The challenger, owned by BSkyB, CBS, Bloomberg, Chrysalis and Ulster TV, is said to have bid to provide the service for £31m. ITN has already cut its price to £36m, around £10m less than it currently charges.
ITN's shareholders include ITV companies Carlton and Granada, which had been expected to influence the decision. However, declining advertising revenues at ITV could mean that companies have to consider opting for the cheaper service in order to keep costs down.
ITN is still considered the favourite to win the contract, which until now has provided around 50% of its £100m annual revenues. The quality of ITN's news programmes are believed to have helped ITV fulfil its public service remit, which gives it access to cheaper broadcasting spectrum.
It is believed that ITN will have to make significant savings if it wins the contract. When news emerged in June that it would have to lower the cost of its service in order to compete with Channel 3 News, it was said that ITN would not be able to charge less than £37m if it was to still make a profit.
ITN's other shareholders including Reuters, United Business Media and Daily Mail & General Trust. It has existing news contracts with Channel 4 and Channel 5, and controls European news provider EuroNews, plus its own 24-hour news station.