BBC and Sky meet to discuss charges for satellite listing

LONDON - The BBC is set to meet with BSkyB today in an attempt to negotiate the cost of keeping its channels on Sky Digital's electronic programme guide after it stops using the platform to broadcast its channels to digital satellite homes.

The BBC could face a bill of as much as 拢2.3m a year from Sky, in costs relating to listing all its channels on Sky's on-screen TV listings services and software technology for regional variations of BBC One and BBC Two.

The BBC's decision to remove its channels from Sky Digital will leave a gaping hole in Sky's accounts. The five-year deal to provide the BBC with Sky's encryption technology, which stops the channels being available in other markets, was set to be worth 拢17m a year, up from 拢4m a year previously, a total of 拢85m.

However, the BBC needs to remain on BSkyB's on-screen channel guide, and it is thought that the satellite broadcaster may more than double the cost of appearing on the listings.

The fees are set to increase from 拢28,000 a channel to 拢75,000. However, the BBC wants to increase the number of services it lists on the guide to include all 22 regional versions of BBC One and BBC Two, plus its eight digital channels.

It also requires that Sky develops software to allow viewers to switch between the different regional offerings.

The total bill could amount to as much as 拢2.3m a year, wiping out a fair amount of the 拢45m the BBC planned to save by moving off Sky Digital.

However, Sky will have to make up the money somehow, especially if ITV follows suit when its contract expires next year. There have been suggestions that Sky may stop subsidising set-top boxes for new customers or increase its subscription charges.

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