ITV is now close to sealing a deal with BSkyB that will see the Network’s channels broadcast via the digital satellite platform, according to a report in today’s Financial Times.
The paper reports that the year-long wrangle between the two broadcasters (see
Sky Will Not Sell ITV Sport Channel To Subscribers) may be settled in an agreement that will see ITV paying £15 million for carriage on Sky Digital. It is understood that the cost to ITV will be slightly offset by its fee to Sky for broadcasting ITV2; the net gain for BSkyB is reported to be £13 million.
ITV will benefit from a licence fee rebate offered as a ‘digital dividend’ by the Government for converting analogue customers to digital. It will also benefit from increased interest from advertisers that have so far been losing out on the potential audience that Sky carriage will bring.
