BBC & BSkyB Settle Retransmission Spat

LONDON: The BBC and BSkyB have resolved their long-running dispute over retransmission fees, agreeing that the pubcaster will no longer have to pay to have its services carried on Sky, saving around £5 million ($8 million) per year.

The BBC had threatened to start charging Sky for its content if it did not drop the annual fee. This also applied to the other U.K. public broadcasters, ITV, Channel 4 and Channel 5. In addition to dropping the retransmission fees, the two companies reached a long-term carriage deal for BBC services and the iPlayer on-demand service on Sky's satellite platform.

In a joint statement, the two broadcasters said: "Sky and the BBC have reached an agreement which reduces the BBC's payments for platform services to zero.

"Alongside this, both parties have reached an agreement that secures the long-term availability of BBC channels and BBC iPlayer on the Sky platform. We will also continue to discuss opportunities that offer Sky customers new and innovative ways to discover and consume BBC content."