BSkyB’s Q3 earnings took a hit today due in part to its heavy broadband investment (see our post). Fierce rival Virgin Media (NSDQ: VMED) may be about to unleash a 50Mbit service to run HD IPTV services over while the satellite operator’s broadband network remains hemmed in to a theoretical 16Mbit maximum, but Stephen Nuttall, BSkyB’s director of the commercial group responsible for opportunities in new platforms like broadband and mobile TV, told paidContent:UK it’s what you do with it that counts.

- Broadband: Nuttall is “very pleasantly surprised” by the fact that 70 percent of their broadband subscribers take paid-for broadband. But, while a majority of customers opts to pay for faster service, Nuttall says “there’s more to broadband than the simplistic story of ‘my broadband is faster than yours’.” Customers are after the complete “entertainment and communications” package, he reckons.  “You have to ask, speed for what sake?,” Nuttall says of Sky’s rivals’ plans to focus on higher broadband speeds.

- Mobile TV: “We’re pretty optimistic, but it’s impossible to say which will be more popular - on demand or linear channels.” Sky already has a mix of each available on 2.5 and 3G networks with its Sky Mobile TV offering as well as video clips available through its WAP service. Its Sky Anytime on mobile costs a flat £5 monthly for unlimited clips, or £0.50 per clip, and comes in three different content packages.

- 24-7 Football: Nuttall reports 24-7 Football, the soccer video clips service which launched on August 11, now has “hundreds of thousands” of customers yet it’s biggest challenge has been “awareness”, even though the offering has been cross-promoted in News Corp stablemates The Sun and the News Of The World, as well as on TV: “If more people knew about it, it would be great.”

- Place-shifting a threat?: “We have products in the market that already cater to people’s desire to have content wherever and whenever they want. [Place shifting technology] slightly ignores the fact that broadcasters buy territorial rights. But most fundamental is the issue of complexity and how it takes over your set-top box.” In what sounded like a challenge to Sling Media’s hook-up with Three, Nuttall said place-shifting devices, especially when used with mobiles could be cripplingly expensive for a user depending on network data tariffs. He reckons Sky Anytime’s mobile service, with its low, flat monthly fee for up to 15 30 channels including its popular sports outlets, represents better value. Still, Nuttall hasn’t written off place-shifting: “It’s an interesting niche opportunity and we are keeping it under review.”

- Platforms and models: Nuttall believes Sky will be just fine in the face of competition from other TV platforms, such as IPTV from Tiscali, Orange and BT (NYSE: BT) Vision, as well as Virgin Media’s upcoming broadband HD. “We have our approach, others have a slightly different way. We have a hybrid model that we believe in for the future.” That model, satellite supported by broadband, means that users “can view TV, surf the net and use a PC at same time, and make phone calls.” Nuttall said the deal to put content on Sony’s PSP (coming early in 2008) fits into the general mantra of being available on multiple platforms.

• @ Mipcom: Virgin Media Trials HD TV Over High-Speed Broadband
• Ofcom Sets Out Stall For Super-Fast, IPTV-Friendly Broadband
• Earnings: BSkyB Profit Drops Nine Percent On Broadband Costs; Revenues Rise 10 Percent