I think the new STB is based on something similar to this:
https://www.pbtech.co.nz/product/DVA...4K-Ultra-HD-St.
In which case I would expect the box to cost no more than $100 a pop for Sky...hopefully less. The CAPEX they have incurred for the customisations/software changes is a separate thing.
In which case the initial upfront cost to Sky for the boxes will be $10M for every 100K boxes...how much that cost ends up being in a given year will depend on how the uptake is. Based on Sky's projections for the uptake, I think the ongoing CAPEX will be reasonable if not modest. So if they budgeted, say, $20M for the new STB in FY22...customising/configuring and testing the new box should cost $5M? Open source software...it is Google so highly configurable etc...I would have thought $5M would be a tonne of money to do customer research, UI design work, select a vendor, change the software, do proof of concept surveys with your customers, roll out etc etc. Depending on unit cost, that would leave enough kitty to have 150K-200K boxes ready to rock and roll (or enough for a solid 35% of the base to switch over to).
And then those costs are recouped over time because we will either maintain some form of STB rental fee or update our Bundle prices to factor it in. FCF may well take a hit if the box is very popular (a good problem to have!) but longer term the cash rolls in and the CAPEX tapers off and drops so we can enjoy dividends that grow.
I am not sure about Broadband...I would have thought the cost of the modem is taken care of within whatever wholesale fee Orcon has with Sky.