Following BSkyB's filing to the Competition Commission, which is investigating Project Kangaroo, the online television service planned by ITV, Channel 4 and BBC Worldwide (BSkyB concerns over Project Kangaroo), the Financial Times explained the background to Sky's complaint: "Many of the channels on Sky’s subscription TV service draw heavily on archive programming, [therefore] the service might be expected to result in a substantial lessening of competition in the nascent video-on-demand sector."
The FT revealed that Sky was claiming that the content provided by its in-house production capabilities "would put Kangaroo’s shareholders high on the list for retailers wanting to acquire VOD content [thus] reducing competition for whole rights... although Kangaroo argues that online it is unlikely to gain a similar market share owing to competition from international technology providers such as Google and Apple".
Chris Goodall was asked for his view. He said: “Kangaroo is bound up with regulation of pay TV in the UK in general. There has to be a question whether the British system is overly protective towards the terrestrial broadcasters.”
| 
