Feeds

Sky told to flog ITV shares

Monopoly watchdogs don't like the smell of big stake

Reducing security risks from open source software

Government regulators have demanded that Sky offload most of its stake in ITV because it threatens competition in the TV market, and could harm consumers.

The Murdoch-owned broadcaster bought 17.9 per cent of ITV earlier this year, in what was widely interpreted as a spoiler to a mooted takeover by Virgin Media. The Competition Commission today said it should reduce its investment to less than 7.5 per cent.

The watchdogs reckon Sky's ownership of a substantial portion of ITV would inevitably make the two compete less fiercely. That in turn "may be expected to result in a reduction in the quality of the offer, a reduction in innovation, or an increase in the price of audiovisual services," they wrote.

John Hutton, the secretary of state for business, has until 29 January to decide whether to follow the Competition Commission's advice and order a sale.

It would be bad news for Sky's balance sheet. ITV has continued to struggle since Sky paid £940m for the stake, and its southbound share price would mean a £200m loss on the deal.

The Competition Commission inquiry was launched in May, after Ofcom and and the Office of Fair Trading both flagged the deal as potentially anti-competitive.

Fans of tedious regulatory documents can read the Competition Commission's verdict here (pdf). ®

Mobile application security vulnerability report

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple ran off to IBM
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.