BBC, Microsoft Ink Deal

SEATTLE/LONDON, September 28: The BBC and Microsoft have
signed a nonexclusive memorandum of understanding to work together on digital
content delivery opportunities.

BBC’s director-general, Mark Thompson, and director of new
media and technology, Ashley Highfield, met Microsoft Chairman Bill Gates to
officially sign the memorandum of understanding and discuss the BBC's digital
strategy in Seattle. This includes plans for its online archive, a new website
and future content delivery options.

"We are currently witnessing unprecedented rates of
change in technology and audience expectations," Thompson said. "To
ensure that the BBC is able to embrace the creative challenges of the digital
future, we need to forge strategic partnerships with technology companies and
distributors for the benefit of license payers."

"Microsoft's strength is in driving digital innovation,
and our vision is to open up rich, new consumer experiences that allow people
to enjoy digital content anytime, anywhere and on any device," Gates
added. "This vision fits squarely with the BBC's charter to lead the industry
in delivering content that is compelling and accessible. I'm delighted that
we're taking this important step, and I look forward to working together to
develop new models for content delivery and consumption."

The memorandum of understanding aims to identify areas of
common interest between the BBC and Microsoft on which a strategic alliance
could be developed. Areas of potential investigation and collaboration include
search and navigation, distribution and content enablement.