Virgin Media, who had previously threatened Sky with legal action after the dispute over carriage fees for their channels, are expected to issue a writ to the High Court sometime this week.
Sky pulled a selection of their channels from Virgin Media’s cable TV package in March, after the two companies failed to agree on a price for the channels; Virgin said that Sky were asking for over double the amount of the previous deal – a claim emphatically denied – and stated that that they would take Sky to court in 30 days if an agreement could not be reached.
Virgin’s statement in March read: “Following Sky’s withdrawal of its basic channels from Virgin Media’s TV service, Virgin Media has formally advised Sky that it will pursue action in the high court if their carriage disputes are not resolved within 30 days.”
Since then, Virgin have introduced faster cable broadband speeds, a free digital TV set-top box for ADSL customers, and have petitioned Ofcom to scrutinize the converged pay-TV/broadband market in an attempt to make life difficult for Sky.
Sky have hit back with a high-profile advertisements mocking Virgin’s reduced TV service and are prepared for a lengthy legal battle, dismissing the possibility of court action as a part of a perceived Virgin Media “PR Campaign” to portray Sky as a bullying conglomerate.
Similar Posts: