BT Appoints Management Team For Broadband TV Venture
Telecoms giant BT has announced the creation of a new entertainment division within its retail and consumer business, charged with driving the company’s entertainment and education operations, including the creation of the company’s fabled on-demand TV and movie services.
Dubbed BT Entertainment, the division will be lead by chief executive Andrew Burke, currently director of value added services at BT Retail. Burke was previously the founder and CEO of LineOne, a leading UK internet service provider, and established News International’s initial internet presence in 1995.
BT has also announced the appointment of Dan Marks, currently president of Universal Studios Networks UK, to lead the company’s future interests in video-over-broadband services. He will report directly to Burke.
BT Entertainment will become operational on 1st January, incorporating services such as BT’s content platform business, Rich Media, The company’s online payment system, Click & Buy, and BT Learning Centre, the company’s online learning offering.
Commenting on the creation of a new division, Pierre Danon, BT Retail’s chief executive, said: “A focus on Entertainment Service is the natural next step for BT in driving further value for new and existing broadband customers. This is a truly exciting time for us as we feel that we are about to cross the chasm from an early adopter market to one which will fully embrace the full potential of broadband, a fledgling mass market.”
He added: “Our customers are telling us that they want more, that fast access alone is not enough, and they are demanding more entertainment and communications services. The purpose of BT’s entertainment division is to meet those customer demands by developing, licensing and bringing to market, content value added services such as on-demand music, gaming, television and movies.”
The creation of an on-demand TV service by BT has been rumoured for some time, with initial speculation suggesting that the company was preparing an advanced Freeview service to supplement current digital terrestrial broadcasts (see BT In Talks To Offer Advanced Freeview).
However, it now seems that the company will create a standalone TV service of its own, and is understood to be consulting the BBC, BSkyB and ITV about broadcasting their content via an on demand network (see BT In Talks With Broadcasters Over Broadband TV). The move will put BT in direct competition with pay-TV operators such as Telewest and Sky.
The company will also be competing on a like-for-like basis with Homechoice, which offers customers broadband internet, on-demand TV and phone services through one cable. Until recently the relatively new company was only operating within the M25, but has announced a programme of expansion to make its services more widely available (see HomeChoice Boosts Coverage To Customers Outside London).
BT: 0207 469 2337 www.btplc.com
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