The division was launched two years ago with a budget of $25m (£18m) under the leadership of Elisabeth Murdoch, the then managing director of Sky Networks.
Sky Pictures is understood to have been inspired by the success of AOL Time Warner's US film and TV production house, Home Box Office.
Murdoch has since left BSkyB to set up her own TV production company, Shine Entertainment, from which BSkyB commissions content. BSkyB, 37% owned by News Corporation, holds a 5% share in Shine.
BSkyB is expected to become a part-investor in films produced by French movie house, Pathe.
Sky Pictures' most successful and memorable production was Saving Grace, which starred Brenda Blethyn as a widow who grew marijuana to pay off the debts left by her late husband.
Other productions include black comedy Milk and Best, a film about former footballing hero George Best.