Sky has proposed a $2 billion takeover of the British broadcaster ITV, prompting potential government intervention from Lisa Nandy. Nandy expressed concerns regarding the preservation of media plurality, specifically focusing on news coverage.
The minister may step in if she finds reasonable grounds to believe that public interest considerations are being compromised by the deal. A formal letter has been sent to Sky and ITV by Nandy to notify both parties of her intent to increase scrutiny on the merger process.
The companies have until 20 October to submit their formal representations regarding the proposal. Sir Peter Bazalgette suggested that current government policy is more supportive of media consolidation as a means for public service broadcasters to survive.
Bazalgette noted that domestic broadcasters across Europe are under considerable pressure from not just the streamers, but also from YouTube. The combined market share for video advertising held by Sky and ITV represents only 20 to 30 percent, according to Bazalgette.
Nandy previously indicated she was minded to intervene in the acquisition of Warner Bros. Discovery by Skydance. However, Nandy allowed that specific Skydance deal to proceed just weeks into the premiership of Andy Burnham.
