Sky responds to Ofcom investigation

Sky has re-issued a call for Virgin Media in response to Ofcom's announcement that it is investigating the UK's pay television market.

The media regulator said today that it was considering whether to refer the market to the Competition Commission at the request of BT, Setanta, Top Up TV and Virgin Media. It added that complaints from the Ofcom Consumer Council and the National Consumer Council regarding the withdrawal of Sky's basic channels from Virgin Media's digital cable service will form part of its investigation.

In a statement, Sky said: "The marketplace for entertainment and communications services is fiercely
competitive and changing fast. From the BBC to Google, BT to Apple and Vodafone to Virgin Media amongst many others, customers have never had a broader set of businesses competing for their time and custom.

'We note the references in Ofcom's statement to Sky's proposed pay-TV service on the DTT platform and the dispute with Virgin Media regarding the availability of Sky's basic channels.

'BT, Top Up TV and Setanta all have a commercial interest in preventing Sky from increasing customer choice by developing a new pay-TV service on the DTT platform.

'Recent events have also drawn attention to the fact that cable is a closed network with substantial protections. In any market investigation, we'd expect Ofcom to look at the physical and legal barriers and business practices that shield Virgin Media from true competition and prevent consumers from enjoying lower prices in broadband and telephony and greater innovation and choice in television."