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Summary:

Twenty months after the venture was announced, the Competition Commission has now finally blocked the Kangaroo VOD project from launching, r…

Twenty months after the venture was announced, the Competition Commission has now finally blocked the Kangaroo VOD project from launching, reiterating that its trio of shareholders would control too much UK VOD and concluding that “none of the … remedies proposed could remove the threat to competition in the VOD market” (release and final report).

This is a massive blow to BBC Worldwide, ITV (LSE: ITV) and Channel 4, who wanted to pool their archive content for sale and ad-supported free download through the service but which are all now denied that extra income. BBC iPlayer, ITV Player and Channel4.com, each designed only to show only programmes from the last seven days, now have no single on-ramp to long-tail revenue.

The consortium issued its response within 10 minutes of the verdict:

  1. How do you rule something as being "anti-competetive" when you have the major UK players collaborating rather than competing.

    This seems nuts! In a time when we're encouraging UK business to grow we're now stifling it.

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  2. What Nikki said: +1

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  3. That's the point!!!!
    Major players combining their market dominance (including the state funded Ministry of Peoples' Broadcasting) is completely anti-competitive by squeezing out innovative (and commercially savvy) rivals like Five who do an excellent job of aggregating home grown and US imported programming for the UK online viewer.
    The day of the broadcasting behemoth must come to an end – the term "broad"casting is itself an outdated concept.
    I thnk the ruling was spot on and hopefully the BBC Trust will wake up to its duties and stop this waste of public money and government resources from ever happening again

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