.

Austar began in 1995 under the name Community Entertainment Television. It developed as an Australian communications business with a core emphasis on subscription television for regional and rural markets. Rather than competing primarily for metropolitan customers, the company built its presence in areas where satellite distribution could provide broad geographic coverage. Its television service was delivered mainly through digital satellite infrastructure, with a digital cable network also operating in Darwin. The television business became Austar's central commercial activity. The service offered programming associated with Australia's pay-TV market and was available across regional areas of New South Wales, Victoria, Queensland and South Australia, together with Tasmania and the Northern Territory. The company reached approximately 2.4 million homes and recorded 747,148 television subscribers on 30 June 2010. This scale made it the largest subscription-television operator in urban and rural Australia according to the referenced account, although Foxtel remained the larger national competitor. During the 2000s and early 2010s, Austar tested several adjacent communications businesses. Austar Mobile began in 2000 as a mobile-resale service using Optus's GSM network. Austar Broadband was established in 2006 as a trial network in Wagga Wagga and Tamworth. In 2005, Austar and wireless-broadband provider Unwired agreed to exchange spectrum rights to support interoperable services. In 2006, Austar, Unwired and Soul Converged Telecommunications formed AUSAlliance to seek support under the Australian Government's Broadband Connect Infrastructure Program and develop a regional broadband network. These initiatives broadened the company's identity beyond pay television, but subscription television remained its defining business. Austar also pursued spectrum and wholesale arrangements. In 2008, it agreed to sell 2.5 GHz and 3.5 GHz spectrum licences to the OPEL consortium, formed by Optus and Elders, for A$65 million and to resell services using the proposed OPEL network. The transaction was conditional on that network being built. When the Australian Government cancelled the OPEL network, the proposed spectrum sale was also cancelled. The company invested in digital television products as viewing habits changed. MyStar launched to existing customers in late 2007 and reached new and existing customers more broadly in February 2008. The recorder offered scheduled recording, time-shifting and electronic-program-guide functions. The later MyStar HD model, introduced in November 2009, supported high-definition programming, HDMI output and a 320 GB hard drive, with part of the storage reserved for on-demand content. Austar subsequently promoted On Demand programming delivered to compatible MyStar equipment. The platform was strategically important, but users reported recurring reliability and usability problems, including black screens, frozen displays, failed recordings and automatic restarts. Austar's corporate independence ended with the Foxtel transaction. On 11 July 2011, Austar announced definitive agreements involving Foxtel and Liberty Global. The scheme obtained minority shareholder approval on 30 March 2012 and Australian Competition and Consumer Commission approval on 10 April 2012, followed by court approval. Trading in Austar shares was suspended on 16 April, the shares were delisted from the ASX on 27 April, and the acquisition completed on 24 May 2012. After the acquisition, Foxtel progressively migrated Austar customers and operations to the national Foxtel platform. Austar's online services associated with MyStar were removed during 2013, and Austar AnyWhere closed on 30 June 2013. Foxtel satellite-connected iQ equipment became available to customers in November 2013 as an alternative to MyStar. In 2014, Foxtel branding replaced the Austar name, completing the brand transition. Austar is consequently a defunct historical brand whose principal legacy is its role in extending subscription television across regional Australia.

1. 2014Austar branding retired

   Foxtel branding replaced Austar branding, completing the operational and customer transition.

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2. 2013Austar AnyWhere closes

   The online television service shut down during the integration of Austar into Foxtel.

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3. 2012Foxtel acquisition completed

   The acquisition completed on 24 May 2012 after regulatory, shareholder and court approvals.

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4. 2011Foxtel and Liberty Global takeover agreement announced

   Austar announced definitive agreements for its acquisition under a scheme of arrangement.

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5. 2010Television subscriber base reaches 747,148

   Austar reported 747,148 television subscribers on 30 June 2010.

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6. 2009MyStar HD launched

   Austar introduced MyStar HD with high-definition support, HDMI connectivity and a larger hard drive.

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7. 2008MyStar general launch

   MyStar became available to both new and existing customers, adding recording and time-shifting capabilities to the Austar television proposition.

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8. 2007MyStar introduced to existing subscribers

   Austar began deploying its MyStar personal digital recorder to existing customers.

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9. 2006Austar Broadband trial begins

   Austar Broadband operated as a trial network in Wagga Wagga and Tamworth, New South Wales.

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10. 2005Spectrum cooperation with Unwired

    Austar and Unwired agreed to exchange spectrum rights to support interoperable wireless-broadband services.

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11. 2000Austar Mobile established

    Austar entered mobile telephony through a resale service using the Optus GSM network.

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12. 1995Founded as Community Entertainment Television

    The business that became Austar was established under the name Community Entertainment Television.

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A regional Australian subscription-television and communications brand positioned around delivering pay-TV and related digital services to households outside the major metropolitan markets.

• Austar TelevisionSubscription television

  Austar's core pay-TV service served regional and rural Australian households through digital satellite distribution and a digital cable network in Darwin. It offered programming associated with the Australian subscription-television market and was available across regional parts of New South Wales, Victoria, Queensland and South Australia, as well as Tasmania and the Northern Territory. The service was designed around broad geographic coverage rather than metropolitan concentration.

• MyStarPersonal digital recorder2007

  MyStar was Austar's standard-definition personal digital recorder. It allowed customers to record programs, pause and time-shift television, and use electronic program-guide information. The later T500 model included satellite and terrestrial tuners, a 160 GB hard drive with approximately 120 GB available to users, and support for selected digital-audio and closed-captioning features. The product was eventually superseded by Foxtel equipment during the post-acquisition migration.

• MyStar HDHigh-definition personal digital recorder2009

  MyStar HD was Austar's high-definition recorder generation, introduced in November 2009. It supported 1080i programming, HDMI output and a 320 GB hard drive. Approximately half of the storage was available for user recordings and selected content, while the remainder was reserved for On Demand material. MyStar HD was intended to anchor Austar's move toward a more interactive digital television platform, but its long-term role changed after Foxtel acquired the company.

• Austar On DemandOn-demand television2010

  Austar On Demand delivered selected Austar programming to compatible MyStar equipment on a recurring basis. It used reserved recorder storage to make programs available beyond the standard linear schedule and represented an early step toward a broader video-on-demand proposition. The service was later replaced within the consolidated business by Foxtel On Demand.

• Austar AnyWhereOnline television

  Austar AnyWhere was an online television service that allowed eligible customers to watch or download selected full-length programs. It extended Austar's subscription relationship beyond the satellite or cable set-top box. The service was closed on 30 June 2013 as Foxtel consolidated Austar's digital services.

• Austar MobileMobile telephony2000

  Austar Mobile provided mobile services through resale arrangements with Optus. It initially used Optus's GSM network and later relied exclusively on Optus after the closure of Telstra's CDMA network. The service had 19,970 customers on 31 December 2009 and was not the company's principal business.

• AustarnetDial-up internet

  Austarnet was Austar's dial-up internet service. Austar announced in August 2011 that it would leave the internet business and discontinue the service on 30 September 2011.

• Austar BroadbandBroadband internet2006

  Austar Broadband was a trial broadband network established in 2006. The trial operated in Wagga Wagga and Tamworth in New South Wales and formed part of Austar's broader experiments with regional connectivity.

• 2013Transition from MyStar to Foxtel iQ equipmentGeneration change

  Foxtel was consolidating Austar's customer platform after completing the acquisition.

  What changed. Foxtel made satellite-connected iQ units available to former Austar customers as an alternative to MyStar equipment.

  Aftermath. The move supported the gradual retirement of Austar's proprietary set-top-box and online-service ecosystem.

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• 2011Exit from dial-up internetStrategy

  Austar operated Austarnet while focusing increasingly on its subscription-television business and related digital services.

  What changed. The company announced that Austarnet services would be discontinued on 30 September 2011.

  Aftermath. The decision narrowed Austar's direct consumer communications portfolio before its acquisition by Foxtel.

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• 2011Agreement to be acquired by Foxtel and Liberty GlobalM&A

  Austar announced definitive transaction agreements under a scheme of arrangement as part of a proposed takeover.

  What changed. The transaction proceeded through shareholder, competition-regulator and court approval processes and was completed on 24 May 2012.

  Aftermath. Austar was delisted from the ASX and its operations, customers and technology were progressively integrated into Foxtel.

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• 2008Proposed spectrum sale and OPEL wholesale arrangementStrategy

  Austar sought to monetize 2.5 GHz and 3.5 GHz spectrum licences while gaining access to a proposed regional broadband network developed by the OPEL consortium.

  What changed. It agreed to sell the licences to OPEL, a consortium of Optus and Elders, and to resell OPEL-operated products on a wholesale basis.

  Aftermath. The proposed transaction was conditional on OPEL's network rollout. When the Australian Government cancelled that network, the spectrum sale and associated arrangement were also cancelled.

  Proposed spectrum-sale value. (2008)

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• 2014Foxtel replaces Austar branding

  Foxtel completed the transition away from Austar branding as the former regional operations were integrated into the national Foxtel system.

  Other
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• 2013Austar AnyWhere closes

  The online television service Austar AnyWhere ceased operation during the post-acquisition consolidation of Austar services into Foxtel.

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• 2012Austar takeover receives shareholder and regulatory approvals

  The transaction obtained minority shareholder approval, Australian Competition and Consumer Commission approval and court approval before completion.

  M&ARegulation
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• 2012Foxtel completes acquisition of Austar

  Foxtel completed the acquisition on 24 May 2012 after Austar shares had been suspended and removed from the ASX.

  M&A
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• 2011Austar announces takeover agreement with Foxtel and Liberty Global

  Austar announced definitive agreements for its acquisition by Foxtel and Liberty Global through a scheme of arrangement.

  M&A
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• 2011Austarnet exits the internet business

  Austar announced that its dial-up internet service would be discontinued as the company exited the internet business.

  Other
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1. Austar