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Web TV: Kangaroo is dead, long live Marquee - Venture Insights

Report Overview

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Web TV: Kangaroo is dead, long live Marquee

PublisherEnders Analysis.
Publish Date February 4, 2009
Sector Fixed Line (Internet and Voice), FTA TV, OTT Video, Pay TV.
Company BBC, Channel 4, ITV.

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Kangaroo the proposed BBC Worldwide/ITV/Channel 4 video-on-demand (VOD) service has been terminated by the Competition Commission (CC) due to fears that it could control the wholesale and retail supply of UK TV VOD.

In our view the CC decision is a lucky escape for all three shareholders since it will save them from investing potentially tens of millions in an ill-advised venture which could have become a bottomless money pit when they can least afford it.

Near term ITV and Channel 4 will refocus their internet strategies around their own portals and online syndication deals, but these are unlikely to deliver significant revenue; Marquee the BBC’s proposition to open up iPlayer to other PSB broadcasters could help, with the advantage of being very low cost.