Virgin Media TV XL package devalued after BT buyout of ESPN?

Originally Posted by Kushan

BT will no doubt have contractual obligations regarding ESPN on Virgin, so there likely won't be any change for a while - contract renegotiation and all that.

Unless the transfer to BT is timed to take place when current contracts have expired.

[Kushan]

Originally Posted by jj20x

Unless the transfer to BT is timed to take place when current contracts have expired.

Possible, but unlikely. It's not like ESPN only has contracts with Virgin, ESPN is available on Sky as well (just sky charges extra) and likely others. It would be a massive coincidence if all of their contracts expired at the same time, especially as these kinds of contracts tend to last years and years.

Originally Posted by Kushan

Possible, but unlikely. It's not like ESPN only has contracts with Virgin, ESPN is available on Sky as well (just sky charges extra) and likely others. It would be a massive coincidence if all of their contracts expired at the same time, especially as these kinds of contracts tend to last years and years.

If I remember correctly the channels went live on VM and Sky in early August 2009. BT are due to take over at the end of July 2013, possibly timed to match the expiry of an existing 4 year contract?

The ESPN channels on other platforms are an add-on package and BT Sports channels will also be an add-on package, so the old ESPN add-on packages will, most likely, be rolled out into the new BT Sports ones. Only VM includes the ESPN channels in one of the basic packages, so the situation for VM isn't really comparable.

[Kushan]

Originally Posted by jj20x

If I remember correctly the channels went live on VM and Sky in early August 2009. BT are due to take over at the end of July 2013, possibly timed to match the expiry of an existing 4 year contract?

The ESPN channels on other platforms are an add-on package and BT Sports channels will also be an add-on package, so the old ESPN add-on packages will, most likely, be rolled out into the new BT Sports ones. Only VM includes the ESPN channels in one of the basic packages, so the situation for VM isn't really comparable.

It's impossible to know what the details are for each and every provider really, we're just guessing. As far as VM/Sky/etc is concerned though, probably not a lot will change. If they have a contract, those terms will be honoured. If a contract is up for renew, it would have been regardless of the takeover. Just wait and see, I suppose?

Originally Posted by Kushan

It's impossible to know what the details are for each and every provider really, we're just guessing. As far as VM/Sky/etc is concerned though, probably not a lot will change. If they have a contract, those terms will be honoured. If a contract is up for renew, it would have been regardless of the takeover. Just wait and see, I suppose?

It's impossible to know for sure but we do know that ESPN were already looking to exit from the UK market and sell off any remaining sports rights. It would make sense for them to plan that exit for when existing contracts are ending. Otherwise they would have to suffer the burden of early exit penalties. That was the logic behind my thinking.

In any event, ESPN has already announced that ESPN Classic is to close across Europe before BT takes over. It has also been stated that BT will only operate 1 channel with the ESPN brand, other rights purchased will be used on BT Sports branded channels. That only leaves a single channel, presumably ESPN America, covered by existing contractual agreements with VM. When asked, BT have stated that channel will not be sold separately but only as a part of the BT Sports suite.

As you suggest, we can only wait and see, but based on enforcing existing contracts, the best we could hope for would probably be an extended period for ESPN America in the XL package.

[Horizon]

The flip side to all this is BT may not allow its channels on Sky or VM at all. It may wish to make them exclusive to their own pay tv platform, cue vm/sky complaints to ofcom, court action, competition commission investigation etc

[Gavin78]

I can see VM tv going down the pan and the company only operating a BB and phone service

Originally Posted by Horizon

The flip side to all this is BT may not allow its channels on Sky or VM at all. It may wish to make them exclusive to their own pay tv platform, cue vm/sky complaints to ofcom, court action, competition commission investigation etc

Highly unlikely considering the fact that BT has already added sports content on satellite. Although Sky is an open platform, it remains to be seen what the exact relationship between Sky and BT will be. Maybe BT will simply have a contract with Sky for the EPG slots and sell the channels direct to the public rather than through Sky.

[denphone]

Originally Posted by Gavin78

I can see VM tv going down the pan and the company only operating a BB and phone service

A highly unlikely scenario Gavin.

[gba93]

Originally Posted by Gavin78

I can see VM tv going down the pan and the company only operating a BB and phone service

Don't think Liberty Global see it that way either