MTV agrees to Sky price cuts

MTV has signed a new deal with Sky which will significantly cut its subscription revenues.

The deal, which will ensure carriage of the broadcaster's seven channels on the digital service, is reported to be worth £20 million; £5 million less than the previous contract.

The move is part of a focused effort by Sky to reduce the amount it pays broadcasters for carriage on the service, in light of an increased number of channels demanding money.

Despite strong competition from the EMAP channels, MTV is still the market leader in music TV. MTV has an audience share of 56% in multichannel homes, compared to 39% for EMAP and 5% for Sky's three new music channels, Flaunt, Scuzz and The Amp.