October 3, 2007

Sky may have to sell stake in ITV

When British Sky Broadcasting bought a 17.9 per cent stake in the independent television broadcaster ITV alarm bells began to ring. The main complaint happened to come from Richard Branson head of Virgin Media, this caused problems as Sky pulled some of the channels from the Virgin Media packages and the rest is history.

The competition regulator has been looking into this, and it does appear that they will be making some serious decisions regarding the outcome of the findings that BSkyB’s share holding do actually harm competition.

It is believed that the only outcome will be that BSkyB will be forced to sell their stake in ITV, which will bring things back to that way they were before all this happened.

Source [Bloomberg]