Ofcom Sets Consultation for Sky’s Freeview Plans

LONDON, June 26: British media regulator Ofcom will conduct
a public consultation on proposals from BSkyB to replace its free channels with
pay-TV services on the Freeview DTT platform.

In February, Sky announced plans to launch a subscription
service on DTT this summer. The offering will include sports and movie
channels, as well as entertainment and news, and will replace Sky Three, Sky
News and Sky Sports News on Freeview. Ofcom said in a statement today: “Sky is
not proposing to use MPEG4 compression technology at this stage, as originally
stated in its previous announcement. The applications raise a number of
important issues, including a consideration of how Ofcom can best ensure fair
and effective competition for the benefit of consumers.”

Ofcom expects to issue a consultation document in the fall,
followed by a report early next year. In the meantime, National Grid Wireless
is obliged to ensure that Sky’s free-to-air channels remain on the DTT platform
pending the outcome of Ofcom’s review.