Welcome, Guest. Please login or register.

Author Topic: ITV could disappear from Virgin Media  (Read 219 times)

0 Members and 1 Guest are viewing this topic.

Offline Jay9

  • Full-Time Member
  • ****
  • Posts: 427
ITV could disappear from Virgin Media
« on: 18 May 2017, 20:00:46 »

LONDON — There's a danger ITV could disappear from Virgin Media unless the cable TV company pays it tens of millions of pounds.

That was the thinly veiled threat made by ITV chief executive Adam Crozier this week, as his firm prepares to negotiate a deal to keep its channels on Virgin TV platforms, including TiVo and V6.

ITV is able to demand payment after the introduction of the Digital Economy Act last month. The legislation abolished a copyright exemption cable TV platforms like Virgin had enjoyed since 1988. The old law let Virgin carry ITV for its 3.7 million subscribers without paying ITV a penny. ITV is home to shows such as Simon Cowell's "Britain's Got Talent" and "Coronation Street."

"It's using our copyright without paying for it," Crozier told the Media Summit on Thursday, a conference in London organised by publishing business MBI. "The simple point about the [change in the] law is, they won’t be able to run our channels without our permission."

ITV will now negotiate new terms with Virgin Media. Virgin does currently pay for ITV's smaller sister channels, including ITV2 and ITVBe, but a source close to the talks said this deal expires in September. It paves the way for ITV to strike a new agreement, under which it will demand payment for its flagship station.

The technical term for this is a "retransmission fee" — and it could be worth more than £40 million to ITV, according to a Liberum analyst note circulated this week. A source close to ITV and Virgin's talks did not guide us away from this figure.



Powered by EzPortal