> BBC TO TRANSMIT DIGITAL TV CHANNELS FREE-TO-AIR
> The BBC is to broadcast all of its channels free on digital satellite
> from May 30, allowing people to watch its channels without a
> subscription with BSkyB. The BBC's services will be broadcast without
> encryption so viewers without a Sky card will be able to watch. The
> move will mean the BBC will save an estimated £85 million over the
> next five years. The BBC will use half of the savings to make all of
> its regional and national channels available to the whole UK for the
> first time. The 15 English regional versions of BBC One, the
> England-wide version of BBC Two, the national versions of BBC One and
> BBC Two in Scotland, Wales and Northern Ireland will be broadcast to
> all parts of the UK. In order to achieve this, the BBC has offered to
> pay BSkyB a fee, thought to be in the region of £30,000, to make a
> one-off change to the electronic programme guide. The change would
> allow people to select which regional version of the BBC channels they
> wish to see. If the two sides cannot agree on the fee, the BBC will
> still go ahead with broadcasting its services unencrypted on digital
> satellite. The change will not affect the existing 6.6 million Sky
> viewers - but it will mean the channels will be transmitted from a
> different satellite to now, the Astra 2D satellite. However, the BBC
> faces a possible row with studios and other rights owners after it
> emerged that its new distribution plans could violate existing
> territory-based content deals. Rights owners are calling on the BBC
> for more information about the pubcaster's startling decision to
> broadcast its 8 digital channels free-to-air via the Astra 2D
> satellite. They are concerned that under the new distribution system
> the BBC's signal will be picked up in territories in continental
> Europe, including France, Switzerland, Belgium and western Germany,
> thus breaching existing rights deals that cover the United Kingdom
> only.
>
> ITV WELCOMES BBC DECISION TO LAUNCH FTA SERVICE
> ITV has welcomed the BBC's decision to launch its own free to air
> satellite service and hinted it may follow suit when its contract with
> BSkyB comes up for renewal in August 2004. Joint managing director
> Clive Jones said ITV had long believed the prices (£17 million per
> year) charged for carriage were too high, and that ITV would "review
> all options" before renewing its contract with Sky. Along with the
> BBC, ITV has been lobbying the government to reinstate a "must carry"
> clause in the forthcoming communications bill that would limit the
> amount they pay Sky to carry their channels. The long running debate
> centres on the fact that, according to the draft bill, the BBC and ITV
> are required to offer their channels to Sky but the satellite
> broadcaster is not bound to carry them. Effectively this allows Sky to
> charge the BBC and ITV the same amount as it charges other commercial
> channels to appear on the platform. But the BBC and ITV argue they
> should pay a reduced charge in view of their status as public service
> broadcasters. Channel 4 also welcomed the move but was more
> circumspect in its criticism of Sky. Because it operates two pay-TV
> channels, Film Four and E4, Channel 4 could not broadcast on a
> free-to-air satellite network and needs the conditional access
> infrastructure supplied by Sky.
>
> ITV DIGITAL SUBSCRIBERS HIT WITH NEW ULTIMATUM