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Originally Posted by johnathome
True but does this condition include the HD channels, or could they move them into a higher package?
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This does not include the HD channels, so, in theory, the BBC, ITV and Channel 4 could follow Channel 5 in putting their HD variants behind a pay wall.
From what I've read though, these proposals aren't just confined to the HD variants, but include the SD channels too. ITV want the 'must carry on cable' on a 'neutral cost' basis to be changed, so that they can charge cable (and satellite operators) for their channels. Their argument is that the vast majority of viewing on all platforms is of channels 1-5, so they should be able to charge platform owners for providing such a popular service to their customers.
This all started when the BBC, after having both it's income and liabilities increased, started questioning why they were being charged 'Platform Contribution/retransmission' fees by Sky. Their argument was that them simply having a presence on Sky attracted and retained many customers, so, if anything, Sky should be paying the BBC for being on their platform. In the end, I believe that the retransmission/platform contribution costs were slashed voluntarily by Sky for channels 1-5.
I can't see the 'must carry' clause being retained if the channels are allowed to charge for transmission.
In the unlikely event that this change is enacted, VM could take the channels off the system (unthinkable), charge for them individually (unlikely) or, more likely, absorb the costs in and amongst other day to day running costs. Of course, this may lead to higher Pay TV bills in the future if these additional costs cannot be met by efficiency savings elsewhere.