6 March 2007
The on-going row between digital TV providers Sky and Virgin TV has escalated a further notch today with the news that Virgin Media bosses have threatened to sue for damages unless a deal is hammered out soon.
Virgin TV customers lost their basic Sky channels of Sky One and Sky News after BSkyB pulled the channels from the package after it was told it would not receive any money from additional fees charged to Virgin Media subscribers.
Chief Executive of Virgin Media Steve Burch told the BBC that the provider sought a quick resolution but that it was not prepared to "allow Virgin Media or our customers to be the victim of Sky's market power".
BSkyB, meanwhile, has taken a less aggressive stance, urging its rival to "set aside its threats and posturing and engage genuinely in a sensible negotiation to restore Sky's basic channels to its customers".
Media analysts have suggested that the public nature of this row may well lead customers to look elsewhere for their digital TV packages - especially after the National Consumer Council last week accused Virgin Media and BSkyB of "behaving like children" and said it the row had caused it to consider asking for a review of the digital television market.
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