Sky remains actively engaged in discussion with ITV about acquiring its media and entertainment business. Reporting its annual results, ITV confirmed that it was still in discussions with Sky regarding a possible sale. Any acquisition has strategic consequences for the future of Everyone TV and the Freely online television platform, which competes directly with Sky Glass and Sky Stream, both backed by Comcast.

ITV first disclosed in November 2025 that it was in discussions with Sky about a possible acquisition of its media and entertainment division in a deal valued at £1.6 billion. That would exclude ITV studios, the production arm of the company.

ITV notes that there can be no certainty as to whether a transaction will take place and an update will be made in due course.

Such an acquisition would require regulatory approval and clearance on competition grounds. Together ITV and Sky would control the majority of the television advertising market in the United Kingdom, but arguably only a smaller proportion of the total advertising market.

That would leave the ITV Studios arm as a separate asset that could be acquired and possibly combined with another production business.

It was recently announced that All3Media would be merged into Banijay, to be equally owned by the French Banijay Group and RedBird IMI, which is led by Jeff Zucker, former president of CNN and previously chief executive of NBC Universal. Asked about possible interest in ITV Studios, François Riahi, the chief executive of Banijay Group, said: “Consolidation is the name of the game.”

Any acquisition of the ITV media and entertainment business by Sky is likely to include ITVX, the online platform developed by ITV. ITV says that it has recouped its entire investment in ITVX four years earlier than projected through online advertising.

It would also call into question the continuing commitment of ITV to Everyone TV and its Freely platform.

Everyone TV is owned and supported by the BBC, ITV, Channel 4, and Channel 5. Freely specifically excludes Sky.

If Sky, which is owned by Comcast, were to acquire the ITV media and entertainment business, it would potentially get a seat at the Freely table. Or it could pull its chair away and choose to promote its own online platforms.

Sky Stream and Sky Glass compete directly with Freely for the future of online television viewing in the United Kingdom. Sky also operates the NOW online platform, which is available in around 2 million homes.

The number of monthly active users for ITVX rose 12% to 16.5 million, with streaming hours up 16% to 2.3 billion.

While annual revenue for ITV Studios was up 5% at £2,130 million, revenue for the media and entertainment business was down 5% at £1,991 million on a weaker television advertising market, with total external revenue up just 1% at £3,511 million.

Statutory profit before tax was down 35% at £338 million, while adjusted profit was down 5% at £448 million.

www.itv.com
www.sky.com
www.everyonetv.co.uk

The BBC has published its response to the government consultation on the review of its charter. A BBC for All highlights the need for radical reforms to its independence, its ability to respond to the changing needs of audiences and, crucially, more sustainable, universal funding. Although the BBC has previously defended the licence fee as a form of funding, it now seems to be signalling it is open to other options.

The BBC says the current funding model cannot maintain its public service mission for the future. It is also calling on the UK Government to take back full funding of the BBC World Service.

It argues that a Charter Review that simply preserves the status quo will not be enough to deliver a BBC that remains recognisable to audiences nor brings benefits to UK society and beyond.

“The BBC is a vital national asset,” writes BBC chair Samir Shah. “A shared investment in the UK’s culture, communities, and democracy. It supports world-leading creative industries and drives economic growth, as well as promoting the UK’s interests and influence abroad. But it is also at risk like never before and this Charter must deliver reform. In a fast-changing and challenging world, the BBC is needed more than ever.”

The BBC argues that it is unique in having a charter that expires every decade and this fixed end-date which threatens its right to exist should be removed.

The BBC also says that the new Charter must reflect the realities of fierce global competition and rapid technological change with a lighter, more growth-focused regulatory framework.

On the question of the licence fee, the BBC says: “We strongly agree that the licence fee should continue to fund a wide range of services that inform, educate, and entertain.” However, it adds: “Without reform to our funding model, the BBC will no longer be able to maintain this breadth in the future or operate as a UK owned asset, competing with global platforms.”

The proposed solution to this is that more people should pay. It says: “Licence fee income has fallen sharply in real terms as fewer households pay despite continuing to access BBC content. A reformed model that requires more households to contribute at a lower cost could strengthen fairness and sustainability while preserving universal access to high-quality, trusted services.”

The response to the consultation questions concludes: “The BBC’s current funding model is unsustainable and requires reform. While almost all households use BBC services, many no longer contribute, creating an unfair and unstable system that undermines a universal public service. In a fragmented, globally dominated media landscape, universal funding is vital to protect independence, shared civic space and public trust. We are open to new funding models, provided they are fair, sustainable and futureproof, ensuring the BBC remains a service for everyone.”

The full response to the government green paper on its charter review is published on the BBC web site as A BBC For All.

www.bbc.co.uk

Not everyone sees television the same way. The way we watch television depends upon our age and availability to view. Thinkbox, the marketing body for commercial television in the United Kingdom, recently held an event in London at which they attempted to dispel some of the misconceptions about television advertising and in particular the impact of YouTube.

Total television viewing in the United Kingdom is about 184 million hours a day. That is the average for 2025, across all screens in the home, for those aged over 16.

YouTube accounts for about 15 million hours per day on televisions for those aged over 16, and about 42 million hours a day on other devices, for those aged over 15.

Television has a daily reach of over 25 million people aged over 16. YouTube has a slightly higher reach, but on a monthly basis.

Thinkbox commissioned research to identify what people watch on YouTube, using a custom nationally representative panel of 1,000 people aged over 16.

The research found that just over 40% of their YouTube viewing was “TV-like” material, and over half of that was music, with a further fifth being television or film clips. The majority of viewing was described as not “TV-like”, led by gaming and entertainment.

Based on Barb research, across all individuals aged over 4, the heaviest quartile of viewers watched an average of just over two hours of YouTube a day. The heaviest viewers were most likely to be aged under 16. The other three quarters watched an average of 6 minutes a day.

Even the heavy YouTube viewers still watch mass market television programmes, like Traitors, Strictly, Bake Off, and the soaps, although Thinkbox did not go into how much.

Thinkbox estimates based on industry data that across all individuals average audiovisual advertising time is about 16.5 minutes a day. It estimates that 85% is on television, at over 14 minutes a day, with 12% on YouTube, at approaching 2 minutes a day.

However, among those aged 16-34, audiovisual advertising is just under 9 minutes a day, with less than half on television, at 4.5 minutes, and a third on YouTube, at just under 3 minutes. Considering television advertising makes up 48% of all audiovisual advertising, that is very much a glass half full view.

The problem with talking about numbers and advertising is that everyone has something to sell. Television remains a major mainstream medium, but its commercial model is being eroded by new entrants.

One can argue whether YouTube is television or like television, but if it is viewed on television it is competing for the same audience. If a third of audiovisual advertising viewed by young adults is on YouTube, traditional channels face a growing challenge.

Material from the Thinkbox presentation, Now and Next is available from the Thinkbox web site.

www.thinkbox.co.uk