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Source: http://www.omnesmedia.com
Virgin Media and ITV’s long-standing dispute will lead to Virgin Media’s 4 million pay-TV customers losing hit ITV shows including Coronation Street and Love Island. The dispute between the two has come to a serious turn. ITV is understood to have written to Virgin Media warning that it could remove its channels as soon as this weekend if an agreement cannot be reached.
Virgin Media and ITV have been in protracted and at times tense talks over a range of issues including the carriage of ITV, ITV2, ITV3, ITV4, video-on-demand rights and guarantees of the prominence of its programming, as cable viewers increasingly watch programs on demand from Netflix, Amazon and broadcasters’ own streaming services.
ITV threatened Virgin Media with a channel blackout earlier but delayed the decision for the arrival of Carolyn McCall, who joined from easyJet in January. To date, McCall has taken a more flexible and collaborative approach in negotiations, which are understood to be at an advanced stage. However, Virgin Media’s decision to remove a mix of free-to-air and pay stations including Dave and Gold – appears to have provided an opportunity for ITV to pressure the cable operator. Sources have confirmed that the letter was sent and contains an ultimatum, or threat, that ITV could remove its channels if a final deal is not signed.
In the event of a blackout, it is unclear if the broadcaster would be allowed to take down its flagship channel, home to shows including X Factor, as it is a public service channel that under broadcasting regulations must be supplied to rivals. However, channels such as ITV2, ITV3, ITV4 and their high-definition variants could potentially be taken off the air.
Sources say that despite the letter Virgin Media and ITV’s talks have not broken down and while they have been protracted they are now close to the point of a deal. One source described the letter as “opportunistic” but not likely to result in a breakdown in relations as has happened with UKTV
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