Telewest maintains aggressive MTV stance

Carriage of the MTV bouquet of channels on cable giant Telewest's Active Digital television service is looking increasingly uncertain as the operator tells Digital Spy that unless MTV substantially lowers its requested fees, the channels will be dropped.

This news comes shortly after Telewest Broadband placed messages on its digital cable system and on its website saying that the MTV channels, including VH-1, VH-1 Classic, MTV, MTV2, MTV Base and MTV Hits, "may not" be carried on its service beyond December 10. We asked Telewest Broadband for an update on the situation. A statement read:

"Telewest is currently in negotiations with MTV for carriage of their channels. We are not prepared to continue to carry their channels at the price demanded from MTV. We have recently signed up 6 Emap music channels and we will continue to offer a full range of music channels for our customers."

Strong words indeed from Telewest Broadband, who are effectively saying MTV must back down or face the subsequent loss of audience when the channels are dropped. MTV too, is responding in the public arena - making it quite clear that the negotiations are at a critical stage, and presenting the picture that it is in fact Telewest who will have to back down. They told us that "MTV is supplying the kind of music TV that nobody else can provide".

In what would appear to be a direct attack on Telewest's recent launch of six EMAP music channels on their service, MTV Networks Europe told Digital Spy:

"The channels operated by MTV Networks UK – MTV UK & Ireland, VH1, MTV2, MTV Hits, MTV Base, MTV Dance and VH1 Classic – have commanded more than 60% of music TV viewing in 2001 to date, making the network the UK’s number one music TV provider according to figures provided by BARB."

Indeed, the BARB data does show that MTV has maintained its lead in the music TV stakes; the graph below shows the average number of people watching the channels at any random minute.



It does, however, also show that MTV is losing its lead somewhat compared to EMAP, which launched three new channels this year. This will, undoubtedly, be being used in some way by Telewest at the negotiating table.

MTV continues to hit back at suggestions of being superseded by EMAP though:

"The network is leading the pack in interactive TV, with over a million people experiencing the MTV Europe Music Awards interactively through Sky Digital in anticipation of the launch of full 24/7 TV interactivity in early 2002. The company has also announced pioneering mobile and broadband content deals to ensure that MTV continually reinforces its position as the UK’s leading provider of music and music-based entertainment."

Telewest however evidently feels that the EMAP channels would provide an acceptable substitute to its subscribers in the event of MTV negotiations breaking down. While both sides are hoping for a successful resolution; Telewest wanting to keep down costs while providing both MTV and EMAP's range of channels, and MTV wanting to maintain the maximum exposure it can get on the UK's digital TV platforms, the negotiations are at a highly critical stage.