Virgin Media News

[Media Boy UK]

Will Virgin 1 be big and bold enough to live up to the Branson megabrand?

Or is the channel destined to be a £40m knee-jerk reaction too far against the 'bully' Sky?

It was with considerable relief that the chosen few left the rest of the press pack shivering in a cold damp field, while we were led to the warmth of Sir Richard Branson's manor.

Although manor is not exactly the right word as the tycoon's pad is more a cosy Cotswold cottage than rambling Virgin Towers.

Full story here: http://www.broadcastnow.co.uk/Broadc...intStoryID=146
Info from Broadcast.

[grabbi]

Originally Posted by TV Boy

Branson: Virgin still wants ITV

Sir Richard Branson has signalled that cable group Virgin Media has not abandoned its ambitious plans to buy ITV.
Sir Richard, Virgin Media's largest shareholder, also suggested his Virgin group would retain its 10.5% stake if the cable company is sold.
Speaking today from his home in Oxfordshire at the launch of Virgin 1 channel, Sir Richard was asked about recent takeover approaches from private equity groups and what a sale would mean for the Virgin Media brand.

Full story here: http://media.guardian.co.uk/city/sto...178666,00.html

Info from Media Guardian.

Reading that is very promising, but the problem is if Virgin Media (theres no question Virgin can) can afford it.

At the moment, shares in ITV are becoming cheaper and cheaper, and even though its not at the rate of, say, Northern Rock, its still decreasing.

The £940m it mentions Sky bought in ITV could be worth £700m by the time the report is published. It could be £800m. But if Sky are told to sell, and Virgin and willing to Buy, then the deal is set. 17.9% would be Virgin Media's.

Im concerned that VM are actually interested in ITV which, as I say, is flagging, even though it has some of the highest viewed programs on TV, plus footie rights and so on.

Finally Id like to add an important note.

The last time Sky were put under the Microscope of Ofcom, the Government and all that, Sky were found guilty of having a Monopoly on many things... this resulted in Sky Sports ands Sky Movies being a mainstay for Virgin Media, back when it was Telewest and ntl: by LAW, and if they are seen to be doing this again, for example, with interactive services on Sky Sports, and other things, a Law could be passed that says Cable customers have the rights to have this content "in the interest of fair competition".

The announcement of the findings is definitly going to be a landmark decision in the TV Market in this country. BUT it could go eitherway. Both have very strong cases, but Sky have been done for this before, and therefore, they dont exactly have the law on their side.

Just like an everyday Criminal, if they have previous convictions, they are already fighting an uphill battle. Sky has a previous conviction in the exact same offence... thus they have started at the bottom of the hill, against Setanta, Virgin Media, BBC and Channel 4... and I know I wouldnt like to face those companies in a Legal Battle! lol

[Media Boy UK]

'I believe Virgin Media can get to the top in the next two years'

Richard Branson hopes that putting 'proper telly' on his new channel - Virgin1 - will restore faith in the brand and put his rival in its place.

Full story here: http://observer.guardian.co.uk/busin...179939,00.html
News from Observer.

[grabbi]

The watchdog is due to publish its provisional findings on Tuesday (Sky's ITV Stake), which will give a strong indication of what will be contained in a final report in January.

Thats according to the Telegraph today...

http://www.telegraph.co.uk/money/mai...0/cnitv130.xml

[tpick]

Virgin 1 now testing-showing previews and a countdown clock

[grabbi]

Hmmm... Sky launching ANOTHER Triple Play offering called "Picnic!"

What a crap name that it! lol

The early findings tomorrow... hehe. Cant wait!

[12noon]

I don't know what the line ups like for Virgin 1 this weekend, but i hope they've got something that can pull in a good audience.

[Media Boy UK]

BSkyB may be forced to sell ITV stake

BSkyB could be forced to sell its 17.9% stake in ITV after the Competition Commission ruled it was "against the public interest". The satellite giant spent £940m buying the stake last November in a move that effectively thwarted cable group NTL (now Virgin Media) from acquiring ITV.

However, after a lengthy inquiry the Competition Commission has found the stake could lead to a substantial lessening of competition by giving Sky the ability to influence ITV's strategy.

"As a pay-TV operator, Sky faces competition from the free-to-air TV offer, of which ITV is an important part," the inquiry's chairman Peter Freeman said in a statement.

"BSkyB would therefore have both the ability and incentive to take advantage of opportunities to weaken ITV or prevent it from taking actions that would threaten BSkyB's interests."

However, the regulator said it did not think the stake gave rise to competition concerns in other areas, such as advertising and news provision.

The Competition Commission has put forward three potential remedies to alleviate the situation. They are:

• BSkyB sells its entire stake
• BSkyB sells enough of its stake to ensure it no longer has material influence over ITV Views are invited as to the level of the sale of the stake required – previous examples include reductions to just below 10% and just below 15%.
• BSkyB sells some of its stake and is subject to behavioural restrictions These restrictions might relate to areas such as voting behaviour and the solicitation or acceptance of board representation. Views are invited on suggestions.

Sky's major rival Virgin Media, which initially called for the stake to be investigated, said the Competition Commission's provisional findings were "a major step towards addressing the problems caused by Sky's stake in ITV".

A spokesman for the cable giant said: "Strong remedies are required to finally resolve the matter - Sky should not be permitted to remain in a position where there is any question whatsoever about its ability to influence ITV. We will be closely engaged with the Competition Commission during this next remedies stage."

The Competition Commission's report is provisional at this stage and it hopes to file its full report in December.

More info here: http://www.broadcastnow.co.uk/broadc...StoryID=171478

Info from Broadcast.

Competition ruling could loose Sky £200m

BSkyB could lose in the region of £200m if it is forced to sell its 17.9% stake in ITV, one of the sanctions that could be imposed by the Competiton Commission after its provisional findings this morning.

The Competition Commission said the holding restricted competition, is against public interest and that such a stake would allow the satellite broadcaster to weaken ITV and alter its strategy.

Sky paid £940m (135p a share) in November 2006, a move widely regarded as a blocking tactic against NTL's ambitions to buy ITV. Based on ITV's current share price of 102.4p, Sky's holding is valued at £717m.

However, Virgin Media sources said that although the cable giant is pleased with the provisional findings, it was "unlikely" to make a renewed bid for the UK's biggest commercial broadcaster.

"First of all the credit market is in a mess," said a source. "On top of that, Virgin Media itself is up for sale. Thirdly it does not have a full time chief executive officer – it needs to get its own house in order first."

The Competition Commission will reach a final decision before the end of the year.

Info from Broadcast.

ITV is again a takeover target


ITV is once again a "potential target for take-over" following provisional findings from the Competition Commission that could force BSkyB to sell its 17.9% stake.

Virgin boss Richard Branson hinted last week that he was still interested in acquiring ITV but as analysts point out, "he appears in a far weaker position than previously".

Virgin insiders suggested this morning (2 October) that an imminent bid is unlikely.

Virgin Media is up for sale itself and currently has no chief executive.

The credit markets have also deteriorated sharply since its approach last year.
Matthew Walker of Lehman Brothers said that RTL could be interested in the future although added that the company has said many times it will focus on Five.

Numis Media analysts said they believed the Commission has made a "harsh judgement".
"We expect that BSkyB will have to sell down its stake in ITV to perhaps 9.9% or 14.9%," the company added.
In 2006, ITV was also the subject of two attempted takeovers from a Greg Dyke-led private equity consortium.

The broadcaster later began negotiations for a potential merger with cable operator NTL, prompting Sky to swoop on its stake in ITV.
ITV's share price had risen by 1.60p to 102.8p when Broadcastnow.co.uk published.

More Info here: http://www.broadcastnow.co.uk/broadc...StoryID=171480

Info from Broadcast.

[grabbi]

Originally Posted by TV Boy

BSkyB could lose in the region of £200m if it is forced to sell its 17.9% stake in ITV, one of the sanctions that could be imposed by the Competiton Commission after its provisional findings this morning.

The Competition Commission said the holding restricted competition, is against public interest and that such a stake would allow the satellite broadcaster to weaken ITV and alter its strategy.

Sky paid £940m (135p a share) in November 2006, a move widely regarded as a blocking tactic against NTL's ambitions to buy ITV. Based on ITV's current share price of 102.4p, Sky's holding is valued at £717m.

However, Virgin Media sources said that although the cable giant is pleased with the provisional findings, it was "unlikely" to make a renewed bid for the UK's biggest commercial broadcaster.

"First of all the credit market is in a mess," said a source. "On top of that, Virgin Media itself is up for sale. Thirdly it does not have a full time chief executive officer – it needs to get its own house in order first."

The Competition Commission will reach a final decision before the end of the year.

This is exactly what Ive been talking about. Sky obviously thought to themselves that they were TOO powerful to be called into an office and told to sell the shares again, and now they find themselves preparing for a loss of upto £200m this year.

Although the CC has released 3 remedies to combat this, there are others also, which dont involve Sky selling.

Dont forget, also, that a company such as News Corp. could buy the ITV stake off Sky, even though News Corp. owns Sky.

One way or the other, they have paid £200m for nothing. And that shows how much more money than sense Sky has.

[Media Boy UK]

Virgin lobbies for Sky to shrink ITV stake


Virgin Media is reportedly lobbying for Sky to reduce its stake in ITV from 17.9% to 5%.

Earlier this week, the Competition Commission ruled that Sky's current stake restricted competition and was "against the public interest".

The Commission will present its full report to the Secretary of State in January, with Sky likely to be required to sell its stake or reduce it in order to restrict its influence over the broadcaster.

Insiders have told Broadcast that while Virgin Media would prefer Sky sold its entire stake, it will probably campaign for Sky to reduce it to 5%.

http://www.digitalspy.co.uk/broadcas...itv-stake.html

Info from Digital Spy.

[Media Boy UK]

BSkyB hopes to avoid a forced sale of its ITV shareholding by proposing a series of undertakings to the Competition Commission.

Sky sources said they did not think it would be forced to offload their shares in ITV.

A move that effectively blocked Virgin Media's attempted takeover of ITV.

Sky says to be working on a number of proposals it will present to the Commission in an attempt to allay concerns over its potential undue influence.

These are understood to include offering assurances on how Sky will vote at ITV shareholder meetings and agreeing to limit its influence on the ITV board.

Info from The Mail on Sunday.

[grabbi]

Sky are now saying that a Private Partner was with them, and that means Sky wouldnt have owned such a big stake, and that it WAS an investment, not a scuppering tactic for ntl:.

The Guardian is saying "nobody in the City is going to believe this" meaning Sky are coming up with valid excuses to cover up the fact that they broke the rules.

-

In other news, Virgin has hired Ricky Tomlinson to explain the Digital Switchover in lamence terms.

Problem is, in an interview, hes been employed by Virgin, but he tells people that they "can buy a Sky box for the top of their Telly"...

[grabbi]

http://business.timesonline.co.uk/to...cle2690063.ece

Neil Berkett, age 51, has taken Steve Burch's job at Virgin Media, and has devised a strategy, which the Times newspaper, owned by News Corp. is calling a "conceaded defeat against Sky" in terms of competition.

It says, although Virgin will continue its court battle, the new Chief has set his sights on Mid-Tier customers and market, believing there is a set of customers out there on Freeview, who want just that little bit more. Thats where Virgin comes in.

However, by the sounds of it, there could be a price reduction of some sort on the cards.

Think about it, you want Freeview customers to come to Pay Digital, but they arent taking VMs XL or Skys 6 Packs, they want something in the lower scale, where you dont pay much at all.

Maybe Ive got the wrong idea, and instead they intend to advertise in the areas mostly taken up by Freeview.

One way or the other, this geezer seems to know what hes doing.

The other thing to point out from the story is that Customers have, for years, been frustrated, yet the CEO's naff off with nice pockets; mainly of outrr hard earned money, while they sit around and do nothing about the co. in turmoil!

[tpick]

Ch 263 (Ex UKTV Bright Ideas) removed from EPG.

(Ex-NTL)

[sstainer]

UKtv Drama +1 live on system ch130 has replaced 263 taken off