[OT] BBC may partner with Sky on digital TV

["Mark McCall" <mark@xxxxxxx>]

http://n= ews.zdnet.co.uk/story/0,,t269-s2111697,00.html
BBC may partner with Sky on digital TV
09:03 Wednesday 12th June 2002
Reuters


The Beeb may join Murdoch's satellite TV company to build a new terrestrial=
digital broadcasting service, breaking up a consortium with ITV and Channel=
4
The BBC is to partner with satellite broadcaster BSkyB in a bid to build a<= BR> digital terrestrial television service to replace recently-collapsed ITV Digital, The Times of London reported on Wednesday.

The BBC broke ranks with a consortium including rival ITV broadcasters and<= BR> Channel 4, which had been trying to form a single group to bid for the
licenses left over after ITV Digital shut off services in late April, the report said.



The falling out came after the parties failed to agree on a formula on how<= BR> to divide up the licenses, The Times reported.

If successful the bid would mark the first joint venture between the BBC an= d
BSkyB in which Rupert Murdoch's News Corp holds a 36.3 percent stake, the report said.

BBC and BSkyB will apply to the Independent Television Commission before a<= BR> Thursday deadline for licenses to run a free-to-air digital television
service.

The regulator has invited applications for the license which it took back >from BR> failing to find either the money to settle its bills or a buyer for the
business.

The proposed BBC BSkyB service would be funded by a mixture of the BBC's license fee and advertising and would be available through simple receivers=
costing viewers less than =A3100, the report said.

A spokesman for BSkyB declined to comment on the report. A BBC spokeswoman<= BR> said the corporation was "talking to various people" regarding th= e licenses
application but declined further comment.

Officials at Channel 4 and ITV broadcasters Granada and Carlton
Communications were not immediately available to comment.

Carlton and Granada will still apply for licenses together with Channel 4,<= BR> the report said.

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