BSkyB re-secures MTV Networks for UK
Chris Forrester
Sunday, 15 November 2009 06:16

There hasnít been much doubt that MTV would reconfirm its carriage agreement with pay-TV giant BSkyB. All of the MTV networks are covered, including the Nickelodeon and Comedy Central brands. What wasnít expected was that Viacom, MTVís owner, would hand over responsibility for ad-sales to Skyís media sales arm.

Viacom had previously used its own sales division, Viacom Brand Solutions, to handle its on-air sales efforts. The shift to BSkyB now gives Sky about 17% of the UK television market. MTVís ad-revenues are said to be worth about £375m over a five-year period. A growing ad-market could see this revenue increase nicely.

Mike Darcey, Sky's COO, said the deal would allow the groups to "share in the opportunities that arise from a strengthened ad sales portfolio". Skyís greater overall importance in selling air time inevitably gives it a much stronger negotiating position with media buyers.