News Broadcasting
BBC to sell Technology subsidiary
LONDON: The BBC will sell its wholly-owned commercial subsidiary BBC Technology. The move follows a strategic review of the BBC’s technology requirements for the next decade.
The review identified potential annual savings for the BBC of between 20 – 30 million if its technology services were outsourced.
The review concluded that the BBC should conduct an European Union (EU) procurement process in which the winner would buy BBC Technology. As part of that process it will take on about 1,400 staff currently employed by BBC Technology.
Combining the procurement process with the sale of BBC Technology as a whole means the BBC can leverage maximum value and, as a result, invest more money in its programmes and services. The sale is subject to the approval of the Secretary of State for culture, media and sport.
The move offers growth opportunities for the staff at BBC Technology as the company will undoubtedly attract bids from major technology businesses with scale and expertise. 1,400 people are likely to transfer with BBC Technology to the successful bidder after the EU procurement process. This is due to be completed next year.
BBC Technology was created a couple of years ago to deliver significant savings to the BBC through its contract for technology services, including desktop support, and to generate third party revenues. The company has won important contracts in the UK and abroad with companies such as Hutchison 3G, ESPN, DirecTV and National Public Radio. Last year, BBC Technology delivered 19 million in profits and price reductions back to the BBC.
BBC Director-General Greg Dyke was quoted in an official release saying, “By taking our technical support contract to the market and selling BBC Technology we can achieve significant savings over a sustained period of time. We would also expect to receive a significant sum of cash for the business. While some BBC Technology staff will inevitably feel worried about the prospect of change we’ve reached the conclusion that this is a win/win situation for the BBC and the staff.
“This way the staff will continue working on BBC business. However at the same time BBC Technology, which has been very successful at winning outside contracts, will get the capital injection it needs to expand further albeit in someone else’s ownership. When we were given our current funding agreement in the year 2000 by Chris Smith, the then Secretary of State for culture, media and sport, he made it a condition that we raised an additional one billion over the next seven years. He suggested one way of contributing to that was to sell a BBC asset. This is what is now planned.”
News Broadcasting
BBC to cut up to 2,000 jobs in biggest overhaul in 15 years
Cost pressures and leadership change drive major workforce reduction plan
LONDON: BBC has unveiled plans to cut up to 2,000 jobs, roughly 10 per cent of its global workforce, in what marks its biggest downsizing in 15 years.
The announcement was made during an all-staff meeting led by interim director-general Rhodri Talfan Davies, as the broadcaster moves to tackle mounting financial pressures and reshape its operations.
Between 1,800 and 2,000 roles are expected to be eliminated from a workforce of around 21,500. The cuts form part of a broader plan to save £500 million over the next two years, aimed at offsetting rising costs, stagnating licence fee income and weaker commercial revenues.
In a communication to staff, BBC interim director-general Rhodri Talfan Davies said, “I know this creates real uncertainty, but we wanted to be open about the challenge,” acknowledging the impact the move would have across the organisation.
The restructuring comes at a time of leadership transition. Former director-general Tim Davie stepped down earlier this month, with Matt Brittin, a former Google executive, set to take over the role on May 18, 2026.
While some cost-cutting measures are being implemented immediately, the majority of the structural changes are expected to roll out over the next few years, with full savings targeted by the 2027–2028 financial year.
The broadcaster had earlier signalled its intent to reduce its cost base by around 10 per cent over a three-year period, warning of “difficult choices” as it adapts to shifting economic realities and audience expectations.
With operating costs hovering around £6 billion annually, the BBC’s latest move underscores the scale of the financial challenge it faces, as it balances public service commitments with the need for long-term sustainability in an increasingly competitive media landscape.
