BSkyB (News - Alert), the U.K. satellite provider, has announced it will be unbundling its programming in an attempt to appeal to people who have abandoned traditional cable and satellite providers with the rise of services like Netflix.

BSkyB will roll out the new service later this summer, which the company says will be available at a variety of prices and on a wide array of devices. Subscribers will also not have a minimum contract. Among the devices and services will be YouView, the iPad, TVs by Sony and Samsung (News - Alert), with others to follow.

Users will be able to subscribe directly to services like Sky Sport and Sky Movies and get exactly what they want, without the overhead of a conventional satellite TV programming package.

They also plan to launch an online movie service to rival Netflix.

This is a significant change in strategy for the company, whose previous Internet-based efforts were designed solely for existing Sky subscribers.

BSkyB has experienced a significant drop-off in the number of new satellite subscribers. The company had 40,000 new signups in the second quarter of 2011. The previous year at the same time, the company had 140,000.

“Some people are uneasy about making a long-term commitment right now,” CEO Jeremy Darroch said. He also said the new service will “give another choice to the 13 million U.K. households that have chosen not to subscribe to pay-TV. It will be a new way to reach out to consumers who love great content but have no need for the full range of Sky services.”

“Beyond the near-term slowdown, structural issues are looming,” Bernstein analyst Claudio Aspesi said. “The unbundling of pay-TV appears a direct response to the launch of Netflix, but also seems to suggest that additional growth through the old model of bundled pay-TV through satellite is coming to a natural end in its growth.”

Cube founder Wil Stephens said in a tweet, “Sky will lose a lot of its turnover but become immensely profitable as it strips out huge infrastructure costs associated with legacy biz.”

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