Ofcom Proposes Forcing Sky to Share Content

Author Hugo Jobling
Published 26th Jun 2009
Ofcom Proposes Forcing Sky to Share Content
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Ofcom has been conducting its current Pay TV consultation for some time now, but it looks like some progress is being made. At least if so new proposals relating to "the restricted distribution of premium sports and movies channels operated by BSkyB" make it seem.


Ofcom believes, and many of us would agree I'm sure, than Sky is being overly restrictive in the way it makes its premium sports and movie content available to other broadcasters. Ofcom's proposal is for Sky to be obliged to offer its premium channels to other retailers - say, Virgin Media, or even Freesat potentially - on a wholesale basis, at regulated prices, "promoting choice and innovation." Ofcom's suggested pricing structure would be "above the level required to allow Sky to make a reasonable return on its costs" besides which Sky's revenues would likely increase anyway due to increased viewership.

Ofcom is also considering intervening with Sky's subscription video-on-demand (SVoD) content and the next FA Premier League auction. As regard films, Ofcom reckons that although Sky holds SVoD rights for all the major film studios but fails to exploit that on its satellite platform. Ofcom suggests that VoD licences should be separate from 'standard' subscription rights, which they currently aren't. Ofcom says it will be talking to the Premier League regarding its next broadcast rights auction in 2012 - although the full details of what's to be talked about aren't mentioned.

Obviously these are just proposals currently, so we shouldn't all go throwing "down with Sky's monopoly" parties right away. It may be worth getting a couple of quotes from some caterers, though, just in case.

link:
Ofcom.

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Latest 4 of 27 Comments

Have your say: Leave a comment below about this article.

comment Bluepork said on 29th June 2009

This market is not a free market. For example, if I, as a consumer, want to watch Premiership football, I can only do so by signing up to Sky. To those people who say that the mark... more

comment Alan Clinch said on 29th June 2009

Having now read through quite a bit of the ofcom document it basically boils down to this.

Sky will have to make their premium channels available to any platform for... more

comment Enigma said on 29th June 2009

@Frank but not so frank.

I was a Skysports subscriber (not by choice) and their scheduling was appalling and my complaints went unheeded and so I left and I haven�... more

comment TL1210 said on 30th June 2009

I don't like the way how Sky offer their Sports packages.

I only want to watch football but to watch all their Premiership games I have to sign up to all 3 chan... more

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