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BBC And BSkyB May Rescue Digital TV

BBC And BSkyB May Rescue Digital TV

The BBC and BSkyB are thought to have been asked by industry regulators to come to the rescue of digital terrestrial television if the beleaguered ITV Digital closes.

According to a report in today’s Guardian, the ITC has approached a number of broadcasters including the BBC and BSkyB about ways to maintain Britain’s lead in the digital TV market.

Speculation that ITV Digital’s owners, Carlton and Granada, are about to pull the plug on the pay-TV platform has been intensifying (see ITV Digital Could Be Closed By Monday) and there is growing apprehension that the closure of the service could have serious repercussions for the industry (see ISBA Warns Of Digital Monopoly).

A spokesman for the ITC today acknowledged the regulator was concerned about the future of digital terrestrial TV in the UK, but said: “We haven’t had any discussions with the BBC or BSkyB since ITV Digital went into administration last month” (see Administration For ITV Digital Confirmed).

Both the BBC and BSkyB would benefit from the survival of ITV Digital. BSkyB generates a significant amount of revenue from selling its sport and movie channels to the broadcaster and the BBC needs to ensure as wide an audience as possible for its growing number of digital channels, including the recently launched BBC4 (see BBC4 “Happy” With 11,000 Digital Debut) and the proposed BBC3 (see Government Says No To BBC3).

The future of ITV Digital still hangs in the balance. It looks increasingly unlikely that Carlton and Granada will resolve their dispute with the Football League over TV rights and their failure to honour their contract with the League could prompt a £500m law suit (see League Set To Sue Carlton And Granada).

ITC: 020 7306 7743 www.itc.org.uk ITV Digital: 0808 100 0101 www.itv-digital.co.uk

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