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Originally Posted by vincerooney
always wondered why virgin media charge so much for channels to join their service. they dont have the financial power of sky (hence why they never bid for anything) so if its a money thing it clearly isnt working
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It is ultimately a question of whether a channel is likely to add or at least retain TV customers, in which case Virgin Media will do a deal, in some cases paying the channel if it is thought to be attractive. On the other hand, if a channel isn't attractive then they will either not add it or will charge it a decent sum.
Don't forget that the free to air channels on Sky satellite, Freesat, or Freeview pay Sky / Freesat / Freeview a relatively small fee to be on their EPG, but also have to pay broadcast costs to the owner of the capacity they broadcast on whether a transponder or a multiplex for terrestrial, and there are additional costs to that, e.g uplink, etc.