BBC Worldwide, ITV, Channel 4 Align for New On-Demand Service

LONDON,
November 27: BBC Worldwide, ITV and Channel 4 have formed a commercial
three-way joint venture to launch an on-demand service in 2008, tentatively
titled Kangaroo.

The service
will offer up more than 10,000 hours of current and archived programming from
all three British broadcasters. Initially, the service will launch as a
web-based proposition, with expansion to other platforms planned. Content will
be available for free download, streaming, rental and purchase.

An official
name and brand for the new service will be unveiled before launch, and plans
are subject to formal approval from the BBC Trust as well as each broadcaster’s
board.

The new service
will compete against current on-demand services offered by British providers
including Five, Sky, BT Vision and Tiscali.

Lesley
MacKenzie has been appointed to the role of launch CEO, and is currently
recruiting top executives to lead the joint-venture team. Previously, MacKenzie
was in India launching TataSky and before that served as the director of
channels and operations at BSkyB.

The three
broadcasters currently offer their own separate on-demand services—BBC’s
iPlayer, ITV’s catch-up service on ITV.com and Channel 4oD—and these services
will continue to exist alongside the new online aggregator. BBC iPlayer is a
free catch-up TV service offering hundreds of programs a week from the last
seven days. BBC iPlayer content will be listed within the new service. ITV.com
will also continue to feature a 30-day catch up facility alongside simulcasts
of ITV1, ITV2, ITV3 and ITV4 and a wealth of news, clips, stills, exclusive
content and interactivity across and around ITV programming. Finally, Channel
4's website will host a catch-up service including accompanying comprehensive
program information and clips, while 4oD will evolve into the new service.

John Smith, the
CEO of BBC Worldwide, commented: "This is a historic partnership between
the U.K.'s largest broadcasters. For some time we have wanted to form an
alliance with other rights holders in the U.K. and give viewers an on-demand
service with real added value.”

ITV’s executive
chairman, Michael Grade, added: "This key strategic move is complementary
to our investment in itv.com and further strengthens ITV's customer proposition
online. The joint service has the potential to become an important shop window
for U.K. broadcaster content and a great destination for viewers.”

"We
believe this deal will lead to a major step change in the on-demand services
offered by U.K. broadcasters and is good news for independents and the creative
community, for advertisers and, above all, for viewers," said Andy Duncan,
Channel 4’s chief executive.

—By
Kristin Brzoznowski