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MUMBAI: UK pubcaster The BBC's plans to offer all its TV and radio shows on-demand
via the internet and cable TV have been criticised by the media watchdog Ofcom.
Ofcom said that certain aspects of the BBC's on-demand service, which is due to
start later this year, could have a negative effect on commercial rivals. The
BBCs proposed on-demand services consist of: - catch-up TV
offering viewers the chance to watch any BBC programme from the last seven days
over NTL:Telewest, Homechoice and the internet at a time of their choosing. This
would also allow series stacking - the ability to store and view an entire series
of programmes; - simulcast TV BBC channels that are broadcast
on television would be made available at the same time over the internet; and
- audio downloads BBC radio programmes (excluding full-track commercial
music) would be available to download from the internet. Ofcom conclusions
are that the new services could account for almost four billion viewer and listener
hours by 2011. A proportion of these hours over half in the case of simulcast
and audio download services could represent additional viewer and listener
activity over and above current levels. The proposed services are therefore
likely to stimulate considerable interest in other new media services to the benefit
of all UK consumers and businesses. They offer significant potential value to
licence fee payers. However concerns have been expressed: Series
stacking could discourage investment in commercial on-demand services and is likely
to have an adverse effect on related markets such as DVD rentals and sales. Ofcom
believes the scale of series stacking should therefore be substantially reduced
or excluded altogether. In the case of catch-up TV on the internet,
the ability to store programmes for up to 13 weeks could have negative effects
on competition and therefore investment in consumer choice. Ofcom believes that
this storage window should be reduced or removed. In the event of removal, viewers
would still have up to 14 days to download and view the content. The
ability to download free BBC audio content might have a serious adverse impact
on specific markets; notably commercial classical music recordings and audio books.
Ofcom believes the latter should be excluded from the proposed services and the
availability of classical music recordings should either be constrained or removed;
and the cost of providing extra broadband capacity to deliver the BBCs proposed
services to consumers is likely to be high, though any additional capacity would
also be available for use by a wide range of other services including commercial
on-demand services. |