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Deadline passes for Virgin-BSkyB TV blackout over Virgin-BSkyB row
(about 2 hours later)
Virgin Media customers say they have lost access to BSkyB channels after the deadline passed for the two companies to resolve a row over TV rights. Virgin Media customers have lost access to BSkyB channels after the deadline passed for the two companies to resolve a row over TV rights.
The broadcasters had until midnight on Wednesday to reach a deal which would have allowed cable company Virgin Media to continue showing basic Sky channels.The broadcasters had until midnight on Wednesday to reach a deal which would have allowed cable company Virgin Media to continue showing basic Sky channels.
Virgin Media has accused BSkyB of raising its prices too much, but BSkyB has said the higher fees are justified.Virgin Media has accused BSkyB of raising its prices too much, but BSkyB has said the higher fees are justified.
Talks between the two broadcasters broke down last week.Talks between the two broadcasters broke down last week.
A Virgin Media customer told News 24 she had lost access to BSkyB channels shortly before midnight. A Virgin Media customer John Gullidge told BBC Radio Five Live how he felt when his screen went blank.
"It's disgusting, I'm really angry about the whole situation. I signed up with NTL for the package, largely based on Sky One because I'm a big fan of all the American shows they have and I've just been abroad for a week,
"I've just got back to find I've got no more Sky One."
Packages lost
Virgin Media, which was formed from the merger of cable TV firm NTL and Virgin Mobile accused BSkyB of "bullying" and "arrogance".Virgin Media, which was formed from the merger of cable TV firm NTL and Virgin Mobile accused BSkyB of "bullying" and "arrogance".
Virgin Media said it would drop the Sky Basics TV package, which also includes Sky News, Sky Travel and Sky Sports News, if agreement on a new contract to replace its current one could not be reached. Virgin Media had warned it would drop the Sky Basics TV package, which also includes Sky News, Sky Travel and Sky Sports News, if agreement on a new contract to replace its current one could not be reached.
Sky One includes popular series such as 24 and Lost, as well as new episodes of The Simpsons.Sky One includes popular series such as 24 and Lost, as well as new episodes of The Simpsons.
'Equitable solution'
Virgin Media earlier called for BSkyB bosses to enter into arbitration talks with it in an effort to settle the dispute.
"We are sorry that Sky once again rejected our offer of binding independent arbitration to find a fair and equitable solution that works for consumers," a spokesman for the firm said.
However, a BSkyB spokesman countered: "With less than 12 hours before our existing agreement expires, Virgin Media has declined to re-enter talks and is now seeking to reopen existing agreements."
HAVE YOUR SAY I thought this squabble between two billionaires wouldn't affect me, but how wrong I was Ben Anderson, Cambridge Send us your commentsHAVE YOUR SAY I thought this squabble between two billionaires wouldn't affect me, but how wrong I was Ben Anderson, Cambridge Send us your comments
The latest war of words between the two firms came as Virgin Media revealed that 37,000 customers had left the company during the final three months of 2006, before the firm's rebranding. The latest war of words between the two firms came as Virgin Media revealed 37,000 customers had left the company during the final three months of 2006, before the firm's rebranding.
However, Virgin Media said revenues had remained ahead of expectations at £1.08bn ($2.1bn), from £916.1m a year ago on a pro-forma basis.However, Virgin Media said revenues had remained ahead of expectations at £1.08bn ($2.1bn), from £916.1m a year ago on a pro-forma basis.
On Monday, the government ordered media regulator Ofcom to investigate BSkyB's controversial purchase of a 17.9% stake in ITV.On Monday, the government ordered media regulator Ofcom to investigate BSkyB's controversial purchase of a 17.9% stake in ITV.
BSkyB's decision to buy into ITV was seen by some as an attempt to block a bid for the firm from its then rival NTL.BSkyB's decision to buy into ITV was seen by some as an attempt to block a bid for the firm from its then rival NTL.
The government said it had asked the watchdog to advise on whether November's share deal was against the public interest.The government said it had asked the watchdog to advise on whether November's share deal was against the public interest.