Bust up between BSkyB, Virgin Media and BT following Setanta demise

Wed 24 Jun 2009 3 Comments

Following early warning signs from BT dedicated sports channel Setanta was to go the way of the dodo, it has now been confirmed the Irish sports broadcaster's UK operations have indeed gone into administration.

Although not necessarily unexpected however, The Guardian has reported three major internet service providers, BSkyB, Virgin Media and BT (all of which also provide bundled broadband and TV packages) have been swapping some stern words amongst each other.

Both Virgin Media and BT commented on the channel's closure, suggesting its downfall was the result of a failure in the UK pay-TV market. Subsequently, they have called for Ofcom to investigate the issue. Biting back however, Sky has responded by suggesting the sector needs more competition to flourish rather than regulation.

 

 

Answering this suggestion, Sean Williams, BT managing director of strategy, regulation and portfolio, said: “The failure of Setanta throws into stark relief the market failure in pay TV in the UK. It is also further evidence of the need for Ofcom to remedy the situation swiftly. Competition in pay TV in the UK is not working effectively. This gives rise to significant harm to consumers in the form of higher prices, restricted choice and diminished innovation.”

Biting back, Sky's chief operating officer, Mike Darcey, commented: “BT and Virgin Media are guilty of cheap opportunism... They prefer to try to get our channels on the cheap while showing no interest in bidding for rights themselves.”

With regards to bundle offers, BT has assured its customers it will be review offers for all BT Vision customers, including everyone receiving Setanta Sports within a Bronze, Silver or Gold Value Pack. Subscribers are asked not to phone the provider as they will be contacted within the next few days.

Meanwhile, the BBC has reported both BT and Virgin Media are in talks with ESPN concerning a deal to show the English Premier League matches. BT Vision subscribers are reminded to retain their BT Vision/Setanta view card.
 

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Comments

  • unhappy

    by trevor bliss at 20:23 on 24 Jun 2009Report abuse

    so will my package on virgin media be cheaper?

  • neutral

    by andybr1ggs at 09:05 on 25 Jun 2009Report abuse

    No, your package wont be cheaper because setanta is a stand alone package? you could have asked that when they lost sky 1 but then again they got round that and created the virgin 1 channel

  • unhappy

    by Enigmatic Stranger at 19:35 on 30 Jun 2009Report abuse

    The attraction to the tv package I have at the moment was the fact it included Setanta.
    I'm not interested in another add on channel to compensate. Put it this way, I dont go out to buy a new car and order one in Black pay for it and then be told they dont make them in Black anymore and end up with a yellow one.
    Fact is we all opted for a service because it attracted us to something we particularly liked. Well for me thats not there anymore and I for one will be changing my supplier at the first opportunity.

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