BBC embroiled in satellite row with Hollywood studios

LONDON - The BBC's plan to screen Harry Potter and the Philosopher's Stone could be thwarted by Hollywood studios concerned that the corporation is now broadcasting via unencrypted satellite following its split with Sky.

According to reports, Warner Bros, Universal Studios and 20th Century Fox have contacted lawyers because they are worried that the BBC's broadcasts will be available in countries where it does not have rights to show the films.

The BBC's satellite broadcasts were encrypted until earlier this year, when director-general Greg Dyke said that the corporation would save £85m a year by switching from Sky's satellite to another provider.

However, the move means that the BBC signal is no longer encrypted - meaning that people outside Britain may be able to tune in.

The Guardian reports that Hollywood studios could, in theory, stop the BBC from showing their films. The paper says that some of the studios are now communicating with the corporation only through lawyers, although a BBC spokeswoman says: "It would be untrue to say that nothing is moving forward."

She said that overspill has been reduced by the new satellite, and not increased.

The BBC had planned to show the first Harry Potter film as part of its Christmas schedule.

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