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BBC Makes Promises, ITN Makes Threats

BBC Makes Promises, ITN Makes Threats

The BBC has published its list of promises for the coming year which include increased spend on programming. By 2006 the corporation will increase the percentage of licence fee money devoted to programmes from 76% to 85%.

More internet services are also in the pipeline including websites for sports, lifestyle and the arts. But today’s news comes in a week when the BBC has been forced to answer questions on its role in the digital age.

It is currently facing an inquiry into its online activity after its commercial rival ITN handed a formal complaint to the Office of Fair Trading. It concerns the corporation’s practice of giving away its online news services to mobile phone operators and other websites free of charge and marks another battleground for commercial rivals to resent the BBC’s privileged position.

ITN is arguing that by providing its news services free to commercial operators such as Cellnet, Vodafone and Yahoo!, the BBC is selling the licence payer short and gaining an unfair monopoly on the online news market. The BBC replied that its giveaways are part of a “technical trial”, but the complaint could end up in a courtroom battle and lead to BBC being forced to bring all its digital activity under its commercial umbrella, BBC Worldwide.

The corporation’s final promise today was for greater openness and accountability, a move that will be welcomed by ITN’s chief executive. In this Monday’s Guardian he said that by pushing for a probe into the BBC’s digital activities he is “campaigning for the BBC to be more defined in its remit and more transparent in its practices.”

“Most licence-fee payers already know that some of their money is spent on internet services,” he continued. “What they probably don’t know is that the content which is generated for bbc.co.uk at some considerable expense is then offered to a whole series of commercially funded operators for free.”

He said ITN is also considering taking the case before the European competition authorities, and its seeking legal advice on whether it can take the BBC board of governors to a judicial review for failure to abide by their own charter and agreement. As part of its remit the corporation is obliged to maximise revenues by offering commercial terms to third parties.

He also calls for independent regulation for the corporation, adding his voice to many others within the industry (see Radio Authority Calls For End Of Points System And BBC Self-Regulation).

BBC: 020 8743 8000 ITN: 020 7833 3000

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