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BBC not to pay retransmission fee for carriage on BSkyB

MUMBAI: BBC will not have to pay retransmission fee in order to get carried on BSkyB’s pay-TV platform. The new deal will help the UK pubcaster save £4.5m a year in licence fee money.

The new long-term carriage deal will see Sky’s satellite platform providing BBC services as well as the video-on-demand (VoD) service iPlayer.

“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,” the two broadcasters said in a joint statement.

BBC will also continue to discuss opportunities that offer Sky customers new and innovative ways to discover and consume its content.

BBC and BSkyB have been at loggerheads over retransmission fee with the former even threatening to start charging Sky for its content if the annual fee for carriage was not dropped completely.

While BBC argued that its content helped Sky rake in huge profits, Sky contended that BBC and its services benefitted from its investments in pay-TV carriage platform and its technical services.

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