Ofcom expected to decide Sky wholesale rates

UK communications and media regulator Ofcom is expected to decide tomorrow on the wholesale prices to be charged by pay-TV operator BSkyB to other platforms to distribute its premium channels.

In a move that has been furiously resisted by Sky, Ofcom is expected to force the pay-TV operator to reduce the wholesale rates it charges for its sport and movie channels by up to 30%, allowing rivals BT and Virgin Media to compete more effectively. Ofcom is expected to make a formal announcement on the rates in March.

BT meanwhile has said it could undercut Sky’s own rates for its sports channels by £10 (€11.30) a month, according to UK press. According to a report in The Independent newspaper, BT plans to charge £15 a month for Sky Sports 1, compared with the £25.50 that Sky currently charges.