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Three UK broadcasters develop new online TV under the working title Kangaroo, which is set to compete with YouTube
Britain’s three most popular broadcasters will next year launch a jointtelevision over internet service in an attempt to compete with the likes ofYouTube for online audiences.
ITV, Channel 4 and the BBC’s commercial division are each planning to take aone-third stake in the “Freeview online†venture, and will make availablecurrent and archive programming to watch over the internet on demand.
The supply of ITV and Channel 4 programmes promises to be comprehensive,although the BBC plans to keep separate programmes released in the pastseven days. These will instead be released through its iPlayer software.
Clearly commercial in intent, the service will accommodate advertising bothwithin and around clips, and according to Michael Grade, ITV’s executivechairman, “the deal is structured so that we each benefit from content beingviewedâ€, implying that some advertising revenue will be shared.
TheTimes wrote:
Other broadcasters are invited to submit their content to the service,currently dubbed Kangaroo, but it is not clear if they will be offered thechance to buy an equity stake. It will be launched sometime in the middle of2008, under a brand name yet to be decided.
The three broadcasters are planning to discuss their plans with the Office ofFair Trading to ensure that it complies with competition law. Although thetrio dominate viewing in the UK, they argue that their true competition ispowerful multi-nationals such as Google, the owner of YouTube.
The group also argues that a shared service, using a single softwareapplication is simpler for consumers to use. Until now, Channel 4 and theBBC have both developed services that use incompatible software to playtheir programmes — 4OD and the iPlayer respectively — although otherbroadcasters, including ITV, simply rely on streaming video without aspecial software on the desktop.
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