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Re: Virgin Media News
Details of the deal made between Sky and Tiscali TV have been revealed, showing that Tiscali were happy to pay what Virgin Media wasn't for the carriage of Sky's basic channels on the IPTV platform.
Earlier this week, Sky filed its defence at the High Court as part of its legal battle with Virgin Media, after Virgin refused to pay the amount Sky wanted for carrying its basic channels, disputing the cost as "anti-competitive." Sky One, Two, Three, News and Sports have not been shown on the Virgin Media cable platform since the end of February.
The Tiscali deal was agreed on June 27 at a price reported to be "broadly similar" to the offer Sky made to Virgin Media on May 10.
Reports suggest IPTV provider Tiscali paid 81.5p per subscriber, equivalent to £335.7 million annually. This works out slightly more per customer than Virgin Media, as Tiscali has 50,000 customers, while Virgin Media has 3.4 million.
Additionally, Sky has agreed new carriage deals for its basic channels with regional cable operators Newtel, Smallworld and Wightcable. Outside of the Virgin Media network, the operators cover Jersey, the Borders and the Isle of Wight.
Mike Darcey, chief operating Officer, Sky, said: “Sky has always sought to achieve wide distribution for its channels and we’re pleased to extend our relationships with three valued and long-standing partners. All three have recognised the increasing value of Sky’s basic channels and we welcome their decision to invest in bringing their customers the TV they enjoy.”
Info from Digital SPY.
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