Virgin plays chicken with Sky

Virgin Media is threatening to take Sky to court to resolve the dispute over payment for some Sky channels that until last week were part of Virgin's TV service.

While Virgin says that attempts to get Sky back to the negotiating table have failed, Sky has told Virgin that its terms - 3p per customer per day - are still available. Virgin Media has continually rejected these rates as they are almost double what it was previously paying.

"We will not allow our customers to be the victim of Sky's market power. In the interest of the consumer, we want these issues resolved quickly," said Steve Burch, chief executive of Virgin Media.

Sky has been formally advised by Virgin Media that it will begin legal proceedings in 30 days if a deal cannot be struck.

View: Full Story @ Webuser

Report a problem with article
Previous Story

Hosting Partners Cast Wary Eye At Microsoft Office Live

Next Story

Nvidia and AMD DirectX 10-capable GPUs to arrive in 2Q

13 Comments

Commenting is disabled on this article.

Hmm

I bet Virgin Media customers wouldn't mind paying the extra 90p per month to get those channels back.

thats not such a bad idea, offer an increase of £1 per month extra to get sky's basic channels back

that would totally go against virgin's new marketing pitch though which advertises "simple package choices" of M, L and XL.

i'm totally with virgin on this one though, been with telewest for two years and they have the best service of any comms company i've ever used, sky are just panicing because there are so many cable customers now, they're throwing their rattles out of the pram with unfair inflation over existing contracts

I don't really understand why so many people get sky. I pay my license fee for BBC and get programming with no ads. I don't pay for ITV1/2/3/C4/etc but I get ads so they can make their money. But with sky I have to pay monthly and get shown ads? How does that work then?

Everyone should ditch Sky so it's not profitable and then the big shows would get brought by other channels who use freeview and then everyone would be a winner. Except Murdoch i guess

Some people aren't aware that Virgin owns Flextech which means they own Living Tv, Bravo, Trouble and a couple of other channels, I don't see Virgin increasing the price for these channels.

I still don't have a clue why Sky cancelled sky one on cable, what's the one good reason or are there many reasons.

Only thing decent on sky one was 24, Lost s3 is ok for the fans like me but we all know it's not as good as the previous seasons, problem is these can't be shown until they have finished with the current seasons.

i don't really see Virgin's argument here.. maybe im just being naive

anywho, isn't this like taking the local corner shop to court because they sell beans at 50p a can, and you only want to pay 45p a can?

maybe im simplifying it a bit much..

It is exactly like that.

Virgin Media believes it has a divine right to Skys channels ... Sky owns the channels and can set any price they want, as usual Virgin wants to play it out in front of the courts.

The most important part of this story is that both companies will screw you over in a second for more money ... Virgin isn't some holier-than-thou creation run by a CEO who is your friend first, and a CEO second ... they're both corporations, and as with all corporations, they're obsessed with the bottom line.

Virgin are Sky's only competitors now, what do people expect, you can't blame them. Anyway, virgin seem to think £10.95 a year per customer is too much to pay? A TV license, the money of which goes to the BBC costs £131.50 a year.

£10.95 for Sky a year.
£131.50 for the BBC a year.

When you look at it that way i think it's a bargain, it's Virgin who need to sort themselves out tbh.

Maybe you have simplified it too much, maybe not. That's the whole point. Sky is saying what you're saying. Virgin will be arguing in court that Sky have a monopoly over shows like Lost and 24 and the Monopolies and Mergers comission will make the final decision.

Lol at the both of them, Virgin for being such poor quality and Sky for being a dick head xD
Sky One was one of the only good channels we know, maybe we should go and buy the channels themselfs straight from america ?

Fox Network FTW !

Natey said,
Lol at the both of them, Virgin for being such poor quality and Sky for being a dick head xD
Sky One was one of the only good channels we know, maybe we should go and buy the channels themselfs straight from america ?

Fox Network FTW !

Sky One has been crap for 10+ years... It's the 7 odd hours of Simpson repeats every day that ruined it...

Fox and Sky are owned by Rupert Murdoch. Sky 1 is part of the Fox Network ..... or it is 'technically'. All the American shows that populate the Fox tv channels in the states are sold off individually. Some Fox might not have control over and they can make more money if they sell off the broadcast rights.

While there is an 'ABC 1' in the UK. Lost isn't show on it because channel 4 and Sky 1 were willing to pay more. They are established and can draw in more viewers and advertising money. This the same for virtually everything.