Elizabeth Judge
Attend a special evening hosted by Mike Atherton
Virgin Media’s 3.3 million cable viewers face the prospect of many months without basic Sky channels after the bitter row between the two rivals reached the High Court.
The cable operator yesterday announced it had begun action against Sky — the satellite operator 39.1 per cent-owned by News Corporation, parent company of The Times — over an alleged abuse of its dominant position.
The action, which Sky is expected to defend, follows the removal of channels from Virgin’s households in February after a row over what Virgin should pay to carry them.
The increased price demanded by Sky, combined with a recently negotiated sharp cut in the price Sky pays to carry Virgin channels, amounts, Virgin claimed, to an abuse of Sky’s position. The cable group, formerly NTL, said its proceedings were based on Section 18 of the UK Competition Act and Article 82 of the EC Treaty. Sky has 28 days to serve its defence. Any action is not expected until autumn.
In its statement Virgin said: “Sky demanded a price for its basic channels that was some 17 times greater than it was prepared to pay for the Virgin Media TV channels . . . This disparity is just one manifestation of Sky’s systematic abuse of its dominant position”.
Sky declared the action “without foundation” and an unnecessary obstacle to bringing back its basic channels to Virgin Media customers. It added: “Increasingly, customers will ask whether Virgin Media is putting its own financial interests before giving them the service they want.”
Articles from our sister site WSJ.com:
You may be asked to subscribe to read certain articles
Industry sectors news at a glance. Interactive heatmap, video and podcast
Everything the Business Traveller needs to know to make a better trip
Get ready for the winter sports season, with our resort guides and snow reports
We are backing British business, what is the confidence of the nation and what businesses are succeeding?
Growing demand for energy, oil that is harder to reach and the rise of carbon dioxide emissions. We examine the energy challenge
With rail travel in Europe on the rise, we review the benefits of travelling by train
In this special section we explore new food trends to help improve your dinner party and impress guests
Enjoy further reading from Travel to Fashion, Business to Sport, discover more
1998
£47,955
12 months for the price of 11 and a 5% discount.
Offer ends 31/11/09
Check your free Experian credit report before applying
Car Insurance
£353 per day
Phonepay Plus
London
PwC’s Consulting practice helps businesses of all shapes and sizes work smarter and grow faster
PwC
£37,000
Department for Culture, Media and Sport
London
Currently £36,285
Department for Culture, Media and Sport
London
Moments from Battersea Park.
For sale with Winkworth
Find out about shared ownership.
See your free Experian credit report beforehand
Accommodation, flights, tickets to the race and a KL city tour for only £999pp
PremierHolidays.co.uk
For your ultimate tailor-made ski holiday, click here
Get covered on your travels with a superb range of policies at great prices. Visit InsureandGo.com
World Class Golf, Spa and preferential Beach Club. Private estate overlooking West Coast
Villas from £275 per night inclusive of Golf
Contact our advertising team for advertising and sponsorship in Times Online, The Times and The Sunday Times, or place your advertisement.
Times Online Services: Dating | Jobs | Property Search | Used Cars | Holidays | Births, Marriages, Deaths | Subscriptions | E-paper
News International associated websites: Globrix Property Search | Milkround
Copyright 2009 Times Newspapers Ltd.
This service is provided on Times Newspapers' standard Terms and Conditions. Please read our Privacy Policy.To inquire about a licence to reproduce material from Times Online, The Times or The Sunday Times, click here.This website is published by a member of the News International Group. News International Limited, 1 Virginia St, London E98 1XY, is the holding company for the News International group and is registered in England No 81701. VAT number GB 243 8054 69.