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Originally Posted by Broadbandings
If Virgin want the rights to the movies they can always, you know, pay the studios for them? It's not like those rights are owned by Sky by default. Virgin will never have Sky Movies On Demand, Sky Movies is just the name of a linear channel, they simply pay for the rights to the content and can show it whenever they please.
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The point is, if (Sky) Movies was not owned by the platform operator the content provider would no doubt tailor its offering to the platform operators requirements in order to generate maximum subscribers. Sky won't do this as it would give its competitors an advantage over its linear service. Although I'm sure once Sky gets an on demand strategy in place Sky Movies will no doubt be available on demand to Sky subscribers.
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Originally Posted by TheDon
Sky movies might be the name of a linear channel, but they don't just have the linear channel rights to the movies they air though, they have the subscription vod rights to them as well as they're contained in the same deal.
It's something ofcom looked into, and decided that if the industry wants to develop those rights and monetise them to a greater extent then they can seperate the two themselves. I'd expect that to happen the next time the rights go up for grabs.
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I don't think it will happen to be honest as I think it would result in the total amount of cash going to studios being less than the current set up. For me the better option would be for the studios to get together (along the lines of Film Flex) and cut Sky out of the loop i.e. a separation of content provider and platform operator.